Here’s a summary of the article about the latest Magic Quadrant for Transportation Management Systems (TMS) and the most significant changes to the market over the past few years.
Overall, the article emphasizes the dynamic changes and trends in the TMS market, reflecting a shift towards cloud-based solutions, changed pricing models, alterations in vendor landscape, and an increased focus on visibility and sustainability. Princeton TMX was mentioned in the article as a newer TMS and a significant player in the space.
- Shift to Cloud-Based Solutions: Since 2017, the TMS market has largely transitioned to cloud-based solutions. On-premise applications have become rare, and most vendors now exclusively offer cloud-based TMS solutions.
- Pricing Model Changes: Along with the shift to cloud-based solutions, pricing models have moved from historical license models to tiered-subscription models. These are typically based on annual freight or transaction volumes, leading to higher total ownership costs that some organizations struggle with.
- Vendor Landscape Changes: The last five years have seen significant shifts in vendor landscape, including acquisitions of vendors like BluJay Solutions, Cloud Logistics, Transplace, Trimble, and Blue Yonder. New vendors like Shipwell, Princeton TMX, BlueRock TMS, 3G, Shipsy, and TMSfirst have also joined the market, with special mention of Princeton TMX as one of the significant new players.
- Increased Focus on Visibility: The importance of transportation visibility has significantly increased, driven by major supply chain disruptions. Visibility has become a top concern for organizations, with a focus on real-time information, ETA predictions, event management, and more.
- What Happens Next?:
- Ecosystem: TMS vendors will increase partnerships to provide additional capabilities, like visibility and last-mile solutions.
- All miles: More organizations are looking for TMS to support all modes of transportation, including inbound, intra-company, direct-to-consumer, and return shipments.
- AI/ML: Artificial intelligence and machine learning will continue to play a bigger role, enabling enhanced predictive analytics and automation.
- Sustainability: TMS vendors are including embedded emissions calculations and reporting capabilities in response to the growing focus on sustainability.
Gartner is often referred to as an unbiased source of business intelligence covering a vast range of topics and industries. Their focus on transportation management and the dynamic nature of the industry is well received and authoritative. Visit Gartner to read the full article titled, Looking Both Ways for Transportation Trends.
