Transportation management system software and solution is a tool by shipping professionals to detect the data points of the distribution, warehouse supply, route options, rates, transport network. Transport management system enables the shipping manager to understand the information and format, which further helps in effective decision for the company. Moreover, transportation management system involves low costs, management of high level customer services, improvement of productivity and efficiency of the logistic operation, and capability of target logistic initiatives that helps in business growth pose as drivers for growth of the market. In addition, increasing usage of IOT and big data technology along with growing adoption of cloud technology provide key opportunities for growth of the transportation management system market. However, insufficient IT investment for transportation infrastructure and high data security concerns are some of the major factors, hindering growth of the transportation management system market.
Transportation Management System Market Taxonomy
On the basis of mode of transportation, the global transportation management system market is segmented into:
Among mode of transportation, the roadways segment is projected to grow with the largest CAGR over the forecast period. Increasing number of vehicles have resulted in congested roads, in turn causing financial losses to transportation companies. To overcome this issue, the companies are adopting transportation management solutions to find the best routes and reduce financial losses.
On the basis of deployment model, the global transportation management system market is segmented into:
- Cloud / Hosted
- On Premises
Among deployment model, the cloud/ hosted segment is projected to exhibit the highest CAGR over the forecast period. Increasing adoption of cloud technology by various industries has contributed to its rapid growth, in turn boosting the transportation management system solutions market.
On the basis of application, the global transportation management system market is segmented into:
- Aerospace & Defense
- Electronics & Electrical
- Food & Beverage
- Machinery Manufacturing
- Transportation & Logistics
- Wholesale & Distribution
On the basis of function, the global transportation management system market is segmented into:
- Planning & Execution
- Fleet Management
Transportation Management System Market Outlook – North America holds significant market share
On the basis of geography, the global transportation management system market is segmented into North America, Europe, Asia Pacific, Latin America, Middle East, and Africa. North America holds a dominant position in the global transportation management system market and is projected to retain its dominance throughout the forecast period. The U.S. and Canada are the major countries driving growth of the transportation management system market in the North American region. Companies are focusing on innovation and are continuously adopting advanced technologies, in turn, fueling the demand for transportation management system in the region. Similarly, Asia Pacific is projected to exhibit the highest CAGR over the forecast period. India, China, and Japan are some of the major countries that drive growth of the market in Asia Pacific region. The increasing digitalization in emerging economies contributes to increasing demand for transportation management system, in turn fueling growth of the market in the region.
Key Players in the Global Transportation Management System Market
TMW Systems, Inc., SAP SE, Oracle Corporation, Metro Infrasys Private Limited, Mercurygate International, Inc., Manhattan Associates, JDA Software, Inc., Inet-Logistics GmbH, Efkon AG, Descartes, CTSI-Global, and Blujay Solutions are some of the major players operating in the global transportation management system market.
In March 2019, Trimble Transportation Enterprise Solutions, Inc. launched a new TMT ServiceConnect module, through these model fleet shops now can connect with more than 4,500 medium and heavy duty service locations, which includes major original equipment manufacturers (OEM) dealers, across North America. This new model is powered by Decisiv Service Relationship Management technology and is the first commercial paperless shop solution.
In July 2019, MercuryGate International, Inc. which is a transportation management solution provider announced that they have acquired TranSolutions, Inc., which is a U.S. based company providing transportation-centric claims management software.
In April 2019, Manhattan Associates Inc. announced the release of their newly improved Transportation Management System (TMS), this improved solution offers robust and proven modeling capabilities, benchmark rating, enhanced carrier connectivity and will also help in expanding the global logistics support.
In August 2019, Descartes Systems Group acquired BestTransport.com, Inc. which is a U.S. based company providing cloud-based transportation management system (TMS) provider. This acquisition will help the company to strengthen they transportation management footprint in the U.S. market.
In October 2019, Mack Trucks which is an American truck manufacturing company announced that they have entered into Memorandum of Understanding (MOU) with Trimble Transportation Enterprise, to provider their customer with fleet efficiency solutions by using Trimble Transportation Enterprise’s approach and solutions.