Everything You Need To Know About Logistics Management Systems

Technology has changed the entire logistics and supply chain processes from its core. Consequently, the task of the industry has comparatively become smooth and fast which changed the way goods, raw materials, inventory, sales orders as well as production are managed. As speed and efficiency play a crucial role in the logistics sector, it started adopting new approaches to combat the increasing demand as well as complexities of the operations. Thus, it is important to go for a feasible solution which can efficiently manage the logistics operation so that the products get delivered to the customers on time. This is where logistics management systems help.

logistics and supply chain

With the help of logistics delivery systems, the entire work of the logistical operations turned well organized. This way it eliminated all sorts of hassles that were involved in the tasks. The companies who have already invested in delivery management software have witnessed fruitful outcomes along with noticeable progress in operations, process as well as delivery. So in this article, we will learn everything about logistics management systems.

Overview Of A Good Logistics Management Systems

Logistics Management Systems

Before diving into the facts of how a logistics management systems software works, you need to know about logistics management. Logistics consists of the flow of goods from the point of pick up to the point of delivery to customers or businesses. Selection of the mode of transportation, vendors, routes as well as delivery means is considered to be an important part of the logistics operation.

In short logistics management is a part of the supply chain that involves certain functions such as planning, organizing, warehouses to store and deliver the products and services to the right customers. It also synchronizes different key operations of the supply chain ranging from product development to product marketing. A typical logistics management system involves the following:

  • Warehouse management
  • Inbound and outbound transportation management
  • Fleet management
  • Inventory control
  • Order processing
  • Planning supply and demand
  • Third-party logistics service providers

The logistics management consists of various functions like production planning, procurement, sourcing, product packaging and dispatching. Apart from this inbound and outbound traffic is important in logistics management. 

Why Does the Logistics Management System Become So Critical?

When it comes to the logistics industry, it would be the best idea to hand over the entire process to logistics delivery systems as there are many benefits. Let’s take a look at some of the common advantages your company get through the logistics management systems:

Faster Delivery

Being a direct flow of goods, the logistics sector faces various issues that can impact delivery and even cause delays. With the logistics software, your company can provide faster delivery of products to the customers. By incorporating logistics management software, it can increase the speed of delivery by choosing the right transportation means.

Smooth Transportation

logistics delivery

Being the vital part of logistics, transportation consumes maximum cost in the form of energy, fuel, tolls, staffing and shipping charges. Integrating a logistics management software will immensely help in managing multiple transportation modes and leverage the data for processing. This allows the company to take the needful decision by reducing unnecessary costs.

Diminish Human Errors

Another benefit to going for a logistics management software is the reduction of human errors. It becomes difficult to process the huge quantity of data that is being collected from the system. This leads to errors and excessive time consumption. But a logistics app can easily handle such bulk data without errors in no time. This way it smoothly carries forward the operation without any sort of delays.

Related read: 3 Proven Ways To Minimize Last-mile Delivery Issues With Logistics Management Apps

Reduces Costs

Opting for the logistics software can save the additional cost as it can easily compare various shipping services, transportation means and delivery agents to find ones with least pricing. Another way through which it reduces the cost is by lowering the fast shipments through proper planning of those specific shipments.

Automates Functions

Automation is the biggest benefit of incorporating logistics management software as it helps to deal with various operations. It can easily automate and manage certain functions such as load planning, creating shipment routes as well as tendering of the load to carriers through the software. Additionally, it reduces the paperwork which further helps to smoothen out the process in an efficient way.

Challenges Faced By Logistics Industry

Logistics business challenges

The logistics industry tends to face many problems that occur due to manual errors or different other factors. So let us have a look at some of the common logistics issues.

Warehouse Management Issues

Stock errors can even damage the reputation of the company. The warehouse management software must use the desired technologies for data collection. Most logistics companies still depend on barcode scanners but if you want to go for a smart and data-driven inventory approach, the company can continue smooth operations.

