Richard Vega, an authorized agent of GlobalTranz, shares his experience from attending the GlobalTranz Annual Freight Agent Conference.
“A routine day consisting of sales calls, customer service, and meetings leaves little room to build on my knowledge base. Our industry is rapidly evolving, and our competition is evolving with it! I am grateful for the GlobalTranz Agent Conference and recommend it for all who are seeking to keep up with the times and/or stay on top of the competition. The conference sets the stage for your success. I look forward to the upcoming 2019 Agent Conference and its platform which motivates me to stop, absorb, and strategize! Furthermore, the opportunity to connect with GlobalTranz team members during the Open House is a definite bonus. I can’t wait to pick their brains yet again!”
Freight Nation, LLC
Interested in attending the 2019 GlobalTranz Freight Agent Conference? Click here to register.
Eric Simon, an authorized agent of GlobalTranz, shares his experience from attending the GlobalTranz Annual Freight Agent Conference.
“I have been attending the annual GlobalTranz Agent Conference since 2010, and I encourage all GlobalTranz agents that are serious about growing their business to attend and participate.
As an agent running your business, it’s hard to find the time to step back, get some perspective, and assess what is and is not working in your business today. Attending the GlobalTranz Agent Conference affords you that opportunity to work “on your business”, by providing you with the latest on industry trends, best practices from agents nationwide, inspiring ideas from insightful speakers & colleagues, and of course, the latest info on how GlobalTranz can support your business.
I have been known to say that GlobalTranz is not Subway- that is, they don’t teach you how to make the sandwiches! However; what GlobalTranz does provide is the knowledge, tools, and resources that enable agents the opportunity to make the best sandwiches they can. The GlobalTranz Agent Conference is where a lot of that knowledge will be imparted.
We are fortunate to have such a dedicated and passionate team at GlobalTranz corporate to provide a forum for enhancing our businesses. The annual conference focuses on building a culture of collaboration, innovation and teamwork with each agency to achieve our collective success.
If you’re still not convinced, remember that the GlobalTranz IT team will be sharing key information about the new GTZconnect platform. You don’t want to miss that!”
Integrated Freight Logistics, Inc.
Interested in attending the 2019 GlobalTranz Freight Agent Conference? Click here to register.
The 2018 economic surge has pushed freight demand past available capacity, impacting shippers’ budgets with rising transportation costs across all modes. Many analysts anticipate bullish freight markets through 2020, which has shippers looking for new ways to manage costs, secure capacity and drive efficiencies.
With RFP season upon us, here are 10 tips for shippers to consider when planning transportation budgets and sourcing logistics partners.
1. Consolidate shipments to increase volume: Consolidating shipments decreases overall costs by increasing volume and efficiency. It also helps avoid loading dock congestion and can result in fewer accessorial charges.
2. Leverage locations and condense length of haul: Shippers can save time and money by strategically using distribution centers and condensing length of haul based on the location of customers. Using a nationwide network of warehouses to shorten line hauls will also help decrease the cost of transporting products to final destinations.
3. Understand paper rates vs. truck rates: Sometimes what looks straightforward on paper, like line-haul distance, doesn’t reveal additional details that could affect a bid, such as pickup or delivery appointments and loading dock hours of operation. A simple 100-mile haul on paper could take two days if the consignee cannot accept a shipment that arrives after 4 p.m., which would increase the cost. Make sure to provide enough background information, so you receive accurate pricing.
4. Become a shipper of choice: Today’s capacity constrained environment, with more freight than available trucks, has carriers and drivers in a position to choose which shippers and loads are the most lucrative for their business. Shippers who provide better experiences for carriers can reap long-term benefits in the form of higher service levels, fewer claims and better rates. To be a shipper of choice, run efficient and friendly dock operations, reduce driver wait times, provide comfortable breakroom and restroom accommodations and pay carriers quickly and accurately.
