Are your time and resources being diverted from core activities that drive business profitability?

If so, you’re not alone. Manual processes negatively impact fleets of all sizes. Many still use single-tenant transportation management software (TMS) platforms, which are notorious for costly, complex deployments and difficulties in keeping technology current.

The trucking industry is shifting to multi-tenant software-as-a-service (SaaS) to reach higher automation and support levels. If you’re not yet on board, this article explores four compelling advantages to move forward.

Cost Savings and Efficiency

Traditional single-tenant TMS solutions require fleets to install and maintain a single version of the software on-site or in the cloud. Vendors typically charge license fees based on user “seats,” with additional costs for migrating data, integrating systems, custom development, etc.

Once invested, fleets often delay upgrading to a vendor’s new software versions, citing budget constraints and business disruptions. The single-tenant TMS model naturally results in vendors supporting a customer base running different software versions.

By contrast, a multi-tenant TMS shares the same software and cloud infrastructure for all customers. This reduces costs across the board — from storage to maintenance, development, support, etc. All customers run the same up-to-date software version.

Another cost-saving advantage is the modern UI/UX design. For example, the cloud-based Magnus Platform gives users all the information they need on a single screen tailored to their roles. Intuitive functions and visualizations help users quickly become proficient without extensive industry experience and training.

Configurability

In a multi-tenant SaaS environment, configuration takes precedence over customization. This allows you to switch features on and off and tailor screens and workflows for specific job functions and user preferences. 

By contrast, single-tenant TMS platforms often require fleets to invest in custom coding to make their software do what they want and meet future demands.

Magnus Technologies exemplifies the benefits of a configurable, multi-tenant SaaS platform by meeting the needs of fleet operations in niche markets. For instance, finished vehicle transporters utilize an order management and load planning process to manage freight with Vehicle Identification Numbers (VINs).

Moreover, the platform's flexible load planning screen for truckload operations has dynamic map visualizations and vital operating metrics. Fleets can easily configure these tools to identify network capacity and load imbalances up to five days before. The platform also integrates real-time weather and traffic data to inform decisions and optimize routes. 

Integration Capabilities

Seamless integration is crucial for trucking fleets to eliminate manual processes. Single-tenant TMS platforms often fall short in this area. Vendors typically develop new integrations with industry partners for their most recent software versions, leaving customers running older versions behind.

Multi-tenant SaaS platforms, like Magnus, offer robust API capabilities that enable easy integration with third-party applications. All customers can access an integration at no additional cost once it is complete. This flexibility allows trucking companies to choose third-party tools that suit their operational needs.

For example, Magnus integrates with various electronic logging devices (ELDs) and vehicle telematics systems and provides a full-featured mobile driver app that enhances the driver experience and streamlines workflows.

The ease of integration extends beyond internal applications and facilitates data sharing with trading partners. With a broad customer base using the same multi-tenant solution, Magnus streamlines communication between carriers and shippers through EDI and other protocols. Sharing data maps for information exchange reduces costs and helps you respond quickly to customer needs.

Strategic Scaling

Another significant advantage of multi-tenant SaaS is automatic updates for new features. Companies often face lengthy and costly upgrade cycles in a traditional on-premises setup. In contrast, multi-tenant SaaS solutions allow all users to benefit from new features and improvements as soon as they are rolled out.

Magnus Technologies exemplifies this advantage, offering immediate access to updates that enhance functionality without additional costs. This ensures fleets are always equipped with the latest tools to improve efficiency. The upgrades are more manageable since changes are less dramatic than traditional vendors’ annual releases.

A multi-tenant solution also provides scalability, allowing you to adapt quickly as you grow or enter new market segments. You can leverage existing capabilities and configurations and add new integrations at no additional cost.

Enhanced Security

Traditional client-server architectures require significant investment in data security and ongoing maintenance, often leaving companies vulnerable to threats.

Multi-tenant SaaS platforms shift the security burden to specialized vendors such as Microsoft Azure and Amazon Web Services, which have enterprise-grade security measures. Leading cloud providers adhere to high data protection standards and provide robust infrastructure that mitigates risks associated with physical server access.

With a SaaS platform, sensitive data can be sequestered and accessed through secure protocols in a multi-tenant environment, significantly reducing the risk of breaches. However, this level of security is not typically feasible for smaller trucking companies with traditional on-premises systems because they often lack the resources to maintain stringent security protocols.

Multi-tenant SaaS solutions benefit trucking companies with high-security measures without the capital expenditures of maintaining on-premises security infrastructures. This democratizes access to top-tier security, enabling companies of all sizes to protect their sensitive data effectively.

Moving Forward

The transition to multi-tenant SaaS platforms offers compelling advantages for trucking companies. Solutions like the Magnus Platform ensure fleets can focus more time and resources on activities that drive profits.

Discover how the Magnus Platform's multi-tenant SaaS model can put you ahead of the competition. Schedule a demo today!