Transportation Management Systems Market Grows in 2005, Study Shows

he transportation management systems market grew to over $989 million in 2005, aided by an 11% increase in sales to logistics service providers, according to a study released Monday by the ARC Advisory Group.

“Logistics service providers are finally beginning to take a strategic view of their IT requirements and infrastructure,” said Adrian Gonzalez, director of ARC's logistics executive council. “The success of TMS in the LSP sector last year was enabled by the fact that vendors are adding LSP-specific functionality, such as freight forwarding capabilities, to their solutions.”

Sales to logistics service providers significantly outpaced sales growth to manufacturers and retailers, the group said in a statement.