ELEMENTS AND SCOPE ON HOW TO

IMPLEMENT MANAGEMENT SYSTEMS
7 ELEMENTS LEADING TO A
SUCCESSFUL IMPLEMENTATION OF A
TRANSPORT MANAGEMENT SYSTEM
A TMS SOLUTION IS RARELY A SOLUTION WITH WELL-DEFINED BOUNDARIES. It is deeply
rooted in and impacted by ERP systems, warehouse management, transport administration, route
planning and optimisation, business intelligence/data warehouse, fleet management and mobility.
In order to obtain the highest possible ROI and the quickest payback period, it is important to be aware
of the pitfalls regarding choosing the right type of vendor.
Element 1: Base the order of priority of IT projects on expected business value
When a company initiates the process of implementing a TMS solution, they often re-evaluate their
entire system portfolio, including underlying systems such as ERP. As a result, they often spend a lot of
resources implementing systems which have no immediate financial benefits.
Implementing TMS solutions, or even more specifically transport planning and optimisation systems,
often provides short term benefits such as reduced mileage and driving time by 5-20%, reduced
number of vehicles by 5-10% and the time spent on planning reduced by 25-75%. Based on these
immediate benefits the ROI on TMS is relatively high compared to other systems.
Element 2: Support the business processes throughout the entire planning horizon
The successful company knows that building up an efficient transport department involves many
processes, which have a broad time perspective and many interested parties. Master route
optimisation, customer or order placement, operational planning, real-time execution, follow-up and
what-if scenarios. Handling all this, demands a system which can process and follow information from
beginning till end.
All processes are handled by different types of users who need access to the solution. All users do not
necessarily need to work directly in the system via their PC (client), and not all users necessarily need
all types of information. Therefore, it should be possible to access the system from other platforms
such as web and mobile units, meanwhile access rights must be regulated according to user needs.
Element 3: Choose a vendor with industry knowledge, thorough technical know-how and
business understanding
Choose a vendor with industry knowledge, technical know-how, business understanding and
employees with the right values. A good product is not enough – a vendor must be expert in his field.
Only that way will you get a worthy business partner and thereby increase the possibility for a
successful implementation.
Choose a supplier who has hand-picked their employees to their positions based on academic
background, experience and personality and who values industry understanding during recruitment as

however. TMS implementation becomes more successful when the supplier is perceived more as advisors and sparring partner and not just installers of a product. Unfortunately. and by basing the integration on the most suitable technologies. Element 4: Do not just buy a product but enter a partnership The framework for the cooperation between customer and supplier must be optimal. it may be advantageous to select a TMS provider who offers industry-specific planning solutions.shorten implementation time. Element 5: Choose a standard product with customization opportunities Each approach has pros and cons. it is.eu/7-elements-leading-successful-implementation-transportmanagement-system Management system From Wikipedia. and few who can be satisfied with a "one size fits all" solution. cost overruns and frustration. Customer and supplier must have a common goal. Element 7: Achieve short and efficient implementation Simplify the complicated . All of the above promote dialogue and increase the likelihood of a good working relationship. This can be done both by having a well-developed understanding of the complex enterprise architecture. the free encyclopedia A management system is the framework of processes and procedures used to ensure that an organization can fulfill all tasks required to achieve its objectives. it is the rule rather than the exception that IT projects are more time consuming and resource-intensive than planned. Make sure to choose a TMS vendor with lots of experience. and the consequence is delays. http://www. Regardless the type of data or the direction of the integration. very few people who can see the benefits of being a guinea pig.[1] For instance. A more complete system would include accountability (an assignment of . Customization elements makes it possible to bridge the gap between the systems and thereby meet the customer's needs as close to 100% as possible – while also making use of as much standard functionality as possible. Transvision has defined these seven elements which are essential to ensure a successful and productive implementation of a transport management system. Act". Do. Based on 35 years of experience within development and supply of TMS solutions. Contact us if you want to hear more. because in this way the customer benefits more from the supplier’s competencies and industry knowledge. Check. The truth lies somewhere in between and. A good project model and an efficient project organisation can remedy this.and integration should not be a major project in itself. it may be advantageous to choose a standard solution with customization opportunities in order to achieve a successful system implementation. Element 6: Avoid that system integration becomes a project in itself The selected expert system provider must ensure that their solutions are easy to integrate into the system environment. therefore. and it is important that the supplier goes beyond offering products and just installing them. An oversimplification is "Plan.transvision. as the accompanying level of competence entail that they can anticipate risks before they occur and react to them in time. Experienced suppliers can provide numerous benefits to their customers .well as ongoing development of their employees.including effective and resource-saving implementation processes. an environmental management system enables organizations to improve their environmental performance through a process of continuous improvement. Similarly. it should be easy to install the solution and maintain it in daily operations .

