Ensure Capacity: Be a Shipper of Choice
The trucking industry tends to be cyclical, often fluctuating between periods of overcapacity and tight markets. When the market shifts and capacity becomes tight, spot rates can surge, making it difficult to book a load. Shippers who are considered a shipper of choice are better positioned to secure space and ensure their freight gets where it is going.
“In a world that seems to have more and more disruptions, there is no substitute for a long-term strategy of being fair and equitable with your trading partners,” said Andy Moses, senior vice president of sales and solutions at Penske Logistics. “Savvy shippers and those who plan to succeed in any operating environment have figured out how to collaborate with their carriers.”
Moses recommends that shippers work with carriers to find mutually beneficial ways to reduce costs. This can include minimizing the time drivers spend at the gate by implementing efficient check-in and check-out processes.
Shippers should also be mindful of drivers’ time when scheduling trucks and work to minimize delays and detention, said Kandice Nadeau, vice president of dedicated contract carriage solutions at Penske Logistics. “They have to be very cautious when scheduling and make sure that appointments can be met within a reasonable tolerance of when they’re asking the trucks to be there,” she said.
Penske Logistics has a suite of tools in place through its ClearChain® technology to help shippers and carriers optimize shipments and improve asset utilization. ClearChain also provides increased visibility into the supply chain, which helps keep freight moving by anticipating disruptions and ensuring timely arrival. The technology can also alert locations when trucks are arriving, so receivers are ready.
Additionally, LeAnne Coulter, vice president of freight management at Penske Logistics, said shippers should be mindful of how they’re treating drivers. Giving drivers access to amenities, such as restrooms, is essential. Shippers should also ensure they’re working to keep drivers safe while in their facilities. “That is becoming incredibly important for companies in securing capacity going forward,” she said.
