Entourage Freight Solutions

What Is Managed Transportation and Do You Need It?

Fri, 24 Apr 2026 18:06:47 GMT

Picture this: your logistics manager is questioning an accessorial charge with one carrier, while refreshing a tracking portal for another. At the same time, they have to deal with a freight invoice that does not match the quote. And somewhere in the warehouse, a dock supervisor is wondering why the pickup confirmed yesterday did not show up. This is exactly the kind of chaos that managed transportation is supposed to fix.

Managed transportation is a model of third-party logistics in which the shipper outsources the planning, execution, and day-to-day management of freight operations to a logistics partner while retaining a say in decisions that affect their supply chain. For companies stuck between doing it themselves and not having the resources to do it well, it may be the most practical — and cost-effective — move.

What Managed Transportation Actually Covers

Managed transportation covers carrier sourcing and rate negotiation, load planning, shipment execution, in-transit tracking, freight audit and payment, and performance reporting. Basically, the shipper leverages the 3PL’s network of carriers, technology (usually a transportation management system), and an operations team.

The idea is to oversee your entire program, in all your lanes, carriers, and modes. The managed transportation partner can see the trends in your freight data. They can also catch billing errors before they reach you and monitor carrier performance so you don’t have to.

The scope can differ, though. Some shippers outsource all of their operations. Others keep strategic decisions in-house while outsourcing execution. The third-party logistics study reveals that 87% of shippers are increasingly dependent on outsourced logistics services, yet most prefer a blended approach instead of a complete transition. That flexibility is part of what allows managed transportation to work for companies in various stages of growth.

Signs Your Operation Might Need It

Managed transportation is not for every shipper. But there are telltale signs that a company has reached the ceiling of what it can do on its own.

1. Ever-Increasing Freight Spend

This happens when carrier performance varies, and there is no structured scorecard to measure it. Instead of planning ahead, most of the logistics team’s week is spent doing reactive work, chasing late shipments, resolving invoice disputes, and tracking down proof of delivery.

2. Expansion into New Markets

The company is expanding into new markets or areas, but lacks the carrier coverage. Or compliance demands such as temperature documentation for reefer shipments and on-time in-full reporting for retail customers, are stacking up. Managing all of that with spreadsheets and phone calls has a shelf life.

What a Managed Transportation Partner Actually Does Day to Day

The work falls into a few categories.

1. Carrier Procurement

That’s sourcing the right carriers for each lane, negotiating rates , vetting them for safety and service, and keeping the network current as your freight profile changes.

2. Load Planning and Mode Selection

A good managed transportation partner will know when to consolidate LTL shipments, when FTL makes more sense, when a reefer is needed, and when cross-docking can shave a day off transit. They always get the load on the right equipment with the right carrier.

3. Day-to-Day Execution of Shipments

This entails managing tender loads, tracking in transit, and handling exceptions when a pickup is missed or a delivery window moves. Freight audit and payment runs, catching duplicate charges, incorrect accessorials, and rate discrepancies before they hit your books.

4. Reporting

Spend analysis by lane, carrier scorecards, on-time delivery trends, and cost per unit analysis. The type of data that most midsize shippers know they need but don’t have the systems or staff to consistently produce.

Managed Transportation With EFS

Managed transportation with Entourage Freight Solutions means removing your freight program from your team’s plate so they can focus on what really moves the business forward. With EFS, you have a carrier network, tracking, and reporting that a full managed model requires, including FTL, LTL, reefer, and cross-docking.

EFS acts as a managed transportation partner for shippers in foodservice and other industries by providing the carrier network. Connect with us to see if managed transportation is right for your operation.

Freight Rates Climb as Diesel, Capacity, and Carrier Shifts Reset Market

Wed, 22 Apr 2026 17:51:13 GMT

Rate indexes are rising again as diesel prices continue to skyrocket and truckload tightens. A major investigation into chameleon carriers shows how weak oversight can let dangerous businesses return to the market under new names. CBP’s long-awaited tariff refund portal could result in a significant refund for importers, but it could also mean a lot of back-end work. Finally, FMCSA data shows that the number of carriers is rising again, despite payroll data showing that the recovery remains uneven.

Continue reading for the latest updates across the freight world.

Freight Rates Turn Sharply Higher

The first quarter could be a real turning point for freight prices. AFS Logistics and TD Cowen said that truckload and less-than-truckload indexes rose because of diesel prices and insufficient truckload capacity. The rate-per-pound index for LTL was 66.9% above the January 2018 baseline , which was 300 basis points higher than a year earlier. Second-quarter data is expected to reach a new high of 68.4% above baseline.

The weight of shipments also rose 3.8% from the fourth quarter, marking the first increase in two years. This could mean that industrial demand is getting stronger. Meanwhile, the rate-per-mile index hit a 13-quarter high, and the cost per shipment for linehaul went up 10.2%.

Diesel Shock, Tight Capacity Push Trucking Into Harder Market

The March Logistics Managers’ Index showed that the freight market has become harder, especially for shippers. At 65.7, that’s the highest level since May 2022 . Meanwhile, transportation prices shot up to 89.4 as the Strait of Hormuz closure sent diesel sharply higher, with national prices at $5.40 per gallon and California at a record $7.60. At the same time, freight capacity fell to 39.2, leaving a 50.2-point gap relative to prices. This was the biggest positive inversion since November 2021.

Small shippers seem to be more at risk, and carriers are still feeling the effects of fuel on their margins, even though they are getting their best rates in four years.

Chameleon Carriers Get National Scrutiny

A CBS “60 Minutes” investigation into Super Ego Holding, a network with ties to both Serbia and the U.S., has brought one of trucking’s darkest loopholes into the spotlight. Rob Carpenter, a trucking safety expert, helped CBS show how unsafe fleets can shut down, start up again under new names, and get back on the road with clean records.

Super Ego-connected carriers had almost 15,000 safety violations and 500 crashes in the last two years, according to data from the Department of Transportation. Carpenter thinks that between 10% and 20% of the 700,000 trucking companies in the U.S. may be somewhere on the chameleon carrier spectrum. Risk data shows that these drivers are four times more likely to crash.

CBP Tariff Refund Portal Open for Electronic Filings

The new CBP tariff refund portal became available for the electronic filing of about $127 billion in IEEPA tariff refunds on April 20, and 82% of eligible entries were already set up to accept electronic payments, which the agency made mandatory in February.

The Consolidated Administration and Processing of Entries (CAPE) portal was designed to streamline the submission and processing of refunds for duties imposed until the International Emergency Economic Powers Act (IEEPA).

Carrier Counts Rise Again, But Labor Picture Still Looks Soft

The first quarter brought a small but notable shift in trucking capacity. FMCSA data shows a net increase in carriers with operating authority. This means that new grants and reinstatements outnumbered revocations.This was the first time that kind of increase had happened since Q2 2025, and before that, Q3 2022 . Revocations also fell to their lowest level in a quarter since Q4 2021.

Meanwhile, Avery Vise from FTR said that trucking jobs are still weak, with payrolls at their lowest level since September 2020 and, outside of the pandemic, their lowest level since November 2017. Long-distance truckload payrolls were especially low, falling to 496,500 in January.

Seamless Shipping With Entourage Freight Solutions

Entourage Freight Solutions believes in total transparency in the shipping process. That is why we invest in tech solutions that track every shipment extensively, monitor every driver, and extract every bit of efficiency without sacrificing quality. Our state-of-the-art platform uses cloud-based GPS tracking to keep you informed, reroutes shipments on the fly to avoid delays, and responds to real-time market changes to ensure your shipment arrives on time. Request a quote .

How Retailers Achieve End-to-End Visibility of Refrigerated Freight

Thu, 09 Apr 2026 15:22:01 GMT

Imagine shipping 40,000 pounds of frozen chicken to a supermarket. The truck gets there on time, but when the receiver pulls the temperature download, there is a three-hour gap in the data somewhere between Memphis and Little Rock. No one can say for sure that the cold chain held, so the entire load is rejected.

There may be nothing wrong with the reefer shipment , but without proof that conditions stayed within required specifications throughout the entire transport process, the receiver has every right to turn the truck away. Unfortunately, because of poor end-to-end visibility and a gap in refrigerated freight tracking, this situation is not unusual.

This article showcases enhanced logistics tracking and end-to-end visibility in refrigerated transportation through integration with specialized providers, ensuring transparency and reliability.

Where Cold Chain Tracking Tends to Break Down

A shipper might put a GPS on the trailer and a data logger inside the load. But if those systems can’t talk to each other, or if the data isn’t available until after unloading, the information arrives too late to matter. With multi-stop LTL reefer routes, it is even worse. Every time the truck stops or the door is opened for a handoff, there is a chance that data is lost or unrecorded.

And then there is the problem of the wrong temperature. According to ORBCOMM, up to 32% of refrigerated cargo is loaded at the wrong temperature. This is often because the driver waits too long to leave after the produce has been on the dock. If no one notices it early, the problem persists throughout the trip.

What End-to-End Visibility Actually Looks Like

Having a GPS dot on a map is not the same as seeing a refrigerated shipment in real time .

With end-to-end visibility, you can always see the shipment’s location and monitor the temperature in real time. This way, the shipper, carrier, and receiver have access to the same information at every step, from pickup to delivery.

If, for instance, the temperature goes outside the acceptable range, an automated alert is triggered. That means if something goes wrong while the load is in transit, all stakeholders are immediately aware.

How Better Refrigerated Freight Tracking Protects Shippers and Receivers

Consider a few scenarios that show what this looks like when it works:

1. Prompt Response

A reefer truck carrying dairy from a processor in the Midwest to a retail distribution center begins to warm after 200 miles. Within minutes, the monitoring system flags it. The carrier can send a technician to the next truck stop, where the unit is fixed before it goes out of spec. If it hadn’t been for that alert, the problem would have gone unnoticed until the receiver picked up the download at the dock.

2. Real-Time ETA Updates

Consider a multi-stop LTL reefer route. If the second delivery takes longer than planned due to a dock backup, the tracking system can automatically recalculate the ETAs for stops three and four — and the receiving warehouses can adjust their schedules before the driver calls. This way, there are no missed appointments and no detention charges.

3. Accurate Digital Reporting

Say a store’s food safety team is getting ready for an inspection. Instead of looking for paper logs and calling carriers for temperature records, they can get a single digital report that shows the entire journey of each shipment in question. That alone can save you days of going back and forth.

Why the Right Logistics Partner Makes the Difference

Most food manufacturers and stores can’t get this level of visibility on their own. They are shipping with different tracking systems on each leg and across many carriers and lanes. There is data out there, but putting it all together into a usable picture can be challenging. That’s why a 3PL that knows a lot about shipping temperature-sensitive goods matters.

A partner like Entourage Freight Solutions , an expert in foodservice logistics, sees refrigerated freight tracking and end-to-end visibility as integral to managing freight, rather than just an extra feature. That means keeping an eye on the temperature at all times, sending alerts when something goes wrong, and having a team that knows what happens when a reefer load goes wrong. There is very little room for error when it comes to refrigerated freight. So contact us today to see how we can help.

How Reefer LTL Solves Cold Chain Challenges for Food Manufacturers

Thu, 26 Mar 2026 15:17:05 GMT

Refrigerated LTL shipping is often the only option for small and midsize food manufacturers that don’t ship enough to fill a full trailer or send goods to multiple destinations. But this is the mode where cold chain failures occur most often. With reefer LTL, the trailer door is opened at every stop, letting outside air rush in and putting all the perishables inside at risk.

But reefer LTL solutions that work well can maintain stable temperatures across multiple stops and keep freight costs low. This article tells the story of how one food company solved its biggest refrigerated freight challenges by partnering with Entourage Freight Solutions.

Cold Chain Challenges Food Manufacturers Face

Every minute of temperature exposure matters. Here is why:

Temperature Excursions and Spoilage

According to Avery Dennison’s 2026 report , the global supply chain will lose $540 billion in economic value due to food waste this year. The same report states that 61% of businesses lack full visibility into where food waste occurs. Unfortunately, that lack of visibility often shows up as temperature changes that go unnoticed until a customer makes a claim.

FSMA and Regulatory Compliance

The FDA’s Food Safety Modernization Act requires shippers, carriers, and receivers to follow written rules for clean transportation. These strict rules apply to anyone transporting food by motor vehicle, and it’s the shipper’s responsibility to ensure safety standards are met. So if your carrier doesn’t meet those standards and you don’t have records to prove it did, the liability falls to you.

Cost Pressure from Underused Reefer Capacity

Midsize food manufacturers often don’t produce enough to fill a whole reefer trailer on every run. So they book a full truckload instead of reefer LTL because they don’t think the latter can maintain a stable temperature. However, that means they pay for an entire refrigerated trailer, even though the shipment only fills half of it. That wasted space adds up quickly.

Multi-Stop Temperature Exposure

Making multiple deliveries on the same reefer run could impact the temperature. That is because when the door swings open at each location, outside air enters the trailer, briefly raising the inside temperature. Cumulative exposure can increase the risk of spoilage before the food reaches its final destination.

The Food Manufacturer That Struggled With Cold Chain Gaps

The manufacturer in this case was a midsize producer of frozen and refrigerated prepared meals. Prior to EFS, it leveraged a mix of carriers to ship 15 to 20 LTL loads a week that required maintaining a specific temperature. However, temperature tracking was inconsistent.

In just one quarter, the manufacturer had seen several spoilage claims. Two retail customers raised concerns about temperature compliance during receiving inspections. And shipping costs were rising because the logistics team kept booking FTL reefer carriers instead of finding a reliable LTL option.

How EFS’ Reefer LTL Solutions Handled the Challenge

To address the manufacturer’s cold-chain problems, EFS layered several changes that worked together. Here is how we went about doing that:

1. Continuous Temperature Monitoring

EFS tracked the temperature of every reefer LTL shipment in real time. This way, the manufacturer had documented proof that each load met the cold chain requirements. It also ensured the team saw exactly when, where, and how long a temperature change occurred, if it did. That visibility closed the gap that had been causing spoilage claims and FSMA documentation failures.

2. Carrier Vetting for Food-Grade Standards

EFS leveraged vetted carriers with food-grade certifications, clean inspection records, and experience handling multi-temp loads. Before being added to the rotation, every carrier had to meet the FDA’s standards for safe transportation. This made it less likely that loads would be mixed up, and easier to use the same carrier for all shipments.

3. Rightsizing Shipments to Cut Waste

EFS sorted the manufacturer’s shipments by destination region and temperature zone (frozen and refrigerated), then combined them into properly loaded reefer LTL runs. This was huge because that meant the manufacturer stopped paying for empty trailer space.

4. Multi-Stop Coordination With Temperature Safeguards

EFS planned delivery routes so that the door stayed open for as little time as possible at each stop. Deliveries with the highest risk were loaded last and unloaded first, which reduced cumulative temperature exposure across multi-stop runs and kept the remaining freight within safe temperature bands

Cheaper and Efficient Reefer LTL Shipments With EFS

Entourage Freight Solutions is a partner with experience in the foodservice industry. We know the difference between a grocery DC delivery window, a foodservice distributor drop, and a retail receiving dock that has strict temperature audit requirements. This allows you to ship smarter, save money, and keep every load at the right temperature from the dock to delivery. Contact us today to get started .

Dalilah’s Law Advances as Freight Capacity Tightens and Rates Climb

Fri, 20 Mar 2026 14:17:20 GMT

The U.S. freight market is at a crossroads. A mix of government action, geopolitical instability, and weather-related delays is changing the price and availability of trucking services across the country. Congress is working on Dalilah’s Law that could take tens of thousands of CDL holders off the road. Meanwhile, the war in the Middle East is driving fuel surcharges up so quickly that they could blow up shippers’ budgets. And rejected tenders have reached volumes not seen since the pandemic.

Dalilah’s Law Clears First Hurdle in the House

The House Transportation and Infrastructure Committee voted to pass Dalilah’s Law , which could prevent people without legal status from obtaining a commercial driver’s license. Named after Dalilah Coleman, a 5-year-old girl from California who was hurt in a crash involving an unlicensed truck driver, the bill focuses on the ability to speak English, read highway signs, and talk to police.

Capacity Tightens and Freight Rates Climb

The Logistics Managers’ Index climbed from 59.6 in January to 61.5 in February. It was one of the strongest expansion readings in recent years. On the spot market, the picture is more complicated. Diesel prices went up by almost $1 per gallon in the two weeks after the start of the war in Iran.

However, national dry van linehaul spot rates (not including fuel) fell by 8 cents a mile to $1.92. Fuel surcharges went up 36%, from 44 cents to 60 cents per mile, but carriers are having trouble passing those costs on to each load. Rates are still 18% higher than they were last year.

Diesel Spike, Capacity Crunch Signal End of Trucking Recession

Spot rates are holding steady along the East Coast and Midwest after the spike caused by the winter storms in January and February. Across the country, diesel prices are now close to $4.90 a gallon. In California, they are over $6 a gallon. This has added 15 cents to 20 cents to the average fuel surcharge per mile.

The Journal of Commerce reported that spot rates rose 15% to 20% . But the increases weren’t the same across the board. From November to February, rates for Midwest originations went up 52 cents per mile. In the Southwest, it only went up 10 cents. Josh Allen, the chief commercial officer of ITS Logistics, says the number of tender rejections has increased by 13% to 15%. Brokers are also said to be turning down loads under contracts signed as recently as January 1 unless the rates are changed.

