Fleet Management News & Business Info | Commercial Carrier Journal
Issue link: http://read.dmtmag.com/i/592176
From Parcel to Rail USING A SINGLE TMS TO RIDE THE WAVE OF E-COMMERCE E ight percent of retail sales in the United States are made online today and e-commerce will grow by more than 10 percent a year reaching $370 billion in 2017, according to Forrester Research. Manufacturers and retailers need more than Websites to ride this tidal wave. Sales are short lived without the capacity to fulll orders in an ecient and timely manner. Parcel-centric transportation management soware (TMS) has traditionally been a solution for business to consumer (B2C) commerce. Its primary function is to maintain the rates and print labels for sending packages through UPS, FedEx and the Postal Service. Meanwhile, shippers and third party logistics providers in the B2B sector have typically used TMS systems designed for large shipments of less-than-truckload, truckload and intermodal. e boundary between B2C and B2B has blurred as e-commerce expands in larger-than- parcel items (generally more than 150 pounds) like patio furniture and outdoor equipment. Large parcel carriers do not oer nationwide delivery solutions for these types of shipments. Omni-channel retail and supply chain strategies have also expanded the boundaries of traditional e-commerce. BY DOUG SURRETT "MANUFACTURERS AND RETAILERS NEED MORE THAN WEBSITES TO RIDE THIS TIDAL WAVE. SALES ARE SHORT LIVED WITHOUT THE CAPACITY TO FULFILL ORDERS IN AN EFFICIENT AND TIMELY MANNER." "" 36 IT MAGAZINE Vo l . 9 , N o . 6