Chris Miller

Attention Frozen Shippers, this question is for you: Has anyone else noticed or wondered why the temperature controlled LTL market is still operating in the past? The dry LTL guys figured out tariffs long ago and have a standard for rating their freight. Maybe I missed it along the way and I'm not understanding (need training), but are there any other frozen LTL shippers out there scratching their heads on why nobody has set the standard? Maybe we just haven't found the right frozen LTL providers. #LTL #Frozen #tariffs #GilligansIslandEra

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Number of the day: 15 This represents the number of subjects pending review / changes for LTL NFMC Classifications Link below

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Here are WARP's Most Popular LTL Lanes of June 2024 and common issues using legacy LTL carriers vs WARP’s LTL. Delayed Freight ❌ Legacy LTL: LTL carriers prioritize consolidation over customer experience due to terminal and truck costs. This lack of transparency results in inconsistent deliveries, which disrupts order fulfillment and labor planning. LTL carriers also do not care about missing pickups if your product is minutes late or there's any miscommunication on the dock - they just leave, causing further delays and dock congestion. ✅ WARP's Solution: What sets us apart is our approach: we don't own the assets, enabling us to prioritize customer satisfaction over covering fixed overhead costs. Instead, we leverage third-party providers to enhance flexibility and responsiveness when serving our customers. This flexibility allows us to tailor solutions to specific needs, ensuring a seamless and reliable experience for all involved. Our dynamic line haul optimization system revolutionizes efficiency in freight transport. We minimize delays and guarantee consistent arrival times by constantly re-optimizing routes and schedules. Damaged Freight ❌ Legacy LTL: Damages may occur due to inadequate handling during loading, consolidation, and unloading. Insufficient packaging protection against rough handling and limited visibility throughout the shipment process are factors. Poor communication between carriers and shippers regarding handling requirements increases the risk. Additionally, congested terminals and overcrowded trailers can lead to products being stacked or squeezed, increasing the risk of damage during transit. ✅ WARP's Solution: To minimize damage, we avoid stacking freight to protect delicate items and prevent excessive pressure on them. Our careful loading and unloading procedures and durable and strong packaging protect items from rough handling. We provide clear communication channels between carriers and shippers to ensure proper handling requirements are met, reducing the risk of damage and ensuring the safe arrival of products at their destination. Lost Freight ❌ Legacy LTL: Typical LTL tracking lacks real-time status updates for a shipment's first and last mile legs. This is due to limited visibility and scan events throughout delivery and terminal networks. Inadequate tracking can lead to lost products. Poor communication between shippers and carriers about shipment details and handling instructions increases the risk of missing items. ✅ WARP’s Solution: We offer end-to-end live tracking, providing real-time status updates and ETAs to minimize the risk of lost freight. We have communication channels to ensure seamless interaction between customers and our software platform. This commitment to transparent and accessible communication enables us to address any issues promptly and efficiently, further enhancing the reliability of our tracking system. #innovation #technology #middlemile #logistics #supplychain #freighttech

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When it comes to shipping LTL freight, the carrier you choose can make all the difference, but how do you know which one is right for you? Here's a breakdown of 6 types of LTL providers to help you make an informed decision:

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With the 4th of July holiday fast approaching, I wanted to take a look at where June’s dry van truckload spot market rates stand to get a sense if the market is showing any signs of turning. Two charts below using data from DAT Freight & Analytics. Thoughts: •Top chart shows dry van spot rates as well as dry van broker buy contract rates. Dry Van spot rates, while up $0.06 per mile from the April low, are down $0.03 per mile from June 2023. Given diesel prices are down just $0.08 per gallon from a year ago (https://lnkd.in/g5sUVM8V), fuel isn’t driving this difference. •June 2024’s $0.03 increase over May is quite weak relative to what we have traditionally seen in dry van TL bull markets. In 2014 the increase was $0.11 per mile; in 2017 it was $0.10 per mile; and in 2018 it was $0.17 per mile. For that matter, the increase was $0.10 in 2019 (a down year)! As such, spot prices so far are a sign of a cruel summer—my daughter is obsessed with Taylor Swift—from a pricing standpoint. •Bottom chart shows the dry van spot market cycle indicator (DVSMCI), calculated as the broker buy rate less the spot rate, with the difference divided by the average of the two measures. That ratio is currently 16.6%. While better than last year’s 19.9% reading, we are well away from the 10% threshold where we have tended to see markets flip. Implication: dry van spot market data suggest that folks who made predictions of the dry van truckload market flipping from bear to bull in late Q2 or early Q3 likely made an overly optimistic forecast. I increasingly believe the earliest the market could meaningfully flip is Q2 2025, and this will require many things to go right from carriers’ vantages for this to occur. #supplychain #supplychainmanagement #freight #trucking #truckload

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Unlock a new era of precise and cost-effective freight shipping. Learn how you can overcome challenges in the LTL freight quoting process with the powerful integration of RXO Connect™ and Shiplify. https://bit.ly/4bCsatD

