Category: Detroit LTL - page 2

LTL shipping simply means less than truckload shipping, otherwise known as shipping a small amount of cargo.  The shipment does not have to fill an entire truck therefore it is available to be used to ship other company’s goods all going to the same general location.  The truck space is sold through shipping companies or freight brokers, at a discounted rate so that the space within the truck is completely filled.

The same approach is taken to unfilled hotel rooms and cruise ships.  The space would sit empty if it was not brokered out.  The shipper makes less on unused space then it does on space that is discounted.  The shipper can’t always coordinate a small shipment that is why they use brokers to fill in the small spots that have not been filled.  This allows shippers to maximize the space on their trucks, helping to maximize their income while being able to pass the savings on to shipping brokers who coordinate with their customers to ship out smaller shipments.

For companies to maximize the benefits of LTL shipping for you cargo shipments you need to take time to do some preparations on your own.

• First find a company that ships a wide selection of goods and that offers additional service options to the customers they serve.
• Have a list of requirements that need to be met for your general shipping needs.  Consider the immediate need and also the future needs of your company.
• Gather a list of names and phone numbers to carriers that provide the services you need for shipping your cargo.
• Talk with your account manager at each of the shipping providers.  Developing a relationship with them will help get you the services you need when others may be vying for the same shipping space.
• Be sure before signing contracts or committing to shippers that you thoroughly check the references of each company you are interested in working in conjunction with.
• Check to ensure that the companies you are interested in working with have all the licensing requirements needed to handle all of the cargo that you need shipped.

Not every shipping company is the same.  It is crucial that you find a Less than Truckload shipper that works with your business model.  This may take some time and the process should not be rushed.  If at first the services of the shipper initially chosen don’t fit well with your needs move on to find one that does. You will reap the benefits over time when you chose a carrier that can provide the services you need.

Jefferson Diversified Group, LLC is a Global Logistics expert offering LTL shipping and more. Check out available rates today at http://www.detroitltl.com.

The holiday season brings with it many reasons to celebrate and to be thankful.  It also brings with it minor hassles especially for the logistic divisions within companies of all sizes.  Christmas is synonymous with shipping.  For many retailers the months of November and December measure the success of their business as well as the economy in general.

Companies gear up for the holiday season early.  They look for strategies to get their products out into stores and in the hands of consumers just in time to meet the seasonal need.  Seasonal logistics affect all companies.  This is true even when your company does not seasonally ship their products.  The holiday madness itself affects hipping therefore affecting shipping departments throughout all industries.

With the season fast approaching it is important that your companies shipping department is running efficiently.  Freight brokers are preparing for a surge of orders coming and are looking into a variety of carrier options to adjust to the influx.  To ensure that your company does not fall short during the peak holiday season below are some tips to consider.

Advance Rate Shopping

When you shop shipping rates in advance of the seasonal rush you are more likely to be able to enact a plan that will allow you to meet the needs of your company.  Add in a time in transit rule that allows you to compare services between air and ground.  Not only will you be allowed to consider the cost but also the amount of time it will take for the transit of your products.  You are allowed to weigh the cost savings verse the time it takes to get your product where it needs to be and then make a decision based on which is more valuable to you at the time.  Advance rate shopping takes into account both regional and national shipping service options.

Implement Automatic Service Updates

Automatic service updates implement changes to the shipping software you use.  IT allows you to create a rule that applies an in hand date to your shipments.  This option assures that a product is shipped via the method that will get it to its destination when it needs to be there.  The transit method, be it truck load, less than truckload or a variety of other options in which the product will be shipped is directly affected by when it needs to be in the retailer or consumers hands.  Upgrading your software may be a costly logistic expense that needs to be considered when looking into updates in your logistic division.  Look into updates that offer the most benefit to your company with the least amount of expense.

Jefferson Diversified Group, LLC is a Global Logistics expert offering LTL shipping and more. Check out available rates today at http://www.detroitltl.com.

Every business owner you meet will tell you that they are always concerned with ways to lessen expenses while achieving the same if not higher customer service levels.  This is something that is true of all businesses from all areas of the globe.  Even with economies picking up cost savings is something all businesses search for, every dollar counts.  There is no exception to this concept especially when shipping freight.

