Why LTL Companies Should Have Their Own logistics App Over 3 Party Apps?

The growing popularity of e-commerce since the last decade has completely transformed how the freight industry used to operate. A significant change is a reduction in shipment size and a dramatic increase in shipment quantity.

With the growing demand for less-than-truckload shipping, the need for optimization and automation is also increasing. The technology has been a natural partner of major carriers such as FedEx, DHL, and XPO Logistics. It has helped them manage transportation processes across the supply chain, from fleet management to generating relationships and communication between all the parts.

To beat market leaders, you should think about integrating advanced technology into your transportation processes too.

In this article, we will focus on how you can mitigate your strategic issues in terms of the logistics industry and optimize your freight management operations through your mobile app.

Why You Should Favor Having Your Own Logistics App Over 3PL Apps

Major industry players like UPS, DHL, USPS, or FedEx have their expert teams through which they craft customized apps or supporting platforms that suite their freight operations and logistics management services.

However, excluding some of these big giants in logistic or courier services, there is a large pool of small and medium affiliated businesses that do not have expert resources or budget for an in-house development team.

Below are some of the reasons freight companies choose to create their applications or prefer an expert app development company over three-party apps.

Complexity

The products available on the market are packed with resources. But sometimes this variety, in combination with bad UX, makes the application very complicated. Therefore, companies must spend a lot of time integrating new employees on the use of the system. When creating your system for the transport sector, you can choose only the necessary functions and create a simple interface.

Lack Of Customization

Transportation app developers offer conventional functionality. If a company intends to configure the system as per their needs, it must pay for customization. In addition to paying for TMS, you also need to invest in customizing the system for your company. The ability to customize and configure the application is the most significant advantage of creating your app.

Poor Integration With Third-Party Services

Imagine that you decide to add functionality to your logistics app. But the module with the necessary functions is not compatible with the system and cannot be integrated. You can avoid these last moment glitches if you have your custom transportation management app.

Once you decide on getting a logistic or transportation app developed, the very next pointer you should focus on is how effectively you manage your supply chain operations that are correlated to each other.

Four Stages Of Supply Chain Management

These stages play a crucial role while you brainstorm for your logistics app or software. These pointers are interlinked and work based on hierarchy. Logistics companies should include every responsible person involved in supply chain operations to make the process smooth and productive when applied on apps.

Strategic management

There are senior managers, shareholders, and executive officers at the strategic level of supply chain management. They must be able to make decisions and plan the supply chain over the long term. This is where general planning begins, but processes are defined at a tactical level.

Tactical management

At the tactical level, middle management and logistics engineers are involved. They are responsible for medium-term planning and decisions and monthly, quarterly and annual reports according to the company's objectives. Tactical choices play an essential role in controlling costs and minimizing risks.

Operational management

Logistics managers occupy this level. They are responsible for daily planning and decision making regarding the routing, distribution, and allocation of employees responsible for specific tasks such as day-to-day management of partners, subcontractors, and employees. To do their job, logistics managers need access to regular analysis and reporting.

Execution management

At this stage, delivery is executed along with transportation and storage. Warehouse personnel and drivers, managed by logistics managers, perform supply chain tasks.

To conclude,

The truck industry is beset by inefficiency and structural confusion. But the digital revolution is changing the bottom line for transportation and logistics companies. Shipping companies can increase their efficiency, overall shipping speed, and customer satisfaction with mobile application technologies supported by a reliable back-end infrastructure.

If you wish to make your current logistics more productive and streamlined and looking for app development to automate your LTL freight business. Panacea Infotech is here to help you develop a logistics and transportation app.

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