Logistics Software Development for Successful Transportation Management. Benefits, Costs, and Features

Why create yet another software solution for the logistics industry when there are so many already available? The answer is quite simple: to meet the needs of a specific company, ready-to-use logistics software often requires costly and time-consuming customization. By investing the same money in custom development, your company could benefit from a unique and bespoke logistics solution long-term.

According to researchers, software for logistics management can save a company from 5 to 10 percent of the overall transportation spending. The global transportation management system market is predicted to reach $30 billion by 2025.

The software for the logistics industry incorporates numerous emerging technologies (such as mobile, IoT, cloud computing, and AI) and provides significant business value, so more and more companies opt for its implementation.

What is logistics software?

Logistics software refers to a group of programs that are specifically designed to help companies manage their logistics operations which can range from transportation and storage to inventory and order fulfillment. The goal of the technology is to streamline these types of processes and make them more efficient, reducing costs and increasing the overall effectiveness of the supply network.

The flexibility of such platforms allows developers to create and fully customize logistics software for both small businesses and large enterprises (even those that handle complex transport networks).

Functions of logistics software solutions

All custom logistics software have unique features and capabilities but there are 3 main functions that have made them so popular:

1. Planning

On the basis of given parameters (distance, time, cost, the number of stops, type of cargo, etc.), a logistics software solution is able to define optimal routes, plan loading schemes, and calculate the expenses.

Furthermore, they can integrate with numerous enterprise systems, such as warehouse management, order and purchasing management systems, CRM, accounting solutions and more, enabling companies to fully manage their most efficient transportation scenarios.

2. Execution

Such logistics management systems monitor the execution of the delivery from point A to point B in real-time. Drivers, carriers, managers, and even customers can access all the necessary information such as traffic, customs clearance, documents, vehicle conditions, metrics, accidents, delays, etc.

The system automates document processing and provides easy communication when it is necessary to maintain contact with various services (seaports, airports, customs, etc.) and with multiple employees, via a web or mobile application.

3. Analysis

A custom logistics software solution uses key performance indicators (KPI): cost per mile, cost per shipping unit, and delivery performance to control service quality and generate statistics and automatic reports.

Those are highly important for the optimization of processes and efficient decision-making.

These functionalities, in turn, bring numerous other benefits to an organization, such as:

• The automation of most manual processes, so you can handle additional workloads in less time and with fewer employees.
• Visibility of the supply chain. All the participants of the shipping process can share updates - online, anytime, and from anywhere.
• Reduced expenses. Which is the result of the automation of processes and the reduction of human error.
• Better quality of services. This one is provided by the ability of programs to analyze data online, generate dynamic reports, notice any issues, notify about them, and make necessary adjustments quickly.

While opting for ready-made programs may appear more cost-effective and time-efficient, availing yourself of the advantages of logistics software that is accurately tailored to your unique needs is often the most optimal choice. That is because, when the deliverables are geared toward your company’s specific processes, they can be easily scaled and upgraded according to your changing needs and smoothly integrated with the in-house systems. With them, you’ll be able to seamlessly operate in a demanding, unstable, and unpredictable market.

The cost of logistics software development can vary substantially based on the business’s strategy and the desired functionality, making it hard to provide a precise development cost.

Why choose a custom logistics software solution over ready-made options?

While ready-made logistics programs may seem more cost-effective and time-efficient, availing yourself of the advantages of logistics software that is accurately tailored to your unique needs is often the most profitable choice. And that can be easily explained: when the deliverables are geared towards your company’s specific processes, they can be easily scaled and upgraded according to your changing needs and/or improved internal processes. Furthermore, they can be smoothly integrated with numerous in-house systems, allowing you to seamlessly operate in a demanding, unstable, and unpredictable market.

Need help?

At Utah Tech Labs, we are proud of our modern tech stacks, diverse collaboration models, high-level specialists, and the transparency we provide.

We offer full-cycle custom software development. That means that while you focus on your core business goals, we take full care of the development and technical implementation of your idea.

Feel free to contact our logistics software development team here.

For free consultation about logistics software development click here.

----------------------------------------------------------------------------------------------

View the full presentation: