Autonomous Agents Set to Revolutionize Transportation Management
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Global research from Manhattan Associates finds integration difficulties and data quality remain significant hurdles for organizations looking to leverage AI across transportation management
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ATLANTA — Manhattan Associates Inc. (NASDAQ: MANH), the global leader in supply chain commerce, today announced the findings of its latest collaboration with international research firm Vanson Bourne. The global research surveyed 1,450 senior decision-makers* from organizations in manufacturing, retail, wholesale, consumer goods, grocery and food & beverage sectors, across North America, Latin America, Europe and Australia.
'Transportation is the backbone of supply chains, essential to ensuring goods are delivered on time to meet customer expectations,' commented Bryant Smith, director, Transportation Management Systems (TMS) at Manhattan Associates. 'Yet, managing transportation is becoming increasingly complex, pressured by demands on shorter fulfilment times, capacity and cost efficiencies, tighter sustainability regulations, and the growing necessity for access to end-to-end visibility across all operations,' Smith added.
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Fragmented systems: operational visibility and efficiency still challenging
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The true value of visibility extends beyond simply accessing operational data: it lies in the ability to address issues highlighted by this information and action operational improvements more quickly and efficiently. Beyond disruptions however, 60% of organizations say that enhancing visibility leads to greater customer satisfaction, through more accurate and timely updates, while 50% cite reductions in transportation costs as a key benefit of increased operational visibility.
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61% of organizations anticipate fully autonomous Agentic AI, capable of acting independently to achieve specific goals within the next five years, however, only 37% have deeply integrated AI and machine learning in their TMS today.
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While many might view five years in the AI space like an eon, the gap between future expectations and current usage is noteworthy given adoption is rarely straightforward: although almost half (48%) said that they already feel very prepared for autonomous agents by 2030, practically every organization (99%) reported facing, or expecting to face, hurdles, with concerns including skill shortages (49%), integration difficulties (44%) and data quality and availability issues (44%).
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With many organizations seemingly well-placed to take advantage of the cost, efficiency and scalability gains afforded by autonomous agents, those organizations on the other side need to rethink their AI strategies otherwise they risk losing significant (and possibly irretrievable) market share to rivals.
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Sustainability compliance: a priority and significant pain point
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The push for more sustainable transportation is widespread. 69% of organizations say sustainability is either a global mandate or an area of significant pressure, with 62% already implementing Corporate Sustainability Reporting Directive reporting. Navigating complex and shifting compliance requirements remains a global challenge, with sustainability compliance most frequently cited as a constraint expected to impact organizational performance over the next five years. A modern TMS can help to deliver the data visibility and functionality needed to measure progress and demonstrate compliance, vital to ensuring sustainability remains at the forefront of organizational thinking.
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Smith summarized: 'Modern transportation management demands organizations balance a range of competing priorities, and the research clearly illustrates many organizations are still unprepared to meet the challenges of evolving sustainability mandates, expectations around AI and the need for more visible, actionable data insights. Looking ahead to 2030, these demands will intensify, increasing the pressure on organizations to operate transportation operations in smarter more intuitive ways.
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'87% of respondents anticipate that challenges in areas such as operational visibility, AI adoption and sustainability compliance will intensify, leaving their current Transportation Management Systems struggling to keep pace. Failure to act now will expose organizations to rising costs, questions over long-term efficacy, and the risk of falling short of customer promises,' Smith finished.
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Additional stats:
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48% of organizations spend more than 10% of their transportation logistics budget on errors and disruptions
78% view transportation management as a strategic imperative for success and this figure rises to 86% by 2030
61% are anticipating fully autonomous Agentic AI, capable of acting independently to achieve specific goals, or minimal human oversight within the next five years for TMS
50% report challenges in proactively rerouting shipments, while 49% struggle with optimizing dock and warehouse labor scheduling
82% express strong confidence that advances in planning, forecasting and modelling will reduce freight costs by at least 5% within the next five years.
Organizations are still struggling to operationalize sustainability: only 34% say they've factored sustainability into operational planning, 30% into procurement decisions, and just 31% offer carbon-friendly fuel solutions.
While a majority have integrated their TMS with Sales and Operations Planning systems (60%) and are utilizing predictive analytics or AI (56%), far fewer are capitalizing on key enablers such as historical trend analysis (38%), automated booking and tendering (36%), or real-time demand sensing (35%).
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*Methodology:
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Vanson Bourne surveyed 1,450 senior decision makers with responsibility for or knowledge of their organization's transportation management operations, working within transportation, logistics, supply chain, IT or finance functions. Respondents must operate within the manufacturing, retail, wholesale, consumer goods, grocery and food & beverage sectors. The survey interviewed respondents from North America, Latin America, Europe and Australia. All respondents came from organizations with at least US$750 million in global annual revenue.
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