Monday, April 25, 2011

The True Cost of Cheap Freight. by Brad Hollister

By Brad Hollister: http://news.freightaccess.com

A multitude of individuals everyday are seeking for low-cost freight costs. This write-up can tell you several things which you may possibly well uncover helpful if you are planning to ship items overseas or just don't know how you can go about it.

Initial factor you need to do before searching for a top quality inexpensive freight quote is make particular that you simply have written nearly all the relevant details you think you might well possibly will need about what you want shipped, for example; where the destination may be, once you strategy to transport your goods, how are your items going to obtain towards the shipping port also as how you intend to transport them from the foreign port towards the final destination. Product sales Consultants are quite helpful if you're a newbie to international shipping. Regrettably this can usually mean that your overall costs should improve, so your low-cost freight expenses become not so low-cost freight expenses. The plus of utilizing one of such agents is that he or she might comprehend additionally to explain to you in laymen terms, just just what has happened and also how you will be able to fix it, if god forbid, some thing has happened to your cargo throughout transportation. Should he or she recognize the real impact that added charges might make to your company. It seems that these days sea transportation of cargo remains the most well-known selection of cheap freight transport, apparently it is far more common than air transport which is more swiftly than sea transportation.

Traditionally, sea freight logistics companies had been primarily utilised for transporting significant volumes of cargo, on an international scale. Nevertheless, it would seem that recently, sea freight transportation transportation companies are often utilized by tiny logistics transportation businesses also as individuals for shipping smaller packages both internationally as well as or locally, depending on the wants of a given client. To Conclude Generally contact numerous logistics transportation businesses which can show you a proven history of good quality service together with also make certain they've a fantastic popularity for their international shipping service's. Ask a couple of question's in addition to pay unique attention towards the answers you receive, also as the amount of straightforward to understand information you are given. Then you will be able to make an educated decision when selecting the inexpensive freight organization you are going to use, also you should double-check that the quote you have received consists of any kind of type of other charges you may need to pay including; taxes, also as virtually any kind of other expenditures that might be charged when your cargo reaches its destination.

You may possibly also want to pick a low-cost freight business that carries insurance. Deciding on a organization with great insurance cover might prove incredibly quite considerable if some thing happens to your cargo. If you are entrusting a organization together with your goods, particularly if the goods are advantageous, you can need to ensure that the chosen business is going to take care of your cargo. Keep in mind that freight companies along with their standards really should vary for domestic customers as opposed to a large firm transporting an enormous quantity of cargo. So when you are ready to decide on the inexpensive freight firm of your pleasing, attempt to discover 1 that has a long-term history of reliability. Also the far more contacts the firm has, the smoother the shipping process go, at the same time as the simpler the route is towards the final destination, the much less cash you really should likely will need to pay.

Friday, April 15, 2011

Carrier Pricing is Increasing Faster Than Freight Tonnage.

http://news.freightaccess.com/?p=365: By Brad Hollister

Freight charges are usually getting driven higher by leaping truck diesel powered fees and tightening truckload capacity.

A widely followed monthly logistics index of U.S. Freight transportation has surpassed levels last month which present what supply chain executives, third party logistics gurus, and trucking companies are confirming: lowered freight capacity as well as growing diesel fuel rates are generally triggering transportation fees to increase much more quickly than volume.

The Cass freight transportation index, released by freight audit and payment company Cass Information Systems, is a collaboration of freight bills and shipments of the 400 manufacturers, distributor, and warehousing companies which make up Cass' customer base. The freight logistics index has reported more than six percent jump from February 2011 to March of 2011 which shows soaring transportation costs. Transportation rates continue to rise roughly thirty-four percent from cost levels of just one year ago.

While the unpredictable winter weather patters produced by the month of February generally affects freight tonnage, the newest transportation report released by Cass Freight Bill Auditing displays nearly a seven percent increase in the number of freight shipments over the same period in 2010.

Numerous supply chain executives believe that this craze will continue throughout the year. Top freight marketplace authorities are predicting further tightening of freight capacity and increasing soaring diesel fuel rates will increase transportation fees significantly throughout the year. Most of these freight marketplace professionals see this trend continuing throughout the rest of 2011.

