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Maximizing LTL Routing Efficiencies

Posted by admin on Aug 26, 2015 11:12:00 AM

Every carrier, large and small, has their "sweet spot" lanes; those lanes that achieve a well balanced mix of freight to and from their core customers and terminals.  Achieving this balance and minimizing empty miles are the most critical aspects of running a profitable trucking company.  Any carrier’s tariff or quoted pricing will absolutely reflect the level of desirability of any pickup or delivery point.  Understanding this information should be an integral part of your freight routing strategy.  Routing a shipment to a carrier for which the origin or destination are considered outside their sweet spot will result in a higher rate and (most likely) sub par transit times.  They really don't want that particular shipment but take it at a premium price to appease the customer.  They will often times hand it off to a carrier that services that origin or destination.  This "Partner Carrier" relationship, as it is commonly referred to today, often causes a reduction in overall customer service.  Dissecting, understanding and utilizing this information is exactly what a 3PL offers its shipper clients.  A 3PL offers maximum utility in routing decisions and the price benefit of large volume freight tendering. 

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Topics: Maximizing Routing Efficiencies, Freight Bill Audit