sector-specific and international standards etc)  establish 'best practice'  ensure consistency  set priorities  change behaviour Different types of system The term 'system' has a variety of meanings in different contexts. . For example. it is used in relation to the 'nervous system' or the 'digestive system'. but this usage is different from its use in relation to business and the management of an organisation. creating an upward spiral of continuous improvement. Sarbanes-Oxley.personal responsibility) and a schedule for activities to be completed. Examples of management system standards include:  ISO 9001 Quality Management. Also as in the aforementioned management system. Management systems Management systems: purpose and benefits A (business) management system should be a means to:  achieve business objectives  increase understanding of current operations and the likely impact of change  communicate knowledge  demonstrate compliance (with the requirements of the Turnbull report.  ILO-OSH Occupational Safety & Health Management Systems. as well as auditing tools to implement corrective actions in addition to scheduled activities.  ISO 14001 Environmental Management.  ISO/IEC 27001 Information Security Management. an occupational health and safety management system (OHSMS) enables an organization to control its occupational health and safety risks and to improve its performance by means of continuous improvement.  SA8000 Social Accountability.

nowadays. based on an external assessment of a single system description. staff. and a myriad of risks which can cause more problems to fix than to avoid.for example. The traditional approach has been to address individual aspects separately. performance assessment. Expanding on this definition. PAS99 (see below) uses the following definition: 'A management system comprises the elements of policy. resources. impacts.' This view implies that an organisation has one management system (even if it needs. often intrinsic to how a business management system is managed. can obscure the fundamental principles involved in running a business.for example. perhaps the clearest interpretation of this is that a business management system is: 'The structure.' .Even in a business context. information security  the way in which every aspect of an organisation is managed. implementation and operation. interconnected for the guidance and control of action'. improvement and management review. but this is not what we are considering here. ie its 'business management system' A software application is. especially when seeking combined certification against more than one external standard. or chooses. materials (MM)  the means to manage all relevant areas of operation. Definition of a management system One definition of management is 'the guidance and control of action'. often in relation to a specific aspect . preventive maintenance (PMM). It can mean:  a system to manage a particular activity or a specific type of asset . This suggests that the 'interconnection' has been planned for a reason. to comply with a number of external standards). depending on the context and the objective. So you could argue that a management system is: 'A set of components. There is now a move towards 'integrating' management systems. which suggests that you take discrete systems and somehow combine them. the separate components would not independently achieve the same results. But the word 'integrated'. ISO 9000:2000 defines a management system as a 'set of interrelated or interacting elements to establish policy and objectives and to achieve those objectives'. processes and resources needed to establish an organisation's policy and objectives and to achieve those objectives. customer relationships (CRM). the term 'management system' is used in a number of ways. environment. quality. 'Integrated management' should be synonymous with (good) 'management' – you must manage your operations. planning. and a system is defined as a 'set of components interconnected for a purpose'. and that the purpose would not be achieved without the 'interconnection'. In other words.