The Cass freight index has used the increase in transportation volumes to present that an economic recovery is underway in the U.S. Although lots of economists have presented evidence supporting the viewpoint that an economic recovery is started, some other less positive analysts are concerned with other hurdles which have to be overcome before unbridled recovery can occur. On major concern for all freight marketplace consultants is the sky-rocketing price of oil. The average price per gallon of diesel fuel is up more Twenty-Five Percent (or more than One-Dollar) from this period last year. Nationally, the price of fuel has varied greatly, with California and New York reporting the highest diesel fuel costs, the average expense of diesel now surpassing the $4.50 per gallon.

Main Supply Chain Analysts at JPMorgan Chase, reported research which advised that the present growth in freight shipments presently underway in the freight marketplace has been considerably better than the increase during the last growth pattern for trucking companies, which occurred between 2004 and 2006. JPMorgan Chase analysis seemed to be also careful to not that freight shipment growth during February of 2011 could be explained by the milder than normal winter which much of the mid-west experienced, when compared to other years.

A lot of masters view the Cass transportation transportation index as a measurement of volume trends in the less-than-truckload and truckload markets. These experts believe the shipment freight index is mounting at a quicker pace than the industry's daily shipment volume figures, an indication that the firm's first-quarter industry volume estimate seem to be a conservative estimate going forward.

As a result of fragmented nature of the truckload marketplace, it a lot of specialists agree that connecting the Cass Transportation index with the freight marketplace trends in truckload is much increasingly difficult to perform and derive definitive trends from. Freight marketplace results are suggesting existing demand for truckload freight transportation is trending in accordance with or slightly above average demand patterns of the historical truckload business cycle.

So far in 2011, the freight transportation data indicates a transfer of power back to the hand of the freight carriers and owner operators. As exhibited by the first three months of 2011, capacity has become tougher to come by and truckers have been able to command much higher rates for freight shipments and cargo deliveries. Multiple economic factors have helped trucking companies and nationwide fleets restore bargaining power, including the climbing price of diesel fuel. Govt imposed mandates and regulation have also constrained the free market operation of most trucking fleets and owner operators which have squeezed operations and increased the price of conducting business. Several authorities believe this craze to continue throughout 2011, whether or not an economic recovery gains additional momentum.

********************
SUMMARY:

The Freight Marketplace is having a change in negotiating power from shipper & 3PL to freight carrier and truck driver. Freight demand and shipment tonnage continues to outpace truck capacity driving freight quotes higher. Shippers, manufacturers, and third party logistics firms are experiencing difficulty finding access to freight carriers and trucking companies at contract payments they had formerly had negotiated.

***************AUTHOR*************************************
Brad Hollister is an Knowledgeable Freight Executive with Freight Access (Freight Access.com ). Hollister has a appreciation for Business Development interest in most recent technologies. Contact him with at BradHollister.com. (Brad Hollister ).

***************KEYWORDS*************************************

freight marketplace, transportation, logistics, supply chain, carriers, owner operators, truckers, drivers, cargo, freight

http://news.freightaccess.com/?p=365: Carrier Pricing is Increasing Quicker Than Freight Volume. By Brad Hollister - www.FreightAccess.com

Friday, January 7, 2011

Over the Road Drivers Will Likely See Their Driving Working hours Chopped. - Brad Hollister

Full Article Here: http://blog.freightaccess.com/?p=312

trucking companies accustomed to letting Drivers haul goods all night may face federal restrictions that would curb the practice and might add almost $2 billion to the industry's annual operating costs.

The current guidelines as being considered would likely have an impact on almost two million long-haul truck Drivers by cutting an hour of driving time per day.
Truckers also would have to take breaks after driving seven consecutive hours, and wouldn't be allowed to work as many consecutive days of long shifts as they can now.

Association Executives from the American trucking Associations had stated may challenge the proposed restrictions as currently being considered.

If enacted, the rules may cost the industry as much as $1.8 billion yearly, according to a Government analysis. Among the companies that would be hardest hit are so-called truckload carriers which move goods from a single shipper in each truck from one point to another.

