ERP for logistics

ERP for logistics

For logistics companies, everything revolves around timing, accuracy and efficiency. Goods must be in the right place at the right time, drivers and vehicles must be deployed as efficiently as possible, and customers expect to be able to see exactly when they will receive their parcel.

At the same time, margins are under pressure and operational processes are becoming increasingly complex.

An ERP system gives logistics companies the control they need. By bringing together transport, warehouse management, procurement, planning and finance in a single centralised system, everyone works with the same, up-to-date data. On this page, you’ll discover what ERP can actually mean for logistics companies, which functions are most important for this sector and how to choose a system that suits your organisation.

These ERP suppliers specialise in logistics:

Inmotedear digitalGrensloos / ESi IT Solutions B.V.Oracle netsuiteOracleSoftpak BVExact9 Knots Solutions B.V.Microsoft Dynamics 365SageBoltrics B.V.Consolit BVAfasMagic Software BeneluxSAP3BM IT-SolutionsInforBravx NederlandQuinsoOffimac NVAllSolutions B.V.DigiMedioElevate-IT NVionProjects BelgiumOdooTANS B.V.Delaware Consulting B.V.Rynland B.V.

Why logistics companies choose ERP

Logistics companies manage complex flows of goods, people and vehicles, often spread across different locations and clients. There is little room for error.

Trips that are not optimally utilised, inefficient warehouses, invoices sent too late and a lack of insight into costs per trip or client: for logistics companies, this is part and parcel of daily operations.

A modern logistics company therefore cannot do without a suitable ERP system. The right logistics software brings together transport planning, warehouse management and finance in a single centralised system, ensuring that everyone works with the same, up-to-date data.

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The 7 most important ERP modules for logistics

For logistics companies, this means that an ERP system is designed around processes such as transport, storage, order processing, tracking and fleet management. An ERP system for logistics therefore usually includes the following modules:

Transport management (TMS)

Planning journeys, optimising routes and assigning orders to drivers and vehicles.

Warehouse Management (WMS)

Efficiently managing the receipt, storage, picking and dispatch of goods.

Stock Management

Real-time insight into stock levels by location, warehouse or customer.

Documentation and Compliance

Managing waybills, CMR documents, packing slips, delivery notes and customs documents.

Invoicing and finance

Automatic invoicing and insight into margins per customer, journey or contract.

Customer portal and tracking

Provide customers with real-time insight into the status of shipments and orders.

Business Intelligence (BI)

Reports and analyses for greater control over capacity utilisation, costs per journey and profit per customer

Opt for a scalable ERP system that grows with you as you expand your fleet, open new locations or take on additional orders.

The key benefits of ERP for logistics

An ERP system gives logistics companies control over their processes. Journeys are carried out more efficiently, reducing the number of kilometres travelled: this is good for the environment, and customers receive their orders faster. Specifically, these are the key benefits:

  • Efficient transport planning thanks to greater insight into capacity, routes and the availability of drivers and vehicles
  • Fewer unnecessary kilometres thanks to routes that are constantly optimised
  • Lower operational costs through streamlined warehouse and transport processes
  • Automation of invoicing processes
  • Better insight into profitability per customer, contract or journey
  • Higher customer satisfaction thanks to real-time tracking and consistent, reliable communication

The risks of choosing software too hastily

Implementing ERP software is a major investment. If you choose too hastily, you’ll be stuck for years with software that doesn’t fit your work processes: a difficult implementation that runs over time, staff who avoid the new system, and customisations that quickly double the initial cost.

For logistics companies, everything revolves around speed and reliability, and that places high demands on an ERP system. A system without integration with a WMS, transport planning or customer portals causes problems for the customer.

These are the most common mistakes made during ERP selection:

  • Failing to compare enough ERP suppliers
  • Making a choice based on an impressive demo, a well-known name or time pressure
  • Underestimating how critical real-time visibility of shipments and stock is
  • Paying too little attention to scalability for larger volumes or new transport flows
  • Underestimating the total cost of the project (implementation, training, licences and maintenance)
  • Involving staff too late or not enough in the decision-making process

A sound, well-considered choice therefore begins with an honest analysis of what your organisation needs – not just now, but also in three to five years’ time.

Comparing logistics software

With countless suppliers and systems on the market, it is difficult to assess which system suits you best. Need help finding logistics software? With our selection tool, we map out your software requirements based on a series of questions. This enables us to make a targeted selection of the most suitable suppliers.

