Feb 18th 22

Truck Dispatching Software: How to Develop and How Much Does It Cost in 2022

Table of Contents

Rapid multiplication of the number of customers in online retail is inevitable. In order to cope with growing volumes, companies in the e-commerce segment are implementing various projects to automate familiar processes. One of them is the implementation of the Transportation Management system (TMS). This is the common name for technologies that automate the company's fleet management and allow businesses to scale by optimizing the transportation of goods. 

In this article, we look at TMS in the context of truck dispatching software, tell you what it is, how much does it cost to develop, what its functionality should be, etc. Read on to learn more.

What is truck dispatching software and which processes does it automate?

Truck dispatching software is essentially a transportation management system. Truck dispatching systems are designed to automate the processes of planning and execution of trips, control revenues and expenses related to transportation, and manage vehicles. There are a large number of different transportation systems on the market, and choosing the right one is a responsible and rather complicated task. 

With the help of truck dispatching software companies can: 

  • reduce the time of order processing; 
  • optimize logistics; 
  • ensure an even loading of vehicles;
  • reduce the volume of manual operations by three times;
  • get rid of peak loads and make the load evenly throughout the day. 

Truck dispatching software features: main modules and roles

Any truck dispatching software consists of a number of modules related to each other and performing certain functions. At the heart of every truck dispatching software is always a CRM system for customer relationship management and delivery tracking. Besides, truck dispatching software may include modules for automating processes related to freight transportation:

  • Warehouse Management System(WMS);
  • Enterprise resource planning (ERP);
  • Enterprise asset management (EAM);
  • Shop floor management system for transport repairs (Manufacturing execution system, MES);
  • Supply chain management system (SCM).

In general, the criterion of dispatch software for trucking functionality is the most important, because if the functionality does not meet the requirements, then you need significant revisions, which will increase the cost and timing of the project. Accordingly, it is very important to analyze your own business processes and understand what you need. Consider the functionality, which is often in-demand in enterprises:

01

The ability to account for incoming and outgoing shipments

For production, it is important to account for both types, separating the needs, recording flights for all directions, as well as getting all statistics in analytical sections.

02

Ability to account for the transportation of large cargo

It is important to understand that in the case of transportation of finished products, there may be a need for delivery of small volumes with detailing to the goods transported.

03

Formation of multi day trips

Often transportation means the delivery of raw materials or products to remote regions. For this purpose, it is necessary to take into account the flights of more than one-day duration.

04

Accounting of cargo places and loading of vehicles

The system must be able to calculate the loading of vehicles based on the incoming transportation needs and take into account the geometry of the body of the vehicle.

05

Work with a large number of carriers

The truck dispatch software should cooperate with a great number of carriers with their own conditions of work and tariffs. The freight system shall enable storage of this information and help responsible employees to select a carrier for one or another shipment.

06

Performance monitoring

For manufacturing companies, trips are often long and involve significant volumes, so it is important to know where the vehicle is, what points have already been visited, and what work has been done. Trackers or special applications on the mobile client can perform the monitoring functions.

07

Ability to manage vehicles

It is necessary to keep records, manage repairs, track materials and units, record costs, and issue waybills.

08

Accounting and allocation of costs

The software for dispatch should make it possible to account for direct and indirect costs since this statistics allows to determine the cost of production, as well as many other important indicators.

Trucking dispatching software: custom vs ready-made solution

Companies wishing to own truck dispatching software always face a choice between buying an off-the-shelf solution or developing their own custom tool. Let's consider both options in more detail.

Buying a ready product

Pros

  • You get a ready product, which has been tested in many companies;
  • You are promised a fast deployment;
  • The system is usually well documented;
  • The cost of major components is known in advance.

Cons

  • Any deviation from the logic of the purchased system may turn into an insoluble problem or cause significant financial and/or time costs;
  • Most system components are closed;
  • The documentation does not reflect the changes made during the implementation;
  • The initial cost of the system usually increases significantly with the implementation;

Reorganization of activities due to the need to adjust processes to the final product.

Custom development

Pros

  • A truck dispatching software tailored specifically to the needs of your company, taking into account the specific organization of your business;
  • High-quality support, since the source codes of all truck dispatching software components, belong to you;
  • Documentation, both staged and user documentation;
  • Cost estimates are made separately for truck dispatching software modules. The risk of spending a significant amount of money in vain is minimal.
  • Experienced professionals are able to understand the specifics of your company, and build an information system that is not only convenient for your users but also transparent for managers
  • System of access control. 

Cons

  • You have to solve arising questions and take responsible decisions, at the stages of defining requirements and coordination of versions and documents; 
  • For the successful functioning of the developed and implemented information system the active position of the top managers is required;
  • The total cost of the truck dispatching software depends only on the customer's appetite.

What to choose?

According to RexSoft specialists, they often observe a situation where enterprises consistently change their development strategy. Some outsource development only after years of trying to create a coherent truck dispatching software that meets their current requirements. 

But the vast majority of customers who have commissioned a third-party software development company will no longer consider even the possibility of buying a ready-made boxed product. Custom truck dispatching software copes too well with their tasks to switch back to a boxed solution after using them. But how such projects are created? Let's find out.

Custom truck dispatching software development process: team and technologies

The development of truck dispatching software is a complex process with many people involved.

The approach to truck dispatching software development itself is as follows:

  • Defining the goal of the project
  • Creation of the system architecture
  • Code writing
  • Testing
  • Maintenance​​​

Team

A good workforce is often 50% of the success of the entire project. So who usually makes up the truck dispatching software development dream team?