Freight companies can never put shipments on hold because of increase costs to gas or oil supplies.  They can never defer business in hope to achieve cheaper rates later on.   The same is true of companies shipping their products.  Your company may downsize their logistics division and restructure the transportation management division but shipment still need to be received and sent out.  Your company may need to look into outside carriers to ship goods.  There are several ways this can be achieved including couriers, parcel post, LTL shipping, full truckload shippers, air, rail or water shipping.

For freight shipping services to continue they must prove to be the best of the best.  The rates must be kept within reasonable industry standards, customer service must be better than the competitors and shipping times must continue to prevail.  When shipping costs increase it can really add a deep hole in your company’s budget.  Here are some tips to help achieve lower shipping rates while maintaining customer services and shipping times.

• Choose to ship smaller amounts of product more frequently.  If your shipments are stored to achieve enough for a full truckload you are spending unnecessary funds for storage of the product.  Have your shipments sent out more often in smaller qualities.  Freight is charged not only on weight but the amount of space that is taken up with in the truck.  With this in mind you may see increased benefits in sending smaller loads out more frequently than allowing shipments to pile up.
• It is less expensive to ship from company to company rather than company to residential.  Keep this in mind when shipping your company’s product out to residential customers.  If having them pick the product up at a local store will offer cost savings for your company consider this as a viable option.  Many people will drive to pick up their deliveries if it means that they would have to pick up the additional cost of shipping.
• Stop spending money on unnecessary additional shipping services.  If you have a larger, heavy product come prepared to pick up the product on your own with the help of a friend or dolly system.  This is true even when receiving products.  Consider unloading the shipments on your own using your own equipment to save money.
• Carting your product is often a better option over using a pallet.  Crates protect goods, save money; this is especially true in LTL shipping.  The lower ranking your product has the cheaper it will be to ship.  Crated products have less ranking than their pallet equivalents.

All of these tips are meant to be helpful in lowering your freight shipping costs.  You can find additional information online by searching for LTL shippers in your area.

Jefferson Diversified Group, LLC is a Global Logistics expert offering LTL shipping and more. Check out available rates today at http://www.detroitltl.com.

When businesses are looking to ship their products from the production facility to their end user they look towards freight brokers to create a suitable logistics flow.  A freight broker is in charge of finding carriers that will transport goods to end users at the best possible rates, quickly while maintaining a high level of customer service.  Freight brokers handle the logistic needs for a variety of customers looking to take the work out of their companies shipping needs.  By working with a great number of shippers, brokers are able to work out better rates with transport firms.  This is a win, win situation as shippers get discounted rates and transport firms are consistently needed therefore creating a relationship of mutual benefit through the freight broker.

Freight brokers serve as the liaison between shippers and transporters.  They will examine the needs of manufactures and then match them with carriers that meet the need.  In order to be successful the broker must make sure that carriers offer reasonable rates, prompt service and are reliable.  Brokers must constantly track the needs of their manufactures while monitoring the transport companies.  If the needs of the manufacturer are not being met by the transport carrier the broker will evaluate where the problem in the process exists and make necessary arrangements to avoid further issues.  This may mean finding a new transporter to better meet the needs of this particular client.

There are many benefits to using a logistic broker to help facilitate your companies shipping needs.  The first and most obvious is that outsourcing this allows your company to focus on the needs of your business without taking up valuable resources to manage the logistics of your goods.  This is not to say that you can be hands off in the process but a broker will limit the time you need to spend facilitating carriers and making sure that they are doing what is expected.  A relationship with a freight broker is beneficial to both shippers and transporters.  Carriers working with a broker can offer cost effective means to ship goods because they are carrying shipments from more than one source.

Brokers facilitate the interaction between shippers and transporters.  They work to create a perfect logistic system for your company and that of many others without burdening valuable company resources.  Not only does using a freight broker make sense to help cut transportation costs but it also helps to reduce excess inventory as well as create a shorter delivery time.  When the goods are ready to be shipped the broker links to a transporter which in turn leads to higher customer satisfaction for your business.

Jefferson Diversified Group, LLC is a Global Logistics expert offering LTL shipping and more. Check out available rates today at http://www.detroitltl.com.

When looking into global logistics it should be noted that less than truckload shipping is growing in popularity.  Shipping smaller orders around the world is less expensive and quicker than using other modes of shipping freight.  When thinking about less than truckload shipping it is best to look at it as a way to transport like items in small quantities from a variety of different locations at a cost savings to business owners.  Bringing together small shipments of like kinds of goods saves time and money.

