Freight Transport Management Introduction:

A transportation or freight management system is a part of supply chain management with regards to transportation and maybe part of an enterprise resource planning system. A TMS is usually placed between an enterprise resource planning and distribution system. A common situation would be one thatincludes both obtaining and shipping orders to be checked by giving various solutions to the end user.

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Market for freight management system:

The global freight transport management systemmarket has a very high market share and by the end of 2019 it is expected to be close to USD 39.09 billion. The current worth of the market stands at USD 14.3 billion. Also, between the period of 2014 and 2019 the market has a compound annual growth rate of 22.28 %

Basic Functions of FMS:

  • The main function of FMS is to provide effective and satisfactory transportation programs that is according to set parameters.
  • FMS will permit and also lay out the plan for carrier rate, carrier shipping etc.
  • FMS will allow tracking a follow up of any physical operation and also trace the happening of certain events.

FMS has a huge market that can be divided into the following:

  • Based on solutions, the market isdivided into logistics management systems, baggage and cargo screening, freight information, freight operational system, security monitoring system etc.
  • Based on technology the market is divided into surveillance systems, x-rays, detectors and radiations.
  • Based on services, the market is divided into support and maintenance services, professional services and system integration.
  • Based on transport, the market is divided into seaways, roadways,airways and railways.

Advantages of freight management systems:

  • Better tracking of your orders: With FMS it is easy to locate your order and provide your customer with the information that they may require at any time.
  • Automation in Transportation: With a good FMS in place a lot of processes that were earlier required to be done manually, can now be done with the help of technology which can reduce the possibility of human error and increase customer satisfaction.
  • Eases the process of data entry and the elimination of error: With the FMS system, one can have real time tracking of different shipments and feed in the necessary data to the customer database that can provide the customer with all the information that they may require from time to time.


The freight transport Management System is a huge market with different segmentations in various sectors. This means that FMS will have a multifold growth and when any of the sectors grow FMS will grow along with it.