Trucking’s Capacity Squeeze and Diesel Surge Open the Door for Intermodal Rail

Intermodal rail is likely to benefit from tighter truckload capacity and higher diesel prices. Couple diesel prices the highest they’ve been since November 2022 with the crackdown on CDL rules, and you have rising transportation rates.

Mark George, the CEO of Norfolk Southern, said that higher truck rates are a good sign for intermodal shipping prices. Darren Field, on the other hand, said that J.B. Hunt is working hard to get shippers to switch from trucking to rail.

Tender Rejections Hit COVID-Era Levels

Derek Leathers, CEO of Werner Enterprises, said at Stifel’s 17th Annual Transportation & Logistics Conference that the double-digit tender rejection rates were “COVID-level type.” Winter storms played a role, especially in the Midwest, where rejections were over 18% in early February. This was the highest level since March 2022. More than 20% of reefer shipments in the area were turned down as of February 10 .

However, the numbers were already high before the bad weather hit. The SONAR and Ryder System March report said that the 9.8% readings from late January support the idea that a longer-term tightening cycle may be taking shape. Leathers agreed that the weather had something to do with it, but he also said that spot rates are still too high for seasonal patterns to explain.

Seamless Shipping With Entourage Freight Solutions

How Expert Cargo Handling Helps Navigate Oversized Freight Challenges

Thu, 19 Mar 2026 14:51:48 GMT

In the realm of manufacturing, the stakes for freight can be very high. Late or damaged oversized freight can delay a delivery and stop an entire project in its tracks. Unfortunately, many companies treat shipping oversized freight the same as shipping regular freight. But it is not the same thing. Having or leveraging specialized knowledge of moving large shipments is the difference between success and a six-figure disaster.

In this article, we will show you how getting the planning and handling right saved one automotive project from a very expensive delay.

EFS and an Automotive Project With a Short Deadline

An automotive parts supplier sent a large stamping press and several oversized tooling parts from a fabrication facility in the Midwest to an assembly plant in the Southeast. The pieces were between 10 and 14 feet wide and weighed more than 80,000 pounds altogether. None of it was regular freight, and the timeline made things harder.

The assembly plant had two weeks before production began to get everything ready. And missing that window risked disrupting the production line. Recognizing the need for freight-handling expertise, the supplier brought in Entourage Freight Solutions.

How Entourage Freight Solutions Navigated the Oversized Freight Shipping Process

While EFS realized that the freight was doable, it was clear it was not a straightforward move. To get this shipment right, EFS had to stack several steps on top of each other, with each one depending on the one before it. Here is what we did:

1. Pre-Shipment Survey and Load Assessment

The first step was to figure out the securement needs, the load’s center of gravity, and the tie-down points. This was necessary to determine which trailers would be needed and how many loads the move would require. If you skip this or get the measurements wrong, you might show up on pickup day with the wrong tools.

2. Multi-State Permit Coordination

The route of choice went through three states, each with its own rules about oversized freight, size limits, and travel times. One state didn’t allow big moves on weekends. Another one limited travel after dark. We obtained all necessary permits in advance and planned the transportation schedule around the specific windows in each state. This way, there were no surprises at weigh stations or inspection points.

3. Route Engineering and Pre-Run Verification

We planned the route to avoid bridges with low clearance, weight restrictions, and construction zones. A pilot car drove the entire route before the move to check for clearances and flag any last-minute problems, such as roadwork not listed in permit databases, a temporary lane closure, or a detour sign that changed the route.

4. Equipment Matching

We chose a mix of step-deck and RGN trailers based on the pre-shipment survey, ensuring each part was the right size and weight. Because of the stamping press’ height and center of gravity, an RGN was required to maintain ride height within legal limits. Tooling parts were placed on step-decks with custom plans for their safekeeping.

5. Escort and Safety Coordination

We set up pilot cars for each leg of the route and worked with state DOT offices on sections that required traffic control. The escort drivers were informed of the load size, the planned route, and all planned stops. This kind of coordination takes time, communication, and people who’ve done it before.

The Results: On Time, No Damage, No Problems

All of the major parts arrived within the two-week window, at least four days before the start of production. That margin was important because it gave the assembly plant time to set up the press and run test cycles before the line went live.

Besides the timing, the other outcomes were just as important. There was no damage to any of the freight. Total compliance with all the permits and rules across the three states. No violations, fines, or delays on the side of the road. Most importantly, the assembly plant started production on schedule, which saved them millions of dollars in idle-line costs .

Shipping Oversized Freight With Entourage Freight Solutions

The truth is that oversized freight will always be hard to handle. However, just because something is complicated doesn’t mean it’s dangerous, as long as the planning fits the size of what you’re moving. The good news is that you can leverage EFS’ expertise and oversized freight-handling experience to make sure there is no hitch in your process. Contact us today to get started.

How LTL Consolidation Reduces Freight Spend for Retailers

Mon, 16 Mar 2026 15:17:16 GMT

Retailers often assume the cost of LTL freight is just part of doing business. But that is because most retail supply chains operate like this: scattered shipments, too many carriers, and zero coordination between loads. That is just wrong. LTL consolidation is one of the least used ways to save money in retail logistics. For one midsize retailer we worked with at Entourage Freight Logistics , getting this right meant saving more than 20% on shipping costs in six months.

This article walks through how EFS leveraged LTL consolidation to reduce freight costs, including what happened step by step and what other shippers can learn from it.

Why Retailers Overspend on LTL Freight

When shipments are fragmented, freight costs will increase. If you look into it, though, you would realize there is a pattern in retail supply chains where dozens of small LTL shipments go out every week, often to the same areas, without much thought given to whether those loads could travel together.

For example, a retailer that ships partial pallets from five different suppliers to 40 stores might have to send out 60 or more LTL shipments a week. If each shipment is billed separately, passes through multiple carriers, or racks up accessorial charges, costs can become a big problem.

A Retailer Struggling with Fragmented LTL Shipments

A midsize retail chain with more than 40 locations shipped a mix of dry goods and temperature-sensitive items from many different suppliers. The retailer’s freight business had grown on its own over the years, which is a nice way of saying that no one had really planned it.

The retailer was sending out more than 50 LTL shipments every week, but carrier selection was inconsistent. So, as a result, some loads were leaving half-empty, there was no consolidation strategy, and logistics costs had been rising every quarter. However, the turning point came when the logistics team hired EFS to assess the retailer’s operation and identify waste. What we found wasn’t surprising, but the scale was unbelievable.

How LTL Consolidation Was Implemented

LTL freight consolidation happens when you stack a lot of changes on top of each other. Here is what we did:

1. Analysis of Shipment Patterns

The first step was to create a map of all shipments in the last 90 days. We looked at the starting points, the ending points, the shipment weights, and the timing. This gave us an idea about what was going on. A lot of the retailer’s loads were going to the same few areas, usually within a few days of each other, on different trucks.

2. Carrier Optimization

The store had been using more than a dozen LTL carriers without any volume leverage. We narrowed the carrier pool and negotiated better rates based on the business we expected to do, garnering better prices with fewer relationships.

3. Cross-Docking for Consolidation

Leveraging our cross-docking facilities at EFS, we combined shipments from several suppliers before sending them to their final destinations. This allowed us to reduce the number of unnecessary freight moves. For instance, we would make one or two full loads instead of four half-full trailers going to the Southeast.

4. Coordinated Scheduling

We made sure that all suppliers and store locations had the same pickup and delivery times. That way, loads could be grouped more effectively, and transit times improved because shipments didn’t have to wait at carrier terminals for the next available truck.

The Results: Measurable Freight Cost Reduction

The retailer’s overall LTL freight costs decreased by 22% over six months. Meanwhile, the number of individual shipments each week fell by about 35%, from more than 50 to about 33. Delivery times got better because there were fewer touchpoints for loads to go through. And the retailer’s internal logistics team had to spend less time dealing with carriers and chasing down invoices.

Those results are in line with what industry data indicate is possible. One logistics company said that efforts to consolidate freight saved 12.4% on shipping costs and sped up shipments by an average of 1.2 days. In another case with a consumer brand, consolidation cut transportation costs by 20% in the first six months, saving roughly $100,000.

There were also other benefits. For example, there were fewer handoffs between shipments, which meant fewer damages. Less wasted trailer space meant a smaller carbon footprint for each unit shipped. And because there were fewer bills to pay, the costs of running the back office also went down.

EFS is the Freight Partner of Choice for Retailers

With EFS, you don’t have to change your whole freight network to get results. Even without a full-scale consolidation program, grouping shipments by region or day of the week can lead to big savings. Reducing the cost of your LTL shipments depends on well-thought-out strategies, and at EFS, we can help with that. Contact us today to get started.

How Real-Time Visibility Prevents Supply Chain Disruptions

Fri, 27 Feb 2026 15:00:05 GMT

Imagine this scenario: A winter storm forms along a planned FTL route, and the driver gets stuck. But before the driver can reach the company and help come up with a solution, the delivery deadline has passed, and the truck is stranded. The problem with running your supply chain without real-time visibility is that you are always reacting to what has already happened rather than taking action before it becomes a problem.

Real-time visibility means being able to see where your freight is, its condition, and whether it’s on schedule to arrive as promised. The shippers that leverage this solution are more informed and better protected.

Real-Time Visibility Is More Than a Dot on a Map

At its core, real-time visibility needs layered, connected information. And that entails knowing the exact location of the shipment, when it will arrive, the internal temperature, whether the truck is ahead of schedule, and whether anything along the way, like bad weather, road closures, or mechanical problems, could cause it to go off course.

You want to increase visibility and decrease variability. The difference between the two is important because many tracking tools provide information, but don’t give you anything to do with it. For instance, you may be able to see the truck, but you cannot see the trouble coming. EFS’ approach differs because it integrates location data, temperature monitoring, carrier communication, and proactive alerts into a single view across the entire shipment journey.

How EFS Tracking Tech Stops Problems Before They Start

This is where things get real. Beyond reporting, real-time visibility doesn’t just tell you what is going on; it stops it. Here are examples of proactive logistics management that show how tracking should work.

1. A Temperature Drift Is Caught Early

A reefer truck carrying milk and other dairy products to a distribution center in Memphis begins to slowly warm up. When the drift was within a recoverable range, EFS’ cold chain monitoring informed the shipper. The carrier was called, and the unit’s cooling system was revised. The cargo arrived at its destination on time, and food quality was preserved. If the receiving team hadn’t gotten that alert, they might have turned down the whole shipment at the dock.

2. A Traffic Delay Triggers a Schedule Adjustment

An LTL shipment bound for a foodservice warehouse outside Chicago ran into unexpected traffic. The system automatically recalculates the ETA and sends a real-time delivery update to the receiving facility, rather than waiting for the driver to call in. This way, the warehouse could adjust its dock schedule. And there was no unnecessary work or trucks sitting around waiting to unload.

What to Look for in a Logistics Partner’s Tracking Capabilities

Not all tracking is the same. If you’re thinking about hiring a third-party logistics company, here are some questions you should ask before you sign anything.

1. Does Tracking Cover Origin to Documentation?

Some logistics partners will only let you see what’s going on at pickup and drop-off. But that leaves a long, dark middle where anything can happen. Find a partner who keeps track of every mile.

2. Are Alerts Active or Passive?

A dashboard that you have to check is very different from a system that sends you alerts when something needs your attention. The second approach is what makes proactive shipment disruption prevention possible.

3. Is Temperature Monitoring Built In?

If you ship anything cold, which you would probably do if you are in the foodservice or pharmaceutical industries, make sure the tracking package includes temperature data from the very beginning. This is not an option.

4. Can You See Everything in One Place?

Tracking that spans multiple carriers and platforms is confusing. It’s much easier to spot problems early when you can see all your shipments on one platform, whether FTL, LTL, or reefer .

Plan Your Shipping Operations With EFS to Stay Ahead

Not every risk needs to be eliminated to keep the supply chain running smoothly. In fact, that is not going to happen. Real-time visibility is about spotting problems early enough to address them and having a logistics partner who cares about your freight as much as you do.

Entourage Freight Solutions gives you the whole picture: real-time tracking, alerts that go off before something bad happens, temperature monitoring, and a team that understands how important it is to move your shipment. If you’re sick of hearing about problems after they’ve already cost you time and money, it might be time to get in touch with a logistics partner who can spot them before they cost you time and money. Contact us to get started .

Keep Manufacturing Lines Efficient With Expedited Shipping

Mon, 23 Feb 2026 15:00:14 GMT

In manufacturing , one missing part can shut down an entire production line. And in many ways, it can feel like a power outage, only this time, the fault is internal. Think about it: staff are present, the lights are on, but the conveyors are idle, and everyone is watching the clock as if it were a bomb. That is what happens when freight does not move fast enough . But that can be fixed by enabling expedited shipping through effective logistics collaboration. This way, you keep production moving, even when a single missing part can bring an entire line to a halt.

In this article, we explore how expedited freight prevents shutdowns through realistic plant floor cases, plus what to set up before the next scramble hits your dock.

Logistics Collaboration Is What Makes Expedited Shipping Work

A production line shut down after a small bin ran low because a Tier 1 supplier had wiring harness components stuck behind a missed outbound pickup. Supervisors observed the buffer draining and knew the line would grind to a halt unless something changed. EFS was engaged when the plant had approximately four hours of material remaining on the line.

The timing was crucial because more often than not, the hardest minutes are those spent searching for capacity. To address the issue, EFS set up a dedicated pickup with a direct route to the plant and kept the plant updated as milestones were cleared. The shipment was moved via expedited freight services. Fortunately, the production plant received the parts before the buffer hit zero , and the cost stayed below catastrophe.

Expedited shipping fails when treated as a last-minute purchase, but works when treated as a preplanned recovery move. Logistics collaboration means your production plant, your suppliers, and your logistics partner agree on the rules before a crisis. That agreement covers who calls whom, what gets approved fast, which lanes are “break glass,” and what data must be shared at the first alert.

What ‘Expedited’ Really Means Inside a Plant

A motor in a regional plant failed, and the line went quiet. Maintenance had the crew and tools ready, but the required part was in another state. So it came down to a choice between idling the line until standard freight arrived or paying for speed that would save the shift. What was clear, though, was that the longer the wait, the greater the impact of the outage.

EFS was brought in when maintenance confirmed the part number and the plant authorized a time-critical recovery. That early call was the difference between a clean save and a messy scramble. EFS moved the part on a dedicated run with continuous status updates to the plant team. The part arrived the same night, the repair finished before morning, and the plant restarted the next shift on time.

At its core, expedited freight is about speed in decisions, handoffs, and execution.

Why Most Expedited Shipping Breaks Under Stress

A food manufacturer was running low on packaging film to wrap finished goods for shipment. The company had made orders on time, but a weather delay pushed a supplier shipment off schedule. The plant had ingredients, labor, and demand, yet it could not ship without film.

EFS stepped in when the plant’s materials lead flagged the risk of a full stop that day. The goal was not only arrival speed but also clean handling and a fast handoff.

Before EFS was brought on board, same-day delivery was not possible. The company arranged everything from the supplier’s warehouse and coordinated closely to prevent dock waiting. When inventory was split between two supplier locations, EFS also coordinated a rapid consolidation to prevent the plant from handling multiple late arrivals. The film arrived in time for packaging to resume the next morning. Fortunately, the plant was able to protect customer commitments and protect shelf life.

Generally, there are two key patterns that show up in plants that struggle:

No clear trigger for when to switch to emergency freight
No approved playbook for who signs, books, or receives

How EFS Helps Manufacturers Build Expedited Shipping That Holds

Expedited shipping is easier when a single partner owns the entire move. That way, we can reduce the “who has it now?” confusion during handoffs.

Entourage Freight Solutions supports manufacturers with:

24/7 response for emergency freight services
Mode selection that fits the urgency, from hot shot trucking to FTL expedited transport
Cross-dock coordination when freight must change hands fast
A single communication thread that keeps suppliers, carriers, and plants aligned

That structure turns panic into execution, then turns execution into habit. Contact EFS today to get started.

Capacity Tightens as Storm Shocks and Trade Slumps Take Hold

Fri, 20 Feb 2026 15:00:44 GMT

A single signal rarely changes the freight market . What we are seeing now has more layers. A winter storm drove up rates for truckload spots. Tender rejections rose, and unlike in previous years, they are not declining as quickly. Meanwhile, major carriers are openly discussing capacity losses and greater pricing power. And at the same time, regulators are looking over what could be the biggest rail merger in North American history.

The Port of Los Angeles just had its lowest monthly cargo output in almost three years as exports to China have dropped. As rates get closer to break-even levels, ocean carriers are canceling a lot of sailings. But Southeast Asia is making up for some of the work.

All of these signals point to a changing freight market. Below is a breakdown of the changes shaping 2026 so far.

Winter Storm Exposes Thin Truck Capacity

A late-January winter storm sent an immediate shock through the U.S. truckload market. Spot load posts surged 40% week over week following the disruption , according to DAT. Dry van spot rates rose 11 cents, the largest seven-day gain in over three years, while temperature-controlled rates jumped 15 cents as shippers leaned on reefers for freeze protection.

The ice storms are comparable to the disruption caused in February 2021, but there is now “less latent capacity” and a smaller buffer in the system. The reaction was sharper than what followed major hurricanes in recent years. And the key question is whether this is a temporary weather-related strike or the start of something structural.