5. Contract consistent freight volume: With consistent volume on repetitive lanes, 3PLs like GlobalTranz can secure and negotiate contractual capacity, while leveraging their network to cover backhauls for those loads. As a result, service levels and on-time performance will improve.
6. Drop trailers for high volume: With the ELD mandate and HOS rules, carriers have become more conscious of loading and unloading time. Drop trailer programs create flexibility for shippers to load trailers at their own convenience, reduce the cycle time for loading and unloading, and provide ample planning for carriers to align power units and drivers’ hours of service. All of this helps keep freight costs down and mitigate capacity challenges during dynamic freight markets.
7. Leverage data: Data is becoming a company’s most valuable asset. Many businesses have access to a lot of data, but lack the tools to make decisions from it. In logistics, cost savings and efficiency improvements are tied to a company’s ability to leverage their data and make actionable decisions. Tech-enabled 3PLs like GlobalTranz have advanced analytics capabilities to develop custom transportation programs and solutions during an RFP process, using shipper data to identify optimization opportunities for overall cost savings.
8. Communicate objectives and important KPIs: Service quality is as important as price, so be sure to communicate key performance indicators (KPIs) with potential service providers. Quality logistics service providers will hold themselves accountable and benchmark for continuous improvement to ensure they’re helping make an impact on your business. On-time pickup, on-time delivery and tender acceptance or rejection percentages are a few examples of important KPIs.
9. Plan and budget for high-demand periods of the year: Look ahead and remember there will be times during the year where higher-demand for capacity could impact your costs. Produce, harvest and holiday seasons place a higher demand on the nation’s trucks, which in turn could increase rates.
10. Establish strategic partnerships: Instead of focusing on price and commodity-based services, look for ways logistics service providers can be consultative and bring value-added operations to your business. A strategic partner is constantly looking for opportunities to save your company overall costs. The most effective partnerships evolve when you integrate your firm’s ERP and supply chain systems with a TMS to provide end-to-end supply chain visibility.
Growing complexity in the supply chain demands innovative and consultative approaches to logistics management. To learn more about selecting the right logistics partner, call 866.275.1407 to speak with an expert or Contact Us.
Transportation leaders today are faced with increasing buyer delivery demands, capacity challenges, government regulations, fluctuating rate markets and the overall digitization of supply chains. At the same time, they are pressured with managing day-to-day transportation processes, usually without specialized staff or an adequate number of internal resources, while trying to control or reduce transportation costs.
Many transportation leaders utilize freight brokers and logistics service providers to help them manage their transportation operations and access a network of providers. But transportation managers are increasingly hungry to take their logistics operations to the next level. They are looking for more consultative partnerships rather than transactional relationships in search of additional value-add. They’re looking for solutions that consider the unique nuances of their business, products and customers; solutions that drive efficiency and control costs, especially in today’s dynamic logistics market.
That’s where managed transportation services come into play.
Transactional Services vs. Managed Transportation Services
At a high level, managed transportation services include the outsourcing of all or part of a company’s internal logistics operations throughout the order-to-cash lifecycle. The typical asset-based or transactional-based logistics services provider relationship consists of a planner at the shipper telling the provider the mode, lane, and details about the shipment in search of cost or service fulfillment, then the provider executes that shipment.
In a managed transportation arrangement, the shipper’s planners are employed by the logistics services provider, who receives a feed or download of shipments from a shipper’s enterprise systems, performs all planning – rating, sourcing, consolidation, optimization, etc. – and then executes the loads.
Managed transportation service utilizes a consultative approach beginning with an in-depth discovery process and needs analysis to identify client business goals and define success measurement benchmarks. Based on a company’s specific supply chain needs, a customized transportation roadmap and design is developed, then executed by the logistics services provider. All operations – from rate negotiation to freight payment and auditing are outsourced to the logistics provider.
