Are You Maximizing the Return on Your Transportation Investments?

Transportation assets — from drivers and trucks to yards and docks — represent a huge capital investment for logistics teams. Maximizing the return on that investment means precisely and fluidly orchestrating all movements in the network for service, cost, efficiency, sustainability, and other objectives. Across the transportation function, all assets should be fully utilized, routes should be optimized, and handoffs like unloading should be fast, accurate, and seamless. 

As any logistics professional can tell you, that’s easier said than done. Today’s complex omni-channel environment, demand volatility, growing customer expectations, and constant disruptions can make it difficult to even move products from the first mile to the last mile — let alone accomplishing that in an optimal manner that balances multiple objectives. 

Since the speed and complexity of modern logistics exceeds human analysis, the answer is clear: implementing an advanced transportation management system (TMS). Leading TMS solutions apply artificial intelligence (AI), data science, and analytics to orchestrate transportation assets — updating original plans in seconds as conditions change. As more logistics teams discover the benefits of a TMS, the US market for these systems is growing at around 14.5% a year, and it’s expected to reach a whopping $40.49 billion by 2031. 

If you’re already using a TMS to orchestrate and optimize your transportation network, you’re ahead of the game. But it maybe time to ask yourself, how old is your solution? With the rapid and ongoing advancement of AI and analytics, there are always new capabilities that can add incredible value.  

Further, if you’re still using on-premises software, it’s probably time to consider upgrading to a cloud delivery model. Not only will you enjoy greater computing speed, higher levels of bandwidth, and automatic upgrades, but you’ll be assured of continuing support. Oracle recently announced it will be discontinuing its support for on-premises OTM software in Q1 2027 — which is only nine quarters away.  

If you’re not using a TMS and you have a robust transportation ecosystem, you may not be maximizing returns on your transportation network given today’s supply chain complexity. It’s time to explore your options of getting a TMS up and running in your operations. Digitization isn’t just a buzzword, it’s a proven strategy for optimizing costs, service levels, sustainability, and other critical outcomes.  

Getting Started on Your TMS Journey  

Wherever you are in your TMS journey — whether you’re just getting started or embarking on an upgrade — Redwood is uniquely qualified to help. Redwood has established relationships with every major TMS software provider. Because we have no vested interest in a single solution, we can help assess your needs and choose the right TMS for your supply chain model, transportation network structure, customer requirements, and other business parameters. 

After you’ve selected the right TMS, Redwood can help you configure it, install it, and migrate your data to the system — establishing real-time visibility.  

Redwood also has an unmatched capability to integrate the TMS with your order management, warehouse management system (WMS), and enterprise resource planning (ERP) systems. Our proprietary integration platform, RedwoodConnect, is the first platform built specifically for logistics teams. It connects disparate apps and systems, regardless of protocol or format. You can create a unique digital transportation management fingerprint that extends to carriers, customers, and other trading partners.   

Optimizing Your TMS Performance for the Long Haul  

Redwood’s TMS expertise and support don’t end when a new solution is up and running. Redwood is the one-stop resource you need to continue to maximize your TMS performance and financial returns. With two decades of hands-on experience, across dozens of customers, Redwood can ensure you’re utilizing all the solution’s features and functionality. Redwood experts can also create custom enhancements and extensions that meet your specific needs. 

Ideally, the TMS should be delivering value over the long term in these areas: 

• Improving capacity utilization via smarter loading, consolidation, and routing strategies
• Increasing speed, efficiency, and accuracy by automating manual tasks
• Improving disruption responsiveness via real-time, autonomous re-planning
• Making the most of scarce labor assets via process automation and increased productivity
• Enhancing customer service by providing real-time shipment status, as well as improving on-time, in-full performance
• Driving a better carrier mix via performance assessments and ratings
• Reducing the transportation spend by leveraging digital bidding and procurement