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#Interesting and very #DESPERATE times ... if some carriers have embraced the concept of a "Loss Leader" just to keep the doors open. The concept of ... "Yea, we lose a $1 on every sale, but we'll make it up in volume" has #NEVER worked in retail and it definitely won't work here in trucking where it's #NOT $1 per load, but hundreds of dollars per load. I get it that there are some carriers that are just barely staying alive and hoping and praying the #CashFlow will keep them alive to fight another day. But losing money on loads, is #NEVER a good idea, especially when you are struggling. I personally know of one such TL carrier with over 400 trucks out of the Northwest that may not survive the month. I hope and pray that they do, for the sake of the drivers and employees. But when #Leadership is too proud to admit their mistakes, and unwilling to accept the recommendations of those wanting and willing to assist to help the carrier survive ... and even provide those services on a Pro Bono basis (for some that may not know the term, that's for #No #Charge) ... there's not much that friends or associates can do. Anyhow, enough about that ... read the article and I'm sure you'll walk away scratching your head. https://lnkd.in/gsvQDjCb

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Why Inventory Managers use us: STOP THE CHAOS: There is so much more on an inventory managers plate than just logistics. Let us handle the carrier vetting, assigning and tracking the vehicles to get them to your lot so you can focus on getting them inspected, through recon and staged for sell. Quicker time to the front line means faster turns and more profit for the store. ONE CONTACT: All you need to know about all of your moves is just one phone call or email away. We give you a dedicated rep to handle all of your moves. They learn your business and SLA's to keep you looking like the glue that keeps the dealership running. NO LOST VEHICLES: No need to chase down various carriers, wait for return phone calls, and worst ... having to keep telling your GM "I don't know where they are." We keep track for you and put this information at your fingertips. We make it easy: You buy. We ship. #inventorymanager #usedcars #dealerships #auctions #carsales #bdc #wholesale #carsales #franchiseddealers #dealergroup #ucm #gm #gsm #gm

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Nothing is perfect in logistics. Now we'll tell you something you might NOT know... Epay Manager STARTS with a broker's TMS data and eliminates 99% of the back and forth, tedious "needle in a haystack" searching that can cause headaches...or worse. Be more efficient...MUCH more efficient...with Epay Manager Powered by OTR Solutions.

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Q1 has come and gone, and the dry van truckload market did not turn as more optimistic predictions had predicted (https://lnkd.in/gbWQFQB6). Q2 hasn’t looked any better? Why? The answer: demand for truck transportation remains weak. This is in spite of strong year-over-year gains in imports and robust retail trade sales. How can this be the case? Simple: domestic manufacturing still produces the bulk of for-hire trucking demand, and freight-weighted domestic manufacturing remains in a deep slump. One chart below showing this using the seasonally adjusted for-hire trucking ton-mile index that I coauthor. Thoughts: •February’s seasonally adjusted ton-mile reading jumped 1.5% from January’s low reading (which occurred due to the polar vortex) but remains down roughly 2% from this time in 2023 (and remember, we had been in a freight recession for roughly 5 months as of February 2023 [September 2022 saw the first major drop in demand]). •Relative to the seasonally adjusted peak from March 2022, demand for truck transportation has dropped 4%. That may not seem like much, but employment has fallen just 0.3% over this same period (see https://lnkd.in/gdYDGD4j). •For those wondering why demand isn’t stronger given those strong import gains, remember what I’ve been preaching for year(s): imports don’t represent that much freight relative to what we manufacture domestically. Consequently, all the stock analysts focusing on import-centric retail trade are missing the boat (pun intended). Implication: for the dry van truckload market to turn from bear to bull, we either need a much larger loss of capacity (unlikely to happen quickly) or for demand to improve substantially, which will require a sharp rebound in domestic manufacturing activity (also unlikely to happen quickly). As such, I would pencil in “blah” conditions for the immediate future. #supplychain #supplychainmanagement #shipsandshipping #freight #trucking  

