Why Transportation Management Software Is Important

Why Transportation Management Software Is Important

As the connector between the shipping company and the trucking company, the freight broker acts as the third party in the equation. When there are multiple parties involved, it only makes sense to have transportation management software in place to keep track of what is being transported, and where. As the muddle man, these ITL shipments are integrated into both the trucking industry and shipping industry. The transportation broker works together with the load boards and transportation management software making tracking the process easier than ever.

The Growing Trucking Industry

As the trucking industry is rapidly growing, putting management software in place only makes sense. In 2013, trucking transported nearly 15 billion tons of cargo. The Bureau of Labor Statistics reports that by 2040, that number is expected to increase to 18.79 billion tons. U.S. e-commerce revenue is about $423.3 billion and is steadily climbing. Whether it’s full truckload, less-than-truckload (LTL), or parcel, carriers are being forced to adjust to changes in the retail industry.

Transportation Management Software Facts and Statistics

Some important facts regarding transportation management software include:

Nearly 12 million trucks, rail cars, locomotives, and vessels move goods over the transportation network.

According to Satish Jindel, president of SJ Consulting Group, 23% of all for-hire freight tonnage can be attributed to retail.

According to data from CargoNet and FreightWatch International, in the first three quarters of 2016, approximately 615 cargo-theft incidents were recorded.

According to Satish Jindel, president of SJ Consulting Group, length of haul has declined. Public truckload carriers report that the average length of haul has decreased 4% between 2011 and 2016.

U.S. e-commerce revenue is about $423.3 billion and is steadily climbing. Whether it’s full truckload, less-than-truckload (LTL), or parcel, carriers are being forced to adjust to changes in the retail industry.

According to the Federal Motor Carrier Safety Administration, approximately 5.9 million commercial motor vehicle drivers operate in the United States.

According to the U.S. Department of Transportation, the value of freight moved is expected to increase from $882 per ton in 2007 to $1,377 per ton in 2040.

These facts and statistics show the importance of transportation management software and its benefits.