Transportation Management Systems Growing Strong

The market for transportation management systems (TMS) is expected to exceed $950 million for 2005 and reach $1.2 billion by 2009,according to a study titled, "Transportation Management Systems Worldwide Outlook" by ARC Advisory Group. The Dedham, Mass., consulting firm said the market reached about $910 million in 2004.

Part of the reason for the growth is the need to comply with regulations according to Adrian Gonzalez, author of the study. "Chief financial officers are becoming better educated about the role and impact of logistics on financial performance, driven in part by the need to comply with the Sarbanes-Oxley Act," says Gonzalez.

One of the trends highlighted in the study is converting demand forecasts into logistics and transportation capacity forecasts.

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