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Transport management

Understanding the Role and Types of Transport Management in Supply Chains?


A transportation management system is a software system that helps companies manage logistics associated with the movement of physical of goods – by land, air, sea, or a combination of transportation modes. Part of the larger supply chain management system, TMS logistics software helps ensure timely delivery of goods by optimizing loads and delivery routes, tracking freight across local and global routes, and automating previously time-consuming tasks, such as trade compliance documentation and freight billing. A TMS system reduces costs for both businesses and end customers.

Purpose of Transport Management

A transportation management system allows companies to optimize their transportation operations by streamlining processes, reducing costs, and improving the overall efficiency of their supply chain. Transportation management systems can automate many tasks, such as carrier selection, route optimization, and shipment tracking, saving time and money. Additionally, transportation management software provides valuable data and insights to help a company make better decisions about transportation and logistics.

Types of Transport in Logistics:

Road Transportation

Suppliers and companies use road transportation because it is the most favored and prevalent mode of transportation in the supply chain. Depending on demand, transportation companies provide scheduled delivery days and even next-day delivery services. Road transport is used to transport all types of cargo, including goods packed or clustered in containers and even those that are scheduled for sea or air transportation.

Air Transport

Air travel is the most recent mode of transportation. The two world wars accelerated the growth of air transport in almost every country on the planet. The unusual feature of air transport is that it does not require a specific surface track to operate.

When it comes to speed and distribution protection, air transport is one of the most popular ways to move goods in recent years. We previously discussed the characteristics and benefits of various modes of transportation, such as land or water, and in this step, we will focus on the major advantages of air travel. The most frequently asked question in Logistics Landmark is about the benefits and drawbacks of air transportation. Let’s talk about it.

Rail Transportation

Rail transport is also known as train transport. It is a means of transport, on vehicles which run on tracks (rails or railroads). It is one of the most important, commonly used and very cost-effective modes of commuting and goods carriage over long, as well as, short distances. Since this system runs on metal (usually steel) rails and wheels, it has an inherent benefit of lesser frictional resistance which helps attach more loads in terms of wagons or carriages. This system is known as a train. Usually, trains are powered by an engine locomotive running on electricity or on diesel. Complex signaling systems are utilized if there are multiple route networks. Rail transport is also one of the fastest modes of land transport.

Road Transportation

Road transport means transportation of goods and personnel from one place to the other on roads. Road is a route between two destinations, which has been either paved or worked on to enable transportation by way of motorized and non-motorized carriages. There are many advantages of road transport in comparison to other means of transport. The investment required in road transport is very less compared to other modes of transport such as railways and air transport. The cost of construction, operating cost and maintaining roads is cheaper than that of the railways.