How can you evaluate transportation management systems to find the best fit for your business?

1 Define your requirements

Before you start looking for a TMS, you need to have a clear idea of what you want to achieve with it. What are your current pain points and gaps in your transportation processes? What are your key performance indicators and metrics? What are your budget and timeline constraints? What are your specific functional and technical requirements, such as integration, scalability, security, and customization? By defining your requirements, you can narrow down your options and focus on the TMS that can meet or exceed your expectations.

2 Compare features and benefits

Once you have a shortlist of potential TMS, you need to compare their features and benefits to see how they align with your requirements. Some of the common features that TMS offer are route planning and optimization, carrier selection and management, freight audit and payment, shipment tracking and visibility, reporting and analytics, and compliance and risk management. However, different TMS may have different levels of functionality, usability, and flexibility. You need to weigh the pros and cons of each TMS and assess how they can add value to your business.

3 Request a demo and a trial

One of the best ways to evaluate a TMS is to see it in action and test it yourself. You should request a demo and a trial from the TMS vendors to get a firsthand experience of how the software works, how it can solve your problems, and how it can fit into your existing systems and workflows. A demo and a trial can also help you identify any issues or limitations that the TMS may have, such as bugs, glitches, or compatibility problems. You should also ask the vendors for references and testimonials from other customers who have used the TMS in similar scenarios as yours.

4 Consider the support and service

Another important factor to consider when evaluating a TMS is the support and service that the vendor provides. You want to choose a TMS that comes with reliable and responsive support and service, such as technical assistance, training, updates, maintenance, and troubleshooting. You also want to check the vendor's reputation, credibility, and track record in the industry. You should look for a vendor that has a proven history of delivering quality solutions, satisfying customers, and staying ahead of the market trends and innovations.

5 Evaluate the return on investment

Finally, you need to evaluate the return on investment (ROI) that the TMS can offer to your business. You need to calculate the total cost of ownership (TCO) of the TMS, which includes the upfront and ongoing costs, such as license fees, implementation fees, subscription fees, maintenance fees, and upgrade fees. You also need to estimate the potential savings and benefits that the TMS can bring, such as reduced transportation costs, improved customer service, increased efficiency and productivity, and enhanced visibility and control. By comparing the TCO and the ROI, you can determine whether the TMS is worth the investment and how long it will take to break even.

6 Here’s what else to consider

This is a space to share examples, stories, or insights that don’t fit into any of the previous sections. What else would you like to add?