The trucking association puts the cost at $2.2 billion a year, citing a 2007 analysis by the Federal Motor Carrier Safety Administration, the agency that proposed the changes. The agency is required to publish a final rule by July 26.

Numerous experts believe that truck driver driving time could be reduced by as much as five percent if the brand new guidelines is enacted.

Other experts believe the proposed restrictions could be closer to one billion dollars annually, which is roughly one percent of the one hundred million dollar annual revenue. The Federal Motor Carrier Safety Administration had stated that estimate was lower than the 2007 one because analysts used "better data" about driver work patterns, the number of Drivers affected and economic assumptions including inflation.

The United States Transportation Secretary Ray Lahood had said while he announced the proposed legislation that a fatigued driver has no place behind the wheel of a freight semi truck. Lahood went on to say that the FMCSA is committed to an hours-of-service rule that should assist create an environment where commercial truck Drivers are rested, alert as well as focused on safety although driving.

These increased Transportation costs will certainly be passed on to the customers who purchase good shipped on a truck... which includes basically every consumable commodity. The added costs come at a time many feel the economy could least absorb increases in goods and food.

Small trucking businesses may be disproportionately affected given the nature of an industry where 70 percent of companies have five or fewer trucks.

Most truck Drivers rely on their dispatch teams to set everyone's driving schedule. Everyone else's schedules come first. Truck Drivers are going to be put in very difficult situations. For example, if a trucker is at a manufacturer or shipper's dock and also he is only half loaded when his thirteen hour driving limit expires, the driver cannot just declare that now he is doing to take his break.

This most current legislation is just one the recent pushes by the FMCSA to enact laws aimed at safety but which have complete disregard for the tremendous impact these kind of brand-new restrictions should have on the industry.


Thursday, January 6, 2011

A number of Helpful Hints for Optimizing Supply Chain as well as Enhance Processes

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By: Brad Hollister

Even though optimizing a Supply chain is usually thought to become re-working the warehouse order process, quite a few have learned that the efficiency amount of the Supply chain is really a perform with the overall attitude of the organization. Optimizing a Supply chain usually leads into revising accounting practices, order processing, and frequently times even touches places these kinds of as manufacturing and advertising. Supply chain optimization globally throughout the company can actually begin to assist identify other places of improvement such as supplier relationship, warehousing, freight carrier assortment. Collaborating with management to operate across departments may be used to leverage other company functions and set the complete organization on a path of course of action improvement. The cross functional skill set created by these Supply chain execution duties lend on their own to other functions this kind of as procurement, evaluation of suppliers and top quality handle measures and company course of action reengineering and refinement to maximize efficiencies across the complete organization. Businesses that employ six sigma, lean, kaizen tactics in their provide chain and also manufacturing can adapt these strategies to other components from the organization here are a handful of examples of how you can utilize manufacturing as well as Supply chain practices to the rest of your organization.

• Quality of products inspected as part of an existing process rather than a separate station and employee to complete the task. Reduce the waiting and touch points introduced into a process by eliminating non-valuable or redundancy.

• Help to encourage team members to learn additional jobs across additional departments. In case your crew members learn to fill in numerous roles, your Supply chain and corporation grow to be stronger by minimizing risks of interruption by absence of crucial employees.

• Employee enablement should allow better and more efficient avenues to inspire employee creativity. This gives the employee and an overall sense of belonging and contribution to the organization

• Outsourced procurement can be an effective optimization technique to explore, as a proper methodology is defined, quality standards for products and suppliers are established, and risk management are handled during the creation of such processes. These types of are virtually all benefits of this technique.

• Lowering extra order touch factors from customer service to operations, that is performed by means of the classic order fulfillment this kind of as pointless reporting, quite possibly product reconciliation just before shipping or waiting for any supervisor to administer the orders.

• Inventory holding costs should be balanced to a pull model for consumer demand,thereby controlling production and minimizing time delays. Bill of materials rationalization can be gained and ultimate customer satisfaction can result. This applies directly to procurement and the amount of capital expense that a company holds. Sometimes economies of scale can override holding costs when purchasing raw materials in bulk for example. It is important to know your options.

