How Does a TMS Improve Cost-Per-Mile?

What is the most important metric for trucking and freight companies to track? Cost-per-mile may be it. This important piece of data provides a quantitative view of your operating costs and helps create a better understanding of your profit margins. With the right tools and technology — like a Transportation Management System (TMS) — you can improve cost-per-mile and drive long-term success. Find out how a TMS improves cost-per-mile metrics with this overview created by TenTrucks.

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Top 3 Ways a TMS Improves Cost-Per-Mile

A Transportation Management System (TMS) is a valuable tool for freight companies that want to improve their cost-per-mile. Innovative solutions like real-time load management, route optimization, financial management, and freight analytics can provide valuable feedback on your finances and help you reduce costs for your trucking company.

Here are a few key ways that an innovative transportation management system can reduce cost-per-mile metrics for your freight company:

1. Optimize Routes and Improve Fuel Efficiency

Transportation management systems employ innovative algorithms and Artificial Intelligence (AI) to help optimize routes for your freight company. Innovative solutions help plan the most efficient route from Point A to Point B by measuring key factors like traffic patterns, road closures, delivery times, and fuel efficiency. With the technology to optimize routes, trucking companies can reduce the amount of fuel used and reduce the amount of money spent for each trip.

2. Improve Load Planning and Reduce Empty Miles

Load management is an important piece to the cost-per-mile puzzle. Proper load planning ensures that you maximize profits for every mile driven with a full trailer. TenTrucks TMS employs AI to improve Less-Than-Truckload load management, maximize the amount of cargo in your trailer, and minimize the amount of empty miles that are driven. Innovative TMS solutions can help reduce cost-per-mile by improving load management.

3. Improve Financial Management and Visibility

The operational costs associated with cost-per-mile include more than fuel costs, maintenance, and empty miles. Financial and carrier management costs are an important part of the equation and a quality TMS can help you find and negotiate better rates with carriers to reduce overall operational costs. With added visibility, control, and coordination, a TMS can help reduce delays and keep your customers satisfied, which leads to long-term success and profits.

Learn how a TMS can improve cost-per-mile with route optimization, improved fuel efficiency, load planning, and financial management. Contact TenTrucks today for more information on our TenTrucks TMS and dispatching services that will help your freight company reduce costs!