J.B. Hunt Signals Early Demand Strength

At a recent investor conference, J.B. Hunt executives described a market that is tighter than anticipated . CFO Brad Delco said demand is running slightly ahead of early January expectations, and tender rejections began climbing before Thanksgiving and have not followed the usual seasonal decline.

Management acknowledged winter weather as a contributor. But Delco emphasized “pretty considerable” supply attrition following increased enforcement on driver qualifications and compliance. Dedicated services remain a bright spot: 41 new customers signed last year, dedicated service was sold on 1,200 tractors, customer retention has historically been above 98%, and a long-term net fleet growth target of 800-1,000 units annually.

Trucking Executives Sense a Turning Point

Dry van spot rates on DAT’s top 50 lanes have hovered near $2.30 per mile , excluding fuel, which is up 18 to 20% year over year, even after winter disruptions subsided. Knight-Swift’s CEO described the market as balanced between carriers and shippers. Werner’s leadership pointed to a “cleansing” of excess capacity driven partly by federal enforcement actions on CDLs and language requirements.

The Cass Truckload Linehaul Index rose 3.2% year over year in January, signaling that contract pricing may be following spot momentum. Executives caution that the next several weeks will determine whether this is the beginning of the end of a three-year freight recession or simply a weather distortion. Shippers, notably, are not yet volunteering to pay more.

UP-Norfolk Southern Merger Could Redraw Rail Competition

Union Pacific’s proposed acquisition of Norfolk Southern would create a 52,215-mile transcontinental network. Based on 2024 results, the combined railroad would generate 56% more revenue than BNSF. According to academic analysis presented publicly last year, a merged UP-NS would hold over 40% market share across most commodity categories and rank first or second in nearly every rail-hauled segment except iron ore .

Supporters argue that a coast-to-coast network would strengthen rail’s position against trucking. Critics warn that such a scale could dampen intra-rail competition and disrupt established competitive gateways in Houston and other markets. In January, the Surface Transportation Board rejected the 6,000-page application as incomplete and requested additional market share forecasts and documentation. A revised filing is expected later this year. If approved, the deal would alter rail bargaining power across North America.

Port of Los Angeles Hits Three-Year Low as China Trade Slumps

The Port of Los Angeles processed roughly 812,000 TEUs in January, down 12% year over year and its lowest monthly output in nearly three years. Executive Director Gene Seroka described exports to China as “dismal.” National containerized exports fell 26% last year, and soybean shipments through Los Angeles dropped 80%.

Ocean freight markets are also under pressure. Rates in the mid-low segment have fallen by more than 18% over the past month, while market averages are down 11.5%. On some Asia-U.S. lanes, carriers have reduced capacity by 50-60% through blank sailings as rates approach break-even levels. Southeast Asia is offsetting part of the China decline, though. For example, January imports from Vietnam rose 17.8% year over year, Thailand 36.5%, and Indonesia 18%.

Experience Seamless Shipping with Entourage Freight Solutions

How to Make Farm to Store a Success via Grower-Shipper Logistics Collaboration

Wed, 11 Feb 2026 15:00:21 GMT

A grower can produce the perfect crop, then lose it in one bad handoff, one warm trailer, one slow dock, one late pickup, or one bad plan. However, with logistics collaboration, your fresh food stays fresh from harvest through delivery. Think of cold freight like ice in a cooler. If you keep opening the lid, the ice does not fail, the plan does. That is why farmers who “just need a truck” continue to pay for shrinkage out of pocket.

In this article, we explore how logistics collaboration with EFS keeps cold chain freight on track and how coordinated reefer transport helps farmers deliver food in sellable condition.

Logistics Collaboration Is Control

Logistics collaboration means the farmer and the shipper operate under a single plan. Instead of making phone calls after the problem starts, there is an agreement on timing, temperature, loading rules, and what happens when reality shifts. Surprise is the biggest problem for farmers in cold freight, and logistics collaboration solves it. However, it only works when it covers the full supply chain.

For example, some produce growers and a regional food manufacturer operated a shared day plan. Partnering with Entourage Freight Logistics ensured harvest blocks were set around reefer appointment slots. And following that, trailers arrived precooled, pallets were moved directly from cold storage to the trailer, and doors closed quickly. There were fewer touches, and the produce moved between both parties with zero spoilage or surprises.

Here is what logistics collaboration looks like in real farm freight:

Harvest and pickup timing match. The truck arrives when the pack-out is ready, not “sometime today,” which leaves the product exposed to heat.
Temperature rules are clear before loading. Set points, pull-down, and product temp targets are agreed upon before the trailer doors open.
Dock time is planned. Pallets are staged, labor is ready, and the trailer does not wait in line.
One person owns the next call. When rain delays harvest, or a line goes down, someone triggers the new plan — fast.
Paperwork is ready before the wheels move. Bills, labels, and receiving notes are set in advance to prevent delays.

EFS Perfects an All-Weather Day-to-Day Cold Chain Operating Plan

EFS supports cold chain logistics with capacity and coordination built for foodservice and beyond. That support shows up in the work that farmers feel most strongly about.

For example, a foodservice supplier was losing product during seasonal demand swings. Some days needed full trucks. Other days needed mixed loads. However, the supplier was forcing everything into a single mode. That mismatch created unnecessary delays, cross-dock congestion, and longer exposure during transfers. Of course, the result was a shrinkage in claims and credits.

When EFS was brought in, we split freight by volume and urgency. Reefer FTL handled heavy lanes, reefer LTL handled smaller drops, and cross-docking was scheduled tightly to limit floor time. Each load was moved in accordance with a clear temperature plan. Deliveries stabilized, and the spoilage fell.

Where EFS Helps Farmers the Most

With EFS coordinating reefer freight , cross-dock moves, and linehaul, the farm operation spends less time chasing trucks and more time protecting quality. Here is how we help:

Reefer transportation services that match harvest and production rhythms, not random availability.
FTL and LTL reefer options that fit both full loads and mixed orders.
Cross-docking that reduces dwell and keeps temperature exposure low.
One dispatch and tracking thread that reduces missed signals and late updates.

A frozen food processor was facing freezer congestion and missed pickups. Frozen inventory piled up in the plant because outbound trucks repeatedly missed windows. So, instead of a buffer, the freezer became a parking lot. The late pickups forced double handling, crews rushed loads, and doors opened longer than planned. Energy use was climbing, but the risk was climbing faster.

EFS was engaged when the processor determined the issue was not due to freezer size. It was outbound control. EFS set fixed reefer pickup windows tied to production flow. FTL lanes were assigned in advance, dispatch remained live during loading, and missed windows triggered rapid changes rather than silence. As a result, the freezers were cleared on schedule, and the product stayed frozen because flow replaced guessing.

Freshness Is a Shared Job, Not a Farm Problem

Farmers do not lose product because they cannot grow what they want. They lose product because logistics breaks trust at the last mile of quality. Logistics collaboration turns cold freight into controlled freight. With Entourage Freight Solutions’ reefer support, farms and shippers can protect integrity, reduce spoilage, and deliver with confidence at scale. Contact EFS today to get started.

Safeguard Food Quality in Transit With Refrigerated Freight Solutions

Tue, 10 Feb 2026 21:17:29 GMT

With poor refrigerated freight solutions, loads can be rejected before products reach the shelf. When that happens, retailers will often blame the supplier, but in most cases, food quality fails during transportation, especially when control breaks down in the trailer. After all, the cold chain is only as strong as the time between doors.

EFS’ refrigerated solutions ensure foods are protected from damage caused by temperature drift, condensation, and spoilage. In this article, we explore how EFS’ refrigerated freight solutions help retailers maintain food quality during transit.

Why Food Quality Breaks Down During Transit

Most food spoilage during distribution comes from small lapses. It could be loading a warm trailer, holding freight too long at a dock, or setting the wrong reefer temperature for a mixed load — all of which are process failures. There is also the problem of lost precision in the cold chain. When that happens, perishable freight may move on time but arrive soft, soggy, or unsafe. As the USDA warns , “When temperatures are too high, bacteria can grow rapidly and cause food to spoil or become unsafe.” Unfortunately, that spoilage can begin long before the trailer door opens.

What Refrigerated Freight Solutions Must Actually Control

Effective refrigerated freight solutions manage five key factors that protect food in motion. These entail:

1. Temperature Precision

Refrigerated freight must hold exact temperatures throughout the route. Even a 2-degree swing can ruin an entire shipment of ice cream or seafood, for example.

2. Airflow Inside the Trailer

The product must be packed so that airflow is unencumbered. To do that, avoid blocking vents or stacking against walls so cold air can circulate and hot spots are avoided.

3. Precooling Before Loading

If the trailer isn’t cooled before freight is loaded, it becomes an oven in disguise. Precooling ensures the product enters a cold environment and stays safe.

4. Controlled Door Openings

Each open-door event dumps cold air and invites moisture. Good route planning reduces the number of stops. Smart loading prevents unnecessary door cycles.

5. Continuous Monitoring

Temperature logs without real-time tracking leave gaps in the process. And modern reefer freight requires active alerts and check-ins to catch issues before the product spoils.

How EFS Reefer Freight Protected Product Quality for a Food Manufacturer

Take a midsized dairy processor that is losing up to 8% of outbound volume to spoilage and returns. Temperature reports showed trailers dipping above safe levels during transit, but no one could prove where or when the damage occurred. Upon partnering with EFS for refrigerated freight solutions, three operational changes transformed the entire product:

Trailers were precooled before arrival and verified at the dock.
Sensors tracked real-time temperature inside each trailer, with alerts routed to dispatch if there was any drift.
Route timing was adjusted to reduce long dwell times at delivery sites.

Within two months, product loss dropped from 8% to under 1.5%. And the shelf life at retail improved. Buyers also stopped reporting soft product complaints. The manufacturer reduced the number of rejected loads and stopped spending thousands each week on reshipments.

When Refrigerated Freight Solutions Matter Most

EFS supports cold chain integrity for temperature-sensitive freight in these critical categories:

Dairy products (tight temperature range, high spoil risk).
Frozen meat and seafood (strict below-zero requirements).
Fresh produce and herbs (high airflow sensitivity).
Time-sensitive retail promotions (fixed shelf-life windows).
Food service distribution with multi-drop schedules.

The tighter the margin for error, the more valuable the reefer system .

Why EFS Is Built for Food-Grade Refrigerated Freight

At Entourage Freight Solutions , we build refrigerated freight programs around what the product actually needs to survive the journey intact. That entails:

Precooling, trailer checks, and dock-level temperature protocols.
Regional, national, and last-mile refrigerated freight coverage.
Time-specific delivery coordination to prevent spoilage risk.
Monitoring tools to back every move with data.

Food quality survives through planning, execution, and control. That is why EFS refrigerated freight solutions are built on discipline. When you control temperature, route, and timing, it becomes much easier to control quality. EFS helps food manufacturers protect their products, reputation, and profits — by delivering freshness rather than just freight. Contact EFS today to get started

Leveraging Cross-Docking for Faster Automotive Parts Distribution

Wed, 28 Jan 2026 15:33:51 GMT

If your automotive parts have to sit for days before they move, your network pays twice — once in storage and again in late deliveries. More often than not, the latter is much more expensive. To get away from that, Entourage Freight Solutions sets up a system in which the dock serves as the transfer point rather than a parking lot for inventory. With us, you can reduce lead times and storage costs in automotive parts distribution, and in this article, we will show you how.

Operational Gains That Matter to EFS in Automotive Parts Distribution

Cross-docking pays off when the gains show up on the road and at the bay door. Here is how:

1. Faster Parts Fulfillment

Parts fulfillment depends on route reliability. When outbound loads leave on a set cadence, dealers can plan labor and meet pickup commitments and customer promises. That way, there is more trust.

2. Better Plant Replenishment

Automotive plants need parts at the right time and in the right order. For example, a plant can have thousands of parts on site and still shut down because one small item did not arrive when it was supposed to. Effective cross-docking helps by keeping parts moving toward the plant rather than sitting in storage and causing unnecessary delays.

3. Lower Spend on Expediting Services

Expediting is a symptom of slow or broken flow. When planners realize a shipment will miss the plant window, they reach for hot shots, team drivers, or air freight to recover the miss. However, cross-docking cuts expediting by eliminating the delays that cause panic.

A Case Style Walk-Through of a Successful Cross-Dock Setup

Inbound Logistics defines cross-docking as the transfer of cargo directly from the inbound transportation mode to the outbound one within a terminal designed for fast flow and minimal storage.

Cross-docking works in automotive parts distribution when inbound freight gets sorted and pushed out fast, with little or no storage between doors. That sounds simple, but the difference shows up when the dock runs like a control tower, with tight inbound appointments, clear sort rules, and outbound departures that leave on schedule, then you gain control.

In this case, the cross-dock setup was a disaster:

Parts arriving in mixed loads were stored first, often getting stuck in staging lanes.
There was a lot of handling because teams touched the same items while receiving, moving, picking, repacking, moving again, and then shipping.
Dealer orders were being shipped in partial loads because a full route could not be assembled on time. That meant costs rose with each extra mile.

This dock setup becomes much more expensive for the automotive supply chain when there are more SKUs and/or demand spikes, whether during a campaign, a weather event, or a recall. There is also the problem of delays, which are expensive in their own way. After setting up the cross-dock flow, the entire process changed:

Inbound appointments were scheduled within fixed windows, and workers began assembling outbound truckloads immediately instead of putting parts into storage and waiting.
Parts were sorted by destination and routed at the dock.
Outbound departures ran on a cadence, so dealers and plants saw fewer late arrivals and fewer emergency runs, which improved predictability.

The key change was moving parts through the building with purpose. That way, the shipper could maintain momentum and avoid paying rent while waiting.

How EFS Cross-Docking Delivered the Results

EFS’ cross-docking service delivers value by eliminating waste that builds up in storage and through repeated handling. Two things matter most: fewer touches and faster departures.

Here is how our cross-docking makes your parts distribution better:

1. Immediate Inbound Consolidation and Outbound Buildup

The fastest cross-docks treat inbound as raw material for outbound loads, setting them up to leave as quickly as possible. EFS cross-docking combines inbound lines into fuller outbound loads bound for the same region. This cuts partial shipments and protects capacity.

2. Warehouse Bypass that Lowers Storage Cost

Storage costs grow when parts sit idle while planners wait for the “right time” to pick and ship. But in parts distribution, the cost is not only rent. It is the labor spent moving pallets into racks, pulling them back out, counting them, and explaining shortages caused by slow internal movement. By bypassing storage altogether, we eliminate that cost.

3. Fewer Handling to Ensure Fewer Errors

Every touch creates risk, including damage, mislabeling, misrouting, and incorrect quantities. EFS’ cross-docking limits touch and reduces errors by sorting and loading once, with scan checks at the lane and door to keep destination logic clean.

The good news is that we can do the same for you. Contact EFS today to get started.

Rates Go Up, But Recovery Still Unclear as Truckload Strength Meets Employment Strain

Wed, 21 Jan 2026 17:25:08 GMT

The freight industry kicked off 2026 with a tangle of signals: rising rates in some corners, stubborn job losses in others, and a regulatory fog thick enough to cloud any forecasts. For starters, experts are still divided on the impact of the unexpected surge in U.S truckload rates in December. Is it a result of winter volatility or the start of a long-awaited rebound?

Meanwhile, despite slack demand, the less-than-truckload (LTL) sector flexed unusual pricing power, pushing per-pound rates to record highs. But that strength isn’t mirrored across the labor market as trucking and warehouse job numbers continue to fall. And then there is the landmark Supreme Court ruling on the legality of Trump-era tariffs, which could release billions in refunds and spark a new wave of import activity.

This month’s newsletter unpacks pivotal developments shaping the road ahead. Continue reading to find out more.

Truckload Surge in December Offers No Clear Signal for 2026 Rates

Despite a 19 cents-per-mile jump in U.S. truckload spot rates in December, reaching an average of $2.46 per mile on 250-mile-plus lanes , the market remains volatile. David Spencer of Arrive Logistics warned that the increase was likely temporary, while Michigan State’s Jason Miller highlighted February as the true bellwether month. A sustained rate climb beyond January could shift pricing power to carriers , but economic indicators remain mixed.

Manufacturing activity is shaky, with the S&P Global PMI at 51.8, but production outpacing new orders by the widest gap since 2008-09.

LTL Rates Set Record Highs as Carriers Hold Firm; Truckload Shows Signs of Stabilization

LTL rates surged to new highs in Q4 2025, despite muted demand. According to the TD Cowen/AFS Freight Index, the LTL rate per pound stood at 67.9% above its January 2018 baseline and up 100 basis points from Q3 and 490 bps year over year. But analysts expect a slight dip to 66.1% in Q1 2026 , which would still mark nine consecutive quarters of year-over-year growth.

Meanwhile, the truckload segment showed “tentative signs of recovery,” with its rate-per-mile index climbing 160 bps sequentially to 7.6% above the 2018 baseline. Although costs dropped 8.6% and miles declined 10%, the data points to stabilization rather than strong growth.

CBP Moves to Digital Refunds as Tariff Ruling Looms Over $133 Billion in Levies

U.S. Customs and Border Protection (CBP) will begin issuing tariff refunds exclusively through electronic payments starting February 6. The organization is focusing on eliminating paper checks to reduce delays, fraud, and costs. But the shift coincides with the anticipation of a U.S. Supreme Court ruling on the legality of Trump-era tariffs imposed under the International Emergency Economic Powers Act (IEEPA). If overturned, the decision could unlock tens of billions in refunds.

However, trade experts caution that the refund process may take years. Cindy Allen, a former CBP official, said companies would need to proactively file refund claims, which the CBP must audit.

Carrier Count Holds Steady in 2025 Despite Pressure on Capacity and Driver Policies

Contrary to expectations, 2025 did not bring a major shakeout in the for-hire trucking sector. Federal Motor Carrier Safety Administration (FMCSA) data shows that carrier exits nearly equaled new grants and reinstatements, keeping the total carrier count mostly unchanged. The market still retains 86,000 more carriers than before the pandemic, which is about 33% higher , according to Avery Vise of FTR Transportation Intelligence. While capacity contracted modestly in Q4, the impact on rates was negligible.

Trucking Dive’s analysis showed that December revocations, ranging from 6,400 to 8,600 depending on the filters, may have been distorted by federal processing patterns. Apparently, English Language Proficiency (ELP) violations triggered only 184 revocations that month, indicating a limited impact of the enforcement.

Trucking Jobs Stagnate at Post-Pandemic Low While Warehouse Cuts Accelerate

U.S. truck transportation employment plateaued at 1,513,300 jobs in both November and December 2025. This was the lowest level since July 2021. And the stagnation has been downward over the last 16 of the last 24 months, with a net loss of 21,300 jobs since December 2023. While monthly fluctuations have been minor, they reflect persistent softness in the job market.

March 2025 saw an 8,000-job gain , offset by an equivalent drop in September. Meanwhile, warehouse employment continued its sharp decline, losing 7,200 jobs in January and totaling a six-month drop of 38,200 positions. The sector is now 151,600 jobs below its March 2022 peak. In contrast, rail transportation jobs rose by 700 to 151,000, the highest monthly gain since late 2024.

Partner With Entourage Freight Solutions for Better Logistics

Choosing to wait for stability may leave you waiting forever, and attempting to do it yourself requires millions of dollars in capital. However, by working with a comprehensive 3PL provider like Entourage Freight Solutions , you can gain the capabilities needed to navigate the chaos with ease. All you need to do is plug into our network and access the adaptive supply chain immediately. Contact us today .

How Drop-Trailer Programs Help Retailers Meet Demand

Mon, 12 Jan 2026 16:27:24 GMT

Supply chains don’t just break because goods aren’t available. They break because trucks, docks, and staff can’t move fast enough to keep up with demand. Drop-trailer programs can fix that bottleneck by separating trailer loading from driver schedules, thereby giving shippers more time and carriers more turns.

Drop Trailers Cut Through Retail Chaos

Every season comes with congestion issues, and it’s common to see docks clogged, drivers idle, yards crammed, and delivery windows gone. But Entourage Freight Solutions’ drop-trailer programs are designed to handle that volatility. Instead of waiting for a live-load appointment, trailers are dropped off early and picked up later, fully loaded. This way the shipper and carrier have more breathing room without slowing freight.

Where Peak Congestion Strikes Hardest

Although seasonal shipping stress hits hard on the road, it begins in the yard. Retailers and foodservice shippers struggle most in three areas:

1. Inbound Dock Overload. When trailers are stacked up and waiting for space, appointments run late, and crews can’t unload quickly enough.

2. Driver Detention Hours. Delays can cascade across a fleet, so a two-hour wait at one dock can result in the cancellation of the next two stops.

3. Yard Gridlock. With limited trailer parking, outbound staging becomes a guessing game, impacting important fresh, frozen, or mixed-temperature freight.

Drop-trailer programs ease all three pressure points by breaking the chain of real-time coordination.

How Drop-Trailer Programs Work

Drop-trailer programs allow retailers and manufacturers to preload trailers at their own pace while carriers pick them up at theirs. Unlike live loading, in which trucks wait in line and burn hours at the dock, drop trailers are parked, loaded, and picked up later. This approach decouples labor availability from driver schedules, which becomes a major advantage during seasonal peaks.

With drop-trailer programs, you ensure:

1. Preloaded Trailers During Off-Peak Warehouse Hours. Night crews or early shifts can prep loads without worrying about missed appointments.

2. Free Up Dock Doors Faster. Trailers aren’t tethered to a live truck, so docks don’t stay jammed with waiting equipment.

3. Keep Drivers Moving. Drivers hook and go. No detention, no delay. That adds capacity without adding tractors.

EFS’ Drop Trailers During Peaks: How They Save the Seasons

When retailers use EFS’ drop trailer solutions or services to manage seasonal surges, they stop treating trailers as trucks and start treating them as buffers. Here is how that works:

1. Pre-Stage Ahead of Promos. Retailers with known SKU surges, whether it is for Valentine’s Day , back-to-school, or Black Friday shopping, can load trailers early and hold them for exact delivery windows.

2. Support Cross-Dock Volume: Fast-moving cross-docking sites benefit from drop trailers by turning yard operations into slot-based pickups, which makes fast throughput predictable.

3. Manage Reefer Surges: Foodservice shippers under temperature pressure can use reefer drop trailers to preload without risking spoilage at the dock.

4. Cut Store Delivery Failures: Missed deliveries during peak weeks cost shelf space and sales.

Drop trailers keep freight ready, even if last-mile transport is tight.

Why EFS Drop Trailer Programs Match Peak Retail Needs

EFS supports drop-trailer programs that flex with seasonal demand, so retailers are not just stuck with equipment — they get coordination.

1. Trailer Pools Scaled to Actual Volume: EFS provides pre-positioned trailers sized to retail velocity and shipping patterns.

2. Cross-Dock-Ready Support: Locations using cross-docks can benefit from timed pickups and reefer staging as needed.

3. Retail-Minded Dispatching: EFS’ drop-trailer planning aligns with promotional calendars and DC labor shifts.

4. Dock Flow Built for Seasonality: Trailers aren’t just dropped, they’re managed. EFS works with warehouse teams to clear docks quickly and load on time.

This isn’t just about moving freight. It is about aligning the yard, warehouse, and transport teams so they move in sync.

When Drop Trailers Make Sense and When They Don’t

Drop-trailer programs shine when volume is predictable, space is tight, and labor is flexible. They fit:

Facilities that preload in batches.
Shippers with fixed delivery windows.
Networks with regular store replenishment.

But they may not be ideal for:

One-off or irregular freight.
Facilities with no yard space.
Lanes with extreme volatility.

Planning is the key here. The earlier a drop-trailer program is built into the calendar, the smoother the season will run.

EFS’ Drop Trailers Protect Service During Freight Surges

By enabling carriers to move faster and giving warehouse teams greater control, Entourage Freight Solutions’ drop-trailer programs protect service, prevent dock backups, and turn freight chaos into flow. When the next surge hits, your trailers shouldn’t wait. They should be ready. Contact EFS today to get started.

Optimizing Retail Distribution With Proactive Logistics Management

Tue, 23 Dec 2025 15:34:16 GMT

Problems in retail distribution can occur at any time. Freight can get stuck in traffic, or refrigerated trucks can lose power, usually around 2 a.m. But waiting until the morning to fix these problems can damage the entire network, which is why reactive logistics management doesn’t work. In this article, we walk through real-world events in which Entourage Freight Logistics ’ round-the-clock support prevented supply disruptions and what proactive logistics management looks like in practice.

Scenario 1: Missed Store Deliveries Avoided

Late-night linehauls are risky because trucks are traveling on empty highways, terminals are slower, and fewer staff are available to resolve issues. In one case, a retail client shipping early-morning replenishment orders had a truck get stuck 200 miles from its next cross-dock. Without a fix, the stores would have missed the morning restocks. Instead of waiting for office hours, EFS spotted the issue in real time, rerouted the load to a closer terminal, and coordinated with store teams to adjust delivery windows. When morning came, there were no phone calls nor scrambling. And customers were communicated with effectively.

Scenario 2: Reefer Issue Resolved Before Product Loss

Temperature control failures can wreck a truckload in under an hour because frozen goods thaw and chilled goods spoil. When that happens, the waste can be extreme. During one night run, a reefer alert flagged a rising temperature mid-transit. EFS support intervened immediately by contacting the driver, confirming the trailer’s condition, and arranging for a trailer swap before the product crossed the failure threshold. Because the issue was caught early, the product arrived safely and on time. The retailer avoided costly waste, shrinkage, and emergency backfill.

Scenario 3: Weekend Volume Surge Managed Without Store Impact

Promotions, holiday traffic, and regional events can create demand spikes with little warning. One weekend, a retail client experienced a sudden jump in volume across its distribution network. By midnight, its regular LTL providers were fully booked, and delaying the freight risked empty shelves during a major sales push. EFS responded by sourcing extra capacity through FTL and LTL partners. Because EFS had 24/7 access to a carrier pool, they didn’t need to wait for business hours. All store orders arrived on time without any issues.

What Proactive Logistics Management Looks Like in Practice

Real stability is established before the problems happen. Proactive logistics management means continuously monitoring freight rather than waiting for alerts that arrive too late.

1. Monitoring Shipments Across all Hours

Retail freight doesn’t stop. Shipments move at night, through weekends, and across time zones. If no one’s watching, a late truck or delayed handoff goes unnoticed until it’s too late. EFS tracks shipments around the clock, scanning for temperature drift, missed scans, or early signs of disruption. This way, a shipment delayed at 3 a.m. gets rerouted by 3:10 — not 9.

2. Immediate Intervention While Freight is Moving

Retailers lose money when freight issues are passed among teams. But with EFS support teams, the issues are solved directly. They reroute shipments, secure alternative carriers , or notify store teams before the delivery window closes. That kind of control matters when you’re shipping perishables, electronics, or restock orders tied to promotions.

Why EFS’ Model Works for Retail Distribution

Retail requires freight coverage that continues for as long as the stores remain open. But coverage alone isn’t enough. And success depends on communication, quick decisions, and reliable execution when something breaks.

1. Unified Freight Coverage Across FTL, LTL, Reefer, and Cross-Docking

EFS integrates all transport modes into a single system. That means fewer handoffs, clearer roles, and less miscommunication between providers. When freight shifts modes from full truckload to refrigerated LTL, or from regional hub to cross-dock, EFS keeps the entire path visible and accountable.

2. Dedicated Teams Empowered to Act

Late-night support only works when support teams have the authority to act. EFS equips its team to rebook carriers, redirect freight, and solve issues without waiting for upper-level review. That level of responsiveness prevents stockouts and protects retail timelines.

3. Real-Time Visibility with Direct Communication

EFS doesn’t just push alerts. Their teams provide updates that matter — where the freight is, what’s going wrong, and what’s being done about it. That keeps retail clients informed without requiring them to chase updates. And it allows their store teams to prepare instead of react.

Ultimately, proactive logistics management is not about software; it’s about timing. And it means nothing if it’s asleep when your freight isn’t. Contact EFS today to start enjoying proactive logistics management.

How Managed Transportation Services Slashed Manufacturing Logistics Costs

Wed, 17 Dec 2025 16:02:42 GMT

One midsize manufacturer was plagued with rising freight bills, late deliveries, and daily chaos. Logistics costs strained its budget and wore down the freight operations department. The turning point came after the cost crisis reached an unsustainable level, and the company realized it needed to outsource freight operations rather than adopt another software or spreadsheet solution. That was when the company handed the reins to Entourage Freight Solutions (EFS).

In this article, we will break down how managed transportation services deliver cost control, improved performance, and peace of mind.

The Freight Budget Was Bleeding

Before outsourcing, the manufacturer handled freight internally with a team that was thoroughly stretched thin. Production staff booked loads, finance teams chased carrier invoices, and no one tracked actual freight spend. There were no clear benchmarks, no predictive routing, and no dedicated in-house freight specialist.

Carriers often changed rates without notice, and staff frequently scrambled for trucks at the last minute because there was no scheduling. The team had no time for cost reviews and no access to freight visibility tools that could have helped them actually see how their goods were moving.

What Changed With Managed Transportation

EFS took over routing, carrier management, booking, and tracking, bringing structure, discipline, and daily freight oversight without increasing head count or the balance sheet. It wasn’t a flashy system but a clear path to stability.

1. Smarter Route Planning Reduced Waste

Before EFS, trucks often went half-full or missed the best pickup windows. But EFS mapped smarter lanes and aligned pickups with carrier availability, eliminating fuel waste and unnecessary miles. Orders moved when trucks were ready — not when someone finally found time to call dispatch. This saved time and fuel, and gave production teams greater predictability. They no longer had to wait for freight to leave or worry about parts missing their outbound window.

2. Stronger Carrier Access Lowered Freight Rates

One of the biggest wins came from outsourcing freight management. EFS gave the manufacturer access to carrier networks with scale pricing, something the company couldn’t unlock on its own. This meant more consistent rates and fewer surprises, while also enabling structured annual bids rather than reactive one-off loads. With EFS handling rate negotiations, the company could lock in reliable pricing with pre-vetted carriers.

3. Mode and Shipment Planning Cut Waste

Before EFS, freight planning relied on guesswork, resulting in loads being either rushed into a last-minute full truck or split into overpriced LTL options. EFS introduced freight optimization strategies that matched the right mode — FTL or LTL — to each order. Combined with better scheduling, this cut wasted trailer space and unlocked shipment consolidation savings. For instance, small outbound shipments to distributors were grouped into scheduled LTL lanes, resulting in faster, lower-cost delivery than before.

4. Real-Time Freight Visibility Brought Confidence

With EFS managing loads, the manufacturer could now track every order. Through freight visibility tools , they could view real-time status, receive delay alerts, and pull historical shipping reports. This visibility was especially helpful for their customer service team, enabling them to respond more quickly and plan more accurately. Operations managers also leveraged the data to review actual freight spend by lane.

Why EFS Was the Right Fit

EFS provided the right mix of service, tools, and freight coverage to meet the manufacturer’s needs. Here is what that looked like:

1. Comprehensive Freight Access Across Modes

The manufacturer tapped into FTL and LTL freight solutions without managing multiple vendors. EFS also offered refrigerated freight (reefer) and cross-dock access as needed, without additional contracts or learning curves.

2. Dedicated Daily Support

EFS assigned a team to handle daily freight operations, which ensured someone was always available to answer the phone. This way, problems weren’t just bouncing between departments without a solution. They got solved immediately.

3. Proactive Tracking and Updates

EFS’s tech stack provides the company with live shipment status updates, automatic ETAs, and real-time alerts, all of which helped prevent disruption. Before the customers asked, the support team already had the answers.

Sometimes Freight Discipline Starts With Letting Go

Letting go of freight may feel risky. But when logistics costs rise and operations stall, holding on too tightly becomes the bigger risk. However, the solution is not just any 3PL partner ; you must partner with one that has been tried and trusted. For this midsize manufacturer, outsourcing transportation was the beginning of better control, not the end. With EFS managing the freight, their team could focus on production and growth. Want similar results? Give us a call today .

The Freight Market Is Fraying at the Edges

Mon, 15 Dec 2025 18:13:59 GMT

Harsh weather, legal uncertainty, policy crackdowns, and contract inefficiencies are piling pressure on already strained supply chains. For starters, early-December storms and a shortened holiday calendar pushed spot truckload rates to five-year highs. Federal enforcement of English proficiency and immigration status is pushing drivers out of the workforce and could reduce capacity by up to 11%.

Meanwhile, uncertainty about a looming Supreme Court decision on tariffs is slowing procurement activity among U.S. manufacturers . And shippers are wasting valuable space by overcommitting to truckload and ocean contracts they can’t fully utilize. Let’s break them down.

Winter Weather and Holiday Crunch Push Spot Rates Higher

Spot rates surged 4% in early December across the 50 largest U.S. truckload lanes , and much of it was driven by snowstorms in the Midwest and a tighter-than-usual shopping calendar. DAT Freight & Analytics data shows this marks the strongest early-December jump in more than five years. Wisconsin alone saw rates spike 19 cents per mile due to heavy snow, and Midwest regional rates rose 23% in a single week.

Analysts like Bascome Majors labeled the surge “super-seasonal,” noting spot rates now sit 8% above typical sequential averages. With e-commerce warehouses operating at full capacity, dense distribution zones such as New Jersey and Maryland also posted double-digit rate increases. While contract rates haven’t moved yet, shippers are already looking to secure future capacity early.

Immigration Crackdowns Shrink Driver Supply and Inflate Costs

Federal enforcement of English language rules is pulling commercial drivers off the road, even those legally permitted to work. Since June, more than 9,500 drivers have been removed under a revised Department of Transportation policy that authorizes officers to place drivers out of service for limited English proficiency. Carriers are reporting rising insurance premiums and abandoned rigs, especially in states such as Texas and Wyoming, where enforcement is the highest.

Industry leaders warn that up to 400,000 drivers, making up 11% of the labor pool , could exit the market if these actions continue. The policy, rooted in safety arguments, disproportionately affects foreign-born drivers and DACA recipients. Critics say it gives officers too much discretion and fuels bias, despite a lack of proven links to safety outcomes.

