FleetRunnr Blog

What Is Logistics Software? The Ultimate Guide

Written by FleetRunnr | May 12, 2022 1:00:00 PM

Logistics software, or logistics management software, is an invaluable tool for business owners to keep track of every step of the delivery process.

Here is an overview of what logistics management software is, how it works, and who it typically benefits.

What Is logistics software? 

Keeping track of every detail of your supply chain can be challenging. Each step in the process relies on the accurate completion of the last. Luckily, logistics management software tracks the entire process and allows you to keep every package and parcel moving in the right direction.  

Logistics software gives your business an all-inclusive tool for keeping track of how well each element of the production, shipping, and delivery process is currently doing and gives you a starting point for pinpointing specific areas that are not doing as efficiently as they could so that you know what to focus on for improvement.

Although they cover every stage, logistics management software is primarily focused on the transportation process. This means that staffing shortages, rapidly increasing gas prices, and other widespread transportation issues make having reliable logistics software to help your business keep track of successes and zero in on problems before they escalate is more crucial than ever. 

Who Is logistics software for? 

Many types of businesses can benefit from utilizing logistics management software in some way, but if you’re in the business of moving packages from one place to another, this software is more of a need than a want. Here are the top three industries that can benefit most from logistics software.

Courier and Parcel

Various courier and parcel companies handle the majority of the process of transporting individual orders from warehouses to their buyers. Regardless of whether this transportation occurs on carrier planes, freight trains, large shipping trucks that are directly associated with a particular courier, or local mail trucks, a parcel is transferred many times before reaching its buyer, and logistics software helps everyone in the process keep track of precisely where the item is at any given time, how far it has progressed through the transit process, and when it is expected to be delivered. 

Trucking

Because trucking companies handle the transportation of products from manufacturers to stores, their role in the supply chain is one of the most important for getting products to their buyers. These companies transport materials to manufacture products and transport the finished products to stores. That means that problems anywhere in this process can slow down sales and decrease profit. 

eCommerce

Both traditional businesses with physical locations and eCommerce businesses that operate entirely online can benefit from logistics management software. However, it can be an even more essential tool for eCommerce business owners because they depend even more on having a digital system for keeping every aspect of their supply chains organized. 

How Does Logistics Management Software Work? 

Logistics management software can be helpful for businesses of any size, but their benefits are even more significant for those that are heavily focused on transportation and move a significantly high volume of orders or other shipments.

These applications work by automating and keeping a written record of a wide range of processes and data related to your transportation needs, such as managing your relationship with your carriers, tracking packages, and ways to optimize every step of the production and distribution process. By consolidating all these details into one convenient portal, your business can quickly and conveniently find any specific piece of information right when you need it. 

Features to look for in logistics management software 

You can use logistics software to better manage your business's transportation and similar needs by leveraging several key features

Live Tracking 

You and your employees, and your customers all need to know when their orders will arrive. Logistics management software's live tracking feature lets every party know exactly where an order is at any given time when it is expected to arrive. If any unexpected issues or delays come up in the delivery process, you can easily check where a package is and why it's been delayed. This feature gives everyone from manufacturers and businesses at the corporate level to owners of a specific location of a business and individual buyers access to the real-time status of any order or driver. 

Route Optimization 

Certain delivery methods make more sense for particular orders than others. Logistics software's route optimization features help senders and transportation companies determine the most logical way to get each order to its intended recipient. This can include both deciding which carrier to use and determining which specific path will complete the order in the least amount of time and for the lowest cost. 

Accounting and Billing Features 

Logistics software also helps you make sure you’re paid within a reasonable amount of time following each delivery. These applications include customizable accounting and billing features to fit your business's specific needs.

FleetRunnr Offers Tailored Logistics Solutions

At FleetRunnr, we designed our cloud-based logistics management software to help small and medium-sized businesses manage every aspect of their supply chains. Improve your delivery efficiency and operational scalability with enterprise-grade driver tracking and route optimization features, FleetRunnr has you covered from the first mile to the last mile. Contact us today to request a free demo.