Implementing a new transportation management software (TMS) can be daunting. To ensure a successful implementation process, there are several key considerations that need to be taken into account. Knowing the top 7 factors to consider will help you make informed decisions and pick the right TMS for your business needs.
Top 10 Issues with a TMS Implementation
No two implementations are the same, but there are some common themes that often come up when introducing a new TMS. These include issues with:
- Data cleansing and integrity
- Communication between stakeholders
- User adoption challenges
- Changes in business processes and workflow
- Training requirements
- Budgeting concerns
- System integration complications
- Legal considerations
- Third-party integrations difficulties
- Process updates
Understanding how to prevent or minimize these problems will help you ensure a successful transportation management software introduction.
Look at your scenarios, not just the product features
One of the important steps in the transportation management software introduction process is to ensure that you identify and address any unique scenarios that the organization might be dealing with. This means considering each step involved in the supply chain operation, including customer service requirements, shipment planning and optimization, invoicing and payment processing, performance metrics, freight audit and payables reconciliation activities. Evaluating each element of your supply chain will help you choose the right product with the necessary features to handle any specific scenarios you may encounter during implementation.
Choose the Right Technology Platform for Your Needs.
Choosing the right technology platform while introducing a new transportation management software is a critical step. It's important to not only understand the capabilities that your organization needs but also the limitations of technology. If a platform cannot scale with growth, its features may become obsolete. Additionally, you should evaluate whether your chosen TMS has adequate APIs and bolt-on capabilities that are necessary for implementation and post-implementation operations. This will help you make sure that the TMS you choose can meet all of your current and future requirements.
Estimate Project Costs and ROI Potential.
Before you can make an informed decision regarding the best-suited TMS for your organization, it’s important to assess the costs of implementation and training as well as explore potential ROI (Return on Investment). Analyze how much time it would take to get your current operations up and running on the new TMS and assess whether current in-house resources or third-party help is needed. Also, explore whether you could reduce costs by implementing a hosted or SaaS solution compared to traditional implementations. Finally, calculate expected post-implementation cost savings or determine what kind of improvement in customer service can be achieved with the TMS.
Summary of the TMS Implementation
Implementing transportation management software (TMS) can be an expensive endeavor, but potential cost savings and improvements in customer service make it worth the investment. When selecting and introducing a TMS, it’s important to consider flexible pricing models that provide long-term value - such as monthly or “pay as you go” plans that cover all the post-implementation costs - as well as secure hosting options that eliminate the need for upfront investments on hardware and other devices. Make sure to explore all your options before committing to any one option.
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