A transportation management system (TMS) is a subcategory of supply chain management (SCM) systems that deals with the planning, execution, and optimization of the supply chain of goods from upstream to downstream. In other terms, it's a supply chain and logistics platform that allows its users to manage and optimize the daily supply chain operations.
The global United States Transportation Management Systems market is expected to develop 59748.5 by 2030, at a compound annual increase in price (CAGR) of 14.3% throughout the forecast period.
.jpg
"The Global Us Transportation Management Systems Market 2020-2030 (USD Million)")
The US Transportation Management Systems market is estimated to be valued at USD 9.96 billion by 2025. The factors driving this market include exceptional growth of e-commerce in the US which subsequently surged online purchase and raised retail sales. To respond to this e-commerce penetration, distributors, retailers, and manufacturers recognized the im portance of robust TMS for managing customer expectations and keeping fulfillment and delivery costs in check. TMS helps look after all shipments and find the best carrier and/or mode based on the need. It helps leverage optimization and the use of all available modes, including multi-stop TL, LTL and pool distribution, to find the most cost-effective way to deliver freight. The accelerated growth of the e-commerce scenario in the U.S. has trickled down to the transportation management systems market, which has been positively affected.
Count of U.S. warehouses has seen remarkable growth over the past five years since 2012. Factors like steady improvement in the economy have enhanced the warehouse space. Not just customers are playing a vital role but e-commerce has helped reduce stores which were into double-duty as a warehouse and retail location. Due to digital models, warehouses are getting a strong push. Furthermore, the trend of automation has penetrated into every industry vertical in the U.S. including the supply chain management market. Percentage of companies not emphasizing at supply chain automation was high as 40% in 2015 but dropped to 17% by the end of 2018. The automation of processes in supply chain management is done to achieve operational efficiencies and reduce costs.
United States Transportation Management Systems Market Scope
| Metrics | Details |
| Base Year | 2023 |
| Historic Data | 2018-2022 |
| Forecast Period | 2024-2030 |
| Study Period | 2018-2030 |
| Forecast Unit | Value (USD) |
| Revenue forecast in 2030 | US$ 59,748.5 Mn |
| Growth Rate | CAGR of 14.3 % during 2020-2030 |
| Segment Covered | By Mode of Transportation, By Deployment,By Size of Enterprise, Regions |
| Regions Covered | North America, Europe, Asia Pacific, South America, Middle East and Africa |
| Key Players Profiled | oracle |
Key Segments of the US Transportation Management Systems Market
Type Overview, (USD Billion)
- Railways
- Roadways
Application Overview, (USD Billion)
- Manufacturing Industry
- Retail Industry
- Logistics & Transport Industry
- Other Industries
Frequently Asked Questions (FAQ) :
The application of the us transportation management systems market Manufacturing Industry, Retail Industry, Logistics & transport Industry and other.
The base year for the report is 2023 in United States Transportation Management Systems market.
To get latest version of us transportation management systems market report can be obtained on demand from the website.
The transportation management system is offered as a module within the current SCM suites and as an enterprise resource planning (ERP) solution which benefits the organization by optimally managing the entire supply chain. This is achieved by using tools such as route planning and optimization, yard management, broker’s management, freight audits, payment management, load planning, carrier management, and others. The main objective of using TMS is to improve the efficiency of transportation and logistics of goods by reducing the cost per shipment by gaining real-time control and visibility over the supply chain.
Upcoming trends such as the data analytics and Artificial Intelligence in cloud-based solutions are expected further propel the demand for TMS for railways driving the growth of the market at a CAGR of 11.6% by 2025. For instance, cloud-based AI-driven solution, CloudMoyo Rail Transportation Management (CTRM) platform is developed to leverage technology so as to reimagine railroad digitization. The main motive behind its design is to cover all types of operators, from Class 1 to regional and short line. The CRTM solution helps to streamline operations by automating key railroad functions, which includes revenue management, interline settlement, rail operations, rating, and pricing management, equipment control, waybills, and operational testing.
The US transportation management system for manufacturing application was valued at USD 956.4 million in 2018. The manufacturing industry is facing several challenges and possible bottlenecks that need to be overcome such as optimizing transportation plans, managing carrier contracts, communicating with trading partners, tracking shipments, tendering loads, inventory, auditing freight, and dealing supplier/carrier performance.
Type Segment
Based on the type the US transportation management system is segmented railways and roadways. The increasing convenience owing to availability of on-the-go information enabled by mobile-based application for all the stakeholders in the supply chain such as the broker, agencies and other delivery operatives is facilitating smooth functioning across the road supply chain. Thus, TMS for road transportation is expected to surge in demand by 2025 driving the growth of the U.S. transportation management systems market at a CAGR of 13.6% during the forecast period.
Application Segment
Based on the application type the US transportation management system is segmented into manufacturing, retail, logistics & transport, and others. Logistics & transportation segment is projected to account the largest market share of 54.0% by 2025, owing to the explosive growth of the e-commerce industry in the US region.
The major players of US Transportation Management Systems include Accellos, Inc.,McLeod Software Corporation, Inc., JDA Software Group, Inc., Oracle Corporation, Manhattan Associates, Inc., The Descartes Systems Group Inc., SAP SE, BluJay Solutions Ltd, TMW Systems, Inc., Omnitracs, LLC. These leading players are part of mergers and acquisitions to remain on the competitive advantage of the market. Likewise, in 2019, HighJump being a supply chain solutions provider across the globe, declared its partnership with unattended retail and technology provider Gimme DSD. This partnership enables DEX across Windows, iOS, and Android for the first time, bolstering mobile delivery for food and beverage firms with the next-generation tools of the automated and connected supply chain of the future. HighJump Software and Accellos Inc. declared that they had merged in 2014. This amalgamation of HighJump and Accellos brings together a unique set of technologies, which is inclusive of networked trading partner connectivity, transportation management, warehouse management, and route delivery. This offered opportunity for customers to work with a single technology provider along with flexible technology backbone for omnichannel supply chain operations and fit for all organizations.