SAP Transport Management
deals with all the activities of transportation of goods from business to the
clients. SAP Transportation Management (SAP TM) is an application from the SAP
AG. SAP TM Solution has been designed for transportation and logistics demand
of all businesses and helps them to reduce transportation costs and enhance
logistics efficiency and flexibility. It improves the structure of SAP's
existing transport solution for businesses.
The Transport Management System
operations of various types, including tracking and distributing with each part
of transportation resources, fuel costing, routing and mapping, warehousing,
reports, EDI implementations, tourist and freight handling, transport selection,
administration, and accounting.
SAP TM
is part of the SAP Supply Chain Management (SAP) that involves transportation
operations and may be part of an enterprise resource planning system. It
consists of business processes that involve the assignment, planning, and
settlement of transportation management services.
SAP
TM allows you to deal all procurement and shipping national and international
shipping in the corresponding environment and gives traceability and visibility
of quantities, freight, parts, and logistics processes. With SAP TM, you can
plan the transportation of shipments for many common order types such as sales
and purchase orders, accounts, and capital transfers.
The
advantage acquired from using Transport Management System in SAP includes the following:
·
Reduced costs and enhanced operational
performance
·
Improved transport collaboration and
supply utilization
·
Active, end-to-end order and process
management
·
Effective logistics and satisfaction
processes
·
Enhanced execution visibility and
responsiveness
Features
of the SAP Transport Management System
that provides to make a supply chain lean and optimized can be broadly
classified into three categories:
·
Optimization
·
Execution
·
Performance Management
Optimization
1. Mode and Carrier Selection
This
feature helps in the proper selection of carrier and mode of transportation
based on service demands in terms of cost, productivity, and distance. The
system is created to provide the carrier choices of the best carrier to choose
from based on previous performance, cost and business terms. This flexibility
in feature provides a carrier to understand if one carrier over another is best
suited. You may also find that you have multiple shipments that are more time
sensitive and need to give those to various carriers best suited for specific
lanes.
2. Route Optimization and
Consolidation
The
system is invented to implement the most optimal route for transports. It can
at once achieve to plan and execute routing for numbers of loads either by
consolidating, pooling, and even for multimodal transportation. Consolidating
freight not only saves cost but avoid unnecessary desert multiple trips thereby
saving fuel and reducing carbon discharge.
Execution
1. Integrated EDI
EDI
enabled standard format of information exchange creates a benchmark for
perfection. Organizations gain increased clarity in their functions and
experience an extraordinary reduction in paperwork. Integration of EDI within
TMS Systems produce high-end accuracy in data and speed up critical information
exchange between the businesses and at the same time provides greatly to create
a green supply chain.
2. Integrated Audit and Payment Module
Auditing
and payment systems allow a TMS to calculate the freight charges, evaluate the
service options and identify the areas for development. This enables immediate
acknowledgment and resolution of overcharge related issues with the carriers
and customers alike. Also, links to ERP or any financial system allow efficient
handling of payment systems.
3. Integrated Warehouse Management
System
Integrated
WMS module within existing at TMS provides real-time information about
warehouse facility such as in and out inventories movement, material tracking,
dispatching the shipments and many such key performance indicators. Access to
this real-time information improves the process decision making.
Performance Management
1. Visibility
Visibility
features within TMS systems, provide a detailed view of every step of the
transportation process thereby making them easier to manage. Accurate and
timely visibility of the critical information of the entire supply chain
enables to keep a healthy balance between demand and supply through proactive
management of the flow of goods. This helps to bring down the overall cost of
transportation.
2. Track & Trace
Track
& Trace feature allows real-time exchange of purchase information between
the carrier, distributor, and customer. Regular and responsible sharing of
purchase information beyond the organization through web-based access,
increases visibility, the efficiency rate of tracking and monitoring, and
efficient management & reporting.
3. Business Intelligence and
Analytics
This
feature includes the expert use of data warehousing, dashboard functionality
and report formation in standard formats. It aims at the gathering, explaining
& summarizing supply chain and transportation metrics and data to employ
them resourcefully for effective decision making, identifying needs & key
areas of functional enhancement, and evaluating the effectiveness of existing
strategies.
SAP Transportation Management
Key Process
 |
| SAP Transportation Management Key Process |
1. Planning and Decision-making: A
TM system provides essential information in real time to enable shipping
specialists to design and make choices according to a given set of parameters.
These include choosing between a selection of carriers on transportation costs,
shorter routes, and fewer stops along the way.
2. Execution of Transportation
Plans: A TMS performs it faster and easier to execute
transportation plans by automating necessary functions such as carrier rate
acceptance, dispatching, and EDI.
3. Visibility:
A TMS makes it comfortable for a logistics manager to have transportation
visibility along the way so that everyone concerned, including the customer,
knows specifically where the freight are at any time.
4. Measurement:
Most TMS have a logistics key performance indicator (KPI) reporting function
that makes it easy to measure performance.
SAP Transportation Management
Training
SAPVITS
is the best SAP TM Online Training
Institute in Bangalore, Hyderabad India. The SAP Transportation Management (TM) online course will enable you to
manage the entire process of delivering the products or goods from the
manufacturer to the consumer. SAPTransportation Management Module will integrate with other modules such as
SAP MM, SAP SD, and SAP Finance. SAPVITS will offer this SAP Transportation
Management Course with Online Training based on your flexible timings. We
provide SAP TM Training Material,
Free Demos, Server access facility. Visit our institute for SAP TM Course
details and fees.
At SAPVITS to attend Free Live Demo on SAP Transportation Management Training enroll now: https://goo.gl/HYV5qK
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