and supply chain management is a subject in its own right. running an organisation requires objectives and strategy to be defined. many HR departments perform a function which is little more than a recruitment agency with an added responsibility for dealing with terms and conditions and holiday entitlements. Although there is no universal definition of knowledge management. ie top management. human resources. risk management and business continuity. Over the years. Human resource (HR) management HR management would typically involve such processes as recruitment. separate management systems were developed to address issues such as quality. specific controls and the need for detailed records may be more extensive than for other areas where there may be more subjective decisions allowed and individuals are given more leeway to make their own judgements. this definition also emphasises the link between where you want to get to and how you will get there. appraisal and the processing of leavers. and the automation of many parts of the relevant processes has introduced an automatic control over many of the tasks. Ownership of the system will by implication lie with those who will be held accountable. it too is an area given increasing attention. Put another way. This is an area where a clear division of responsibilities. Sustainability. processes put in place. but when it is fully integrated into the strategic planning for an organisation it should perhaps also include succession planning. data security. reputation management and brand management are given more prominence nowadays. computer systems have become more established and sophisticated (accounts and payroll were among the first functions affected). all of which are the basic building blocks of implementing a business plan. health and safety. Financial management This is driven by a legal requirement. A well designed management system should allow HR managers to gain a better understanding of actual operations and the demands of a particular role. Unfortunately. shadowing and mentoring. information technology and data protection. They are also required for successful process improvement. with university courses and chairs now well established.Although the formulation of strategy and setting of objectives could usefully be added to the start of the list. finance. resources allocated and risks identified. . Other aspects of running an organisation which need to be managed include corporate social responsibility. induction. performance management. environment. although an organisation obviously needs to control its available resources. Different types of management systems Traditionally.

Knowledge management Knowledge management is the way in which an organisation generates value from its intellectual and knowledgebased assets. The accumulated knowledge about jobs. In all cases. There is. short term contracts and more career changes over the past few years. is another trend which has compounded the problem. suppliers. Lessons learned are few and far between even in industries which recognise that they are not good at doing just that. however. its consistency of performance or even its ability to operate. . so that there is a need to build and test contingency plans in case of failure. All cases In each of these cases there is a common theme. This may be something which affects the quality of its output. organisations and market sectors will be lost unless companies take measures to retain it. Knowledge management is becoming more important given the impact of an ageing workforce. namely the need to manage a specific factor which may influence the performance of the organisation. Outsourcing. Generating value from such assets involves codifying what staff. which may entail changes to current ways of working which can radically change existing business processes. an increased risk involved in the use of technology – while it can make specific tasks easier (or even possible). and sharing that information among staff. departments and partner organisations with a view to developing 'best practice'. especially to other countries. the organisation will become more and more dependent on the technology being available.Information technology (IT) The IT manager role has moved from being focused on the provision and maintenance of physical hardware and software to include complex communications networks and data management. This can generate projects to introduce new technology. the development and availability of new technology can often enable the objectives to be achieved in different ways. technology by itself is not knowledge management. partners and customers know. While knowledge management is often facilitated by IT. however. Even if organisational objectives have not changed. there is a requirement to manage resources and to make them available where they are required to maximum effect. and the significance of technology throughout an organisation needs to be managed in the same way as the involvement of people. to be aware of developments externally and to decide what is relevant and cost effective for the organisation to adopt.

