Logistics Planning Software and Freight Shipping

Since the deregulation of the trucking industry in the 1980’s, trucking companies have offered an increasing range of shipping solutions that helps the manufacturer minimize shipping costs; one of which is less than truckload (LTL) shipping. In LTL shipping, companies that ship less than full truckloads of goods can save money by paying a fraction of full load shipping fees. For trucking companies, shipping earnings remain the same. They create a full truckload out of partial load shipments and receive payment from each company. For manufacturers, arriving at the optimal LTL solution usually requires the implementation of logistics planning software, which analyzes the cost of shipping and transportation needs in relation to product destination.

The obvious advantage of LTL shipping is that it allows companies to decrease shipping costs. But the downside is that products often take longer to reach their destination due to the multiple destinations implied by the shared load. In such cases, using logistics planning software to analyze a shipping situation instead of opting for standard LTL is the best way to integrate a solution that brings lower shipping costs while ensuring timely delivery. Whereas as LTL companies specialize in LTL, logistics software specializes in developing solutions that combine each element of the shipping process into a streamlined, cost effective delivery system. A company that requires freight tracking services in addition to simple pick up and delivery would benefit more from using logistics software than relying on the advice of an LTL shipping company.

Most companies that utilize logistics software consistently run a large number of products that are assembled at multiple locations before they arrive at retailers. At first glance, incurring the start up cost and service fees of logistics software might seem contrary to the goal of decreasing operating costs. However, studies show that companies who implement logistics software regularly reduce their shipping costs by ten percent in the first year alone. Exactly how is this savings created? In part, it results form the fact that logistics software eliminates costs associated with other logistical solutions, such as annual software maintenance costs, TMS software costs, 3PL costs, freight margins, gain shares and common rate base licensing costs.

While logistics software is popular among companies whose yearly shipping costs can amount to more than a small company’s annual earnings, it can also offer solutions for smaller companies. For example, a company that simply wants to improve delivery time can use the software to analyze road construction trends and highways traffic patterns. In either case, the software never fails to improve a manufacturer’s finances by making its system of delivery markedly more efficient.

Advantages of Logistics Software Over Third Party Logistics

For manufacturers who ship a steady supply of cargo, the cost of shipping can rival the cost of payroll. Consequently, reducing shipping costs is a full-time task for most shipping managers. Today, most shippers manage the logistical side of shipping (the part of the shipping process where costs can be cut) with one of the following resources:

  • In-house Logistics – A model of shipping logistics in which the shipping process is managed by a shipper’s own staff of experts.

  • Third Party Logistics (3PL) – A model of shipping logistics in which a third party manages one or more aspects of the shipping process.

  • Logistics software – A web-based or in-house program that allows shippers to choose its own shipping arrangements and perform important tasks such as a freight audit.

Most shippers prefer the first option, but paying a team of experts can be unaffordable. Left to choose between the second and third options, many shippers choose the latter based on the following considerations:

Cost

The cost of 3PL is based on the services a shipper receives. When a shipper receives only a few services through a standard 3PL provider or a service developer, 3PL can be affordable. However, when a shipper uses the comprehensive services of a customer adapter or customer developer, the cost of 3PL can be significant. A software-based resource can facilitate comprehensive shipping management for a fraction of the cost of high-level 3PL services.

Shipping Options

Some 3PL providers make carries arrangements using a narrow range of carrier options, such as those found in an electronic posting system. Conversely, logistics software allows shippers to choose from a limitless range of shipping options based on the appropriate shipping model (e.g. less than load or truckload), and perform a freight audit to monitor shipping costs.

Control

Shippers who use 3PL commonly complain that the shipping process feels too removed-a complaint that often results from the failure of a 3PL provider to provide ongoing, in-depth communication to the customer. Using a software-based resource eliminates this issue by placing the shipper in full control of the shipping process.

Permanence

When shippers use 3PL, they often go through multiple 3PL providers as their shipping process evolves, beginning with a standard 3PL provider and eventually using the services of a customer adapter or customer developer. In addition to being more expensive than using a software-based resource, switching from one 3PL provider to another requires forming new business contracts, continuously delegating more shipping tasks to a third party, and implementing new standards for quality control.

Most shippers wish to implement a permanent logistical solution as soon as possible, and implementing a software-based solution is the best way to do it. After the solution is implemented, it options can be changed as the shipping process changes, providing a seamless transition that does not require the customer to look for a new service provider.

Conclusion

For many shippers, logistics software is the most cost effective logistical resource. In addition to allowing shippers to choose from the broadest range of carrier options, it allows them to perform important tasks (e.g. freight audit) without the assistance of a third party. To learn more about the benefits of software-based logistics, contact a provider of transportation software.

MLM Systems For Leverage and Duplication

MLM systems are one of the most important factors in MLM marketing. Without quality logistical MLM systems in place there is no way to leverage and expand our marketing and your network. Everybody trying to devote all their resources in working with a hard to use lead system that requires them to re invent the wheel is not the answer. This way, while working with the system, we can watch our network grow and get greater returns for our business. The key to success is to develop a powerful system with leverage and duplication. MLM systems are highly productive and efficient and gives us the best possible return on our marketing investment by allowing us to maximize each lead to its full potential.

With proper planning of our MLM systems, we can sit back and watch after the inception as our business takes care of itself knowing proper follow up and action is being taken from not only us but all of our distributors.

The Internet provides ample opportunities by which our systems can work. This system can be working 24 hours a day and if correctly configured it will work without any supervision. Strong MLM systems are the key to growing your team quickly and easily and will help us to recruit more and more people into our network so that our network expands successfully. When our network is large it’s really easy to generate more revenue. MLM systems should help us to make our down line grow. There are many systems that we can signup for. These systems will provide us with leads to the number and quantity that is proportional to what we pay and will receive lists of leads from time to time depending upon the type of agreement that we strike with the companies. We can do as we feel fit with the leads once we have received the leads.

There are many companies that will give us further support than just dispatching us with the list. These companies will help us to develop these leads properly and professionally so that we can get the maximum value out of these leads. They will not only help us to gather possible leads to join our network but also they will advertise about our business and help us to train our leads so that we can get the best business builders working for us.

The system that we are using will determine whether the leads that we have purchased translate into earnings for our business or not. There are so many types of leads in the market. Some of these leads may need a lot of time and attention from our part. Having effective systems will allow you to automatically mentor your new business builders using technology and further leverage your time away from training so you can focus on getting more builders. The use of software MLM Systems on the internet is a vital way to succeed online.