SaaS-based solutions boost transportation management system

Technology - Mohit Shah - May 22,2017

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saas based solutions boost transportation management system

The increasing use of cloud computing technologies for dealing with supply chain activities is one of the prime trends prevailing in the market for transportation management systems.

A transportation management system (TMS) is basically a subset of supply chain management and is aligned mainly on transportation and logistics. Presently, the increasing use of cloud computing technologies for the management of supply chain activities is seen as one of the major trends prevailing in the transportation management systems market.

 Retailers across the globe have understood the importance of technology for attaining real-time visibility of operations to track products once they leave manufacturing facility and transfer through the supply chain. According to a fresh research report published by Transparency Market Research (TMR), the retailers are slowly moving away from platform-based solutions are opting for cloud-based technologies. This directly indicates that the global transportation management system market would reach US$30.04 bn by the end of 2025, from a value of US$9.6 bn in 2016. If these figures do not fluctuate, the market will exhibit positive growth at a CAGR of 13.6% between 2017 and 2025.

In the current times, the increasing preference for SaaS based TMS solutions is evidently acting as a driving factor for sales growth in the TMS market. Furthermore, the timely need to replace and update the conventional transportation management systems is expected to back the demand for advanced transportation management solutions.

Considering the global market for transportation management system, the prime market regions include North America, Latin America, Asia Pacific, Europe, the Middle East and Africa. In 2016, North America possessed over 37.5% of the worldwide market and is forecasted to remain dominant over the next few years. Companies such as SAP SE, Descartes Systems Group, Oracle Corporation, JDA Software Group, and Manhattan Association are dominant in the global transportation management system market. 

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