Supreme Court Tariff Case Halts Manufacturer Purchasing

A looming Supreme Court decision on the legality of Trump-era reciprocal tariffs has frozen procurement activity among U.S. manufacturers. A GEP and S&P Global survey of 27,000 firms shows that November buying activity reached its lowest level since May . Uncertainty over whether the International Emergency Economic Powers Act justifies the levies is causing companies like John Deere to pause orders, even as they continue to pay hundreds of millions in quarterly tariffs .

North American supply chain volatility fell to -0.53, indicating idle capacity and soft demand. Globally, Europe and Asia are also slowing, but the U.S. is leading the pullback. The current environment is expected to suppress input prices, but the broader concern is a production slump that drags into Q1 2026.

Contract Reliance Leads to Wasted Freight Capacity

New research from MIT’s Center for Transportation and Logistics shows that truckload and ocean shippers are booking far more contract capacity than they actually use. On the truckload side, while 90% of forecast volume is locked into contracts, up to 70% of that capacity goes unutilized . In ocean freight, more than 70% is tied up in contracts but is often wasted on what researchers call “ghost lanes.”

The pandemic pushed spot usage to 10% of total volume — a rate that has held steady even in today’s soft market. Shippers using the spot market, out of necessity, pay 9% to 35% more than they forecast. Researchers recommend measuring contract versus spot performance and using index-linked contracts to reduce waste. Reliance on contracts results.

Verdict Inflation Escalates Legal Risk for Trucking Firms

Between 2011 and 2023, median verdicts in trucking-related tort cases over $1 million rose by an average of $59,122 per year , with top-quartile awards growing at nearly five times that rate. According to the American Transportation Research Institute, state court venues pose a greater risk, with median awards in state court $1.1 million to $3.6 million higher than in similar cases in federal court.

Of the 12,800 tractor-trailer tort cases that began in 2022, only 487 went to trial, mostly in state jurisdictions. ATRI argues that shifting eligible cases to federal court, where judges are appointed, and jury selection is broader, could significantly reduce payout exposure. As verdict inflation accelerates, venue strategy is becoming a necessary defense mechanism.

Partner With Entourage Freight Solutions for Better Logistics

Leveraging Expedited Logistics for Automotive Parts Distribution

Mon, 08 Dec 2025 17:03:15 GMT

Automotive parts distribution works when the right component is available before it is needed, not after operations have stalled in frustration. But to ensure that, you need to know the right freight service model and strategies to leverage. In this article, we will explore how to eliminate the risk of disruption and ensure smarter shipping in automotive logistics .

Service Models That Support Next-Day Delivery

A one-size-fits-all approach can be limiting when you need speed because each shipment is different. But knowing the right transportation mode determines how well and how efficiently your expedited logistics for auto parts run.

1. FTL Transportation Services

Full truckload is usually preferred for urgent high-volume orders. With this method, there are minimal touches on your shipment, which reduces handling risk and the path between inventory and installation. But it works best when there is a need to push large waves of parts to dealer hubs overnight. For recall campaigns and seasonal tire pushes, this model gives the team predictable departure and arrival times.

2. LTL Transportation Services Shipping

Less-than-truckload shipping is best for auto parts that cannot wait. Although most retailers do not ship full trailers every time, they still need speed for smaller orders. With LTL shipping , you share capacity with fixed schedules, which supports next-day delivery to dense dealer regions. However, it takes partnering with the right carrier to make sure these shipments move as scheduled. And with EFS, you don’t have to be at the mercy of slow consolidation.

3. Cross-Docking Solutions to Cut Warehouse Dwell

In expedited logistics, long dwell times can sabotage the entire process, which is why cross-docking solutions are necessary to limit them, especially in warehouses or transloading facilities. To get it right, push inbound pallets directly to outbound doors instead of sending them to storage racks. For parts replenishment logistics, this means a shipment of shocks or control arms can arrive in the evening and be sent out the same night to regional dealers. Less dwell means more parts in motion and fewer stockouts in the morning.

4. Expedited Ground Options for True Emergencies

Some orders cannot afford to miss the morning slot. But sometimes, even the best laid plans can go awry. This is why dedicated vehicles, hot-shot runs, and same-night linehaul are necessary to give retailers an escape route when a major fleet account or a busy workshop needs a single critical part. Treating these moves as planned services rather than last-minute favors keeps customers calm during stressful repairs.

How to Ensure Faster Automotive Parts Distribution

The following strategies for expedited shipping work well in automotive parts distribution and ensure your shipments arrive when due:

1. Ensure Capacity Across Modes for Day and Night Coverage

Make sure you have access to options such as FTL transportation services, LTL shipping for auto parts, and expedited runs that match the urgency of each shipment. It is a mix that gives you confidence that spikes in volume, promotions, or recall events will not cripple or disrupt their shipping operations and needs.

2. Cross-Docking and Rapid Transfer for Same-Night Turns

With cross-docking solutions in place, inbound parts can be swiftly transferred to outbound routes. This way, you have a better chance of staying on schedule instead of wasting time coordinating transfers or moving shipments back and forth between racks.

3. Temperature-Controlled Transport for Sensitive Components

For automotive distributors, this matters for batteries, adhesives, and other parts that degrade when exposed to heat or cold during long routes. EFS also brings strong experience in temperature-controlled transport from the foodservice industry.

4. Tracking Tools and a Responsive Support Team

Real-time visibility and frequent milestone updates help retailers plan workshop schedules around confirmed arrivals. A support desk that treats customer service as an attitude, not a slogan, keeps communication clear during late orders or emergency pulls.

Partnering With EFS for Expedited Automotive Parts Distribution

Entourage Freight Solutions has an extensive background in expedited logistics and automotive parts distribution. By approaching every shipment with resourcefulness and a wealth of expertise, we achieve a higher service level on all movements. We also leave nothing to chance, tracking all transportation legs and driver activity to maximize available capacity without sacrificing speed or quality. With us, you have the visibility, capacity, and speed to ensure your next-day deliveries are not rife with excuses. Contact us today to see how we can help you.

How to Optimize Refrigerated Freight for Maximum Freshness and Profit

Fri, 21 Nov 2025 15:44:49 GMT

Most perishables, such as food and pharmaceuticals, can’t survive without temperature-controlled shipping. Good luck maintaining their quality, safety, and value throughout the journey without refrigeration. Still, just using refrigerated freight transportation doesn’t guarantee success.

For instance, mistakes such as keeping the refrigerated door open for long periods during offloading and loading can be problematic. So, yeah, while most manufacturers know they need refrigerated freight, not all know how to handle it or the tech solutions required to leverage it. In this article, we will explore both.

Key Strategies for Refrigerated Freight Success

The key to successful refrigerated freight is knowing how to go about shipping it. The following are focused strategies to help you improve your cold chain transport, reefer trucking, and perishable handling.

1. Advanced Reefer Units with Sensors and Alerts

Modern reefer trucks and containers accurately track and preserve product quality by measuring temperature, humidity, and door openings, and sending alerts when levels deviate. They do all of this in real time, ensuring shippers have the complete visibility they need to maintain product quality and demonstrate compliance.

2. Loading Discipline, Dock Flow, and Cross-Docking

Speed and precision at the dock are major factors for temperature-controlled logistics. So, make sure to precool the trailers, load quickly, and maintain airflow inside the unit. Cross-docking for perishables reduces dwell time in cold storage.

For example, a food manufacturer that shifts from warehousing every load overnight to a cross-docking model for 60% of shipments can cut exposure time by several hours and save both energy and spoilage.

3. Smart Mix of Refrigerated LTL and Refrigerated FTL

Full truckload (FTL) provides the best control over conditions, while less-than-truckload (LTL) offers flexibility when volumes are lower. However, partnering with a cold chain 3PL expert like Entourage Freight Solutions means you can leverage both without sacrificing quality.

Take, for example, a retail chain that relies on FTL for high-volume routes and LTL for smaller tranches — but only with reefers with systems that support perishable handling. Load utilization will most likely improve, and spoilage and costs can be reduced.

4. Route Planning, Intermodal Options, and Monitoring

Naturally, weather, traffic, and stopovers can affect temperature-controlled logistics, which is why it is necessary to integrate route planning to ensure sustainability and quality. Moreover, you can always ensure that your shipments are safe and always on the move.

For better routing efficiency, you may consider intermodal freight options (road plus rail/sea), but this is only worth considering when time allows and cost is a concern.

Technology Solutions to Leverage for Better Refrigerated Freight

Leveraging technology for temperature monitoring and cross-dock process optimization shifts the refrigerated freight from a risky operation to one with a guaranteed outcome. It is probably why the global cold chain market is rising rapidly .

Continuous Monitoring and Remote Control: Tech tools like sensors send live data to dashboards, trigger alerts when deviations occur, and detect idle time early.
Digital Documentation and Compliance Reporting: Leveraging automated logs for temperature readings, handling details, and location protects you in audits or retailer disputes.
Packaging and Insulation Innovations: Advanced gel packs, phase-change materials, and smarter packaging support food-grade storage from origin to final delivery.

Partnering with a Cold Chain Expert — EFS

A third-party logistics provider offers end-to-end refrigerated freight solutions from load planning to real-time monitoring. That way, you can focus on shelf placement rather than trailer thermodynamics. When choosing a partner, it is essential to choose one that has:

Deep knowledge of food-safe standards (HACCP, FSMA).
Updated reefer fleet and trained drivers in perishables handling.
Integrated network for a mix of equipment, storage, and road/rail options.

When you make that choice, refrigerated freight becomes your competitive advantage.

Entourage Freight Solutions removes the complexity of refrigerated freight. We are a well-known specialist in cold chain transport, refrigerated FTL/LTL, and cross-docking for perishables, making us a strategic option for transporting your reefer shipments.

Shift Your View of Refrigerated Freight

Refrigerated freight doesn’t need to be a cost sink or a quality risk. When you treat it as a quality-control lever, you protect products, brand equity, and margin. But to do that, start with good reefer equipment, loading discipline, monitoring tech, and the right partner, such as Entourage Freight Solutions. Connect with us today.

Building Adaptive Supply Chains Amid Global Trade Uncertainty

Wed, 19 Nov 2025 14:08:31 GMT

When tariffs shift overnight and shipping routes close without warning, trade chaos becomes the norm. Naturally, this results in a situation in which retailers and manufacturers are in dire need of adaptive supply chains to survive the chaos.

Think about how water meanders around rocks. Instead of fighting the obstacle, water focuses on finding the path of least resistance. Supply chains need to be like water — find the most optimized path around market chaos. The old model of fixed routes and single carriers is no longer effective. What you need now are systems that can withstand chaos without actually breaking.

What Makes Supply Chains Bend Instead of Break

Every adaptive supply chain typically has three key qualities that protect your operations from trade disruption and management failures.

1. Real-Time Tracking Prevents Blind Spots

It is hard to fix a problem you cannot see. By leveraging supply chain visibility tools, you can monitor shipments in real time and identify potential bottlenecks that may disrupt their movement. That kind of speed allows you to make effective decisions before customers notice any delays. For example, a grocery chain using real-time visibility can shift reefer trucks from one region to another based on actual demand rather than relying on guesswork.

2. Multiple Transportation Options Create Safety Nets

Relying on a single shipping option leaves your shipment vulnerable to disruption when that option is no longer viable. Instead of being confined to a single option, an adaptive supply chain utilizes FTL for large shipments, LTL for smaller orders, and cross-docking to minimize warehouse time.

For instance, consider a manufacturer that normally ships full truckloads to distributors. When tariffs make large shipments too expensive, they can switch to LTL and consolidate orders at cross-dock facilities. The shipment is still moving, just through different channels. Third-party logistics providers , such as Entourage Freight Solutions, give you instant access to these options without the need to purchase trucks or build warehouses.

3. Smart Backup Systems Save Money

An adaptive supply chain is based on networks that can shift quickly and as needed.

A McKinsey study showed that companies with resilient supply chains recovered 3.3 times faster from disruptions than their peers. That kind of recovery speed comes from strong partnerships. For example, consider food service businesses and how temperature-controlled logistics play a key role. Even a small delay can damage frozen products, but by partnering with Entourage Freight Solutions, you always have access to temperature-controlled trucks, even during peak seasons when demand soars.

Strategies to Build Stronger Supply Chains

There are strategies for building an adaptive supply chain that do not require massive investments or years of planning.

1. Stop Depending on Single Partners

Review your current suppliers and their contracts. If you rely on a single supplier for key operations, such as freight movement, you should consider changing that as soon as possible. Maybe you use one port to move all your freight, but we saw from the Maryland port debacle that even that can be problematic. Having a single supplier or point of operation in the supply chain exposes your shipment to varying degrees of disruption. Yes, managing multiple relationships takes more work, but it is better than the regret that follows costly disruptions to operations.

2. Get Better Data Tools

If you can’t see your entire supply chain in real time, you’re likely making decisions based on outdated information, and in today’s chaotic trade environment, that is a big mistake. The good news is that the tech solutions that provide real-time information don’t have to be expensive. For example, cloud-based tracking platforms cost less than most companies expect. These systems pay for themselves by preventing just one major stockout or spoilage event. However, when selecting them, look for platforms that integrate with your existing software, as starting over wastes time.

Partner With Entourage Freight Solutions

Trade uncertainty is unlikely to subside anytime soon, as countries continue to protect their domestic industries. If anything, you can expect even more disruption as climate change and geopolitical turmoil continue to affect shipping routes. Choosing to wait for stability may leave you waiting forever, and attempting to do it yourself requires millions of dollars in capital. However, by working with a comprehensive 3PL provider like Entourage Freight Solutions , you can have the capabilities that help you navigate the chaos with ease. All you need to do is plug into our network and access the adaptive supply chain immediately. Contact us today .

Carriers Are Bracing for Difficult Winter

Mon, 17 Nov 2025 16:07:32 GMT

Truck makers have stalled on new year pricing as carriers wait to see how the incoming 25% tariff on heavy-duty and medium-duty trucks will be applied. The delay has slowed new equipment orders and prompted fleets to extend the life of the trucks they already own. At the same time, the largest truckload carriers are trimming tractor counts as they face weak freight and shrinking margins, with tighter driver enforcement adding fresh pressure.

Fuel costs are also rising, as diesel is experiencing a three-week consecutive price increase. Declining distillate stocks drive the price surge at a time when they would typically be rising. Manufacturers are signaling more trouble ahead as the latest ISM report shows customers canceling orders and pushing freight demand even lower. Meanwhile, shoppers are preparing for a record holiday season even as stores hire fewer workers and face rising layoffs.

Continue reading to find out the latest updates across the freight world.

Tariff Uncertainty Freezes Class 8 Orders

Covenant Logistics says truck makers still haven’t released firm pricing for new equipment, leaving carriers unable to place orders. CFO James “Tripp” Grant noted that large fleets typically have pricing in place long before this point, but the pending 25% duty on imported heavy-duty and medium-duty trucks has stalled everything.

Carriers are not yet aware whether the charge applies to full trucks, specific components, or certain vendors. And that gap has left new and used equipment parked while stakeholders wait for updates. Covenant Logistics front-loaded purchases earlier in the year to soften the impact, but is now holding off further moves. Wells Fargo Equipment Finance reports that more fleets are adopting the same approach, extending equipment cycles and deferring 2026 commitments.

Large Carriers Cut Tractor Counts

The Journal of Commerce Truckload Capacity Index fell to 72.4% in Q3 , the weakest reading since the 2008-09 recession. Large U.S. truckload carriers have been reducing their tractor fleets to match shrinking demand and protect their margins. Covenant Logistics’ finance chief expects the rest of the year to remain challenging, citing soft freight, government shutdown-related issues, and customer bankruptcies.

Some leaders foresee a longer wave of pressure arising from the tighter enforcement of English-language requirements and restrictions on non-domiciled CDLs. National spot prices show little immediate movement, leaving tractor reductions as one of the few tools carriers can use to steady their footing.

Diesel Climbs on Falling Stocks and Tight Supply

U.S. diesel has risen for three straight weeks, reaching $3.837 per gallon, the highest level since mid-2024 . The surge follows a sharp drawdown in distillate inventories, which dropped from 123.6 million barrels in late September to 111.5 million barrels by the end of October. This period typically sees a seasonal build in winter heating demand, but stocks are falling instead, pushing diesel prices higher at a faster pace than crude.

Ultra-low sulfur diesel on CME jumped 17 cents per gallon in six trading days, while Brent crude barely moved. The deeper backward move in diesel futures highlights the increasingly tight near-term supply situation. A brief sell-off came after OPEC shifted its outlook toward a more balanced supply-demand picture, but diesel remains costly and volatile heading into winter.

Manufacturing Slump Deepens Freight Recession

The latest ISM Manufacturing PMI shows widespread weakness. Customers are canceling or reducing orders across most sectors, which has left truckload carriers with thinner freight volumes and weaker spot rates. Manufacturers cite tariff turmoil as their biggest problem, especially in the Machinery and Transportation Equipment sector, where the commercial vehicle sector is already depressed.

The national dry van load-to-truck ratio dropped to 5.83 in early November as equipment posts climbed 6% and loads fell 4% . DAT’s largest markets saw notable drops, with Atlanta down 19%, Houston down 14%, Chicago down 11%, and Dallas down 30%. National dry van spot rates slipped to $1.69 per mile, though Midwest rates held higher at $1.94 per mile. The data points to a slow winter peak and a cautious first half of 2026.