its stakeholders and their needs. or an 'environmental management system'. we will concentrate on the latter. Deming talked of 'operational definitions'. ISO 9001:2000 is now being used as the model for a number of other standards. So even though the term 'management system' is sometimes (misleadingly) used to mean a 'description of how things are done'. some people may refer to this description of the system as 'the management system'. Especially in very small organisations. and there is a welcome recognition that such standards should have a common format. So it would define. since it describes how things are done as well as how they are managed. the imposition of controls or the allocation of resources. . but it is important that everyone shares a common understanding of what a term means in a given context. a 'quality management system'. people know what to do (and do it) without having to refer to forms. but there is still an unfortunate tendency to use the layout of a standard itself as the starting point for describing and structuring a management system. (See Specifying. In practice. It is also worth stressing that the 'system' exists whether or not it has been defined (in the same way as a process exists even if it has not been described in narrative or flowchart format). It should always be remembered that these standards specify the requirements for a system to enable compliance to be assessed – they do not mandate a particular format for the description of the system. A more constructive and pragmatic approach is to focus on the organisation's mission. for example. the perceived purpose is changed from being an enabler of results (cause and effect) to a repository of policies and rules for managing the organisation. designing and developing processes. based on the structure of the relevant standard. rather than 'how things are (or should be) done'. where there may not be one absolute definition of a term. rather than on a logical definition of how the organisation operates. whether by the planning and design of processes. When instructions and guidance are written down in a formal system. to define how the organisation will satisfy these needs (ie its processes) and to be clear about what it needs to do to ensure that these processes are effective.Strategic management and Elements of corporate strategy).Description of a management system A common starting point for an organisation when it defines its management system has often been to do it in relation to how it complies with the requirements of an external standard. by referring to the description as 'the system'. Worse. The resultant multiplicity of systems is now recognised as wasteful and confusing. products and services. But there is a danger in this as the system description may not reflect actual practice. this can be the case.3 Management system standards). especially when there are manuals full of unwieldy narrative procedures. and in many situations. these two elements are intertwined. (For use of these standards see 5. checklists or written procedures. A case might even be made for a management system to be called a 'management and operational system'.

however. Deming preferred 'study' rather than 'check'. The best way to define the system needs to be given due consideration. PDCA One common approach is to use Deming's management system model of plan-do-check-act at a higher level than just for issues such as environmental (eg ISO 14001) and quality (eg ISO 9001) compliance. clear and comprehensive approach and format which helps you to focus on the key elements which you need to plan. since the other elements would otherwise lack a point of reference. Some key objectives of (defining) a management system might be to achieve compliance. the elements are:  Plan . Any system is. PAS 99 identifies the common elements required by management system standards (based on ISO Guide 72 [1] for standards writers) as:  policy  planning  implementation and operation  performance assessment  improvement  management review A strong case could be made to include 'objectives' as the first item in this list.adjust and refine what you do in the light of the 'check' stage. it is no surprise that there is no standard for a management system structure. For example.what you do and how do you do it (organise. resources. to achieve improvement . in both the private and public sectors. to encourage standardisation and reduce variation and to help staff to understand what they have to do and how they fit into the organisation. implement and manage to accomplish your mission. do work) / what you need to manage to ensure that these core processes are efficient (structure. get work.What the system might look like Given the diversity of organisational type and size.monitor and measure how you are performing against your plan. people etc)  Check . likely to have certain key components. In summary. and identifying factors that can influence how you will operate  Do . It should also provide a sound basis for managing change and making improvements.by defining clear objectives (your misson). since it implied a more considered review and assessment of the situation rather than mere reference to selected facts  Act . defining your strategy to achieve the objectives. formulating the policies to which you will adhere. with the over-riding aim of using a simple.

industry-neutral enterprise model that allows organisations to see their activities from a cross-industry process viewpoint. He is thus the link between top management and the ISO 9000 registrar. The Service Provider and MR is the coordinator and is responsible for planning and overseeing the implementation of the quality management system. All departments within the organisation should be represented on the implementation team. size.thecqi. headed by a Service Provider and a Management Representative (MR). is to be established. Step 2: Establishing an Implementation Team People are responsible for the implementation of ISO 9000.org/Knowledge-Hub/Knowledge-portal/Corporatestrategy/Management-systems/ About ISO-Sure Management Consultants Quality Management Implementation steps: Book a consultation with us to assist you with Quality Management System Implementations. To enable this benchmarking.' The model can be useful for an organisation which seeks to ensure that it has considered all aspects of its operation to ensure that it achieves a sustainable business and delivers stakeholder satisfaction. The APQC says that: 'Experience shows that the potential of benchmarking to drive dramatic improvement lies squarely in making out-of-the-box comparisons and searching for insights not typically found within intra-industry paradigms. or geography'. . Top management should thus come to the realization that overall business efficiency would be improved by means of a quality management system. The PCF organises operating and management processes into 12 enterprise level categories. http://www. An implementation team. the PCF serves as a high-level. No quality initiative within an organisation can succeed without commitment from top management. Top management can demonstrate to their clients that the organisation is committed to quality through the certification and registration of the ISO 9000 standard.500 processes and associated activities.Process classification framework The process classification framework (PCF) was developed by the American Productivity and Quality Center (APQC) and member companies as an open standard to 'facilitate improvement through process management and benchmarking regardless of industry. including process groups and over 1. Step 1: Commitment from Top Management The top management of an organisation should be determined and committed to implement a quality management system.

