Out of date Transportation Management System System did not consider cost, service or contractual shipments to its carriers when planning orders System could not combine orders into efficient, point to point truckload moves (large amounts of similar cargo on one truck)
Loads were moved through inefficient less-than- truckload (LTL) moves Inefficient carrier selection; Accurate transportation costs were hard to record Freight invoices being done by hand
1. A web-based, on demand (hosted centrally via an internet cloud, accessed by a web browser) solution that was connected to other logistics networks2. TMS functionality must include comprehensive automated freight billing capabilities33. New TMS must improve overall logistics efficiency4. Required tracking and maintenance of 36-truck privatefleet
Nistrevo Corp. won the bid Nistrevo Corp has since been purchased by IBM Solution rebranded as Sterling Transportation Management System provided by Sterling Commerce
Three month implementation Updated some business processes Inform trucking partners of new way of doing business Kept employees well informed of business practice changes Employees spent hours entering data manually before the system went live
Sterling TMS connects you to a collaborative logistics network ofcarriers, shippers, and customers, providing the tools to automate yourentire transportation management process. All of this is delivered ondemand, which means fewer IT resource requirements, no upgradecosts, configuration rather than installation, fast, easy connectivity, andlow total cost of ownership.Sterling Transportation Management System includes: Planning and Optimization - Plans shipments and routes efficiently by consolidating orders into loads, enabling companies to operate with centralized management while allowing local execution capabilities. Execution - Provides shippers with complete visibility into operations as you execute the transportation plan, while the Transportation Management System automates complex processes, including load tendering and contract compliance.
Freight Audit and Payment - Automates transportation invoice processing and payment approvals to ensure accuracy, shorten payment cycles, and lower administrative costs. Invoices are checked against shipment, rate, and carrier contracts stored online, with payment for unplanned events negotiated and approved online. Inbound Transportation Planning – Provides visibility into the order and shipment planning process to enable shippers and suppliers to collaborate throughout the inbound process. Analytics and Reporting - Tracks performance and enables accurate cost analysis using key performance indicators (KPI’s) so you can continually improve your transportation operations. Sterling TMS Carrier Mobile - Extends access and control of your fulfillment operations to mobile devices. It enables carriers to respond to shipment tender requests and provides real-time status updates from anywhere.
Reduction in administrative costs by 60% through automated freight payment Improved allocation of costs to more accurately reflect the precise cost of each shipment 15% reduction in cost per pound of shipment (excluding cost of fuel) Converted more costly less-than-truckload shipments into full truckload shipments
LTL shipments have decreased by 30% Able to track performance of its carriers, allowing them to identify areas to cut costs and increase inefficiencies. Carrier and fuel surcharges are identified up front. Able to approve/deny accessorial charges which decreases billing errors.
Next phase is dock & appointment scheduling for inbound & outbound trucks at their facilities. Right now it’s first come, first served. Pickup and deliveries will be scheduled. Sargento wants to know when a truck will be on site. This will increase efficiency. Orders do not have to be staged or picked until they know a truck is coming in. Eliminated 35 trucks showing up all at once.