01

PM

The project manager is the main person in charge of the project. Managers are responsible for the quality implementation of projects on time and on budget. They ensure that sufficient resources are made available while managing the relationship with the team and all stakeholders.

02

IT Architecture Specialist

This person is responsible for designing a truck dispatching software’s architecture that meets the requirements (both system functions and system workloads). Their tasks include designing the truck dispatching software architecture and technology stack selection, overseeing compliance with architecture recommendations, accepting complex technical decisions, and advising the development team.

03

Designers

These guys are responsible for designing a user-friendly and attractive user interface for the truck dispatching software. Their tasks always include developing screen designs, design concepts, guidelines, and sometimes optimizing user interaction (making recommendations).

04

Developers

Those who create the heart of the software for dispatch, namely its code. They are involved in truck dispatching software development (code writing, database structure reviews, etc.), decide on the development method, perform quality control, code reviews, etc.

05

QA

The QA engineer's tasks include minimizing bugs in the truck dispatching software, requirements testing, test case, and test plan development, auto-testing, and manual testing of the system (regression, load, functional, etc.).

Best technologies

The masters have been defined. Now let's have a look at their tools. A good truck dispatching system usually consists of two main components i.e. the web version and the mobile app. The technologies for each of the components will be different. 

For logistic web app

React js - frontend

One of the most popular JavaScript frameworks to create frontend web resources. Its features allow you to perfectly cope with information processing on the fly, which makes it almost an ideal choice for truck dispatching service.

NODE.JS - backend

A runtime environment based on the V8 engine. Using Node.js as a backend, you automatically get all the benefits of full-featured JavaScript development, including optimal speed, sharing and reuse, a huge number of free tools, ability to do cross-platform development.

For logistic mobile app

Flutter - frontend

An advanced framework developed by the guys from Google. The main advantage of Flutter is the cross-platform approach. The framework allows you to create functional applications with minimal effort, which will run equally well on any operating system. 

React Native - frontend

React Native uses Javascript or TypeScript to develop applications and translates React Native components into platform components. This is great for creating fast applications for any mobile OS. Its versatility lets you build anything from business apps to mobile games.

NODE.JS - backend

We've already described above the benefits of this backend for web apps. It's great for making the backend for mobile versions of truck dispatching software as well.

Truck dispatching software development cost: a real case example

So we are done with the technology, as well as with the terms. It is time to answer the most pressing question. How much does it cost to develop truck dispatching software? To find it out, we suggest considering the real case of RexSoft software development company.

Specialists had to develop a truck dispatching software for the web, iOS and Android, which provides the delivery of vehicles. The system has three types of users: administrator (dispatcher), client and driver. The software has an admin panel, which will serve as a control room and contain the functionality for:

  • user registration;
  • order formation;
  • calculation of the cost of transportation;
  • Distribution of orders between the drivers of the company;
  • GPS - navigation, fixing the delivery;
  • Generating reports on completed orders.

The functionality of the driver's mobile app allows them to:

  • receive orders for transportation from the dispatcher;
  • inspect the condition of the vehicle;
  • receive confirmation of delivery via electronic signature;
  • Get feedback from the customer.

The truck dispatching software works as follows:

  • The customer contacts the dispatcher.
  • The dispatcher sends the form to the customer to fill in (through the web version).
  • Then the request for transportation is transferred to the driver (on the mobile version).
  • The driver starts to track the trip. When the driver arrives to load, he takes a photo of the car. All photos are stored in the application for transportation, which are available to the dispatcher, driver, and customer.
  • Representative of the customer signs with electronic signature, thereby confirming the condition of the car before transportation.
  • The driver leaves. At point B - the Customer's representatives accept the cargo. 

The dispatcher can see the movement of the car on the map, and forced stops. The driver records all stops (to eat, rest). There is functionality that allows you to plan upcoming trips to avoid downtime of cars.

The cost of the app is calculated based on the time spent. In this case, it looks like this:

  • PM - 80 hours.
  • IT architect - 40 hours
  • Design - 200 hours
  • Front-end - 360 hours
  • Beck - 320 hours
  • QA - 110 hours
  • Total - 1110 hours

With a cost of a specialist of about $35, such an application will cost about $40,000. Development time is 3-4 months and you become the owner of the software, allowing you to take your business to the next level.

***

To summarize, we can say that truck dispatching software is a functional and practical system for freight management, which can be supplemented by solutions and modules, ensuring that all the necessary functions for your company are available. The main thing is that its development should be done by high-class specialists, but don't worry about that, because you can always turn to professionals from RexSoft. Our specialists work closely with customer representatives and go deep into clients' business processes, which allows them to choose the best solution for you. As a result, you get high-quality software that fully meets your business needs.

FAQ

What is truck dispatching software?

Truck dispatching software is a transportation management system that provides comprehensive automation of all logistics business processes.

Why does a business need truck dispatching software?

Truck dispatching software helps make transportation more efficient and faster, control budgets, calculate the performance of carriers, transport logistics, and much more.

Why is it worth developing truck dispatching software with RexSoft?

RexSoft is your reliable logistics software development partner. We have over 9 years of experience in developing complex systems for businesses.

How much does it cost to develop a truck dispatching software?

It depends on the project and its functionality. With optimal rates and specialist workload, truck dispatching software will cost about $40,000.

Oleksandr Kryvotsiuk

HEAD OF MARKETING AT REXSOFT
I am a SEO expert and a Full-stack internet marketer. I have been helping small and medium-sized companies in various niches to increase organic traffic, attract more potential customers and improve the return on advertising investment since 2013.