How can the Management Software boost and make
the logistics industry more competitive?

Nuno Figueiredo Abaco Consulting

Nuno Figueiredo
Board Member at Abaco Consulting

Opinion Article by Nuno Figueiredo, Board Member, Sales & Marketing Director for Heavy and Goods, August/September 2021 paper edition, pages 48 and 49 [PT Only]

The transport and logistics sector is a very important pillar of the national economic activity, in which it plays an essential role in terms of supporting its customers’ businesses, providing them with competitive advantages. But, like other areas of the economy, the logistics sector has been evolving at an accelerated pace, as a result of changes such as globalization, digitalization, the reduction of trade barriers and changes in the operating models of the logistics chain, which, consequently, , boosted the emergence of greater competition.

In this way, it became urgent for companies in this sector to implement innovative logistic models that would allow for perfect coordination of all the publics involved. As we all know, logistics is part of a long supply chain from the manufacture of a product to its delivery. At the end of this journey is the consumer, your customer. But before, there were countless people and processes involved.

It was then, with the aim of making this whole journey perfect, that the management software emerged. This, in turn, is essential for your company to strictly control the entry and exit of goods and their respective valuation. We were thus able to identify 5 advantages for implementing a management software in a logistics company:

  • Greater control of operations: Effective and efficient logistics must always take into account strict supervision of the flow of goods. With the implementation of the management software, the company will have the ability to centralize all information along the way. In this way, the manager and teams from different departments have reliable inventories and tools that provide real-time information.
  • Process optimization: In order not to waste talent and leave employees allocated to routine tasks, the implementation of management software allows you to automate various activities, eliminate repeated information, exclude unnecessary steps and even present an intelligent search system.
  • Agile communication: Logistics is a complex structure that involves different teams, departments, activities, information and resources. However, all with a common goal: to deliver a certain content to the customer – increasingly demanding. The entire operating chain, from sales, suppliers, producers to customers, depends on communication being proactive and straight to the point. In this sense, management software makes it possible to create and send automatic notices to those involved, guaranteeing their interests.
  • Integrated vision: A logistics solution, such as the management software, allows the control of operations in real time, but it has another advantage. A management software provides relevant and detailed analysis about the business (reporting). All business decisions will thus have a solid foundation with reliable data and information. In addition to allowing full integration with your business management area. In this way, it starts to analyze the whole and not just the parts of the business, providing a complete view of the scenario.
  • Cost reduction: If the process is not optimized, logistics can become a source of expense for companies. In fact, the price of products can increase by an average of 10% in order to accommodate these costs. The management software, in turn, improves the entire operating cost structure and enhances the profit margin on the products. Provides cost reduction by reducing errors and waste throughout the logistics chain and the return or reshipment of goods.

In this sense, we were able to conclude that it is increasingly imperative that organizations in the transport and logistics sector implement this type of software, in order to ensure the most effective information systems capable of optimizing planning processes, thus giving them effectiveness, and, consequently, control of the results. It is essential that the logistics and transport sector, as well as their respective companies, follow the same path in order to be able to follow the trends and not be left behind.

Are you ready for change?