• Rework of excess material can be reprocessed and reused. An example of this is from an automotive stamping plant, where parts are stamped and the excess material is melted and used for raw material. This will also assist in any green initiatives. This can be as simply starting a recycling program within your organization and reduce paper waste for a greener office.

• It is very difficult to determine exactly where your Supply chain is going till you determine where by you started out from. Measuring existing efficiency and generating objectives from which to measure improvements is quite a crucial element from the optimization method.

• Achievable alternatives for programs, administration, and optimization is usually handled by simulation computer software to optimize processes along with configurations with no the real charge and disruption of producing the physical adjust. This makes it possible for organizations to put into action the alterations and also streamline operations that could conserve cash and also or make further income.

• Cloud web servers can provide additional storage, minimize system administration fees, minimize funds costs, swiftly add further performance, and can lessen administration of the processes by itself.

• Procedure mapping along with after-market service are regions that can be investigated and have the lean rules utilized to them. By mapping a business enterprise method from end-to-end it makes it possible for a holistic picture to emerge as to what the organization is currently accomplishing. By getting this as a reference for historical or intellectual worth these kinds of like a proprietary method or intellectual property can illuminate regions of misuse. Businesses that Supply after market place companies these as repairs to from warranty appliances can glimpse to automate, track areas and workers far more properly, dispatch effectively educated staff for that proper jobs along with the ideal ways to get there, cultivate along with put into action a appropriate procurement technique to source parts along with suppliers and track perform orders along with time per undertaking far more closely to increase revenues as well as reduce charges.

These types of are just some methods of how applying a lean or six sigma strategy can maximize efficiencies along with drive out misuse from your organization. In today’s economic climate firms may well just need to re-evaluate their waste, priorities and also efficiencies. Freight Accessibility is a Freight marketplace for shippers, brokers, and carriers to see marketplace problems prior to producing procurement choices.



SUMMARY
To most corporations, the effectiveness of their Supply chain signifies every one of the big difference in the world. If carriers damage freight or warehouses can't acquire their shipments, frequently instances it can have adverse effects on the livelihood of your organization. Freight Accessibility delivers several actions along with greatest practices to make sure your provide chain is optimized and also improved.


In regards to the Author:
Brad Hollister is definitely an Seasoned Transportation Executive with Freight Access, Inc. - the World's Only On the web Freight Marketplace. Mr. Hollister includes a passion for Company Advancement by means of innovation, course of action improvement, and also know-how. Experience totally free to get hold of Brad with virtually any inquiries, possibilities, or suggestions (http://www.bradhollister.com) or by dialing 312-450-3020.

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The FMCSA Has Elected to Delay the Release of Cargo Scores to the Trucking Industry

View Full Story Here: http://blog.freightaccess.com/?p=303

The Federal Motor Carrier Security Administration (FMCSA) mentioned it'll not publish CSA scores for that cargo-related scores along with security improvement class from the New Security Evaluation 2010 (CSA 2010) security plan, withholding them from public oversight around the agency’s web site till it might put together a a lot more exact process for reporting these scores.

That is very good news for the trucking market on a number of fronts according to the American trucking Association (ATA). Beginning in December of 2010, these safety scores had begun being utilized by shippers, freight brokers, insurance coverage carriers, along with probably juries to generate judgments and make decisions regarding the compliance level of carriers and Owner Operators Many believe it really is essential for the scoring methodology to be exact with caution to maintain consistency and responsible reporting.

The cargo-related scoring system measures a motor carrier’s compliance with shipment securement methods, at the same time as being a host of hazardous resources specifications. The American trucking Association ATA explained it had recognized the cargo-related Scoring System as being a part of the FMCSA’s CSA 2010 regulation that essential further operate along with a short time ago met with FMCSA to talk about the evidence displaying how the scores usually do not properly demonstrate carrier security effectiveness

The main issue seemed to be that specific infractions that counted inside of the shipment scoring system were not safety related, and lacked uniformity in the measuring methods which would not permit pertaining to uniformity throughout the overall trucking marketplace of trucking carriers and Truckers. Many feel that the industry needs to create guarantee the fact that results within this system appropriately demonstrate carrier security efficiency. We maintain to help the objectives of CSA 2010 and also are happy together with the agency’s decision to proceed working on its cargo related scoring system to ensure responsible and accurate reporting for getting it fix before it can be introduced to the general public.