When calculating the rates in less than truckload shipping consider the total miles that will be covered as well as a fuel charge.  LTL shipping rates use a rate/mile basis and fuel charge to determine the rate in which shipments are sent.  Understanding this along with some of the other factors that can influence LTL shipping rates is useful in helping to save money on logistics here and abroad.

Base rates are taken into consideration when it comes to LTL shipping.  This rate is most often determined based on every one hundred pound shipped.  This rate will vary from one LTL provider to another. The CWT, or Centum Weight is calculated by looking at considerations such as the type of freight, the distance traveled and the total weight that is being shipped.  Carriers will modify and shift base rates annually.

The National Motor Freight Classification, commonly referred to as the NMFC classifies freight based on type and weight.  The NMFC has based at least eighteen classes of freight based on liability, product density and the type of special handling needed to ship the specified freight.

The type of freight being shipped also helps to create the cost associated with shipping LTL.  The carrier and customer will enter into an agreement based upon the type of freight to be shipped.  The agreement is made to help clients that send multiple consignments or items which in the end reduces the expense by a considerable extent.  The more a customer ships with a certain carrier the more reasonable the rate will be overall.

The distance shipments have to travel are also factors in less than truckload shipping.  The more miles that need to be covered the more expenses carriers acquire and therefore affecting the cost to ship.

When it comes to shipping and global logistics take into consideration the different factors that come into play in the rates that are charged for goods to be shipped.  Knowing and understand these key factors will help you to negotiate the best rates possible in LTL for your company.

Jefferson Diversified Group, LLC is a Global Logistics expert offering LTL shipping and more. Check out available rates today at http://www.detroitltl.com.

When it is time for your business, no matter how large or small, to find an efficient way to ship less than truckload freight there are a number of factors to consider.  Listed below are just a few considerations to take into account when looking to save your company money while still providing excellent customer services and LTL shipping services

First consider transit time.  When it comes to shipping your goods from your place of business to your customers, or the time it takes to receive goods from a vendor consider the amount of time you that is works most efficiently for your business. If you need goods shipped quickly you will need regional and multi-regional shippers over long haul shippers which offer longer transit times.  Take into consideration that shorter routes don’t cover the distance longer routes do so if the goods need to be sent a fair distance from where they are this may not be an option for you.

Consider the geographic coverage that is available with the LTL shippers you are looking into for your less than truckload shipping needs.  Most LTL freight carriers ship regionally with direct pick-up and delivery services. When you understand the area in which your LTL shipper ships to and from you are better able to find a carrier that suits your company’s exact shipping needs.

When deciding upon an LTL carrier look at their service performance record.  On time pick up and on time delivery are two very different things when it comes to customer satisfaction.  Both equally important however measured differently.  Note that most services can be guaranteed by carriers by paying an additional expense. Check with carriers that you are considering for your businesses shipping needs to locate a shipper that has at least a ninety percent on time delivery and pick up history with in the areas that your business services.

Before you sign on the dotted line with any LTL shipping freight carriers check out the amount of liability insurance coverage that they provide.  Reputable carriers will offer coverage equivalent to ten dollars per pound being shipped.  This is a base rate.  Insurance coverage can be increased with different premiums.  Many things will come into play when looking at insurance coverage options available for your LTL shipments including whether you are shipping new or used goods, different freight classifications as well as the care needed throughout the shipping process.  Items that are incredibly fragile, easily perishable or extra-large will require special handling.

The last consideration after all of this is factors involving pricing.  Many companies find this to be the most important factor of all however in my opinion this is the least important factors as all.  When it comes to pricing the true price of shipping comes after the consideration of the above as well as discounts, base rates and net price.  A discount of sixty eight percent at one carrier could be less of a net price than a discount of eighty percent through another LTL service carrier.

Jefferson Diversified Group, LLC is a Global Logistics expert offering LTL shipping and more. Check out available rates today at http://www.detroitltl.com/.

What is Less Than Truckload Shipping Anyways?

Less than Truckload, otherwise known as LTL shipping is one method of shipping goods that don’t require an entire truck to be shipped. The shipment that is being sent can fit in a truck with other shipments and does not require an entire forty-eight to fifty three foot trailer to haul it.  Truckload and LTL services are similar in that they both offer different services depending on what the client needs shipped.  Trucking services include residential pick up and deliveries as well as lift gate services, guaranteed services, freeze protection, bottom line cost and transit to name a few.

