Transport is the cornerstone of supply chain management. Manufacturers, retailers, logistics providers, and distributors are looking for efficient ways to handle processes and maintain visibility over them. This is where the Transport Management System (TMS) comes in!

Whether you’re a small business or a large-scale corporation, the right TMS can streamline operations and enhance customer service. Here are five features you should look for when choosing a Transport Management Software in 2025.

1.Route Optimization

Logistic and supply chain processes are heavily dependent on efficient route planning. Transport Management Software (TMS) considers your shipping distance, delivery time window, and vehicle capacity to find the most cost-effective and time-efficient route for your business fleets.

They also analyze real-time traffic data using advanced algorithms and data analysis techniques. Route optimization offers numerous benefits, such as:

  • Cost reduction
  • Optimal fuel consumption
  • Reduced idling
  • Reduced environmental impact

Businesses make sure their vehicles are well-maintained and only use reliable spare parts, such as those by Ovoko, to follow data-driven routes.

2.Real-Time Tracking

Timely delivery is crucial for customer satisfaction, especially in the retail and e-commerce industries. TMS can provide businesses with real-time updates on the location of vehicles and shipments. No need to contact the drivers when you can view the freight’s location anytime.

With continuous monitoring, retailers can give customers accurate updates on their orders. It also ensures timely problem resolution and interruption-free shipping.

Loading, in-transit, and delivery — a Transport Management System (TMS) provides businesses with a clear picture of the shipment’s journey. You can also track the shipments through barcodes and RFID tags.

3.3D Load Optimization

One of the most overlooked features of a Transport Management Software is 3D load optimization. It helps manufacturers and logistics providers (3PLs or 4PLs) strategically arrange items in a shipping container or truck. TMS utilizes sophisticated algorithms and 3D visualization to determine efficient packing techniques.

Here’s how 3D load optimization can benefit businesses:

  • Reduce the number of trips required to make deliveries
  • Reduce the risk of product damage during transportation
  • Support sustainability efforts and reduce environmental impact
  • Better resource planning

4.Integration Capabilities

A TMS is usually a part of a business’s IT ecosystem. Fortunately, it can seamlessly integrate with pre-existing supply chain systems (both internal and external). This includes:

Warehouse Management System (WMS) – provides shipment details, delivery status, and ETA.

Enterprise Resource Planning (ERP) System – facilitates financial planning and forecasting.

Customer Relationship Management (CRM) – provides real-time tracking data to customers, improving transparency and communication.

Accounting tools – ensure accurate billing, invoicing, and claims management.

Integration helps bring all supply chain processes onto a centralized platform, boosting operational efficiency.

5.Analytics and Reporting

Lastly, advanced Transport Management Software can gather and analyze data on transportation operations, providing valuable insights into performance. TMS can also:

  • Identify market trends
  • Spot blind spots
  • Forecast volatility
  • Plan inventory
  • Track metrics, such as cost per shipment and on-time delivery rates

Using TMS is particularly valuable for businesses looking to optimize their operations and make data-driven decisions.