Transportation’s role in the business has transformed over the last decade. Today, it is widely considered a key strategic tool enabling shippers and logistics service providers (LSPs) to deliver superior customer service, gain a competitive advantage and grow the business — but that wasn’t always the case. Ten years ago, even though many organizations saw the potential, a large number still treated transportation as a basic operational function and an unavoidable cost. In this post, I look at a decade of research from Descartes to examine transportation’s rise as a strategic business capability and consider where shippers and LSPs go from here.
Transportation as a Strategic Asset
For ten years the Transportation Management Benchmark Survey has been asking LSPs and shippers how they assess transportation’s impact on the business. This extensive record shows that the perceived value of transportation has been building over the years. For example, the percentage of companies that view transportation strategically, as a competitive weapon or customer service differentiator…
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