How to effectively digitize transport logistics

Modern transport management solutions (TMS) together with artificial intelligence algorithms and business automation provide a huge increase in business efficiency
Transport logistics companies find it difficult to avoid rapid change and pressure on costs. The increase in the input costs of energy, labor and employees’ salaries is intensifying, while users of transport logistics services are looking for savings and trying to reduce the prices of services or at least keep them at the same level.

One of the tools for this is effective information solutions. Modern TMS (Transport Management System) solutions together with artificial intelligence algorithms and automation of business with customers, employees and subcontractors provide a remarkable increase in business efficiency. Developments in this area are remarkable.

Efficient, modern ICT solutions in logistics bring up to 10% savings in long-distance logistics and up to 30% savings in last mile logistics. Savings are also significant in warehousing and commissioning services.

Three decades of experience
I-Rose, d. o. o., has been in the information technology market for 30 years. For the last decade and a half, they have been working with advanced information solutions in the field of logistics. Their logistics solutions are used by the most successful Slovenian and foreign companies. Their MSP product family provides a tremendous increase in efficiency and savings in the broad field of transport logistics throughout the business cycle: order – negotiation – agreement – plan – loading – transport – inter warehousing – delivery – tracking – completion – document generation – billing – analysis.

Example of a long-distance logistics project
The logistics company with 80 towing vehicles, which provides long-distance distribution services, has decided to comprehensively digitize its business. Paper documents have almost disappeared, using a portal form of work and integration mechanisms for automatic data exchange to communicate with customers and clients. The entire transport planning is performed by one dispatcher, and the billing of services is performed by one accounting worker. With the introduction of comprehensive digitalization in business, they provided a solid basis for growth at almost the same operating costs of the back office (at the beginning of digitalization, they had only 38 vehicles). The company’s growth is remarkable, and the investment in digitalization has paid off less than a year after the handover of the entire environment. Today, the company is one of the most successful in its segment in Slovenia.

Last mile logistics project example
The logistics company with 30 vehicles, which provides distribution services on the last mile, reduced the required fleet of vehicles by eight, from 30 to 22 vehicles, by using artificial intelligence mechanisms in planning and monitoring the implementation of transports. They saved eight drivers’ salaries, eight vehicle depreciation, reduced the number of journeys by 800 kilometers a day, and planned travel time from a few hours to few minutes. The investment in software and business reorganization paid off in less than a year.

MSP solution users choose between different modules and create custom business processes according to the nature of the business and the requirements of their business partners.

MSP TMS – Transport Management System

• Transport plans, transport planning and inter warehousing
• Treating the fleet as a whole
• Asset repository (transport and other assets)
• Service intervals, referral to a workshop
• Human Resources Repository
• Keeping reminders according to any criteria, warning about the expiration of critical dates (registration, licenses …)
• Digital documentation repository
• Resource utilization rate and resource unavailability
• Monitoring the implementation of plans
• e-POD, electronic delivery note
• e-CMR
• Price lists, contracts, payment deadlines
• Checking credit ratings, blocking customers
• Automatic production of reports (excise duties, accounting documents, transport documents)
• Cross-docking
• Business history
• Performance analytics ensures the detection of the smallest deviations from the route plan and from the planned costs; monitoring of profitability up to the level of delivery points is ensured. Costs can be monitored close to real time, and employees can be rewarded based on solid and accurate data.
• Profitability by volume (disponent, driver, subscriber)

Background integration and integration

• Integration with back-end solutions such as: ERP (financial accounting) and WH (warehouse management), CRM (Customer relationship management), EAM (Asset management)
• DKV, OMV, Petrol
• Excise duties
• Telematics (fuel, tachograph)
• VIES