The FMCSA has made the ATA happy regarding the Agency's decision to substitute the phrase “deficient” with “alert” on its public internet site, and also to consist of popup disclaimer language notifying end users of the intent with the scores, and also cautioning against improper use.


Pressures from the Freight Marketplace had helped the FMCSA to realize that the Agency should adequately research all of the effects of such aspects of this particular safety scoring method.

Brad Hollister is an Experienced Transportation Executive with a passion for Business Development through innovation, process improvement, and technology. Feel free to contact me with any inquiries, opportunities, or suggestions (http://www.bradhollister.com)


View Full Story Here: http://blog.freightaccess.com/?p=303

Monday, January 3, 2011

Social Media Marketing Web sites Are Developing Overall Business Markets Such as Cargo.

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Social Media networking has definitely taken over quite a few elements of our lives in The united states. The Freight and Transportation Marketplace is not diffrerent. The marketplace has become quite social in nature, from the early on adoption of the CB Radio. Carrier's Drivers have always appeared to have a very solid base of verbal exchanges as well as networking amidst one another.

The term "Social Media" have brought on a number of definitions to different people. Most traditionally, the definition of "Social Media" refers to the use of Internet technologies for social networking as well as interaction. Although there are actually tens of thousands of "social networks" available to internet browsers, the widest use websites can include Facebook, Twitter, Linked In, and You Tube.

Many have been quick to disregard the use of these social media web-sites as hobbies for school aged kids. The range for these new century tools have extended far over and above recreational activities. Countless numbers of Transportation Individuals, Logistics Companies, and Truck Drivers have seen the significance in networking to experts via a innovative platform. Probably the greatest value of social media in the transportation market is that most stakeholders are able to identify and also locate niches for their business.

One of the industry's most effective social networkers is former OTR Trucker (still current local truck driver)Allen Smith. Smith has found significant value in developing a significant following on many major social media marketing web pages, including Facebook and Twitter. He finds social networking as being a useful tool for developing and maintaining contact with friends, business colleagues, and experts inside the freight industry. The availability of these contacts enables Smith to frequently assemble greater and greater value to his loyal followers.

Allen Smith enjoys the ability to present his ideas, thoughts, and opinions regarding important industry issues. It appears there is an increasingly important need for the freight marketplace to stay knowledgeable about important Transportation industry issues. Most recently social media has allows many people to learn more about industry issues such as FMCSA adoption of CSA 2010, Jason's Law, and many other issues. Social media web-sites are able to keep truck drivers, Logistics Professionals, and Supply Chain Executives informed about current issues.

Another benefit of Social networking networking is to create an on-line reputation visitors may have faith in. Allen Smith has developed that type of popularity amongst Truck Drivers as well as Logistics Professionals. Smith's contributions towards the marketplace have touched the lives of several thousands of online users as a way of staying on top of the issues which affects the industry. His contributions have even captured the interest of the Federal Motor Carrier Safety Administration and also other organizations such as The Daily (Division of News Corps, owner of Fox News and The Wall Street Journal). The news giant had wanted Allen Smith's remarks on countless freight industry issues including commercial drivers license training.

Social Networks is very much an important part of the transportation marketplace going forward. Allen Smith isn't the only Freight professional who has recognized a means to utilize innovative approaches to determine areas to develop their business. Social Networking as well as marketing will obviously play an important role for the freight industry. Trucking companies who do not have a website and social media marketing marketing campaign will think about setting up internet pages for promotion of themselves as well as their firms.


Social media marketing has taken over much of our personal lives and becoming a bigger part of the way we communicate professionally. The Freight Marketplace is no different. Many truckers, logistics professionals, and supply chain executives have turned to social media to grow their networks and enrich their businesses.

View Full Story Here.

Brad Hollister is an Experienced Transportation Executive with a passion for Business Development through innovation, process improvement, and technology. Feel free to contact me with any inquiries, opportunities, or suggestions a href="http://www.bradleyhollister.com">bradhollister