Mon Jan 26 2026 • by Mithun K S

Optimizing Transportation Planning with SAP TM

Optimizing Transportation Planning with SAP TM

Transportation represents a significant portion of logistics costs. SAP Transportation Management (TM) enables organizations to plan and execute transportation activities efficiently.

Core Capabilities of SAP TM

SAP TM supports the full transportation lifecycle, including:

  • Freight unit creation
  • Transportation planning and optimization
  • Carrier selection and tendering
  • Freight settlement
  • Event management and tracking

Transportation Planning and Optimization

SAP TM uses advanced optimization engines to consolidate shipments, select optimal routes, and minimize transportation costs while meeting delivery deadlines.

Planning can be automated or manually adjusted depending on business requirements.

Integration with SAP EWM

When integrated with SAP EWM, SAP TM enables seamless coordination between warehouse and transportation processes. Outbound deliveries are directly planned into transportation units, reducing manual intervention and errors.

Business Benefits

  • Lower freight costs
  • Improved on-time delivery performance
  • Better carrier collaboration
  • End-to-end shipment visibility

SAP TM is a powerful solution for organizations managing complex transportation networks.

Mithun K S

Mithun K S

Author