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FIG. 4 LOGISTICS SOLUTIONS OFFERED                    FIG. 5 SUPPLY CHAIN SOLUTIONS OFFERED
                          Optimization  660.7=  67%                      Supplier/Vendor Management   440.4=  44%
                      Transportation/TMS  640.6=  65%            Modeling/Forecasting/Predictive Analytics   390.6=  40%
                    Routing & Scheduling  560.9=  57%                      Supply Chain Control Tower   390.6=  40%
                         Load Planning  540.2=  54%                 Customer Relationship Management   230.6=  24%
                 Wireless/Mobile Technology  490.3=  49%                 Sales & Operations Planning   230.6=  24%
                    Inventory Management  470.9=  48%                Enterprise Resource Planning (ERP)   230.6=  24%
              Auditing/Claims/Freight Payment  470.2=  47%
                      Warehousing/WMS  430.8=  44%                           Demand Management   220.2=  22%
                          Procurement  420.4=  42%                         Global Trade Management   200.8=  21%
                       Reverse Logistics  350.4=  35%          Security (risk management, compliance, etc.)   190.4=  19%
                    Rate Bid Management  330.3=  33%                Distribution Resource Planning (DRP)   190.4=  19%
                       Yard Management  270.1=  27%                     Product Lifecycle Management   140.6=  15%
                      Labor Management  180.1=  18%               Manufacturing Resource Planning (MRP)   110.8=  12%
                              RFID  170.4=  17%

        (Figure 4) are often more transactional,   The logistics technology sector   transactional or even free (Figure 7).
        as shippers focus on squeezing every   continues to soar into the cloud, with   Lower costs and easy implementation
        penny out of each shipment and    53 percent of providers exclusively   enable even small operations to stand
        process. Supply chain solutions   offering  web/cloud/SaaS/hosted   toe-to-toe with the biggest corporate
        (Figure 5) cover strategic, enterprise-  solutions, just 2 percent offering   giants.             n
                                                                                 74+53+49+13
        level processes, such as global trade or   only local solutions, and 45 percent
        product lifecycle management.     offering both (Figure 6). This is a   FIG. 7 COST BASIS: How do users pay for
                                          drastic shift from a time not so long
        2+45+53+L                         cloud’s ability to provide data security.      Transactional (subscription)  74%   n
                                                                            technology solutions?
        FIG. 6 PLATFORM: How do IT providers deliver
                                          ago when customers demanded locally
        their solutions?
                                          hosted solutions and mistrusted the
                                            In the several decades that IL has
                                          conducted this survey, one trend is
                                          clear: Customers continue to demand
                   Local Only
                     2%
                                          cost-effective solutions, and the logistics
                                          technology sector continues to deliver.
                 Both Local & Web
                    45%
                                          Once upon a time, only huge operations
                                          could afford the cost and interruption
               Web/Cloud/SaaS/Hosted
                    53%
                                          involved with implementing a best-in-
                                                                                          Seat/User
                                                                                                  53%   n
                                          class logistics technology solution. But
                                          today, providers offer solutions that are
                                                                                              Free
                                                                                                  13%   n
           PERSPECTIVES METHODOLOGY                                                         System  49%   n
                very year, Inbound Logistics conducts an     Our Logistics IT Perspectives provides a
                 extensive survey of the logistics technology   robust overview of the trends that are impacting
          E market to explore how solutions providers      logistics technology, and how service providers
           are adapting to change, and pushing the technology  are responding.
           needle in new directions.
             Our outreach effort comprises two parts. First,
           IL solicits questionnaires from nearly 300 logistics
           IT providers detailing the solutions they offer and
           their areas of expertise . We also ask solutions
           providers to supplement this empirical data with
           contextual insight about business during the past
           year, relationships with customers, and emerging
           logistics technology trends.




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