Step 4: Providing Training All personnel and all areas in an organisation are affected by a quality management system. The benefits that an organisation hopes to realize through a quality management system implementation should be emphasized through ISO 9000 awareness programs. and how the quality management system operates. Step 5: Conducting an Initial Status Survey A quality management system conforming to the ISO 9000 standard should be created. These include the advantages offered to customers and employees. adapting. All basic concepts of quality management systems and its impact on the organisation should be covered. A quality manual. Training regarding the quality management system should thus be provided for all employees. Step 6: Creating a Documented Implementation Plan Once an organization’s quality management system has been compared with the ISO 9001:2008 standard. their respective responsibilities and roles within the system. this step basically involves comparing an organization’s existing quality management system (if there is one) with the requirements of ISO 9001:2008. However. The quality management system implementation plan should make provision for this training. Thus. this does not preclude incorporating. a documented implementation plan is used to address any non-conformances. or adding onto quality programs that already exists.Step 3: Conducting ISO 9000 Awareness Programs Conducting ISO 9000 awareness programs will inform all employees about the aim of a quality management system. Step 7: Developing a Quality Management System Documentation Documentation is an area where non-conformance regarding quality management systems are very common. documentation of a quality management system should include the following: Documented statements of a quality policy and quality objectives. In order to avoid these non-conformities. . The documented implementation plan identifies and describes processes in order to make the organization’s current quality management system in full compliance with the ISO 9000 standard.

The reasons for conducting . and Documents needed to ensure effective planning. approval. Document control systems should be as easy and simple to operate as possible.Documented procedures and records required by the standard of ISO 9001:2008. operation and control of its processes. This is in stark contrast to smaller organizations. Through management review and an internal quality audit. an evaluation can take place regarding the effectiveness of the system in different areas. distribution. where the quality management system is implemented throughout the organisation all at once. and disposal of various types of documentation are thus managed. storage. and To ensure that the quality management system is implemented and maintained in an effective manner Step 11: Reviewing by Management A management review should be conducted three to six months after quality management system implementation took place. revision. it should still be sufficient enough to meet the requirements of ISO 9001:2008. During phased implementation. however. it is best to implement the quality management system being documented as the documentation is developed. Step 8: Control of Documents In order to control quality management system documentation. the implementation progress is monitored to ensure that the quality management system is effective and thus conforms to the IS0 9000 standard Step 10: Internal Quality Audit The effectiveness of the installed system should be checked regularly by means of an internal quality audit. However. The creation. as well as to the requirements of the ISO 9001:2008 standard. Below are some reasons for conducting an internal quality audit into a quality management system: To ensure that the quality management system conforms to the quality management system requirements established by your organization. a documented system should be created. Step 9: Implementation In large organizations.

the certificate is valid for a period of three years only. An audit of the documents (known as an adequacy audit) is first carried out. Certification bodies provide a qualified but independent auditor to conduct this service. However.co.za/sbsqualitymanagementsystemimplemetation. after which the certification body will carry out periodic surveillance audits. Step 12: Pre-assessment Audit Before applying for certification. and suitability of the quality management system. adequacy. A certificate is only awarded to the organisation if the certification body is satisfied with the workings of the system.html Management System Implementation Methodology  overview. http://www.  service offering. and if it conforms to the requirements of the quality standard. a pre-assessment audit usually takes place. it is important to note that it has to try and improve the suitability and effectiveness of the quality management system on a continuous basis. Step 14: Continual Improvement Although an organisation gained certification. Some degree of confidence is gained before application for certification if the pre-assessment audit goes well Step 13: Certification and Registration A formal application for certification is made at a certification body as soon as the quality management system has been operating for a few months and has stabilized.qualicertus. it is followed by an on-site audit.management reviews are to ensure continuous effectiveness.  benefits  next steps .