Holiday Sales Forecast to Hit $1 Trillion

With consumers planning to spend an average of $890.49, the National Retail Federation expects November and December retail sales to surpass $1 trillion for the first time. Despite this, shoppers remain cautious, and many believe tariffs are raising prices. Retailers are hiring fewer seasonal workers, between 265,000 and 365,000, down from 442,000 last year.

The decline aligns with broader layoffs, with 88,664 retail job cuts reported through October, representing a 145% increase from 2024 . Even with these pressures, NRF leaders say consumers remain steady, focusing on savings so they can maintain holiday spending. For carriers, the message is mixed: solid seasonal volumes, but a fragile retail labor market and rising costs below the surface.

Navigating Freight Turbulence With EFS

EFS believes in total transparency, which is why we invest in technology solutions that track every shipment extensively, monitor every driver, and extract every bit of efficiency without sacrificing quality. Our state-of-the-art logistics and transportation infrastructure relies on cloud-based GPS tracking to keep you informed, reroutes shipments on the fly to avoid delays, and responds to real-time market changes to ensure you receive your shipment on time and as soon as possible. Connect with us today to know more.

A Manufacturer’s Guide to Building a Cost-Efficient Freight Strategy

Wed, 12 Nov 2025 15:11:32 GMT

Imagine your logistics network as a freeway system. If you remove bottlenecks and switch to efficient vehicles, you don’t just move goods faster, you also burn less fuel and leave a smaller carbon footprint. However, in the real world, three forces converge on freight operations: rising costs, tightening environmental standards, and customer demand for more efficient logistics.

This article demonstrates how adopting sustainable freight practices can be a path to achieving a win-win outcome, which entails both cost control and reduced environmental impact.

Key Strategies for Sustainable Freight

Sustainable freight is more than just a box to check; it is a business lever. And although many manufacturers and retailers believe that green logistics means higher costs, in reality, smart freight planning can ensure both reduced logistics costs and environmental value.

Here is how to achieve that:

1. Optimize Freight Consolidation and Routing

Chances are that your trucks and pallets are often traveling half empty. However, when freight optimization and sustainability are aligned, you can ensure fewer empty miles, which translates to less fuel, lower emissions, and a stronger ROI. To optimize freight, do the following:

Integrate smart route planning tools and data analytics into the process to minimize distance and idle time.
Balance full truckload (FTL) and less-than-truckload (LTL) shipments so that your shipments are fuller while still staying on schedule.
Leverage cross-docking to transport products through intermediate hubs because it eliminates the need for warehousing and reshipping, which in turn reduces waste and unlocks eco-friendly transportation options.

2. Use Energy-Efficient Equipment and Technologies

Leveraging tech solutions like telematics can significantly reduce idle time, fuel costs, and vehicle breakdowns, which is why, contrary to popular belief, you can invest in green logistics upgrades without significant cost outlay. However, to do that, you must invest where the payback is faster.

For example, replace older trucks or reefer units with low‑emission or hybrid models. This way, you can reduce fuel consumption and support the transition toward a carbon-neutral supply chain. Leveraging fuel-efficient trucking practices, which include rightsized loads, efficient speed profiles, and regular maintenance, is another good example. Your total cost goes down and your green credentials improve.

3. Explore Modal Shifts Where Possible

Sometimes, the biggest savings and environmental benefits can be achieved by leveraging different freight modes, as intermodal freight choices can reduce costs and carbon emissions when implemented correctly. For instance, rail emits far less carbon footprint per mile than trucking or any other form of road transport. And it is also more cost-effective. So, when moving shipments over long distances, shifting part of it to rail or sea can make a significant difference.

Combining road, rail, and sea transportation also helps to reduce reliance on any single mode of transportation. That way, if there is any disruption, your shipment remains protected. Logistics planners increasingly view this as a purposeful trade‑off, not a compromise.

4. Partner With Sustainable 3PL Providers

Your logistics partner can carry the sustainability burden so you don’t have to reinvent everything. However, when picking a 3PL partner , note the following because it will play a vital role:

Select a provider with experience in FTL, LTL, reefers, and cross-docking. That will help to rationalize your network while boosting load utilization.
Sustainability in logistics builds your brand credibility, so make sure the partner has proven green transport credentials (e.g., a low-emission fleet, a sustainability road map).
Make sure the 3PL leverages technology and can integrate key tech with your team. This is important because when the 3PL handles route design, mode mix decisions, and load planning, you gain access to their systems and benefit from sustainable manufacturing logistics without incurring the heavy investment required for in-house solutions.

A 3PL partner like Entourage Freight Logistics offers both environmentally friendly and efficient logistics solutions.

The Path Forward for Retailers and Manufacturers

It all comes down to your perspective. When you view sustainable freight as a lever for cost, efficiency, and brand value, everything changes. That means you don’t have to choose between green and profitable. With the right strategies, you can secure both, and your logistics operation transforms from a cost burden into a strategic advantage built on efficiency and responsibility.

Entourage Freight Solutions leverages its deep expertise in logistics to deliver high service levels and meticulous attention to detail for all your freight operations. Every load, whether shelf-stable or perishable, receives the same precision handling. Connect with us today.

Omni-Channel Fulfillment and the New Retail Transportation Paradigm

Wed, 29 Oct 2025 14:28:38 GMT

Retail used to be simple. Stores stocked shelves, customers showed up, and deliveries followed fixed schedules. Today, everything has changed. Shoppers now expect products to reach them wherever and whenever they choose, whether at home, in a store, in a locker, or via same-day pickup. This shift demands a rethink of how freight moves, which is why omni-channel fulfillment is so important.

According to McKinsey, 75% of U.S. consumers tried a new shopping behavior during the pandemic . That shift locked in higher expectations, meaning freight must now match shopper flexibility with delivery performance. Omni-channel fulfillment is how retailers connect inventory, transportation, and sales across every channel.

Transportation Challenges in Omni-Channel Fulfillment

As retail channels multiply, so do logistical headaches. Below are four major challenges retailers face when moving freight in today’s blended retail model.

1. Fragmented Order Volumes

Retailers no longer move pallets to stores. Instead, they are shipping pieces to homes, cartons to fulfillment hubs, and small batches to lockers. But that means reduced shipment size and complicated freight classification. And when shipments aren’t consolidated, the potential for waste skyrockets.

2. Inventory Decentralization

To meet same-day or two-day expectations, brands are spreading inventory across stores, regional DCs, and 3PL hubs. The problem with this is that such a level of decentralization introduces more modes of transportation, and the number of units moved per node is much lower, which weakens efficiency if freight isn’t routed precisely.

3. Compressed Delivery Windows

Customers want faster delivery, even for small orders or those placed late in the day. And when the retailers miss delivery windows, it can severely impact their revenue and reputation. These new customer expectations have forced retailers not only to compete on price but also on shipping speed, putting pressure on retail transportation to balance speed with cost.

4. Reverse Logistics Pressure

More orders lead to more returns, with categories like apparel and electronics seeing returns rates as high as 30%. The problem is that these returns now span across store drop-offs, pickup scheduling, and prepaid labels, all of which demand transport.

Logistics Strategies That Support Omni-Channel Growth

Retailers need tools, processes, and partners that match today’s channel complexity. The right mix of services turns friction into a seamless flow.

1. Use Cross-Docking for Faster Turns

Cross-docking reduces waste by moving goods from inbound trucks directly to outbound carriers, helping retailers avoid long storage delays. The logistics solution works well when orders from multiple origins can be combined into shared final-mile deliveries. This way, retailers can reduce warehouse dwell time, lower touchpoints, and improve responsiveness for store or local hub restocking.

2. Mix FTL, LTL, and Final-Mile Modes

Today’s freight requires flexibility. Some shipments need FTL for bulk orders, others need LTL for mixed SKUs, and many rely on parcel and local couriers for home delivery. Using the right mix avoids service gaps while trimming costs. But the secret is matching freight type to zone, weight, and delivery speed. Retailers that shift modes based on volume patterns win efficiency.

3. Improve Inventory and Carrier Visibility

Freight flows seamlessly when systems can see and respond in real time. But for that to happen, brands must align transportation tools with inventory systems to improve visibility in retail operations. This match helps teams ship from the nearest available stock and reroute orders when locations change. It also supports quicker exception handling and better customer communication.

4. Rethink Returns Management

Returns don’t just need storage — they need movement and intelligence. Shippers should triage returns to route them based on conditions such as resale, refurbishment, or disposal. 3PLs partner with integrated forward and reverse solutions like EFS, which reduce handling, improve accuracy, and help reclaim lost revenue. The National Retail Federation found that U.S. retail returns totaled $743 billion in 2023 . Smart routing and consolidation make that number less painful.

Why the Right 3PL Providers Like EFS Make the Difference

The success of omni-channel freight is not just about more trucks. It depends on partners that understand how to navigate all touchpoints. And a reliable 3PL for retail transportation should bring:

Flexibility to scale during peak periods.
Experience solving final-mile delivery challenges.
Tools that integrate with inventory and routing systems.
Coverage across modes — FTL, LTL, reefer, parcel, and cross-dock.

With EFS, you can manage your transportation strategy from end to end, enabling you to shape the customer experience. Our freight operations are designed to help you find stability inside the chaos of modern commerce. Connect with us today.

Tariffs, Tight Capacity, and Tech Reshape North American Freight

Thu, 16 Oct 2025 13:58:23 GMT

North American freight markets are facing renewed turbulence with trade policies, import patterns, and capacity imbalances. From Washington’s heightened tariff threats to shrinking carrier rosters and rising inland rates , supply chains are once again navigating uncertainty.

Trump Threatens 100% Tariffs on Chinese Imports

President Donald Trump’s announcement of potential 100% tariffs on all Chinese imports by November 1 has injected fresh volatility into global supply chains. The move, a response to China’s new export restrictions on rare earth materials, could disrupt roughly 40% of U.S. inbound freight .

Analysts are warning of cascading impacts, including blank sailings, idle capacity, and price swings, as importers scramble for alternatives in Mexico, India, and Southeast Asia.

C.H. Robinson’s Ben Bidwell urged shippers to stay ahead of policy shifts by diversifying sourcing and utilizing bonded warehouses.

Truck Capacity Tightens Across Inland Freight Hubs

Lower import volumes are tightening truckload capacity across key U.S. inland hubs, which in turn is lifting spot rates as the fall shipping season ramps up. DAT Freight & Analytics reported national dry van rates rising to $1.70 per mile in early October, with the Midwest averaging $1.92 , 22 cents higher than the national average.

Analyst Dean Croke said capacity dislocation stems from fewer containers arriving at ports, resulting in fewer trucks for return hauls. Spot rates from Stockton to Los Angeles jumped 33% year over year to $2.45 per mile, while Las Vegas-Los Angeles lanes climbed to $2.15. With imports projected to remain below 2 million TEUs through winter, inland trucking networks may need months to stabilize.

Tariffs Deepen Downturn as Class 8 Truck Orders Fall 44%

According to preliminary data from ACT Research, heavy-duty truck demand weakened further in September, with Class 8 orders dropping 44% year over year to 20,800 units . Despite a monthly uptick, the market remains weighed down by low freight rates and prolonged softness in for-hire trucking.

Volvo Trucks North America’s Magnus Koeck said fleets are delaying purchases amid uncertainty over tariffs and new emission rules, which is causing older equipment to remain in service longer. FTR Transportation Intelligence recorded a similar 41% decline to 20,500 orders, marking the ninth consecutive monthly shortfall.

Analyst Dan Moyer warned that Trump’s 25% tariff on imported heavy-duty trucks, now delayed until November 1, could further inflate prices and exacerbate the industry’s supply chain challenges.

Carrier Exits Outpace Entries as Trucking Capacity Tightens

Trucking Dive’s review of FMCSA filings showed more carriers exited the market than entered during Q3, with September marking the lowest level of new operating authority since February. FTR’s Avery Vise noted that while the imbalance reflects structural strain, it doesn’t yet signal a market rebound.

Michigan State’s Jason Miller said employment data suggests capacity has fallen back to 2018 levels, with trucking payrolls down 3.1% year over year to about 505,000 . However, he cautioned that “we remain far from the threshold where the market shifts in carriers’ favor.”

Despite the exits, small fleets still employ nearly 40% more drivers than before the pandemic, leaving an enduring capacity overhang.

Connectivity Central to Fixing Appointment Scheduling

Industry fragmentation continues to impede efficient truckload scheduling, but new software designed to connect shippers, carriers, and brokers is closing that gap. At the Journal of Commerce’s Inland Distribution Conference, Qued’s Tom Curee said that improved system connectivity, rather than ownership, drives progress.

Capstone Logistics’ Tony Botos reported more than $1 million in labor savings after adopting scheduling software that integrated transport and warehouse systems . Vooma’s Jesse Buckingham highlighted how smarter scheduling can protect broker margins and driver utilization. Vendors are now prioritizing shipment-based appointment logic over first-come, first-served practices, while Bigger Picture CEO Deema Adama said performance tracking allows warehouses to align labor with real freight flow.

Entourage Freight Solutions: 3PL Value Beyond Service

By strategically partnering with EFS, you can ensure better planning, more stable service, and faster fixes when storms strike. Entourage Freight Solutions leverages our deep expertise in foodservice logistics to deliver high service levels and meticulous attention to detail for all your freight operations. Every load, whether shelf stable or perishable, receives the same precision handling. Connect with us today.

Navigating Infrastructure Challenges in Automotive Logistics

Tue, 14 Oct 2025 17:50:09 GMT

Unfortunately, even today, despite significant advancements in technology and operational effectiveness, infrastructural failures remain a daily threat. Infrastructural fragility is prevalent everywhere, including at ports, highways, and rail, and can dramatically disrupt freight flow. And when you consider a sector like automotive logistics, in which even a minor delay can idle an entire production line, it becomes clear that shippers need to protect their operations before things go off track.

The Real Cost of Weak Infrastructure

In 2021, the American Society of Civil Engineers gave the nation’s infrastructure a C- rating. Unfortunately for shippers and stakeholders in the supply chain, operations are prone to issues such as delayed parts, missed delivery windows, and rising repair costs. And in the automotive supply chain , these failures can be particularly painful because plants operate on slim margins and tighter timelines.

Five Infrastructure Challenges You Can’t Ignore in Automotive Logistics

Every mile of automotive freight depends on physical access, reliable timing, and systemwide coordination. But there are points of friction. Here are five of them and how to fix them:

1. Congested Ports

A 2023 report by FreightWaves noted that the average container dwell time at key U.S. ports rose to 6.3 days during peak shipping periods, which is double what’s acceptable for just-in-time systems. Chronic delays at ports and urban roadways make deliveries unpredictable. Take, for example, the bottlenecks at ports such as Los Angeles, Long Beach, and Savannah, which regularly disrupt the inbound flow of automotive components. Such disruptions make it difficult to plan the automotive logistics process effectively.

Here is how to get around that:

Use multiple port entry options to spread volume risk.
Build flexibility into delivery windows for at-risk corridors.
Reroute loads in real time using GPS-based planning tools.

2. Limited Rail and Intermodal Capacity

Rail helps with cost, but it can’t always keep pace with the speed required in automotive logistics. Nevertheless, the average automotive freight management often includes long-haul rail moves for finished vehicles or parts. But shortage of parts, long dwell times, and rigid schedules leave little room for error.

Here is how to get around it:

Prebook intermodal slots during peak build seasons.
Combine rail with short-haul trucking to improve flexibility.
Use cross-docking logistics solutions to shift loads efficiently between modes.

Although rail can still work, it must come with tighter coordination and mode-switching backup for just-in-sequence manufacturing.

3. Aging Road Infrastructure

According to the U.S. DOT, about 39% of major roads are in poor condition or mediocre at best. These roads cost commercial fleets thousands in annual maintenance per truck. But bad roads cost more than just money; they also lead to time loss, cargo damage, and longer transit times. Rough pavement, bridge restrictions, and construction zones can slow down your automotive logistics process and shrink your route options.

Here is how to get around it:

Reroute freight away from known risk zones using carrier data and real-time traffic feeds.
Plan LTL and FTL logistics solutions to account for regional infrastructure limits.
Build buffer time into key legs during seasonal weather shifts.

4. Urban Delivery Restrictions

Cities are cracking down on emissions, truck sizes, and delivery windows. For example, in 2023, New York City implemented stricter low-emissions rules for commercial fleets entering certain neighborhoods, which forced third-party logistics providers to rethink access. Policies like that create new barriers to vehicle transportation logistics, especially for dealers or aftermarket parts providers in tight city zones.

Here is how to get around it:

Use smaller vehicles for final-mile drops when permitted.
Shift to regional consolidation hubs outside dense metro areas.
Schedule deliveries during off-peak hours where regulations allow.

Contingency Planning Isn’t Optional Anymore

As Jason Miller of Michigan State University notes, “Companies with tighter control of their logistics data will see fewer surprises — and bounce back faster when they do.” To run your automotive logistics effectively, you need backup plans, not just primary routes, which means creating playbooks for detours, backups, and last-minute reroutes.

Start here:

Design flexible routing logic that shifts with weather, congestion, or service delays.
Build regional warehouses for parts distribution logistics near key manufacturing hubs.
Partner with logistics providers that deliver multimodal transport solutions with built-in surge support.
Invest in supply chain visibility in automotive through real-time tracking tools and live ETAs.

