TMS
A Transport Management System (TMS) is the software that manages the planning, execution, and optimisation of the physical movement of goods. While "TMS" often refers specifically to road/trucking software in North America (with rate-shopping, load tendering, dispatch, route optimisation, dock scheduling), the broader definition covers any transport mode.
Core TMS features: rate management across multiple carriers, load planning, route optimisation, driver/vehicle assignment, dispatch and tracking, electronic proof of delivery (EPOD), and freight audit/payment. A modern TMS connects to carriers (EDI 204/214/210 for trucking, or REST APIs), warehouse systems (for pickup readiness), and ERP/financial systems (for billing).
A TMS is where transport cost and service are actually controlled — it picks the cheapest compliant carrier, tracks execution, and audits the freight invoice against the agreed rate. Those are exactly the things a generic ERP does not do natively, which is why shippers and 3PLs run a dedicated TMS on top.
load & carrier
dispatch & track
freight audit
What is the difference between a TMS and a WMS?
A TMS moves goods between locations — planning, dispatching and settling transport. A WMS runs what happens inside the warehouse — receiving, storing, picking and shipping. They are complementary and usually integrated.
Do I need a TMS if I already have an ERP?
Usually yes. An ERP manages orders and finance but does not natively plan loads, rate carriers against contracts or audit freight — a TMS handles execution and feeds costs back to the ERP.