ORTEC White paper - Control Tower
How Optimization boosts Transportation Control TowerThe current environment in the transportation industry is extremely challenging with low margins, pressure on volumes and increasing labor costs. In addition, globalization, higher customer demands, legislation and cost increases all continue to add to the complexity. This includes also tactical decision making on issues such as optimal hub locations, line hauls and daily routes. The industry is comprised of many smaller companies, though the current trend is towards consolidation through mergers and acquisitions. The extent to which transportation is outsourced from shippers to third-party logistics providers (3PLs) varies from country to country, but is increasing as companies explore the potential for further synergies.