Strengthen Your Automotive Logistics With EFS

Automotive logistics and supply chains don’t allow much slack. If your freight is built on guesswork, disruption wins. And congestion or broken roads will find you if you don’t plan ahead. But with Entourage Freight Solutions , you can ensure backup routing, coordinate across carriers, and rely on partners who understand the terrain, moving faster and predictably every day. That’s the difference between automotive logistics that reacts and one that’s ready. Connect with us today.

Redefining 3PL Partnerships: From Service Provider to Strategic Supply Chain Adviser

Tue, 07 Oct 2025 15:33:37 GMT

It is easy to treat freight like a vending machine, where you press a button and hope a truck appears. The reality, however, is far from it. As a shipper, the smarter approach to moving freight is building a strategic 3PL partnership in which the logistics provider is not just a transportation service but a supply chain adviser that helps you plan the entire shipping process.

Practical Steps to Build Stronger 3PL Partnerships

Having a simple vendor management relationship with your logistics provider is limiting in so many ways, including visibility and decision-making. You want strategic 3PL partnerships that inform decisions before freight moves. And to do that, the following steps are necessary:

1. Set Clear Expectations Early

Before entering into a partnership with any 3PL operator, you must clearly define what you want or need from that provider and then communicate these expectations effectively.

Define Outcomes and Metrics. Establish expectations, such as on-time pickup, on-time delivery, and dwell time, and then outline how you’ll measure performance each month.
Draw Up an Escalation Map. Name people, channels, and response processes so issues move fast with minimal friction.
Write the Playbook . Include FTL and LTL logistics solutions, drop trailers, live-load rules, and dock appointment rules so teams move freight with fewer surprises.

2. Engage in Joint Planning

Well-thought-out plans beat firefighting every day. However, to do that, you will need to involve every stakeholder — internal and external — involved in the logistics process, including your demand and production teams, as well as the 3PL of choice. This way, you can easily line up demand with truck availability.

Share Rolling Forecasts. Provide eight to 12 weeks of lane-level volume so the third-party logistics provider can hold capacity where you need coverage.
Plan Mode Mix. Agree on what you need from the logistics provider — FTL for base flow and LTL for swings, for example. Incorporate cross-dock logistics strategies to maintain freight movement during peak weeks.
Lock in Specialty Gear Early. Food producers should reserve reefer transport solutions to maintain product quality.
Stress Test Peak Weeks: Run a simple tabletop drill for seasonal peaks , such as the start of school and holidays, to identify gaps before real orders arrive.

3. Invest in Technology Integration

To make your strategic 3PL effective, you need data that flows seamlessly among all the stakeholders involved in the process. This is why technology integration is so necessary. It allows you to share information in real time, so everyone can see the same ETA, stops, and exceptions. With technology, you can:

Utilize Real-Time Visibility. Track tractors and trailers to enable teams to resequence docks and protect delivery windows. As C.H. Robinson’s Jordan Kass put it, “The companies that will excel in the years to come will be those with real-time visibility into their supply chains.”
Expose Constraints. Share dock hours, yard limits, and appointment rules in a single view, allowing planners to choose workable slots.
Automate Alerts. Trip-level exceptions should trigger alerts to both teams, ensuring recovery begins before customers experience issues.

4. Conduct Regular Performance Reviews

Reviews should be conducted regularly and serve as a guide for the way forward. Don’t focus on replaying past mistakes if you have no intention of learning from them. Keep them short, visual, and focused on changes you will make now. To do these successfully, ensure the following:

Lead With Outcomes. Start with the scorecard, then focus on the three lanes or sites that drive the most delays or added spend.
Decide Fast. Assign an owner, a fix, and a date for each issue; close the loop in the next huddle.
Tie to Money: Translate late fees, expedites, and detention into simple dollars so decisions get real support.
Document Learning: Store playbooks in a shared folder so new staff can run the same play on their first day.

5. Encourage Innovation and Flexibility

Your 3PL providers can help you innovate if you approach it strategically. Invite trials, measure outcomes, and scale what works across lanes and plants. For example, consider pooled deliveries for nearby customers or backhauls that reduce deadhead miles on repeat lanes. It is also important to note that tech helps when innovating, but human judgment still wins. As MIT professor Yossi Sheffi says, “We will always need humans, no matter how advanced the technology becomes.”

Entourage Freight Solutions: 3PL Value Beyond Service

By strategically partnering with Entourage Freight Solutions , you can ensure better planning, more stable service, and faster fixes when storms strike. EFS leverages its deep expertise in foodservice logistics to deliver high service levels and meticulous attention to detail for all your freight operations. Every load, whether shelf stable or perishable, receives the same precision handling. Connect with us today.

Pressure on Trucking Mounts in Shifting Market

Tue, 30 Sep 2025 15:34:39 GMT

With shifting trade policies, regulatory rollbacks, soft volumes, and rising operating costs, the American freight sector is at a critical juncture. The continued effects of tariff-driven inventory shifts and the resulting slowdown in truckload volumes are forcing shippers and carriers alike to reevaluate strategies that, just two years ago, seemed reliable.

Meanwhile, contract rates have hit a plateau, suggesting carriers have found a pricing floor. When you add to that the Trump administration’s new 25% tariff on foreign-made trucks, the cost pressures only deepen. At the same time, federal regulators are clamping down on non-domiciled CDL issuance after a series of fatal crashes, while a collapse in soybean exports to China threatens to cut agricultural freight demand across the Midwest.

Continue reading to find out more.

Truckload Market Slows After Import Rush

The truckload sector saw reduced activity in August following an import surge in July, driven by shippers pulling freight forward to avoid tariff exposure. According to DAT Freight & Analytics, dry van volume dropped 8% month over month, while reefer and flatbed loads declined by 6%. Spot rates fell across the board — flatbed by 6 cents, dry van by 2 cents, and reefer by 1 cent , reflecting the softening environment.

Contract rates are also under pressure as carriers begin negotiating 2026 bids. DAT’s chief of analytics, Ken Adamo, said August’s softness aligned with prior forecasts. “There’s nothing to suggest that’s going to change anytime soon,” he said. Cargo typically moved in late summer, such as back-to-school and holiday goods, was already in inventory, having arrived earlier in the year.

Contract Rates Flatline as Spot Market Rises

Contract rates in the dry van truckload market are showing signs of stagnation. As of early September, long-term rates dipped just 0.3% year over year, a marginal change compared to the steeper 2% decline from 2023 to 2024 . The modest fall suggests carriers may have reached a pricing floor, especially as operational costs have soared 33% since 2019, according to the American Transportation Research Institute.

Over the same period, contract rates have increased by only 17%, intensifying the financial squeeze on fleets. Spot rates, by contrast, are slowly increasing and now represent the lower band of the pricing structure. Broker data primarily from smaller fleets and owner-operators shows a divergence from contract data, which captures larger shipper-carrier relationships. This widening gap suggests the spot market is tightening first.

Despite a decline of 100-200 carriers per week (based on Federal Motor Carrier Safety Administration data), contract rates remain largely stable. Shippers appear hesitant to push further on costs, fearing longer-term exposure in an unsustainable market. Many still anticipate future rate hikes, as reflected in the Logistics Managers’ Index.

Trump Announces 25% Tariff on Foreign Trucks

President Donald Trump announced that he will impose a 25% tariff on foreign-made heavy-duty trucks , effective October 1, citing national security concerns and the need to support domestic truck manufacturers, including Peterbilt, Kenworth, Freightliner, and Mack.

The announcement follows an ongoing U.S. Department of Commerce investigation into the national security implications of importing medium- and heavy-duty trucks and related parts, under Section 232 of the Trade Expansion Act of 1962. Industry backlash has been swift. The American Trucking Associations (ATA) previously opposed the proposed tariffs, arguing that they would exacerbate cost pressures in a market already operating under razor-thin margins.

“Motor carriers can’t just absorb higher truck prices or pass them along to customers,” ATA stated in May. A 25% tariff on Mexican-built Class 8 trucks would increase average retail prices from $170,000 to $224,000 after taxes, a figure deemed “cost-prohibitive” for most carriers.

FMCSA Tightens Non-Domiciled CDL Rules

The Federal Motor Carrier Safety Administration (FMCSA) has issued an emergency interim final rule sharply restricting eligibility for non-domiciled commercial driver’s licenses, citing fatal crashes and widespread state-level noncompliance. Effective immediately as of September 29, non-domiciled CDLs will only be available to foreign nationals with H-2A, H-2B, or E-2 visas.

And Employment Authorization Documents (EADs) alone no longer qualify. The rule bypasses standard rulemaking procedures, which FMCSA argues would have prompted a surge of unqualified applications. The agency cited five fatal crashes since January involving non-domiciled drivers, including a high-profile August crash in Florida and a multi-vehicle March collision in Texas.

Approximately 200,000 current CDL holders and 20,000 permit holders will be affected , with only an estimated 6,000 qualifying annually under the new rule. States must immediately pause CDL issuance until they meet new requirements, including DHS verification, in-person renewals, and conspicuous markings indicating non-domiciled status on licenses.

Collapse in Soybean Exports Threatens Jobs

A steep drop in U.S. soybean exports to China is triggering alarm across the transportation sector, with potential repercussions for trucking, rail, and port operations. China, once America’s top soybean customer, has drastically reduced purchases in favor of South American suppliers due to enduring trade tensions and steep retaliatory tariffs, currently around 34%.

For the 2025-26 crop year, China has placed no new U.S. soybean orders — an unprecedented blow as peak harvest season approaches. In 2024, soybean exports to China were valued at $12.8 billion, or 25% of all U.S. soybean exports , according to the USDA. The sudden collapse could significantly reduce freight volumes across top-producing states like Iowa, Illinois, and Minnesota.

Mike Steenhoek, executive director of the Soy Transportation Coalition, warned that the downturn threatened jobs tied to export infrastructure, particularly in the Pacific Northwest. “It really imposes hardship on the freight rail industry and other transportation modes,” he said.

Shippers Boost Private Fleet Use Despite Low Rates

U.S. shippers are increasingly relying on private, in-house trucking fleets even as for-hire spot and contract rates remain favorable. Data from the National Private Truck Council (NPTC) shows that private fleet shipments rose 11.7% year over year in 2024 , driven by a desire for greater supply chain control. Technology and improved visibility have enabled this shift, allowing shippers to manage both outbound and inbound freight more precisely.

Tom Moore, NPTC executive vice president, said the importance of private fleets has “become more elevated” post-COVID. Mark Rourke, CEO of Schneider National, noted the private fleet share of the full truckload market has shifted from a near-even split to 55% private versus 45% for-hire. FMCSA data supports this, showing a 15.9% rise in the number of U.S. private fleets since 2019.

The use of private fleets for inbound shipments is also increasing, jumping from 31% in 2022 to 43% in 2024 among surveyed shippers. Penske’s Jim Lager emphasized that shippers are prioritizing control and reliability, not just cost.

California Repeals Electric Truck Mandate

The California Air Resources Board (CARB) has officially repealed its zero-emission truck purchasing mandate for private fleets, signaling the end of the state’s landmark electric truck sales mandates. The move, finalized on September 26, follows the Trump administration’s rollback of the Advanced Clean Fleets rule and revocation of companion manufacturer sales requirements.

Without federal authorization to enforce stricter-than-national standards, California’s program collapsed under pressure from politics and the law. Though framed as a setback, industry voices suggest the repeal opens the door for a more incentive-driven, voluntary adoption model. “Incentives are a powerful tool to encourage and advance the adoption of ZEVs,” said Nick Chiappe of the California Trucking Association.

Demand for such programs is strong, as California’s $200 million electric truck and bus fund was fully claimed on its first day . While the heavy-duty EV market remains nascent, with only 422 new electric big rigs sold in 2024, the medium-duty segment is growing. CARB reported more than 30,000 zero-emission trucks were sold in 2024, led by models such as the Tesla Cybertruck and Amazon delivery vans.

Navigate Market With Entourage Freight Solutions

Entourage Freight Solutions stands out with its extensive background and expertise in food service logistics. Our unique approach, honed in the food supply chain, ensures an unmatched service level and extreme attention to detail in meeting all our shippers’ needs.

Our platforms use the latest cloud-based, GPS-enabled technologies. They can track drivers regardless of location, continuously reroute shipments based on the dynamics at play, such as weather or traffic, and account for real-time changes in market rates . At Entourage Freight Solutions, we offer a broad range of unsurpassed services. These include:

1. Full Truckload (FTL): For shipment requiring a dedicated whole truckload.

2. Less-than-truckload (LTL): For companies moving multiple LTL shipments to different locations or consolidating LTL goods from other companies to get a lower all-in rate.

3. Refrigerated Trucking or “Reefer” Transportation: Leveraged to avoid spoilage and damage to temperature-sensitive goods.

4. Cross-Docking: With locations in Shelby, Ohio, Cedar Rapids, Iowa, and Romulus, Michigan, that serve as cross-docks for strategic consolidation, storage, and end-to-end distribution programs.

Request a quote today to see how Entourage Freight Solutions can help with your freight movement and other supply chain needs.

Strategic Capacity Planning for Seasonal Peaks in Retail and Manufacturing

Fri, 26 Sep 2025 15:06:17 GMT

Seasonal surges and demand spikes often bring logistical challenges, such as truck scarcity and limited warehouse space, which ultimately lead to delays, higher costs, and lost sales if the shipper is not well prepared. However, by being strategic about capacity planning for seasonal peaks, you can ensure smoother supply chain operations and fewer surprises.

But how do you establish strategic capacity planning for seasonal peaks?

1. Forecasting Demand Accurately

Predicting demand with precision is the first step in preparing for the seasonal peaks. And that can be achieved through studying and analyzing past shipping records. Accurate forecasting enhances the shipper’s ability to anticipate bottlenecks and determine the optimal levels of labor, warehouse space, and truck capacity well in advance of peak seasons.

According to the National Retail Federation, U.S. retail sales during the 2024 holiday season increased 4% year over year . All things being equal, this means that in 2025, a shipper looking at the previous year’s volumes during holidays or promotions would have a rough baseline to predict demand. However, whatever model you decide to work with, ensure that you factor in external triggers such as trade tariffs, inflation, school calendars, and consumer trends.

2. Building Flexible Transportation Options

Once demand is clear and inventories are arranged, the next step is to determine the transportation mode. Ideally, this mode should be mixed, as relying on a single mode, except in situations in which it is absolutely necessary, can leave your shipping operations vulnerable during seasonal surges. It is typically more prudent to spread demand across full truckload (FTL), less-than-truckload (LTL), and cross-dock setups. The strategy provides more room for your freight to maneuver when demand shifts quickly.

Spot market truck rates can rise by 20-30% during retail shipping peaks. To avoid that, establish agreements with carriers to cover sudden surges, lock in core carriers for stability, and reserve short-term deals for overflow. However, flexibility can reduce exposure to these price swings while maintaining freight movement.

3. Warehouse and Cross-Dock Planning

Even the best transportation plan will fail if goods are left to stall inside the warehouse.

However, an effective cross-docking strategy and scheduling will ensure trucks stay loaded and are constantly on the move. Adopting a warehouse strategy that aligns with your peak season demand and operations can be the difference between meeting and missing customer orders.

To do that, ensure the following:

Extend operating hours: Add shifts before seasonal surges to reduce congestion.
Pre-stage high-demand products: Place fast-moving SKUs near dock doors for faster loading.
Use cross-docking: Transfer inbound goods directly to outbound trucks to save time and space.
Strengthen communication: Keep dock managers and carriers aligned to avoid long dwell times.

4. Adopting Technology for Real-Time Visibility

One disruption during seasonal peaks can be devastating for the bottom line, which is why visibility tools are embedded well into every trucking operation at EFS. They give you and your freight team the ability to act before potential disruptions become a reality. And even when the event is unavoidable, you can take necessary actions before it spirals out of control.

In the current freight market, every minute counts, and knowing the freight’s location and how it moves is critical. With the right visibility tools and features such as GPS and real-time alerts, shippers can track shipments in real time, reroute quickly, improve communication, and avoid demurrage and detention. For shippers, visibility means fewer missed deadlines during manufacturing freight challenges.

5. Partnering with a 3PL for Added Capacity

A survey by Armstrong & Associates found that 90% of Fortune 500 companies rely on 3PLs for at least part of their transportation needs. For smaller shippers, this partnership levels the playing field during seasonal spikes.

Ideally, you should work closely with and share information with suppliers and carriers, such as Entourage Freight Solutions. This way, you can align equipment and schedules. Leveraging the resources of third-party logistics in your capacity planning for peak season provides a safety net because the right 3PL guarantees access to a larger carrier pool, technology platforms, and market knowledge that shippers may lack.

Entourage Freight Solutions is a one-stop third-party logistics solution built to support every aspect of the supply chain operation. By partnering with us for your capacity planning for peak seasons, you have access to:

Broader carrier network: EFS can tap into thousands of trucks to cover seasonal surges.
Specialized equipment: From reefers to expedited vans, 3PLs bring resources that are hard to secure on short notice.
Cost stability: 3PLs negotiate competitive rates across carriers, softening the blow of seasonal price hikes.
Operational support: A partner can also manage scheduling, tracking, and documentation to reduce stress on internal teams.

Connect with us today.