MSP digital driver job

• Fully digitized driver work. Field support on mobile devices provides the driver with complete information about his work tasks.
• Transport plan (manifest) with all accompanying documentation
• Navigation
• Information on delivery points, pumping stations, rest points
• Barcode recognition, NFC, RFID
• Work with serial numbers and batches
• Circulation control
• ePod – electronic delivery note
• Fiscal cash register
• Capture images and signatures, exact time and geolocation of events
• Download business-related documents (including CMR)
• Alarm when plan changes
• Vehicle condition inspection and entry of detected damages
• Direct communication with the driver (chat)

Bonus / malus

• Dealing with employees, drivers and other employees is one of the most sensitive areas of business. Continuous recording of praise, achievements and irregularities ensures correct and correct treatment of employees. It draws attention to people who need more care and to those who have earned praise and awards.
• Financial evaluation of rewards and possible penalties

MSP costumer Portal

• Portals for customers digitize and automate all communication between the contractor and the customer of logistics services, including tracking shipments and changing order parameters. The entry of orders, negotiations on execution, information on executed transactions together with accompanying documentation are automated.
• Repository of Past Cooperation and Supporting Documentation

Digital communication with costumers

• Appropriate integration-communication interfaces ensure automation of communication between the customer and the service provider – orders, shipment tracking and transport documentation are transmitted without human factors.
• Contracts are recorded directly in the TMS MSP and are ready to be executed under contractual arrangements.

MSP subcontractor portal

• The subcontractor portal digitizes communication between the subcontractor and the service provider. Subcontracting is entirely digital.
• Support is provided to the subcontractor, which assigns business to its drivers through the portal and monitors implementation.
• Mobile Solution for subcontractors Drivers

MSP transport route optimization and corridor

• Tools for automatic planning and optimization of transport routes reduce the time of preparation of transport plans from a few hours to only a few minutes, while increasing the efficiency of implementation by 30 percent. Implementation routes are planned to the meter. However, the environment is able to monitor the implementation both in time and location and to trigger appropriate reactions in the event of detected deviations.
• Automatic learning and improvement of the transport plan based on the performed transport
• Road Accessibility Editor

MSP transport exchange portal

• Upgrading the portal for subcontractors is an internal transport exchange portal, which ensures competitive dialogue and full transparency of subcontracting.
• A, B, remaining performers, automatic implementation rounds
• Pricing or lowest price
• Integration Task Interface

Active Alert

• The Active Alert module takes care of the various channels through which participants in the process receive notifications on any order (achievement of checkpoints, unloading, circulations, delays in implementation). The tool is fully automated.
• Geo fences (geographical fences), regardless of business events, automatically warn of the provision or exceeding of certain points, areas.

Wide range of functionality The range of functionalities around MSP TMS is wide, but still specializes in the field of logistics solutions and field work. Among the solutions that are MSP TMS users are companies from various industries that use only part of the MSP TMS environment or a wide range of functionalities. What all users have in common is, that by using MSP TMS, they achieve savings and digitize vital parts of the business.

MSP TMS is used in a wide range of companies:

• food industry, distribution of goods,
• trading company, organization of deliveries to own warehouses and distribution,
• forwarders, a wide range of virtually all MSP functionalities,
• transport logistics company with its own fleet, a wide range of all – MSP functionalities,
• users of external logistics services, integration with the TMS interface and automation of document flows.

Unique information provided
I-Rose software offers not only modern and efficient solutions, but also infrastructure-appropriate solutions. The use of software is combined with content-based graphics. It is valid for operational work and is also effective due to graphical representations of data and maps, as well as analytical tools that provide graphical representations and export to external tools (Excel, PDF). Unambiguous data is provided. This is especially important in an environment where users choose to automate the planning of bypass routes – transports. All addresses must be uniquely written and equipped with appropriate geolocations. These users also find a great ally in MSP TMS.

In the cloud or on the latest servers
All i-Rose software tools are built in an online environment. They can be used as cloud solutions or installed on back-end servers. High information security and easy organization of work from remote locations or from home are provided. The mobile solution, which ensures full digitization of the driver’s workplace in other field workers (service, construction machines), is designed as a native 100% asynchronous Android application – meaning the driver will never feel a bad or broken Internet signal.