Unlike other industries logistics is not limited to a single line of activity. A typical logistics company may be involved in one or several varied activities such as freight forwarding, transportation, warehousing, regulatory compliance, 3PL, etc. And then there are the typical activities of a business like marketing, sales, customer service and finance. This makes the logistics sector unique and unlike any other industry.
When you plan to implement an ERP solution for your company the first order of the business is to evaluate the merits of potential ERP vendors and select the one that best meets your business needs. Having said that, a very important point for consideration is ensuring whether the software being evaluated is ERP in the true sense of the word and not just labeled as such.
The most ideal option would be to look for an ERP specifically designed for the logistics industry. Generic ERP software, with logistics just being one aspect of it, will not be apt as it will fail to address specific needs of the industry.
Technology matters when we are selecting an ERP. The logistics industry is changing at a very fast pace and therefore it is important to ensure that the ERP solution is designed using the latest technologies. A next-generation ERP can make you work more efficiently and swiftly, at the same time prepare you for the future business challenges.
With the customers becoming more demanding and competition eating into your profit margins you need to be agile and alert in your business operations. A next-generation ERP helps avoid delays in shipments and delivers them on time with built-in functionality like an advance warning system in the form of alerts and notifications.
Managing invoicing and payment collection is a very important aspect in any business especially in logistics where invoicing gets delayed and payment cycle gets stretched quite often. With a next-generation ERP you can generate timely and accurate invoices as it is tightly linked with your operations and also highly automated. You can also do your follow-ups promptly as the system will give you complete control over your dues collection.
As a logistics company you have to put much focus on customer service because sustaining high levels of customer satisfaction is extremely essential in today’s competitive market conditions. A next-generation ERP would be able to offer you the functionality to provide swift and transparent customer service. Your customers can also have access to information on their shipments 24×7.
Choosing the right ERP can therefore have a very positive impact on your business making it more productive and profitable.