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Frequently asked questions

Here you’ll find the most frequently asked questions about ERP Guide and how we work

How long does an ERP implementation take in the logistics sector?
A straightforward implementation can easily take three to six months, whilst more complex projects can take over a year.
When does a logistics company need an ERP system?
As soon as you lose track of orders, stock or deliveries, or your current working methods are no longer scalable, it is time to make the move to ERP.
How does an ERP system help provide real-time visibility of shipments?
Because all order information is managed from a single system, you have insight into the status of shipments at any time. This is a huge help internally, and customers benefit from it too: they expect to be able to track their shipments in real time.
How much does an ERP system cost for logistics companies?

The cost depends on the size of your business, the number of users and the features you require. In addition to licence fees, implementation and maintenance costs also play a part.

Logistics ERP systems are generally slightly more expensive than the market average due to transport management, warehouse functions and real-time integrations. The total investment over the first three years varies significantly depending on company size and required functionality; our selection tool will provide you with an estimate tailored to your specific situation.

Can’t find your question here? Please feel free to contact us.

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Find the most suitable software suppliers

Compare ERP software

Choose your sector

Why this matters in your ERP selection: When making your selection, it is important to take your sector into account. A system must perfectly align with your business processes. These processes differ per industry. For example, a wholesale company operates differently from a construction company and therefore requires different functionalities.
Marc
Mark Sanders
Software Expert

What type of manufacturing are you specialised in?

Why this matters in your ERP selection:

When selecting an ERP, it is important to take different types of manufacturing into account. Each sector has its own specific requirements for an ERP. For example, if you work with perishable goods, the ERP must be able to handle FIFO and best-before date data. Are you in fashion? Then colour/size matrices are important, etc.

Marc
Mark Sanders
Software Expert

How are your production orders planned?

Why this matters in your ERP selection:

In stock-driven production processes, items are manufactured based on sales forecasts. You want to keep inventory as low as possible without running into delivery problems. You then need ERP software that monitors stock levels and helps with reliable forecasting. Is your production customer-order-driven? Then orders must be taken into production quickly. The ERP must also take any customer specifications into account.

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Mark Sanders
Software Expert

What does your production process look like?

Why this matters in your ERP selection:

In discrete manufacturing, you need an ERP with strong capabilities for building bills of materials. If you only do assembly, you are in luck: this typically requires less complexity from ERP systems. For (semi) process industries, these systems are not suitable. Here, the software must be able to handle formulas and recipes (ratios, mixing, etc.). Finally, project-based production is a completely different discipline and requires strong project management functionalities.

Marc
Mark Sanders
Software Expert

What production volumes do you work with?

Why this matters in your ERP selection:

In unit production, items are produced one by one (weighing, artisan products, etc.). In this case, ERP software must be able to accommodate many customer specifications. When products are made in multiple quantities at once, we refer to batch or series production. Due to the larger runs, inventory management functionalities are important. In continuous production, the production process is kept running as much as possible. As a result, ERP software must excel at calculating optimal capacity utilisation.

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Mark Sanders
Software Expert

What type of trade are you specialised in?

Why this matters in your ERP selection: When selecting an ERP, it is important to consider what type of trading company you are. Each sector has its own specific requirements for an ERP. For example, if you work with perishable goods, the ERP must be able to handle FIFO and best-before date data. Are you in fashion? Then colour/size matrices are important, etc.
Marc
Mark Sanders
Software Expert

Do you have a webshop that needs to be integrated?

How many physical stores with point-of-sale do you have?

Do you also import goods?

Do you also export goods?

What type of customers do you supply to?

Why this matters in your ERP selection:

Even among ERP systems for trading companies, there are major differences. How you answer the above questions determines which solutions are more or less suitable. If you import or export goods, you may for example need to deal with customs formalities. Do you supply to consumers? Then different legal regulations apply that you need to take into account.

Marc
Mark Sanders
Software Expert

What type of retailer are you?

Why this matters in your ERP selection:

When selecting an ERP, it is important to consider what types of products you sell. Each sector has its own specific requirements for an ERP. For example, if you work with perishable goods, the ERP must be able to handle FIFO and best-before date data. Are you in fashion? Then colour/size matrices are important, etc.

Marc
Mark Sanders
Software Expert

How many physical points of sale do you have?

What type of customers do you supply to?

Do you also import goods?

Do you also export goods?

Why this matters in your ERP selection:

Even among ERP systems for retailers, there are major differences. How you answer the questions determines which solutions are more or less suitable. If you import or export goods, you may for example need to deal with customs formalities. Do you supply to consumers? Then different legal regulations apply that you need to take into account.

Marc
Mark Sanders
Software Expert

What type of service provider are you?

Why this matters in your ERP selection:

When selecting an ERP, it is important to consider what services you provide. Each sector has its own specific requirements for an ERP. For example, if you organise events, the correspondence with suppliers and staff scheduling must be well organised. Do you provide consultancy and invoice by the hour? In that case, a good time tracking system is essential.