Lack Of Effective Coordination

Another problem faced by the logistics company is fragmentation and inconsistency. So the best way to solve this issue is logistics software which has the capacity to synchronize the data between all the parties.

The software we are discussing should be integrated with activity and location tracking, in-app call and messaging and asset tracking.

GPS tracking

Lack Of Connection With Customers

Customers play a key role in the development of any logistics company. These days customers want flexible options such as ordering online or offline and have the product delivered at the doorstep. Thus there should be advanced CRM systems which can provide the exact details to the customers about their shipment. These tools also help the companies to analyze demand to let the manufacturers know about the production volume and make their services customer-centric.

Type Of Software Solutions In Logistics Industry

Logistics management system software is different from any other software development procedure. You can either choose to develop software for one of the following requirements or the app which can solve all the purposes in one go. Following are the types of the logistics software solutions your company can opt for.

On-Demand Logistics App

Last Mile Delivery Software

This app will help to deliver the shipment when your customers need them. Logistics app allows your customers to make use of your services in the way they want and helps you to stay connected with them.

Fleet Management Software

The software saves all the data related to the fleet along with vehicle information. You can easily assign the vehicles according to your preference and manage all your drivers in a single dashboard.

Related read: Is your present fleet management software efficient enough?

Warehouse Solutions Software

When you build advanced warehouse solutions software, it can instantly store the bulk data in no time. This way you can instantly extract the required information for providing the deliveries without any delays.

Forwarding And Tracking Software

Forwarding and tracking software helps in determining the driver and fleet locations in a few clicks. Users can get real-time updates about good deliveries.

The Core Features Of Ideal Logistics Delivery Management Systems

logistics app

The logistics delivery management system is categorized into three panels:

  • Customer Panel
  • Driver Panel
  • Admin Panel

Customer Panel

Easy Registration

The first section where the users will land is the login and registration page. They can either register or can log in using their phone number, email id or social media handles. Your software development team should integrate various registration methods.

Choose Vehicles

This section allows the users to select the fleet that is required in transportation. Thus it becomes easier for the logistics company and customer to get the delivery without any delay.

Push Notifications

The software should also be integrated with alerts and real-time push notifications. The customers should get alerts regarding each and every detail of their deliverables along with attractive deals and offers. This way the users will be assured about their products by tracking their shipments.

Manage Bookings

logistics management bookings

The users can also schedule and manage their booking as per their preferences. The logistics management systems software service providers understand the importance of the regular updates for the customers.

Billings and Payment

The users can get the auto-generated invoices after the completion of the payments. The software also should be incorporated with different payment alternatives such as in-app digital wallets.

Shipment Tracker

The user can instantly track the shipments that are out for the delivery. Not only this but they can even view the real-time location and the path chosen by the delivery agent to confirm whether the path is correct.

Rate Driver Performance

logistics driver

The users can rate the performance of the drivers as per his behavior, and quality of service provided. And for this, the logistics software development company must integrate Google Maps and GPS so that the drivers can reach the desired address on time.

Get A Quote

According to the service offerings and deals the users can request the quote to the service providers to know the cost as well as time investment.

Driver Panel

Registration And Login

This section allows the drivers to register their account using their credentials and can log in through social media handles and emails. The registration process should be easy so that the drivers can register in a few clicks.

Analyze Shipper Details

logistics management system software

This feature is mandatory to be integrated into the software. Certain information about the shipper should be analyzed and saved. This information includes contact details, name, address, destination and invoice generated.

Route And Navigation

Now the drivers can easily determine the route through the GPS and help them to reach the destination in no time. This way the admin and users remain updated about the driver’s behavior while he is en-route.

Freight Details

The drivers can provide information about the distance covered, the weight of the goods, fuel as well as toll charges in this section.

Bill Approvals

Your logistics software should have a specific feature that will help in analyzing all the bill related information such as refreshments, fuel and toll assigned by the drivers to get them approved by the admin.

Payment Gateways

logistics payment gateway

The driver panel should also be integrated with multiple payment gateways so that they can make their payment at their convenience. All the payments that are done by the customers should be accepted as well as recorded by the drivers.

