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Drive Ratchet

June 6th, 2010 admin No comments

Drive Ratchet

Cargo Control Chains

Transportation Procurement Software is becoming the hot ticket to support corporate initiatives for reduction in transportation spend and yield efficiency improvements within the supply chain lifecycle. Many companies still perform transportation procurement manually using spreadsheet rate comparisons and by gut feel of market trends. Neither method is very rational. Nor, do they provide the decision making visibility to create a strategically oriented framework from which to drive these transportation cost and supply chain efficiency initiatives.

Transportation managers are researching ways to automate their procurement process and supply chain efficiency. <a href="http://www.lodimetals.com/">Transportation chain</a> procurement software does not guarantee instant success nor does it yield instant supply chain efficiency. The step-by-step process involved in deciding how to automate your procurement will likely produce many questions about your goals and strategic directions which will help you obtain success faster.

Transportation procurement success can be benchmarked in several ways. Some companies consider reducing transportation spend as success. Whereas, other companies seek to improve service level guarantees and reduce risk associated with carrier bids. The simple goal of reducing transportation costs must be thoroughly examined and strategically planned. Reducing transportation costs without a strategic plan can cause deterioration of service and additional risk in your supply chain efficiency. It is a well known fact that service providers move high yield shipments first. Creating a long-term partnership with your service providers is important. Shifting freight between many service providers and continually going out to bid may reduce transportation spend in the short-term, but in the long-term jeopardize the net results gained.

Global Tender Management software will help the procurement process. It is not necessary to re-invent procurement software by doing the programming in-house. When selecting transportation procurement software, purchase a hosted SaaS solution. SaaS is known as Software-as-a-Service. Successful <a href="http://www.lodimetals.com/">transportation procurement</a> is about collaboration and reducing administrative time so decision makers can focus on What-If Scenario Analysis (WISA) and total transportation cost per lane or movement.

A hosted SaaS procurement solution will enable on-demand real time collaboration within different departments of your company and with local and global service providers. A hosted SaaS solution allows end to end collaboration during transportation procurement negotiations and after the process with auditing capabilities. It's nice to get a low freight rate but if your accounting department isn't in the loop your efforts might be in vain.

Another advantage of a hosted SaaS solution is maintenance. Hosted SaaS solutions are updated frequently with the latest technology giving your company the competitive edge in negotiating with service providers. Ask your software provider about the logistics experience of its staff. A software provider with in-house logistics and supply chain experts in ocean, airfreight and trucking is going to lead you to success faster with valuable insights you can leverage in your procurement negotiations.

Make sure your hosted SaaS transportation procurement solution has RDV technology. RDV is known as Role Dependent View. RDV allows users only to view data which is important to their participation in the procurement process. RDV ensures data confidentially and security. Selecting the right transportation procurement software will put you in the driver seat, steering you strategically to better service at a lower total transportation spend.

About the Author

Lodi Metals is a manufacturer of cargo bars, e-track load bars, chains, and tie down straps, specialized in custom made products. Cargo Bars Manufacturer, E-Track Load Bars, Cargo Control, Chains, Tie Down Straps.