Marc
Mark Sanders
Software Expert

Is time tracking important to you?

Do you work with hourly rates and/or fixed rates?

Is HRM an important part of your business?

Does your organisation work on a project basis?

What is the average lead time of your projects?

Do you mostly supply to businesses or consumers?

Why this matters in your ERP selection:

Even when it is clear what type of services you provide, there are major differences between ERP systems. How you answer the above questions determines which of these are more or less suitable.

Marc
Mark Sanders
Software Expert

What type of logistics services do you offer?

Why this matters in your ERP selection:

When selecting an ERP, it is important to consider what type of logistics services you provide. Each sector has its own specific requirements for an ERP. Do you specialise in sea freight? Then a connection with Portbase may be important. Do you specialise in road transport? Then trip planning and route planning are important.

Marc
Mark Sanders
Software Expert

Do you organise loads in the following way?

Groupage / Part loads (LTL)
Groupage/part loads consolidated at a hub for multiple clients
FTL
Full loads for multiple clients
Dedicated Logistics
Transport for a single client
Why this matters in your ERP selection:

You will be using an ERP system, among other things, to track goods to be transported. Naturally, the ERP system must properly understand how you work and for whom you are transporting. Therefore, indicate how you organise your loads so this can be taken into account in the ERP selection.

Marc
Mark Sanders
Software Expert

Do you have your own fleet?

Do goods need to be transported under refrigeration?

Do you import goods?

Do you also export goods?

Why this matters in your ERP selection:

These questions are important for making a more refined selection. When importing or exporting, you will need to deal with customs formalities. The ERP system must be able to support you by providing the right data and documents. Do you have a fleet? Then it needs to be maintained and depreciated correctly. Do goods need to be transported under refrigeration? Then you need functionality for temperature monitoring and control.

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Mark Sanders
Software Expert

Government and NGOs

Why this matters in your ERP selection:

When selecting an ERP, it is important to consider what type of government services you provide. Each sector has its own specific requirements for an ERP. Let us know what activities you carry out, and we will find vendors with the right references and experience in that specific area.

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Mark Sanders
Software Expert

Do you work on a project basis?

Do you want a membership administration?

Does the ERP system need to be connected to other softwares?

Name of the software integration(s):

Does the ERP system need to be available on mobile?

Why this matters in your ERP selection:

Even now that it is clear what type of government role you fulfil, there are major differences between ERP systems. How you answer the above questions determines which of these are more or less suitable.

Marc
Mark Sanders
Software Expert

What type of healthcare are you specialised in?

Why this matters in your ERP selection:

When selecting an ERP, it is important to consider what type of care you provide. The processes in a hospital differ greatly from an organisation involved in nursing or social services. Therefore, each branch of healthcare has its own specific requirements for an ERP.

Marc
Mark Sanders
Software Expert

Do you want to use the ERP system for client registration as well?

Does your organisation offer overnight stays?

Does the ERP system need to be connected to other softwares?

Name of the software integration(s):

Do you provide care on location?

Why this matters in your ERP selection:

Even now that it is clear what type of care you provide, there are major differences between ERP systems. How you answer the above questions determines which of these are more or less suitable.

Marc
Mark Sanders
Software Expert

What type of construction are you specialised in?

Why this matters in your ERP selection:

When selecting an ERP, it is important to consider the construction activities you specialise in. Each sector has its own specific requirements for an ERP. Property developers need very complex functionalities for risk management and (financially) monitoring the budget and progress. Civil engineering companies are characterised by the frequent need for a maintenance and certification module for the deployment of heavy equipment.

Marc
Mark Sanders
Software Expert

Does your organisation work on a project basis?

What is the average lead time of your projects?

Do you often work with many different parties?

Does your organisation manage real estate?

Why this matters in your ERP selection:

Even now that it is clear what type of construction company you are, there are major differences between ERP systems. How you answer the above questions determines which of these are more or less suitable.

Marc
Mark Sanders
Software Expert

Do you carry out a lot of maintenance work?

Do you also want to be able to schedule assets?

Do you want time tracking for your employees?

Why this matters in your ERP selection:

Even now that it is clear what type of construction company you are, there are major differences between ERP systems. How you answer the above questions determines which of these are more or less suitable.

Marc
Mark Sanders
Software Expert

What type of education do you provide?

Why this matters in your ERP selection:

When selecting an ERP, it is important to consider the type of education you specialise in. Each sector has its own specific requirements for an ERP. Corporate training is more commercial than other forms of education, which may make CRM functions more important. In regular education, the ERP must handle the tracking of students (student tracking system).

