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. 

Challenges abound in today's Logistics environment.  Shippers have to adapt or sink. Businesses will be faced with the choice of doing things the way they’ve always done them, or assessing their business processes and evaluating partnerships in the hopes of doing them better.  63% of shippers cite cutting transport costs as their biggest challenge. This is followed by business process improvement (32%) and improving customer service (31%).

Engineers began to fill the new Pacific end locks of the Panama Canal with water in June in preparation of testing the new gates prior to  opening to commercial traffic in April 2016.  This phase puts the 5.3 million dollar canal expansion project on track with the revised timetable for completion.

Over the past 3 years, the National Transportation Safety Board has investigated nine rear-end accidents involving passenger or commercial vehicles striking the rear of another vehicle, the result of which was 28 fatalities and 90 injured people. In 2012, rear-end crashes resulted in 1,705 fatalities and represented almost half of all two-vehicle crashes.

A familiar (and painful) scenario we all surely endured at some point involves the shipment of product to someone’s receiving dock only to find out later that the bill is about double what was expected because the initial estimate was way off.

Reducing freight rates comes from understanding your business, your specific needs and the logistics business as a whole. Parts one and two of that formula won’t challenge most business owners, but the logistics part can lead to head scratching or worse — unnecessary costs.

Fedex has agreed to pay $228 million to settle litigation claiming the company short-changed its drivers on pay and benefits by improperly labeling them as independent contractors. The settlement disclosed on Friday is directly related to a decision against the Memphis, Tennessee based package delivery company in August, when a federal appeals court in Oakland found that Fedex misclassified 2,300 Fedex Ground and Fedex Home Delivery drivers working in California from 2000 to 2007 as independent contractors.  After that ruling,  Fedex immediately sought a judicial review.  Fedex independent contractors have claimed for years that they should be considered employees and not independent contractors.  Under California law the employer / employee relationship is determined largely by the extent of power the employer has over the employee in the performance of their duties.  In the case of the Fedex contractors they were required to work overtime and provide replacement drivers, at their own expense, to fill in for their own sick and vacation time.  Lawyers for the plaintiffs said FedEx shifted hundreds of millions of dollars in costs to the workers, including obtaining and operating Fedex branded trucks, Fedex branded uniforms and Fedex scanners. The attorneys also said the company didn't pay for missed meal and rest periods and overtime compensation. The 9th U.S. Circuit Court of Appeals in Oakland ruled that the workers weren't independent contractors because Fedex controlled the manner in which drivers do their jobs, including scheduling, appearance and equipment requirements. The Ninth Circuit's decision reversed earlier court rulings in favor of Fedex in Indiana.   

The Independence Day holiday period has shown cargo is exceptionally vulnerable to theft because of reduced security or, in some cases, no security at all.  According to CargoNet, a division of Verisk Crime Analytics, 30 thefts were reported between July 2 and July 7 last year, and in 2012, 39 thefts were reported for the same period. Here are some tips on how you can beef up security for your goods in the warehouse and in transit.

Most larger businesses can easily afford to manage their own trucks and drivers. As a leader of your company’s logistics function, you know all-too-well that simple pickup and drop off does not add up to a complete 3PL logistics solution.