Editorial
The Bite of Bytes
by Anselm Waterfield, CEO, TransLogix, March 2011
Gearing your business for growth takes time, time to
step back, take stock and approach the future with the strategic
hat firmly in place. Yet for many transport owners & managers,
spare time is near impossible to find.
The small to medium size enterprises who dominate the industry
are often family run operations quite modest in terms of scale, yet
driven by a clear commitment to building a successful business.
Holidays become a thing of the past and hours become extended as
the day to day running of the business becomes all consuming.
Responding to the demands of customers and problematic issues of
the day, take precedence and leave precious little time for longer
term planning.
The goals for larger and the smaller operators are not
dissimilar; maximising utilisation of vehicles is always a
priority, billing clients correctly and quickly, providing
customers with information so they know where their goods are and
if they will arrive on time. The list goes on. Throw regulatory
demands into the mix and all of a sudden operators are under the
pump to meet the increasing demands from customers whilst also
trying to keep a firm lid on costs.
So how do you build space to set your business up for continued
growth when right now the immediate challenges aren't abating and
the time to really think about improvements is virtually
non-existent?
If we take a look at businesses with sustained growth it is
evident that solid foundations have been laid through systems and
processes. Well considered, smart computer systems ensure the daily
operations of these businesses consistently function to a high
standard and provide management with accurate information. With
automated, consistent and standard processes in place, owners and
management are freed up to assess the business with an informed
mindset, allowing time to focus on improvements and strategies for
growth.
As margins are often wafer thin, many businesses will think long
and hard about the financial investment required to take on a
computer system, and rightfully so. Yet the short time it takes to
achieve a return on this investment will surprise many. A transport
management system will automate operational and administrative
processes, orders will be priced correctly and invoiced quickly
ensuring mistakes and lost consignments are a thing of the past.
Improved fleet utilisation will generate further savings. The
significant reductions in administrative effort coupled with
elimination of revenue leakage will nearly always be large enough
to justify the investment, with some businesses recouping costs in
less than six months.
With a system in place performing much of the 'daily drudge' and
revenue leakage firmly plugged, owners and managers can now
concentrate on the important task of winning new business.
Contracts are without doubt, won and lost based on the ability
to provide the greatest value to the customer and at the core of
it, that value is delivering the highest service level at the
lowest cost. Those operators with a good transport management
system in place will have their costs under control and a platform
to deliver more 'smarts' to the customer. These "smarts" may
include mobile technology, POD, track & trace, real time web
access for customers and electronic exchange of information. As
technology becomes smarter so do customers, who are now demanding
these services as standard. For those with "the smarts", winning
business has never been easier.
Evidence shows businesses without adequate computer systems in
place will hit the wall on growth as people costs escalate and
management has no time to plan. These businesses will either shrink
back to a manageable size or fail against the competition. It takes
most transport operators at least six months to properly evaluate,
select and implement a new computer system. Add another six months
to bed down the basics and deploy those 'smarts' and you're 12
months away from competing with the best. Just working harder is
not an option when you 'hit the wall'. Utilise technology to regain
control of your operations and build a strategic plan to drive
performance benefits from those assets and good processes.
For more information call 1800 001 104
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