Once a highly profitable field in the 1980s up to the early 2000s, the logistics industry has changed dramatically. Today, businesses in this sector operate on razor-thin margins, requiring greater efficiency to stay afloat. Despite this, many logistics companies still rely on outdated, manual processes that hold them back. As the pressure to modernise intensifies, failing to adapt could spell the end for these companies.
At Manao Software, we understand the real-world challenges logistics companies face because we work with them firsthand. In this blog post, we’ll explore the common obstacles the industry faces and how custom logistics software solutions can help businesses boost efficiency and stay competitive without breaking the bank.
Key challenges in the logistics industry
Some of the biggest hurdles logistics companies experience are:
Inefficient logistics and supply chain processes
Manual processes, spreadsheets, and paper-based workflows are still prevalent, slowing down warehouse operations, increasing error rates, and leaving logistics companies vulnerable to disruption. In an industry where speed and precision are critical, these inefficiencies can be costly.
Lack of real-time asset tracking
Without accurate asset tracking and real-time visibility across the entire supply chain, it’s hard to anticipate issues or respond proactively. This lack of transparency often results in delivery delays, underutilised resources, and unsatisfied customers.
Communication breakdowns
Effective communication is the backbone of any logistics operation, but when working with multiple stakeholders (e.g., suppliers, warehouse staff, drivers, and customers), it’s easy for misalignments to occur. One missed message or update can lead to routing mistakes or delivery errors.
Data overload
Logistics businesses manage large volumes of data every day, from warehouse data to transportation schedules. However, without robust ERP systems or effective data integration, they often struggle to extract valuable insights from such information.
Soaring operational costs
Poor route planning, underutilised resources, and skyrocketing fuel prices are eating away at operating margins. Without automation or intelligent transportation management systems, many logistics businesses find it hard to keep overhead low and maintain healthy profits.
Declining customer satisfaction
Today’s customers expect fast, traceable deliveries and live updates. Outdated or inefficient client-facing systems can lead to delays that undermine trust and damage customer loyalty.
Reluctance to invest in digital transformation
Even when logistics companies recognise inefficiencies, many hesitate to invest in better systems due to seemingly high upfront costs and uncertainty about ROI. The logistics sector is known for being cost-conscious, with businesses frequently opting for the cheapest short-term fixes instead of strategic, long-term upgrades. This cautious mindset, while understandable, can prevent meaningful modernisation.
Expensive and complex off-the-shelf software
Many freight forwarders use platforms such as CargoWise, a powerful but complex enterprise resource planning (ERP) solution tailored for logistics. While CargoWise offers robust features, it charges per transaction, which can get expensive for high-volume operations. Other popular platforms such as Descartes, SAP, or Freightos present similar challenges: steep learning curves, high upfront or ongoing costs, and limited flexibility.
Fragmented systems and poor integration
Even with ERP tools in place, many logistics companies struggle with disconnected systems for tasks such as scheduling, inventory management, and fleet management. Without seamless integration between ERPs and partner, supplier, or customer systems, workflows break down. This causes delays, errors, and communication breakdowns across the supply chain.
How custom logistics software development can help
Implementing custom logistics software doesn’t have to mean building an entire ERP system from scratch. In fact, for most companies, that’s not the right move. Instead, what makes sense — and what Manao Software does best — is developing cost-effective enhancements that complement existing systems.
Integrate with existing ERPs
We’ve worked with clients to develop custom integrations with CargoWise that replicate its transactional capabilities without the per-transaction fees. Our clients pay a one-time development fee and gain the freedom to process unlimited transactions without ongoing costs eating into their margins.
Build custom features and extensions
Sometimes, off-the-shelf platforms can’t do everything your team needs. That’s where custom add-ons come in. Whether it’s a bespoke module to handle a unique workflow or a lightweight app that simplifies data entry, we build tools that extend and enhance the functionality of systems such as CargoWise.
Unlock insights with Power BI dashboards
One of the most impactful services we provide is building custom dashboards using Microsoft Power BI. For example, we’ve helped logistics company Oceanbridge extract and visualise key metrics from CargoWise data. These interactive dashboards give leadership and operations teams real-time insights to make faster, smarter decisions.
Cut costs and boost resource utilisation
Our custom logistics software can help your business cut waste and improve performance through features such as:
- Dynamic scheduling – Quickly adapt to changing demand so that resources are allocated efficiently.
- Smart inventory control – Prevent overstocking or shortages by maintaining optimal inventory levels at all times.
- Route optimisation – Use live traffic data and information on delivery constraints to find the most efficient paths, helping you save on fuel and meet tighter delivery windows.
Elevate the customer experience
We can design custom logistics software solutions with real-time tracking capabilities and automated alerts, keeping customers informed every step of the way. This transparency not only boosts satisfaction but also fosters positive reviews and encourages repeat business.
Why using custom logistics software is a smart solution
While ready-made logistics software may provide a quick fix, it often falls short in terms of the flexibility and functionality required to meet the specific needs of your business. By contrast, investing in custom logistics software offers a more adaptable, future-proof solution, delivering:
- Tailored features – Custom solutions are designed around your operations, so you can be sure every feature aligns with your workflows.
- Scalability – Unlike off-the-shelf options, custom logistics software grows with your business, accommodating new requirements as operations expand.
- Easy integrations – Custom software can integrate seamlessly with your existing systems, reducing redundancy and improving efficiency.
- Competitive edge – With features specifically designed to address your unique logistics challenges, custom logistics software equips you with the right tools to gain a competitive edge.
Partner with Manao Software for custom software development
We don’t sell overbuilt systems or one-size-fits-all products. We work with you to find the most effective, affordable ways to enhance your operations using the tools you already have and filling in the gaps where it counts most.
Let’s talk about how we can help you solve your logistics challenges with smart, pragmatic software solutions. Reach out to us today so we can create the custom logistics solution your business deserves, setting you on the path to success.