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Transportation Cost Management helps transportation and supply chain managers to gain control of the transportation costs. The solution makes it possible to budget freight costs, monitor the effects of transportation decisions, and track cost variances.
Transportation Cost Management, a module of the EPS Cost Management Suite, works in conjunction with sales order processing systems to analyze transportation costs. Transportation Cost Management is based on an innovative accounting concept developed specifically for distribution and manufacturing companies. The solution responds to customer needs for systematic cost planning and control to combat etc. escalating fuel costs.
Transportation Cost Management administers the mix of factors that drive planning and control decisions, and it provides precise measurements of how specific components of the transportation cost mix affect the overall budget and forecast.
To effectively control transportation costs, Transportation Cost Management examines key cost drivers including: destination mix, source plants and warehouses, transportation routes, modes of transport, carriers, freight rate, fuel surcharges, and exchange rates, among others.
With transportation budget analysis, users can see factors that contributed to cost overruns verses budget, or historical costs.
Transportation Cost Management helps users identify and explain factors that are at variance with expected levels as a first step to reduce transportation spending and increase effectiveness.
Transportation Cost Management significantly improves the accuracy of budgets and forecasts for distribution costs. The interactive budgeting tool automatically generates initial budgets and forecasts by using past shipping patterns. It also facilitates multiple revisions to reflect corporate shipping preferences.
Transportation Cost Management has reporting capabilities that gives users flexible means of optimizing the transportation mix.
Users can balance the factors that determine warehouse, mode and carrier management. These factors can be managed to improve yields and freight rates, find more effective modes, and manage customer expectations.
Features and Benefits: * Easy-to-navigate user interface * Supports multiple currencies and languages * Generates annual distribution plans * Calculates variances for operating results * Identifies unplanned or omitted activities * Measures the effects of management decisions about the choice of plants, modes, carriers, and warehouses * Creates red-flag cost reporting of customers, modes, and carriers * Identifies business process and logistical issues that result in increased costs
"EPS - Transportation Cost Management" is part of the EPS Cost Management Suite line of products, developed by Enterprise Performance Solutions.