The past few years’ events created a tipping point for enterprise shippers, logistics managers, and supply chain networks. As customer demands change and increase, and inventory and human resources shortages still disrupt regular services, results gained through TMS capabilities and platforms gain attention.
According to Supply Chain Management Review, “In 2019, the U.S. third-party logistics (3PL) market had total gross revenue of $212.8 billion. The non-asset-based domestic transportation management (DTM) segment accounted for $83 billion, or 39% of total 3PL market revenue. DTM splits into two primary sub-segments: freight brokerage that accounts for 83% of total segment revenues; and managed transportation that accounts for 17%.”
Both the domestic and international supply chains play a vital role as society’s lifeline, now more than ever. The best TMS capabilities for logistics managers focus on speed and efficiency, while also allowing for scalability.
Understanding the Value of TMS Capabilities to Supply Chain Scalability
An innovative TMS platform focuses on adaptability and scalability. Being able to shift attention and adjust protocols and processes on the fly are critical characteristics of the modern logistics network. Here are a few of the TMS features that add value to the scalability of the supply chain network:
Enterprise Shippers Grow and Expand With Innovative Management Systems
The shifting demands and needs of consumers are again causing logistics directors to rethink their TMS use cases and start building new business cases for a new system or upgrade. Additionally, the way TMS capabilities are utilized within the supply chain is also being examined.
Keeping customers happy is a primary goal of any supply chain. With a TMS in place, as the business and its supply chain grows, everything becomes much more adaptable.
According to Logistics Viewpoints, “When it comes to TMS and digital freight, there is a lot of interest. More and more TMS suppliers are integrating digital marketplaces into their core TMS offering.”
The market today has reached the point where doing more with less is no longer an option. It is now necessary for adaptability, scalability, and survivability of your supply chain.
Making Sense of the Ever-Changing Market With Reliable TMS Capabilities and 3PL Partnerships
TMS capabilities can be capitalized on within the supply chain to impact the shipping network positively.
Making the shift from outdated management methods to new and innovative management methods makes enterprise shippers more successful. Today’s competitive marketplace gives enterprise shippers more bargaining power, which of course, is a good thing. However, with it also comes a wide array of selections that can become overwhelming and complicated to decipher at times.
The best TMS features and technology trends are those that make collaboration and partnerships with 3PLs, LSPs, and other shippers easier.
Prepare for the Future
Without enterprise shipper efficiency, freight cannot get to where it needs to go.
A TMS pulls all the pieces together to unite every link in the supply chain network. Getting goods and services to consumers is the primary emphasis of modern TMS features.
All of this can be achieved with the right platform and system partnership.