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As the transportation sector becomes more layered and complex, transportation management solutions must respond in kind with more advanced in-app functionality and logistics planning. Most standalone transportation management systems are too limited to encapsulate the tiered complexity of an international, multi-segment supply chain, but technology that can integrate and converge transportation with other supply chain functions, such as order management, set the new industry standard.

What you look for in a transportation management system should vary depending on a variety of factors, including but not limited to:

• Distribution area (regional or global)
  
• Network size
  
• Existing operations for enterprise resource planning (ERP)
  
• Communications with in-house and/or 3PL Warehouse Management Systems (WMS)
  
• Multiple sourcing and distribution channels
  
• Product type and regulation and/or storage constraints
  
• Varying service level agreements (SLAs)
  
• Exception events
  
• Regional stability
  

Supply chain management has become increasingly complex and involves more coordination among network partners. Control tower technology was introduced to provide greater visibility and more efficient collaboration within the evolving ecosystem. Over time, the technology has adapted from a narrow solution that spanned transportation management to a more comprehensive and holistic capability to fit the growing demand for wider system integration, efficiency, intelligence, and speed. Here are a few of the most exciting and critical supply chain control tower trends in 2022 that help build flexibility, agility, and resilience.

Transportation management is a key component of supply chain optimization, especially as global networks become increasingly broad and complex, involving multiple origins, destinations and modes of transport. Today’s transportation management system (TMS) is highly integrated and data-driven to meet challenges head-on and provide greater control and insight across the network - from manufacturers and distributors to shippers and logistics service providers.

Here are some of the key ways the solution has developed to provide greater intelligence and optimization across the multi-party ecosystem, improving flexibility, agility, and resiliency.

Many factors affect carbon dioxide (CO2) emissions during steel production, including capacity utilization, facility age and upkeep, the electricity grid, and environmental regulations. Secondary steel production, which makes up about 70% of the steel that’s produced in the US, releases significantly less CO2 than primary steel production. As a result, the US is looking to create incentives for other countries to use this method over primary steel production.

While such a move certainly bodes well in the overall drive to encourage more sustainable practices, it also underscores how variable the market and rules of the game can be. Short-term incentives are helpful, but building supply chain resilience and strengthening sustainability practices will also take investment in supply chain technology that enables dynamic partnering, smarter order and transportation management, and better analytics to regularly – and effectively – shift and adapt to the ever-evolving playing field.

Over the two years since the start of the pandemic, volatility has become the new normal: hampered by unexpected closures, service delays, and material scarcity, businesses today face unprecedented challenges. Lead times across industries reached record highs in 2021, and the continued need for safety regulations further complicated supply chain planning and capacity management. Governing bodies relaxed regulations for a time, only to then reinstate those same restrictions again during a surge.

Reopening has been halting and painful, but 2022 is expected to herald economic recovery thanks to broad population immunity and medical advances. As you plan your 2022 technology strategy, here’s a recap of the critical capabilities that enabled businesses to build supply chain resilience last year.

Various polls taken by supply chain stakeholders from 2020 to the present moment – including our own – all point to a similar reality. Visibility is still a significant concern for organizations and is absolutely fundamental to a high performing supply chain. This comes as no surprise as disruption continues to affect the cost-to-serve on razor thin margins, and lack of timely insight impacts operational efficiency, OTIF delivery, and customer satisfaction.

The time to act is now. As is choosing a solution that offers the breadth and depth of supply chain visibility needed to help mitigate the impacts of disruption, recover revenues, and outperform competitors.