From the technology perspective, the foundation of a successfully managed transportation relationship is the integration of all applicable business systems based on client requirements, including ERP, WMS, order management and more. The higher the level of integration, the greater the opportunity for a logistics service provider to reduce a company’s manual efforts and increase their efficiency.
Managed transportation technology services include the combination of a leading edge TMS and business analytics to provide client stakeholders with a pulse on their business (i.e. KPI’s, self-service and custom reporting, heat maps, etc.). Additional optimization tools for network analysis and design are used to look at Macro level supply chain opportunities.
Managed transportation is truly an integration of people, processes and technology dedicated to shippers’ specific supply chain needs.
With managed transportation services, a team of consultants will get to know your business from all aspects. They configure solutions to reflect your growth path or specific needs.
When one of the largest telecom providers asked GlobalTranz to help them transform their logistics function from a decentralized model to a centralized model, we helped them understand the current state of their supply chain and developed a customized multi-year roadmap toward a centralized function.
A true consultative managed transportation partner won’t pull a solution off the shelf or stuff your business into a box. They’ll develop custom solutions based on the maturity of your company’s supply chain function, freight spend, headcount, volumes, business goals and other considerations specific to your business. It’s truly a mutually beneficial partnership.
Look Beyond Rates
Given the tight capacity and rising rates in today’s market, it’s no wonder that shippers are looking for any way to drive down costs. Shippers are starting to realize they can’t buy transportation based on rates alone. Managed transportation services help drive efficiencies and best practices into supply chains to reduce costs over the long term.
Managed Transportation Services combined with advanced TMS technology help shippers make their logistics operations a competitive advantage. Shippers can utilize managed transportation partners for strategic planning, such as determining if their hub and spoke distribution model works, the most efficient location for a new distribution facility or where to source products based on total landed cost.
Do You Need Managed Transportation?
Growing complexity in the supply chain demands innovative and consultative approaches to logistics management. If you are a transportation leader looking to drive cost savings, efficiency and visibility, focus on your core competencies rather than logistics operations, and leverage logistics as a competitive advantage, it’s time to consider managed transportation services.
Learn how Managed Transportation services can drive overall cost savings and efficiency into your supply chain. Request a logistics and freight needs analysis: Call 855-444-6608 or Contact Us.
As we’ve shared with you in a recent article, today’s freight landscape has been transformed into a carrier’s market. For the first time in many years, drivers and carriers find themselves in a position to choose which shippers they most want to work with, giving rise to the shipper of choice environment.
According to JOC.com (The Journal of Commerce), many carriers and drivers are collecting data that helps identify inefficiencies with shippers across the country. “Shippers might be surprised by how much data their trucking suppliers have on them: enough to pinpoint problems at specific docks across the country. That directly affects both the price of trucking for those shippers and whether they get a truck at all,” noted a recent article.
Driver feedback is being collected by both large and small carriers to monitor shipper inefficiencies and issues. To stay on the best terms with your carriers, shippers should be more vigilant than ever when managing dock operations and promoting driver accommodation.
Using a TMS to be a Shipper of Choice
Technology has become a perfect enabler to help shippers create more efficient collaboration with carriers. Here are 5 ways shippers can use an advanced TMS to become a preferred shipper.
Read more tips for becoming a shipper of choice.
Looking for a TMS vendor that can position you as a shipper of choice? Call 866-275-1407 or Get a demo.
When weekend promotional giveaways at a Las Vegas casino were delayed due to customs issues, GlobalTranz expedited shipping picked up the load from the port and transported it to the casino in time for the big event.
Traditionally expedited shipping has been used to solve these kinds of challenges. When a shortage of materials or components could shut down the production line, or impact a big event, expedited delivery saves the day. However, shippers across all industries are also finding that customized expedited shipping services can help them meet the increasing delivery demands from consumer and business buyers.
