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Descartes Systems Group
Canadian software company From Wikipedia, the free encyclopedia
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The Descartes Systems Group Inc. (commonly referred to as Descartes or DSG) is a Canadian multinational technology company specializing in logistics software, supply chain management software, and cloud-based services for logistics businesses.
Descartes is known as one of the earliest logistics technology companies to adopt an on-demand business model and sell its software as a service (SaaS) via the Internet. In addition, the company operates the Global Logistics Network, an extensive electronic messaging system used by freight companies, manufacturers, distributors, retailers, customs brokers, government agencies, and other interested parties to exchange logistics and customs information.
Headquartered in Waterloo, Ontario, Canada, Descartes is a publicly traded company with shares listed on the NASDAQ Stock Market (NASDAQ: DSGX) and Toronto Stock Exchange (TSX: DSG). It has offices in the Americas, Europe, the Middle East, Africa, and the Asia Pacific region.
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History
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Descartes was founded in 1981.[2]
In 1998, the company made an initial public offering on the Toronto Stock Exchange,[3] where its common shares traded under the stock symbol DSG.[4] Descartes was first listed on the NASDAQ Stock Market in 1999,[3] with common shares trading under the symbol DSGX.[5] Descartes’ share price peaked during the dot-com bubble in 2000, and then fell precipitously in the subsequent crash.[3][6]
In 2001, Descartes switched its business model from selling full-featured enterprise software licenses to providing on-demand software on a subscription basis, becoming one of the first SaaS providers in the logistics sector.[7][8] After years of losses, Descartes came close to bankruptcy in 2004,[6] prompting it to aggressively restructure.[9][10] The company cut 35% of its workforce[11] and initiated a sweeping transformation of its corporate culture under CEO Arthur Mesher, who was appointed in 2005.[6][12][13]
The company returned to profitability in 2005,[14] with Difference Capital Managing Director, Tom Liston, describing this as "one of the most dramatic turnarounds in Canadian corporate history."[13]
In December 2013, Descartes was added to the S&P/TSX Composite Index, an index of the stock (equity) prices of the largest companies on the Toronto Stock Exchange.[15]
By January, 2015, Descartes had posted 41 straight profitable quarters[16] and was supplying logistics software and services to more than 10,000 logistics-centric businesses, such as ground transportation companies, airlines, ocean carriers, freight forwarders, manufacturers, distributors, and retailers.[17][18][19][20] Its customers included American Airlines, Delta Air Lines, Air Canada, British Airways, Maersk Group, Hapag-Lloyd, Con-way, Kuehne + Nagel, DHL, The Home Depot, Sears Brands, Hallmark Cards, Hasbro, Volvo, Ferrellgas, Del Monte, Toyota, and The Coca-Cola Company.
In 2018, Gartner ranked Descartes 6th in its list of the Top 20 Supply Chain Management Software Suppliers, based on revenue of $221 million.[21]
In 2025, Descartes was also recognised by the ARC Advisory Group as the leading provider of cloud-based Transport Management Systems (TMS) and the leading provider of fleet management applications.[22][23]
As of 2025, 5 Descartes products are recognised in the Top 50 Supply Chain & Logistics Products list on G2, and the company is recognised as the #1 Grid™ Leader in 12 categories.[24][25]
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Acquisitions
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Acquisitions have played a key role in Descartes’ growth.[26][7][27][28] By acquiring niche technology companies, Descartes has expanded its line of logistics software and services, enlarged its customer base, and extended its business geographically.[29][30]
Acquisitions going back to 2006 are listed below.
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Services and Solutions
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Through acquisitions and product development, Descartes has expanded into various solution markets and sectors.
Transportation Management
Descartes’ Transportation Management solution offers a platform that shippers, freight brokers, and 3PLs can use to synchronize transportation processes and optimize the flow of goods with multimodal TMS, real-time visibility, dock scheduling, and carrier connectivity solutions.[96]
Routing, Mobile and Telematics Software
Fleet Management is designed to enhance fleet productivity, optimize performance management, ensure safety, and elevate service levels. Descartes' solutions include Fleet Mobile Applications, Customer Engagement Software, Route Planning, Optimization & Dispatch.[97]
Global Trade Intelligence
Descartes also provides trade intelligence solutions for compliance, enablement, and analytics. These include tools for managing export controls, sanctions, import classifications, tariffs, Free Trade Agreements (FTAs), and global trade data.[98]
Customs and Regulatory Compliance
Descartes’ Customs and Regulatory Compliance solution supports cross-border trade with preparation, filing, and visibility solutions for cargo security, customs declarations, and other regulatory mandates through international compliance technology. Some of these solutions include customs declarations, export compliance, and Foreign Trade Zone (FTZ) management.[99]
E-Commerce Shipping & Fulfilment Software
Descartes offers e-commerce and shipping software that supports D2C/B2C brands, marketplace sellers, 3PLs, and more with unified tools for inventory, orders, warehouse, and shipping management.[100]
Broker & Forwarder Enterprise Systems
Their Broker & Forwarder Enterprise Systems streamline and operate shipment management, customs compliance, accounting, and customer relationship management. This solution includes a shipment portal, customs compliance, Foreign Trade Zone (FTZ) management, and Digital Rate Management.[101]
B2B Connectivity and Messaging
Their B2B Connectivity and EDI Messaging solution connects hundreds of thousands of parties globally through the Descartes Global Network to translate, transform, and transmit business-critical data and information. Businesses can share data and documents electronically from advanced messaging techniques to EDI and “low-tech” portal solutions.[102]
Global Logistics Network
Descartes’ cloud-based logistics messaging system, the Global Logistics Network (GLN), connects more than 26,000 customers in over 200,000 connected parties in more than 160 countries.[103]
Companies use the network to oversee shipping orders, file customs paperwork, comply with security regulations, share information across international supply chains, and automate logistics processes.[20][104][105] In 2015, Descartes signed a deal with German business software giant SAP SE that allows users of SAP’s transportation management software to access the GLN.[104]
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References
External links
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