Manage Request

All the requests which are assigned to the users with their status are managed to track the pending as well as completed shipments.

Admin Panel

Login And Registration

The admin can easily log in to the dashboard of the logistics software through email id and password.

Dashboard

This section will allow the admin to analyze all the users, the total number of accounts completed and pending along with various other information that is related to the logistics delivery business.

transport and logistics business

Manage Tariffs, Shippers And Trucks 

The admin can manage and save all the information related to vehicles, shippers and extra charges charged while making deliveries.

Related read: No-nonsense Information Security In Logistics To Manage Your Business

Vehicle Management And Fuel Consumption

Fuel consumption should be recorded according to the number of vehicles running. Furthermore, the admin should store and track certain management activities like vehicle servicing is needed or not or pollution checking.

Billing And Invoice

All the automated bills that are generated by the user after the completion of the payment are examined as well as approved by the admin.

Monitor Devices

Logistics Delivery Systems

The logistics software developers must ensure that the drivers who are associated with the shipping as well as number of orders assigned to them and the deliveries that are completed should easily be managed and monitored.

Push Notification

Now comes the push notification feature which provides real-time updates related to the order completion, payments, the driver assigned, etc. to the users. This feature helps the user to keep them updated about their recent booking.

Trip Log Reports

This section will help the admin to evaluate and record all the trips taken by the drivers and the start and the end time of the journey as well as the milestones covered.

Cost Estimation Of Logistics Software Development

Cost Of The Software Development

This is the most important question that you need to ask yourself. The money that you are willing to invest in the transportation and logistics software development should be planned carefully. For instance, if you want to cut some features and want to go for an affordable software development solution then it won’t fulfil all your needs. This way not only your investment will go in vain but also it will severely affect your logistics operations.

Thus you require a solution which can provide the best quality and that too in affordable pricing. Along with the amount of money you also have to invest considerable time as well as effort into software development. This will immensely help to bring more clients by ensuring that all the internal operations are being conducted in a smooth manner.

When it comes to the cost of logistics management software development, there are several parameters which need to be considered. Meaning the amount charged by developers may also differ as per location and the technology stacks. The incorporation of various features and the amount of testing needed in software development equally contribute to the overall cost of the logistics management software.

Team Structure Of Logistics Management  Software

To develop exceptional logistics management software, you are required to hire a professional software development company which has the right set of testers, designers and developers. Following are the key professionals that you need to hire to make your dream idea into reality:

Designers

Designers will help in showcasing the core idea of the software. Although coding is the prime thing when it comes to software development the users will only get attracted to your software only if it is well designed. Thus make sure to hire UI/UX designers to go for a unique design as well as background elements.

Developers

logistics app developer

Developers are the creators of your logistics management software. This means they are the one who will be developing your software right from scratch and come with a perfect solution so that your software stands unique in this competitive world. 

Testers

Testers will ensure that the software that is developed is functioning properly without any hassles. Here you need to apply for all the testing standards for achieving monumental success over the market standards.

Project Manager

The project manager should have the required knowledge of the technical field along with the strong command over management. He or she should also be ready to find out the best solutions whenever the team is facing any problems.

Wrapping Up

logistics business

With the relevant technologies, the logistics company will eventually solve all their problems. If you want to develop logistics management systems software, your company should hire a team of software development professionals who can help your work get done. The software having the required features would help to manage your logistics management work smoothly and earn maximum profits. If you want to know how to improve your logistics business operations, connect with the AllRide logistics experts and get an amazing logistics software built.. 


Swarnendu De

Swarnendu De is the Co-founder of Innofied, an Award winning Mobile apps, Web apps, and Game development company. He manages the technical operations and leads the design and development teams there. He is the author of an advanced JavaScript book: Backbone.js Patterns and Best Practices.  He regularly writes at his personal blog, company blog, LinkedIn and the Tuts+ network. Swarnendu lives in Kolkata – the city of joy. He loves traveling, photography & fishing.

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