Top performance in transportation management is a challenge. Despite technological advances and new levels of trading partner collaboration, only about 15% of companies are able to reduce their transportation spend year-over-year. Additionally, approximately one in four companies is able to maintain 97% or higher levels of on-time deliveries. While most companies are consumed with reducing freight spend as a line item in the budget, best-in-class companies view transportation management as a key to achieving a more wide-ranging supply chain success.
 
Best-in-class companies are 68% more likely to practice centralized transportation planning and 76% more likely to practice routing and scheduling of inbound freight. Of companies that operate private fleets, 44% of the best-in-class use a commercial application to determine whether to utilize their private fleet or contract it out to a common-carrier.
 
This Aberdeen report recommends steps to take, including making process and organizational improvements prior to adopting technology solutions and moving to a minimum of weekly score-carding when a transportation management system (TMS) is deployed.
 
Also, focus on driving warehouse labor efficiency and in-transit allocation to realize cost savings and grow sales. Ultimately, create true bi-directional workflows between Order Management, Warehousing, and Transportation.