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OTM on Cloud: Buy Vs Rent Dilemma for Transportation Management System

For enterprises, running operations on cloud has come a long way from being just a cost saver to a rapid business enabler.

In today's fast-changing dynamics, chief information officers (CIOs), who are keen to implement transportation management solutions for their organizations, are immersed in the following dilemma:

Do I buy a transportation management system (TMS) product and implement it on-premise or do I rent the services over cloud for my TMS?

At the same time, CIOs of companies that already use TMS systems are in a different dilemma over the following:

Do I continue investing and upgrading to a newer version or do I move the processes to cloud?

The answers to the above questions are not simple! In this blog, we will elaborate on how Oracle Transportation Management (OTM) cloud solution and Infosys help CIOs make this decision.

Customer Category

We, at Infosys, strive to understand customer needs and their existing processes before we provide a recommendation. Towards this, we evaluate the client capabilities across the following:

     a. IT landscape
b. Objectives and pain points
c. Current TMS solutions
d. Solution complexities and dependencies
e. Existing business processes

     Based on our evaluation, we try to categorize the client in the following buckets :

    a. Entrants: No TMS and transportation processes are small-scale and adheres to industry standards without much deviations.
b. Intermediate: No TMS or client has homegrown applications with complex business processes
c. Complex: OTM is already implemented but running on an older version or is highly customized leading to significant expenses on infrastructure and licenses

Infosys can help companies transform from a state of legacy or no systems to one with future-proof systems. Our evaluation process for each of the above categories differs. We believe in the basic mantra that software must compliment the business and not define it, but somewhere Oracle has put most, if not all, of the best practices into the software. Hence, it is always best to see if the processes can be made lean and mean. Infosys puts the effort in understanding the business and the criticality of the process implemented before any recommendation is provided to the client.

     a. Entrants: There are some smaller companies which do not own comprehensive transportation systems. Moving to OTM solution is the best option for them. They get industry best practices at the least cost possible. It kick-starts the redefinition of their processes, improves their business, and paves the path for growth. As a result, they get to own industry standard processes at a much lower investment. We also enable them to choose from a range of pre-configured solutions to rapidly reduce implementation life cycles by using standard processes and valuable, bolt-on applications
b. Intermediates: The best option is to move to OTM to make their systems future proof. We provide an assessment of the solution and a recommendation based on the complexity and client objectives.  If after careful evaluation, it is still found that certain customizations are absolutely necessary, then OTM can be complemented with the Oracle Platform as a Service (PaaS) solution. The combination of OTM and PaaS helps to bridge the gap between customizations and standard features
c. Existing: Many companies run on legacy transportation management solutions. This requires additional investments for upgrades and continued support from software vendors. This is where the move to OTM Cloud will also be helpful. We can migrate the solution to OTM Cloud and complement it with Oracle PaaS solution

     Each industry has it specific nuances and any solution has to be reflective of that. Our solutions are industry-specific and take care of these nuances. In addition, they can be rapidly implemented with pre-configured OTM instances, documentation, mobility, etc. The solution suite from Infosys can include the PaaS solution as well, if the standard features of OTM do not fulfill all requirements.

The combined benefits of implementing our solution along with OTM Cloud are as follows:

     1.  Low cost which makes the OTM Cloud proposition very attractive. There is no investment on infrastructure 
2. Rapid implementation methodology helps customers gain faster return on investment
3. Upgrades are managed by Oracle and Infosys, which ensure that the client's technology infrastructure remains current. Cost-effective license fee as customers avail a subscription based model
4. PaaS solutions are provided for functionalities that do not have a standard OTM feature

Written by: Anirban Roy and Sambasivam

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