Logistics & Transportation: Driving Productivity Home - InformationWeek
IoT
IoT
Software // Enterprise Applications
News
9/7/2006
07:15 PM
Darrell Dunn
Darrell Dunn
Features
50%
50%
RELATED EVENTS
[Best Practices] Managing Multiple Clouds
Jul 26, 2017
Putting all your eggs in one cloud basket is risky, because clouds are not immune to denials of se ...Read More>>

Logistics & Transportation: Driving Productivity Home

Streamlining operations with more efficient business processes is a major area of emphasis for industry.

With technologies like radio frequency identification and supply chain automation starting to play a major role at many logistics and transportation companies, it's no surprise that their IT departments are using business intelligence tools to make business processes more efficient. Fifty-three percent of companies in the sector have plans to install more efficient business processes.

Logistics and transportation companies tend to spend a smaller portion of their revenue on IT. Companies surveyed indicate they will spend an average of 2% of their annual revenue on technology in the coming year, nearly a full percentage point decline from spending levels four years ago, but the same as last year. Two-thirds of that IT budget will go to ongoing maintenance, while only a third is expected to be spent on new projects.

Many businesses count on an efficient supply chain to reduce costs and time to market, giving them a competitive edge, so increasing productivity remains a concern for logistics and transportation companies. Nearly half of them use business intelligence tools and 47% boost network bandwidth to raise productivity. Forty-two percent have deployed collaborative software for productivity benefits.

About a third of logistics and transportation companies are protecting customer data by deploying encryption techniques, three-quarters deploy wireless e-mail, and 37% say they have wide deployments of voice over IP.

Penske Truck Leasing is the top-ranked company in this sector, at No. 11.

Budget Breakdown

Tech Innovation

Inside Logistics & Transportation
2% of Industry's Annual Revenue Devoted to IT
33% of IT Budget Devoted to New Projects
63% of Companies Expecting 2006 IT Spending to Exceed 2005


Business Change
37% Creating New Products/Services for Customers in 2006
63% with Global Supply Chain
47% Deploying Business Intelligence Tools to Raise Productivity



Return to the 2006 InformationWeek 500 homepage

Comment  | 
Print  | 
More Insights
Comments
Newest First  |  Oldest First  |  Threaded View
[Interop ITX 2017] State Of DevOps Report
[Interop ITX 2017] State Of DevOps Report
The DevOps movement brings application development and infrastructure operations together to increase efficiency and deploy applications more quickly. But embracing DevOps means making significant cultural, organizational, and technological changes. This research report will examine how and why IT organizations are adopting DevOps methodologies, the effects on their staff and processes, and the tools they are utilizing for the best results.
Register for InformationWeek Newsletters
White Papers
Current Issue
IT Strategies to Conquer the Cloud
Chances are your organization is adopting cloud computing in one way or another -- or in multiple ways. Understanding the skills you need and how cloud affects IT operations and networking will help you adapt.
Video
Slideshows
Twitter Feed
Sponsored Live Streaming Video
Everything You've Been Told About Mobility Is Wrong
Attend this video symposium with Sean Wisdom, Global Director of Mobility Solutions, and learn about how you can harness powerful new products to mobilize your business potential.
Flash Poll