Logistics News: How Mature are Your Transportation Technology Processes?

Transportation Management Focus : Our Weekly Feature Article on Transportation Management Strategies, Bet Practices and Technologies for the Transportation and Logistics Practioner

- March 18, 2008 -

Logistics News: How Mature are Your Transportation Technology Processes?

As Adoption of TMS Continues at Strong Rates, Companies Should Assess Where They Are in Terms of Process and Technology

SCDigest Editorial Staff

SCDigest Says:

Moving up the maturity curve won’t happen overnight.

What do you say? Send us your comments here

As the pressure on transportation organizations from both cost and service continue to rise, the market for Transportation Management Systems (TMS) has remained strong for the past several years. Another driving factor is globalization, which has many companies looking for new TMS support for the more complex moves of the longer global supply chain.

In a recent Forrester Wave report on TMS, Forrester analyst Patrick Connaughton says the benefits of TMS can be compelling.

“Year over year, the companies we interviewed expect to save an average of 8% per year on their transportation costs by using a TMS. Most achieve this through cost reductions from identifying load consolidation opportunities; automating repetitive tasks; optimizing route, carrier, and mode selection; and other areas of savings,” Connaughton said.

(Transportation Management Article - Continued Below)

CATEGORY SPONSOR: SOFTEON

(Transportation Management Article - Continued)

What’s Your Level of Transportation Technology Maturity?

Forrester has developed a simple maturity model that helps companies understand the different level of transportation technology sophistication, which we publish below through special arrangement with Forrester.

However, moving up the maturity curve won’t happen overnight.

“Moving from paper-based processes to automation and business intelligence can take years,” Connaughton says.

What would you add to the Forrester TMS maturity model? Why does it seem to take so long for companies to improve transportation processes? Let us know your thoughts at the Feedback button below.

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