Expedited trucking typically operates with three levels of vehicles: straight box trucks, vans, and hot shots or heavy-duty pickups towing trailers such as boxes and flatbeds. Expedited shipping carriers don’t face the same capacity challenges that leave truckload and LTL carriers to increase rates while scrambling to fulfill their commitments.
Here’s a look at why more shippers are looking at expedited shipping as an integral component of their supply chains.
Expedited delivery services typically involve dedicated Point A to Point B shipments of must-have products in less than truckload quantities, by truck or by air, with service guarantees. Because the vehicle is dedicated to the shipment, the rate is basically the same whether the load is one pallet or ten pallets.
Expedited shipping services make the most sense when the product is urgent or time-critical. Basically, any commodity can move in expedited service, from manufacturing raw materials and components to food and beverage products.
Rates are higher than standard LTL or truckload service, but in most cases, shipping cost is not the issue. Shutting down an assembly line to save a few thousand on shipping costs doesn’t make sense. Instead, transit time is the top factor for choosing expedited shipping, although shippers value customized handling as well.
The smaller trucks often used for expedited shipping operate under different hours of service regulations than full-size semis, so they can generally cover the same distance in less time.
With expedited truck service, the shipment moves directly from shipper to consignee in the same truck. Compare that with LTL operations that usually require cross-docking or unloading and reloading freight at a terminal.
With expedited shipping, there’s no en route handling, so there’s less chance of damage or loss. Of course, LTL and truckload shipping offers a high level of quality, but, expedited shipping provides a higher level of customized service.
Expedited shipping services can save the day with shipment diversion. That’s when a shipment is moving in truckload or LTL service, but it’s not moving fast enough. Perhaps an assembly line needs two days worth of parts to keep it operating until the full shipment arrives. An expedited carrier can divert all or a portion of the load and move it to the destination so the assembly line can stay open.
Currently, expedited trucking rates are more stable than truckload and LTL rates as carriers work through capacity challenges and productivity impacts from ELD implementation and the driver shortage. Typically expedited carriers are standing by to move your loads at rates that aren’t inflated by short-term fluctuations.
The GlobalTranz expedited shipping group also manages domestic and international air freight and domestic ocean freight. GlobalTranz is an indirect air carrier certified by the Transportation Security Administration (TSA). As an IAC, GlobalTranz has developed a security program that meets TSA requirements. The company is also a member of the Air Forwarders Association to keep up to date on the federal regulations.
Shippers of high-value cargo, such as consumer electronics, often use air freight to reduce the possibility of damage and move products through their supply chains faster.
The expedited shipping group also manages domestic ocean freight, such as moving supplies for rebuilding Puerto Rico after Hurricane Maria.
In the aftermath of a storm, like the most recent Hurricane Florence, expedited shipping can be a lifesaver for your supply chain. Expedited shipping services are more agile and responsive when major roadways may be congested or closed. Large trucks must stick to approved truck routes. By using smaller vehicles, the expedited department can facilitate deliveries into natural disaster areas for relief supplies and just-in-time deliveries. We also have the option of combining air freight with ground shipping to reach disaster areas quickly.
Also, when natural disasters occur, prioritization of available trucks goes to transporting relief and emergency supplies over standard freight, which can impact capacity. Utilizing expedited services can help mitigate capacity challenges during those times.
Talk to Experienced Expedited Pros
Expedited shipping can play an integrated role in your supply chain with dedicated, customized service that’s faster than other options. Work with an experienced partner like the GlobalTranz team of expedited shipping experts that connect your freight with approved, high-quality carriers.
Get in touch with the GlobalTranz team of expedited shipping experts; we’re ready to help you move your freight faster.
It’s clear that pressure on shipping capacity and rates from the ELD mandate, the ongoing driver shortage and a robust economy won’t be going away any time soon. To overcome those issues, some shippers are finding — or rediscovering — intermodal shipping service. By moving trailers and containers via rail versus over-the-road trucking, shippers can bypass capacity issues and find lower costs.