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Double brokering. It’s illegal. It occurs when a freight broker, who has already been entrusted with the shipment by the shipper, re-brokers the load to another broker or carrier without the shipper’s knowledge or consent. Essentially, instead of passing the load directly to a legitimate carrier, the broker transfers it to another intermediary, often leading to a messy chain of responsibility. The Risks and Implications 1. Financial Risks: Double brokering can lead to significant financial losses. Payment issues are common as the original shipper might end up paying twice, or the final carrier might not receive payment at all.  2. Security Concerns: With multiple brokers involved, the security of the shipment is compromised. The chain of custody is obscured, making it easier for cargo theft to occur. This lack of transparency can also result in the load being lost or damaged without clear accountability. 3. Legal Ramifications: Double brokering is often considered fraudulent and illegal. It violates agreements between shippers and brokers, leading to potential legal disputes and can result in heavy fines and penalties. 4. Reputation Damage: It can tarnish a business's reputation. Trust is crucial in logistics, and once it's breached, it can be challenging to rebuild. Shippers are likely to avoid brokers who engage in double brokering. How to Identify Double Brokering 1. Lack of Transparency: If a broker is hesitant to provide information about the carrier handling your shipment, it could be a red flag. Legitimate brokers maintain open communication about their carriers. 2. Inconsistent Communication: Sudden changes in contact points or discrepancies in communication details can indicate that your shipment is being passed through multiple hands. 3. Payment Anomalies: Requests for payments to be made to different entities or unusual payment terms should be scrutinized closely. 4. Contractual Discrepancies: Always ensure that the contract explicitly states that the load will not be re-brokered. Preventing Double Brokering 1. Due Diligence: Conduct thorough background checks on brokers and carriers. Verify their credentials, insurance, and reputation within the industry. 2. Clear Contracts: Ensure that your contracts explicitly forbid re-brokering. Legal language should be clear and enforceable, with specified consequences for breaches. 3. Technology Solutions: Use technology to track and trace shipments in real-time. Platforms that offer end-to-end visibility can help mitigate the risks associated with double brokering. At uShip, we prioritize transparency and trust in all our transactions. We strictly prohibit double brokering within our platform to ensure that our customers’ shipments are handled with the utmost integrity. Our commitment to legal and ethical practices means that when you choose uShip, you can be confident that your freight is in safe hands, managed by reputable carriers and brokers. #Transparency #Logistics

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Supply Chain: SCAC Codes Given that there are thousands of carriers, there are also thousands of SCAC codes. It’s critical that you use the right one to maintain compliance with your retailer and control over your shipping. Here are a few you might recognize. Anyone have additions to this? AAA Cooper  AACT ABF Freight  ABFS Averitt Express AVRT XPO Logistics CNWY XPO Logistics XGSI DHE DPHE Bolt Express BXPE Daylight DYLT Estes Express EXLA Old Dominion ODFL FedEx Express FDEN FedEx Ground FDEG FedEx Freight National (formerly Watkins) FXNL FedEx LTL Freight East FXFE FedEx LTL Freight West (Formerly Vikn – Viking) FXFW RJW Logistics RJWI UPS Small Shipment Processing UPSN UPS Freight UPSG #scac #EDI #supplychain #logistics

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Headlines about layoffs rightly cause much concern and consternation in the trucking industry (e.g., https://lnkd.in/g9useTDD). However, it is critical to understand that this tells only half the story because a substantial percentage of trucking layoffs occur because a firm loses a key customer account. What that means is that the firm which won the business will often expand (which tends not to be reported). Below I wanted to document just how prevalent such reallocation of jobs is in trucking using population-level data from administrative records for all employer firms in truck transportation via the Business Dynamics Statistics (BDS) program. Data from https://lnkd.in/gVr6BbRW for all carriers. Thoughts: •The chart shows three series. The job creation rate is the jobs added by the subset of carriers that expanded or started operations in year t relative to t-1 divided by the average employment across all carriers in years t and t-1. Analogously, the job destruction rate is defined as the jobs lost due to carriers that downsized or exited in year t relative to t-1 divided by the average employment across all carriers in years t and t-1. The Net Rate of Job Change is the difference between the series and represents the percent change in employment for a given year. Data cover 1978 – 2021, with each data point representing change for that year relative to the prior year (e.g., 1978’s data point compares March 1978 data with March 1977 data). •What I want to emphasize: even when the net rate of job change is relatively low (e.g., 4.3% for March 2019 vs March 2018), this hides that there is a much higher rate of jobs being reallocated across carriers. For example, that 4.3% March 2019 figure hides a 14.9% job creation rate and a 10.6% job destruction rate. •Consequently, what economists call excessive job reallocation in 2019 was 21.2%, which represents the sum of job creation and destruction rates (14.9 + 10.6) less the absolute value of the net change in jobs (4.3), ergo 25.5 – 4.3 = 21.2. That is a lot of reshuffling of jobs across firms. Implication: Trucking jobs are reshuffled across carriers all the time. Focusing only on layoffs misses that firms which win new contracts are likely to expand. #supplychain #supplychainmanagement #freight #trucking #truckload #logistics #transportation

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Less Than Truckload (LTL) is becoming a smart choice for businesses, offering access to specialized services, cost savings, and reduced environmental impact, along with flexibility and advanced tracking. Discover the power of LTL in optimizing your supply chain and boosting profitability in our latest blog. #SupplyChainOptimization  #Logistics #LTL

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If 4PL fulfillment centers are going to succeed, I can't figure out why none of these providers have taken systems infrastructure nods from regional LTL carriers. Interline LTL shipments are the closest thing we have in our space to successful "Fourth Party Logistics" and yet no one's gone down this path? P.S. before anyone chops my head off for nuance: Shipper > 3PL > Carrier > Partner Carrier= 4th party.

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