Marc
Mark Sanders
Software Expert

Do your customers have a membership with you?

Do you also want to use the system for student registration?

Do you also want to use the system for HRM?

Why this matters in your ERP selection:

Even now that it is clear what type of education you provide, there are major differences between ERP systems. How you answer the above questions determines which of these are more or less suitable.

Marc
Mark Sanders
Software Expert

Do you also teach remotely?

Do you work with timetables and location planning?

Does the ERP system need to be connected to other softwares?

Name of the software integration(s):

Why this matters in your ERP selection:

Even now that it is clear what type of education you provide, there are major differences between ERP systems. How you answer the above questions determines which of these are more or less suitable.

Marc
Mark Sanders
Software Expert

Are you an installation company or a service company?

Why this matters in your ERP selection:

These questions are important for making a more refined selection. There are many different ERP systems that specifically target the installation and service industry. By answering the above questions, it can be determined which vendors are more or less suitable.

Marc
Mark Sanders
Software Expert

Do you want the ERP system to be ready for IoT (Internet of Things)?

Do you want an integration with key suppliers?

Do you also carry out maintenance work?

Do work orders need to be entered on mobile devices?

Why this matters in your ERP selection:

These questions are important for making a more refined selection. There are many different ERP systems that specifically target the installation and service industry. By answering the above questions, it can be determined which vendors are more or less suitable.

Marc
Mark Sanders
Software Expert

Does the system need to be accessible offline?

Do you need to be able to monitor machines remotely?

Do you also work on a project basis?

Do you need to register refrigerants?

Why this matters in your ERP selection:

These questions are important for making a more refined selection. There are many different ERP systems that specifically target the installation and service industry. By answering the above questions, it can be determined which vendors are more or less suitable.

Marc
Mark Sanders
Software Expert

Do you carry out maintenance regularly?

Do you work with Service Level Agreements?

Does the ERP system need to be connected to other softwares?

Name of the software integration(s):

Do you work on a project basis?

Do you want to record hours in the system?

Why this matters in your ERP selection:

There are many ERP systems that specifically target the rental sector. Answer the above questions to determine which vendors are more or less suitable. If you regularly maintain your assets, it is important to choose an ERP system with maintenance planning functionalities. Do you work on a project basis? Then project administration functions give you insight into the revenues, costs and margins of one or more projects.

Marc
Mark Sanders
Software Expert

Can you provide a brief description of your business activities?

Why this matters in your ERP selection:

To keep the selection tool manageable, we have chosen which sectors are listed by default. There is a chance your sector was not included in the overview. You can still use the selection tool. Provide a precise description of your business activities. The more you share, the more accurate the selection will be.

Marc
Mark Sanders
Software Expert

Does the ERP system need to be available on mobile?

Does the ERP system need to be available offline?

Is time tracking important to you?

Do you work with hourly rates and/or fixed rates?

Why this matters in your ERP selection:

Since you did not select a standard sector earlier in the selection tool, we cannot ask industry-specific questions. However, by answering these questions you can still make your ERP search more specific. The questions are independent of your sector and help determine which ERP software suits you best. The more information you provide, the more accurate the selection will be.

Marc
Mark Sanders
Software Expert

Is HRM an important part of your business?

Does your organisation work on a project basis?

What is the average lead time of your projects?

Do you mostly supply to businesses or consumers?

Does the ERP system need to be connected to other softwares?

Name of the software integration(s):

Why this matters in your ERP selection:

Since you did not select a standard sector earlier in the selection tool, we cannot ask industry-specific questions. However, by answering these questions you can still make your ERP search more specific. The questions are independent of your sector and help determine which ERP software suits you best. The more information you provide, the more accurate the selection will be.

Marc
Mark Sanders
Software Expert

Does your organisation have multiple locations?

How many warehouses do you have?

Do you work with multi-currency?

Do you operate internationally?

Is the head office located in the United Kingdom?

Do you have any specific requirements we should take into account? (Optional)

Why this matters in your ERP selection:

Although these questions are not about activities within the company, the answers are of great importance. Most vendors use this information to determine whether they can meet the requirements of your implementation. For example, some vendors cannot handle international implementations or work exclusively with a single currency.

Marc
Mark Sanders
Software Expert

Enter the number of employees

Why this matters in your ERP selection: When making your selection, it is important to know how many employees there are and how many people will be using the software. As a general rule: the larger the organisation, the more complex the implementation. This is not only because all users need to be trained, but also because decision-making often differs compared to smaller companies. With larger businesses, the vendor must be better able to handle longer communication lines and implementation timelines.
Marc
Mark Sanders
Software Expert

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