The trend has been evident as intermodal traffic volumes have been strong over the past several months. Through the first 36 weeks of 2018, intermodal rail traffic is up 6 percent over the same time last year, according to the Association of American Railroads.
Converting traffic to intermodal shipping services makes sense for many shippers. Here’s a look at some important aspects of intermodal shipping you should consider.
Converting traffic to intermodal works best for shippers who are able to trade longer transit times for lower rates. It’s especially efficient when moving from a major market near an intermodal terminal to another major market with facilities, cutting down on drayage time and costs on either end of the shipment.
Suits more traffic
A few years ago, intermodal traffic was most efficient for moves of 700 miles or more. That was the upper limit of a one-day truck move, so it made sense to make longer hauls by rail. However, now with the ELD mandate, drivers may not be able to make the same moves in one day. What used to be a one-day truck move is now a two-day move. Now, if shifting to intermodal adds only one additional day, then the lower cost might be an attractive tradeoff. We’re finding that intermodal is attractive for shipments in the 500-600 mile range now, such as between major markets on the East Coast.
Railroads are investing billions in improving intermodal infrastructure and services. New and expanded terminals, improvement of overall network velocity and removing inefficiencies that delay transit times are top priorities for railroads to ensure they retain traffic they’ve recently gained from over-the-road trucks.
If shippers adapt their supply chains to the pace of intermodal, they may be able to shift some of their products to ship earlier in the year to avoid peak congestion and build longer transit times into their strategies. Converting at least a portion of traffic to intermodal can pay off in long-term savings as OTR rates rise.
Intermodal drayage is not immune to capacity issues. Drayage, the truck movement on either end of the rail shipment from the terminal to origin or destination, still relies on drivers who can have their choice of freight right now. If a shipment requires multiple stops, or a 200-mile drive to pick up or drop off, the driver may be less willing to sign on for the move.
Intermodal shipping works best when there’s some flexibility in transit time. If shippers can forecast freight needs a few days further out, they can build in time for intermodal service. With some additional planning, shippers can reduce costs with intermodal.
Ultimately, it’s up to the shipper to choose the best mode to serve their supply chain. Some freight is very time sensitive and should stay with an over-the-road option. If you’d like to explore intermodal possibilities, we can help you weigh the advantages of converting traffic to intermodal and provide you custom logistics solutions that meet your supply chain goals.
Learn how intermodal shipping can drive consistent capacity and cost savings into your supply chain. Call 866.275.1407 or Contact Us
More than 80 percent of U.S. communities depend solely on trucking for delivery of their goods and commodities. In this country, we all rely on truck drivers in some way or another. Whether it’s to enjoy basic modern conveniences, receive life-sustaining medical supplies, or keep businesses thriving, our lives depend on the transportation industry and more importantly, our nation’s truck drivers.
September 9-15, 2018 marks National Truck Driver Appreciation Week. This is an opportunity to recognize the 3.5 million trucking professionals across the country whose work is some of the most personally demanding and economically significant in the United States.
At GlobalTranz, we think it’s important to show truck drivers appreciation every day. We’re committed to making drivers’ lives more enjoyable on the road and helping them succeed every day of the year. Here are 5 ways shippers – and all of us in the logistics industry – can appreciate and respect truck drivers on a daily basis.
Minimize driver wait time
Much of a driver’s compensation is based on their ability to move loads quickly, safely and efficiently. With the ELD mandate strictly enforcing HOS rules, it’s important for shippers to run smooth dock operations and minimize the time drivers sit waiting for loading and unloading. Help drivers get in and out of facilities quickly and on the road.
Make your facility easy and safe to access
How easy is your facility to find? Does it come up on GPS? Is it easy to turn into without worrying about oncoming traffic or parked cars? If a driver wastes time finding your location, their job becomes unnecessarily difficult. Make sure your traffic patterns are safe and easy to maneuver and you have streamlined gate check-in procedures.
