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Purpose ‐ The purpose of this paper is to use the conceptual model of the Smart Transportation Management (STM) system and analyze how the included factors change the performance of distribution activities and what management issues are at stake. Design/methodology/approach ‐ To prepare the paper, a literature study was made and case studies carried out in companies and organizations that are included in advanced transportation setups, including infrastructure providers, carriers, truck manufacturers, software providers, shippers, and more. Findings ‐ The main finding of the study is a model that includes three major components of smart transportation management, namely, smart goods, smart vehicles and smart infrastructure. These components embrace some factors that have effects on supply chain performance; however, to different extents. Research limitations/implications ‐ The paper uses a framework for the smart transportation management system that is useful when studying advanced transportation management systems, the functions that need to be supported and what factors have effects on supply chain performance. Practical implications ‐ Practical implications are mainly based on the structure of the smart transportation system that is used and the identified factors that affect the performance of the supply chain, as these factors can be influenced by logistics management. Originality/value ‐ The framework used in this research is a new development that collects advanced functions of goods identification, vehicle information systems and infrastructure systems into one conceptual model for smart transportation management that include some factors that are affecting supply chain performance.