Gap Analysis The overall objective of this stage is to provide you with an understanding of your current standards of practice for the Management System you want to implement against the relevant standard.  draw attention to areas where your procedures and practices do not meet best practice requirements. procedures and practices against the relevant Management System in the form of a formal audit. This produces a 'gap analysis' report of the findings for relevant standards against the certification requirements and an implementation plan to address the 'gap' identified.e.implementation of the Management System with associated policies. and when you pass this you are recommended for certification to the relevant Management System standard. . processes and procedures to support it (a stage 2 Certification Body audit takes place at this point. Step 1 .  provide a 'Weakpoint (or Gap) Analysis' to show where your business may be at risk.development of the documented policies.  Step 3 . BCRM address this by performing a full audit as if it were a Certification Body audit but without the Certification Body time constraints.Overview Implementing any Management System Standard has a number of similarities no matter what Management System is being implemented.  make recommendations as to how you could bring its working practices in line with industry best practice. These steps are:  Step 1 .  Step 2 .gap analysis .evaluation of the gap between the objective (i. processes and procedures to support the Management System (a stage 1 Certification Body audit takes place at this point).development of the relevant Management System (optionally a Certification Body audit may confirm appropriateness of the Management System at this point). certification) and current starting point.  assist in the selection of a suitable Certification Body to meet your requirements for certification. Specific objectives of this stage are:  review the Management System installation.  Step 4 . Service Offering BCRM has developed a generic four step process for achieving implementation of a Management System that tie into the certification cycle so it can be used for achieving Management System certification.

the chosen Certification Body carries out a Stage 1 audit.  it gives the project team assurance that they are on the right track. Once this has been carried out. vision. it is necessary to develop and document the processes that make up the Management System. . we recommend that an intranet based system is used. It is expected that each interview will take approximately 45 minutes. This typically comprises. A number of documents or records are reviewed during the Gap Analysis and these will vary between Management Systems.Documenting the Management System Procedures Having documented the Management System itself. it is recommended that the chosen Certification Body carries out a Stage 0 audit. Whilst the choice of presentation media for these policies and procedures is up to you. this could range from linked HTML pages.Develop the Management System After having determined the baseline in Step 1. it gives the employer comfort that the third party is carrying out their tasks appropriately.  developing and documenting the Management System for the relevant standard.  agreeing the relevant business mission. This will obviously vary between Management Systems to be implemented.  it gives management the same assurance and an audit from a Certification Body stating that fact. ongoing advice for the pre-certification process. This stage has the following advantages:  it proves that the Management System is appropriate for the scope (meaning that the Certification Body cannot easily later suggest this). through SharePoint to a specialised content Management System. Once this has been carried out.  defining and agreeing at board level the relevant Management System policy. the relevant Management System is developed.  defining and agreeing the scope for certification.  if a consultancy or other third party is being utilised. Step 3 . Step 2 . A number of audit interviews will be undertaken during the Gap Analysis and these will vary between Management Systems. business objectives and values. but varies between Management Systems:  agreeing the project with management. as required.

co. proof) that the procedures and processes are in place.bcrm. http://www.Implementing the Management System Once the Management System policies and procedures have been developed. as if they were Certification Body audits to get your employees used to the internal audit process. coaching and mentoring for management and employees in the new processes and procedures.uk/cs_msim. This is in some ways the most difficult part of the implementation as your employees may have to change their working practices to ensure that they meet the (often new) documented processes and procedures. monitored and managed. As part of this stage a number of internal audits will be carried out. The audit cycle will finish with a final mock full certification audit prior to the relevant Certification Body audit.Step 4 .e.php . Implementation will also require appropriate training. it is necessary to ensure that they are both implemented and that there are sufficient records (i.