Be courteous and accommodating
Ensure that you and your facility’s employees are treating drivers with respect. Provide ample parking at your loading docks and comfortable break areas and restrooms at your facilities. Offer drivers a place to rest, complete paperwork, make phone calls and get a snack or coffee while their truck is being loaded. Consider them an extension of your team. Their job is critical to getting your products to market.
Pay freight bills quickly
With 350,000 owner operators, many truck drivers are also operating their own small business, and quick payment can be the essence to their success. It’s important to pay owner-operators and carriers quickly and accurately. Freightwaves.com suggests the best way to accomplish this is using a TMS that integrates clean data between carriers and shippers.
The truck driving profession is personally demanding. Working fourteen hours a day, and spending prolonged time away from family are sacrifices truck drivers make to help keep the economy moving. There are several non-profit organizations, like Trucker Charity and Meals for 18 Wheels, devoted to mentoring, coaching and providing meals and assistance for drivers and their families. Consider getting involved with and learning more about these organizations and other causes supporting truck drivers.
From all of us at GlobalTranz, we say, “thank you” to the men and women who keep America moving. #ThankATruckDriver every day.
It’s no secret that trucking capacity is strained. The U.S. economy is growing, creating very strong freight demand. At the same time, the ongoing driver shortage and decreased productivity from ELDs is resulting in more loads than available trucks.
Spot market rates are up 20 to 35 percent over 2017, and analysts expect tight capacity and higher costs to continue into 2019.
During this historic time, shippers are looking for solutions to mitigate dynamic market conditions and keep their logistics operations running smoothly. Here are 5 ways shippers can successfully navigate the capacity crunch.
1. Adopt TMS Technology
A web-based TMS (transportation management system), with a network of pre-qualified carriers, centralizes the freight procurement process and provides end-to-end visibility.
A TMS helps businesses make routing decisions by matching freight with the best carriers, lanes, rates and transit service. GlobalTranz develops a TMS that uses machine learning to identify and optimize available capacity and match it to shipper demand. This technology helps shippers lower risk, optimize routes and increase service levels in all market conditions.
Business intelligence and predictive analytics tools within a TMS also help shippers make data-driven decisions that manage disruptions, reduce downtime and effectively plan and budget overall logistics spend.
2. Leverage Carrier Relationships
By leveraging carrier relationships, 3PLs are able to align available freight to carriers’ preferred lanes and backhaul needs. Logistics service providers like GlobalTranz can identify opportunities that align with carriers’ networks and provide consistent volume to minimize empty moves.
3. Utilize Dedicated Capacity Networks
3PLs like GlobalTranz have relationships with a vast network of carriers and shippers and can align all types of shipper requests and schedules with carriers at contracted rates. Dedicated capacity provides consistent capacity for 3PLs that meets service, compliance and cost requirements for contracted or dedicated shipper business.
Dedicated capacity networks are mutually beneficial for carriers, shippers and 3PLs alike. Carriers maintain frequent volumes and alleviate 3PLs from sourcing spot-market capacity during market shifts; as a result, shippers see improved service levels for on-time pick-up and delivery.
4. Become a Shipper of Choice
For the first time in many years, carrier providers are in a position to choose which shippers they work with, giving rise to the “shipper of choice” environment. Shippers who provide better experiences for carriers can reap long-term benefits in the form of higher service levels, fewer claims, and better rates. To become a shipper carriers want to work with, it’s important to run efficient and friendly dock operations, reduce driver wait times, provide comfortable breakroom and restroom accommodations, and pay carriers quickly and accurately.
5. Use Multimodal Solutions
Treat each shipment as a move, independent of the modes and vendors required to transport. With truckload capacity tight, using a variety of multi-modal solutions, like combining rail with truckload and LTL, helps mitigate capacity challenges while reducing overall costs.
Learn how the right combination of people, processes and technology can help you mitigate capacity challenges. Call 866-275-1407 or Contact Us