With any shipping service, including LTL, products will move from one point to another using a variety of methods that include truck, air, railway and water.  When shipping within the United States, shipping via truck lends to infinite possibilities consider time and place.  There is no waiting on a railway and their defined schedule.  LTL shipping offers both flexibility and decreased costs when it comes to shipping.  Freight carriers in the U.S. operate in a manner that allows for truck load services or less than truck load services.  This allows small companies the ability to compete in the ever bustling and changing business world.

There are defined characteristics of LTL shipping carriers.  Many less than truckload carriers use van trailers and enclosed trailers to move goods for their clients.  Some but not many also offer refrigeration services.  This is less common in LTL shipping than in FTL.  It is common to see rear roll up doors in many vehicles specializing in LTL shipments.  The entrance area with these carriers is often times smaller than trucks that offer swing doors.  Some LTL carriers use pup trailers in hauling.  When using a pup trailer most LTL carriers will not accept anything from a shipper that is bigger than one pup trailer.  They can easily maneuver and pick up ad deliver shipments when using pup trailers.  Often times when full a carrier will pull tandem pup trailers to their destination making the most of their time on the interstate roadways.

Pup trailers allow goods to be sorted and stored then easily dropped.  The packages are sorted by destination and can easily be maneuvered throughout carrier terminals to their final destinations.  Many carriers use central hubs to collect deliveries from LTL shippers.  This allows the goods to be delivered using smaller carrier trucks.  Carrier trucks are designed to deliver packages while also picking up shipments that will need to be sent through the distribution channel out for delivery in another part of the country or world.

When you consider logistics and the world we live in it is simply amazing.  Business owners using LTL shipping methods to allow customers to receive their goods within a day or two of ordering it.  Instant gratification is something that is facilitated using the services of well laid out LTL shippers and carriers.  Think about how amazing the system is the next time you order something that has to be shipped from overseas or from a state thousands of miles from yours.  It is amazing how fast it can actually get from the sellers location to your door step.

There is not a company in business that isn’t concerned about cutting costs especially when it comes to logistics. All companies want to save money on less-than-truckload shipping however at what point is saving money on shipping costing you money on service and disruptions to other elements in the supply chain.  Money is only saved when the job is continued without flaw and the shipping is procured at a reduced rate.

If other obstacles are cause by saving money on the actual LTL shipping than you may really be costing the company more money that you are saving it in customer complaints and disruptions to the labor force.  The element that a great supply chain management system will look at is lower shipping costs to the point at which they do not interrupt any other aspect of the company’s goals.  When everything is working in balance and harmony is achieved your business will then be successful.

To start doing this within your company’s organization it is important that the company set clear objectives and supply chain requirements. Assistance is needed to clearly define LTL shippers bid objectives.  These goals may be to reduce costs, reduce the number of carriers involved in the logistics process, quicker movement of shipments or geographic needs that have to be addressed.  In order to work with a LTL carrier your company’s needs need to be matched with those of the LTL carrier.

When aligning yourself with a shipper be sure that they have thoroughly addressed and collected valuable data from the carriers that they will be using to meet your LTL needs.  A shipper should have up to date, clear information on all carriers such as past financial performance, ratings in customer service, IT capabilities, equipment standards, fleet size and CSA scores.  A shipper needs to align themselves with carriers that are interested in carrying out the goals that you have in common for your shipments.

As a company it is important that you review data on your shipper as well as their carriers.  All data should be supplied to you in a formal review of the past twelve months of activities.

Don’t align your company with a shipper that has evolved using too many different carriers to achieve results.  The best option when it comes to logistics is to create a plan around a shipper that uses a level carrier mix with proven results and limited issues.  The more carriers involved in the shipment of goods, the more issues that can arise; including leveraging the demand and volume.

Using due diligence and creating a relationship with your shipper will also help your company grow.  Much of logistics revolves around the relationship that you have with the shipper and in turn the shipper has with his suppliers.  Good communication, written documentation and an outline of expectations and company goals are crucial when developing this partnership.  You and your shipper should work to alert each other to issues arising with carriers to avoid customer service nightmares that can be had from late deliveries, incomplete and insufficient carrier services.  If a bump in the road with a carrier is not immediately corrected it will affect your company and the logistics plan that you have worked so hard to develop with the shipper.

Jefferson Diversified Group, LLC is a Global Logistics expert offering LTL shipping and more. Check out available rates today at http://www.detroitltl.com/.