Rates Rise Despite Volume Pressures, Overcapacity

Fri, 12 Sep 2025 18:24:55 GMT

Despite declining volumes and soft macroeconomics, less-than-truckload (LTL) and truckload pricing rose in August. The inventory trends are pointing to a possible restocking frenzy come early 2026, which may stimulate freight flows, while overcapacity in the truckload sector is now expected to extend into 2027.

LTL carriers are adjusting to a major classification shift from the National Motor Freight Traffic Association (NMFTA), and pricing strategies are evolving amid margin pressures. Additionally, there is the potential fallout from a U.S. Supreme Court decision that could force the federal government to return more than $160 billion in tariffs.

From legal battles to network recalibration, these developments shape how freight moves — and how much it costs. Below, you’ll find summaries of seven critical developments that are reshaping the road ahead.

LTL, Truckload Rates Climb in Tepid Market

Despite sluggish freight volumes, pricing for LTL and truckload managed to rise in August, hinting at strategic rate resilience among carriers. According to the U.S. Bureau of Labor Statistics, truckload pricing climbed 1.8% from July, which is the sharpest month-over-month jump since December 2024 — though it still sat 0.2% below August 2024 levels.

Meanwhile, LTL rates advanced 1.5% from July and saw a striking 10.5% year-over-year gain, continuing a steady rise since the collapse of Yellow in July 2023. Industry experts are suggesting that this pricing uptick is less about market momentum and more about preemptive positioning.

“Shippers are willing to hang on to their current contracts and capacity,” said Keith Prather of Armada Corporate Intelligence, anticipating a rebound in demand later this year. LTL carriers, traditionally focused on profitability over market share, are feeling pressure from falling volumes. Truckload pricing, in contrast, is recovering slowly from its 2023 trough, helped marginally by seasonal produce shipments and import front-loading out of Southern California.

Lean Inventories Set Stage for Trucking Rebound

Despite a prolonged freight slump, experts believe that early 2026 may offer a turning point for U.S. trucking due to tightening retail inventories. During the Journal of Commerce’s Mid-Year Trucking Outlook webcast, Keith Prather of Armada Corporate Intelligence noted that only 7% of the market is currently overstocked, with some sectors potentially facing stockouts in the coming months.

Retailers’ inventory-to-sales ratios are significantly below both pre-pandemic and 10-year averages, 1.30 in June compared to a 10-year average of 1.43, highlighting lean stock levels across general merchandise and wholesale channels. This opens the door for a potential restocking wave, particularly if consumer spending holds steady.

In contrast, manufacturing inventory ratios are elevated at 1.57 , reflecting overstocked conditions amid tariff uncertainty and import pull-forward. S&P Global’s Paul Bingham emphasized that while the U.S. economy isn’t heading into recession, growth will remain soft.

Durable goods spending is expected to decline in 2025, even after pre-tariff buying sprees. But the GDP forecast of 1.9% for 2025, which is down from 2.8% in 2024, suggests a mildly supportive macroeconomic environment.

LTL Carriers Face Volume Pressure

In August, major LTL carriers continued to feel the weight of a sluggish domestic economy. Old Dominion Freight Line, XPO, and Saia all reported year-over-year tonnage declines, with daily shipment counts down across the board. Only ArcBest bucked the trend, posting a 2% increase in tonnage in its asset-based segment.

Saia noted a marginal 0.1% increase in weight per shipment, while others saw declines. Still, carriers are pointing to a stronger yield performance and margin expansion opportunities. Old Dominion saw a 4.7% uptick in billed revenue per hundredweight, attributing this to its service quality. “The improvement in our revenue per hundredweight demonstrates the value that our customers realize,” said CEO Kevin Freeman.

Carriers acknowledged external factors, which include reliance on third-party haulers during market expansions , but they are still focused on pricing discipline and long-term positioning as near-term demand remains uneven.

Truckload Overcapacity Expected to Persist Through 2027

According to FTR Transportation Intelligence, truckload overcapacity is proving stubborn, with no significant market tightening expected until 2027. Despite weak rates and widespread carrier exits, the U.S. trucking sector remains saturated, particularly with small fleets. As of August, the number of drivers at fleets with one to five trucks is still 39% higher than in March 2020, despite a drop from a pandemic-era peak.

“There’s been a stabilization of the carrier population,” said Avery Vise, VP at FTR, who highlighted the resilience of small carriers. Meanwhile, large carriers, those with more than 100 trucks, have seen a modest 1.1% decrease in driver head count since 2020. Active truck utilization remains between 92% and 94% . And with a limited exit pressure on small operators, FTR does not foresee meaningful tightening in supply. Contract and spot rate forecasts for dry van loads show only slight gains through 2026, but that number falls below inflation, suggesting minimal relief for carriers.

Some industry voices, like Werner Enterprises’ Matt Perry, argue that rate recovery will hinge more on capacity contraction than on a demand rebound.

Supreme Court to Decide Fate of $160B in Tariffs

The U.S. Supreme Court is set to weigh in on the extent of presidential authority over tariff policy, potentially reshaping trade dynamics and exposing the government to over $160 billion in refund claims .

In V.O.S. Selections, Inc. v. Trump, the court will fast-track a challenge to President Donald Trump’s broad imposition of tariffs under the International Emergency Economic Powers Act (IEEPA), with briefs due by September 19 and oral arguments scheduled for early November.

The case consolidates opposition from five businesses and a coalition of 12 states, which argue that Trump exceeded his authority . A federal appeals court has already ruled against the administration’s interpretation of IEEPA.

In response, the Department of Justice warned that stripping the executive branch of this power could leave the U.S. economically vulnerable, stating in a September brief that it would “thrust America back to the brink of economic catastrophe.”

LTL Industry Adjusts to NMFC Density Shift

The July updates to the National Motor Freight Classification (NMFC) system are reshaping pricing mechanisms across the LTL sector, but the transition has been more manageable than initially feared.

Speaking at the FTR Transportation Conference, various executives likened the change to a nonevent, noting that reclassification hasn’t triggered widespread disruption. The NMFC update moves freight classification toward a density-based model , aligning charges more closely with space utilization rather than commodity type.

FedEx Freight, the largest LTL carrier, did delay enforcement for 150 days to give shippers time to adapt. Others, including Echo Global Logistics and Pitt Ohio, emphasized that the real impact depends on how quickly carriers begin enforcing reclassification fees.

Echo SVP Marty Martin and Pitt Ohio VP Shawn Galloway emphasized the educational gap for shippers, many of which were using outdated classification codes. “Most shippers are a long way from that,” said Martin, referencing the shift toward order-by-order density calculation.

LTL Carriers Struggle to Balance Volumes, Pricing

Despite the volume downturn in the U.S. LTL market, some carriers are holding firm on pricing or even pushing yield. ODFL reported a 4.5% increase in revenue per hundredweight , excluding fuel, even though overall daily revenue fell.

ABF held revenue per hundredweight flat in August. Yet industry observers warn that this pricing discipline may be weakening, as some carriers turn to selective lane-based discounts to fill trailers. Technology-driven pricing analytics are enabling more targeted concessions, a far cry from the sweeping markdowns that gutted profitability during the 2009 downturn.

Meanwhile, the Producer Price Index for LTL services continues to climb, reaching 265.4 in July, a 7.3% year-over-year gain — highlighting the tension between rising costs and soft freight demand in today’s LTL market.

Navigating the Market With Entourage Freight Solutions

Our platforms use the latest cloud-based, GPS-enabled technologies. They can track drivers regardless of location, continuously reroute shipments based on the dynamics at play, such as weather or traffic, and account for real-time changes in market rates. At Entourage Freight Solutions, we offer a broad range of unsurpassed services. These include:

1. Full Truckload (FTL): For shipment requiring a dedicated whole truckload.

2. Less-than-truckload (LTL): For companies moving multiple LTL shipments to different locations or consolidating LTL goods from other companies to get a lower all-in rate.

3. Refrigerated Trucking or “Reefer” Transportation: Leveraged to avoid spoilage and damage to temperature-sensitive goods.

4. Cross-Docking: With locations in Shelby, Ohio, Cedar Rapids, Iowa, and Romulus, Michigan, that serve as cross-docks for strategic consolidation, storage, and end-to-end distribution programs.

Request a quote today to see how Entourage Freight Solutions can help with your freight movement and other supply chain needs.

Truck Parking Inefficiencies Compound Tariff Pressures

Fri, 29 Aug 2025 15:09:37 GMT

The freight industry is confronting both infrastructure inefficiencies and shifting market forces as we move deeper into the second half of 2025. A new report highlights a $100 billion annual drain on the U.S. truckload sector caused by inadequate parking, underscoring how long-standing infrastructure gaps can inflate costs and strain carriers.

At the same time, UPS is seeking to reshape its workforce through voluntary buyouts, while federal policy shifts — including a pause on visas for foreign truck drivers — are reshaping the labor supply in unexpected ways.

Tariffs remain a defining challenge . Companies are stockpiling goods in warehouses to avoid higher duties, temporarily muting consumer-facing inflation, while the ports of Los Angeles and Long Beach continue to process record volumes with stable dwell times. Meanwhile, uncertainty hangs over the truckload rate environment, with RXO projecting modest spot rate growth but warning of instability tied to excess capacity.

Technology, however, offers some optimism. Generative AI is gaining traction in transportation management systems (TMSs), with the promise of streamlining planning and uncovering new efficiencies.

Together, these developments illustrate the complex interplay of cost pressures, regulatory shifts, and technological innovation shaping logistics strategies, as well as the importance of agility in navigating an uncertain trade and freight environment.

Parking Shortages Cost Trucking Industry $100B

A new report by the Truck Parking Club and analyst Noel Perry estimates that inefficiencies caused by inadequate truck parking cost the U.S. truckload industry more than $100 billion annually . The study found that of the 23.4 million potential parking locations, only 638,000 are publicly available and legally suitable, meeting just 30% of daily demand.

This gap forces about 70% of truckers to rely on informal or unsafe parking. The inefficiencies include cutting trips short before hours-of-service limits are reached or traveling off route in search of available spaces. Rest stop “circuity” alone — averaging 15 extra miles for a third of stops — adds $37.7 billion annually.

Parking availability directly affects shippers, especially those relying on dedicated fleets. While some fleets strategically plan parking, most leave the burden on drivers. The Truck Parking Club, which operates a marketplace for connecting carriers with available spaces, has recently secured an investment from CAT Scale to expand its network.

UPS Expands Voluntary Buyouts to Operations Managers

UPS is extending voluntary buyouts to select U.S. operations managers as part of its push to align staffing with lower parcel volumes, particularly from Amazon. Managers in small package operations can apply until September 9, with separations running through July 2026.

Packages include cash payouts based on tenure, access to healthcare, and outplacement support. The offer follows UPS’ closure earlier this year of 74 facilities, which failed to generate the anticipated attrition. “Our attrition rate was lower than we anticipated, which resulted in higher expenses than we planned,” CEO Carol Tomé said. UPS is also offering buyouts to full-time drivers, with payouts starting at $10,000 .

The strategy reflects broader logistics trends. The U.S. Postal Service recently saw nearly 10,500 employees accept voluntary early retirement, underscoring how carriers are turning to buyouts to trim labor costs while restructuring operations.

US Suspends Foreign Truck Driver Visas

The Trump administration has halted the issuance of visas to foreign commercial truck drivers , citing concerns over safety and the economy. The decision follows a fatal crash in Florida involving an undocumented immigrant with a CDL from California and Washington.

Transportation Secretary Sean Duffy said lax enforcement has allowed unqualified drivers to obtain licenses improperly. This latest move follows an April executive order requiring English proficiency for truckers, with inspectors now issuing out-of-service violations to drivers who fail roadside tests.

The American Trucking Associations voiced support, calling for stricter oversight of non-domiciled CDLs and stronger training enforcement. California and Washington are among 19 states, plus the District of Columbia, that issue licenses to undocumented immigrants, raising questions about state versus federal authority in commercial driver regulation.

RXO Sees Spot Rate Growth Slowing, Market Tightening Ahead

Truckload spot rate growth slowed to 6.5% in Q2 from 9.1% in Q1 , according to RXO’s The Curve report. While volumes remain muted, RXO said tightening capacity will eventually drive sharper increases. Persistent low rates are pushing owner-operators toward company driving jobs and threatening smaller carriers with exit, a shift that could trigger a future rate spike.

Analysts remain cautious. Craig Decker of Brown Gibbons Lang & Co. predicts no major recovery for at least two quarters due to excess capacity. TD Cowen’s Jason Seidl noted modest contract renewal gains but emphasized that “uncertainty” dominates the outlook.

RXO pointed to 2014 as a possible benchmark for the next rate cycle, suggesting the peak could be lower than past recoveries.

Tariff Effects ‘Hiding in the Middle Mile’

Retailers front-loaded imports to blunt tariff increases, with goods now sitting in warehouses rather than pushing up consumer prices. Zachary Rogers of Colorado State University noted that tariff effects are “hiding in the middle mile.” While back-to-school apparel and toys are already more expensive, most consumer-facing inflation is expected to emerge when inventories clear in September and October.

C.H. Robinson’s Mike Short said companies are carrying heavier warehouse costs, elevating supply chain planning to “boardroom, C-level conversations.” Flexible warehousing providers, such as Flexe, report higher demand as importers buffer their Q4 inventory.

Meanwhile, tariffs on Vietnam and India highlight shifting sourcing patterns as China diversifies its export routes . Gene Seroka of the Port of Los Angeles said August cargo volumes remain strong but are cushioned by earlier stockpiling. Analysts warn that once inventories flow through, consumers could face another wave of inflationary pressure.

Ports Handle Record Volumes Without Major Delays

Despite record July container volumes, the ports of LA and Long Beach maintained steady dwell times. Truck dwell averaged 2.87 days, nearly identical to July 2024 , and rail dwell averaged 5.18 days, down from 5.66 days a year earlier.

The Pacific Merchant Shipping Association (PMSA) credited adequate trucking capacity and coordination among terminals, drayage providers, and cargo owners. “Even with unprecedented surges and shifting cargo patterns, San Pedro Bay terminals continue to demonstrate operational resilience,” PMSA’s Natasha Villa said.

The data supports Seroka’s claim earlier this year that the gateway has the capacity to handle surges, with fluidity ensured by Union Pacific and BNSF rail services that move about 60% of West Coast import containers.

Generative AI Gains Ground in TMSs

TMS providers are embracing generative AI as shippers and carriers seek greater visibility, automation, and efficiency. Oracle, Blue Yonder, and Uber Freight have all rolled out AI-driven tools since 2023, with adoption growing among large shippers.

A Deloitte survey conducted in late 2024 found that 75% of companies had at least one implementation of generative AI in their supply chain functions , while another 16% were piloting applications. Experts see near-limitless use cases, from uncovering cost savings to automating disruption response and optimizing transportation schedules.

“Technology advancements are coming fast and furious,” said enVista’s Britain Pavlic. JourneyTMS’ Chris Orban predicted a hybrid model in which AI generates data-driven recommendations while humans make final decisions, creating more adaptable supply chains.

Experience Seamless Shipping with Entourage Freight Solutions

Our state-of-the-art platform utilizes cloud-based GPS tracking to keep you informed, reroutes shipments on the fly to avoid delays, and even responds to real-time market changes to ensure you receive your shipment on time and as soon as possible.

Our Services

Full Truckload (FTL): When you need a truck all to yourself.
Less-Than-Truckload (LTL): Efficient solutions for multi-stop shipments or combining smaller loads to save on costs.
Refrigerated Trucking: Keeping your temperature-sensitive products fresh and safe.
Cross-Docking: Strategically located facilities in Shelby, Ohio, Cedar Rapids, Iowa, and Romulus, Michigan, for streamlined consolidation, storage, and distribution.

Ready to experience a new level of service and control in your freight shipping? Request a quote today to see how Entourage Freight Solutions can help with your freight movement and other supply chain needs.

Building Resilient Manufacturing Supply Chains in an Era of Trade Shifts

Mon, 25 Aug 2025 17:24:09 GMT

The lean model may be the holy grail of manufacturing supply chains, but that alone won’t save you. It is a resilient manufacturing supply chain that will save you. Many teams are stuck chasing the lowest cost and thin inventory, as they witness delays turn minor issues into lost orders. The winning formula today is simple: Design for flexibility first, then price for resilience.

The Pillars of a Resilient Manufacturing Supply Chain

Here is a brief list that every plant leader or manufacturer can present to leadership. These pillars convert supply chain volatility into faster recovery and steadier service.

1. Diversified Suppliers and Sourcing Regions

Spread critical parts across regions to cut exposure to tariffs , storms, or bans. McKinsey notes that disruptions of a month or longer occur every 3.7 years, a rhythm that punishes single-source bets. Diversification protects margins.

2. Flexible Transportation Options

Build modal choice into every lane to boost agility. Use full truckload for speed, less-than-truckload for scale, intermodal for cost, and reefer for food safety. A provider that can flip modes on short notice helps you meet OTIF and protect revenue.

3. Agile Production and Distribution Networks

Place regional hubs near demand to shrink lead time and risk. Cross‑docking and nearshoring move goods faster and hold less stock in the wrong place. This design raises service and reduces working capital.

4. Data Visibility and Predictive Analytics

Provide planners with real-time views of inventory, orders, and carrier status. Utilize predictive alerts for port queues, weather, and strikes to inform reroute planning. Better visibility turns surprises into planned moves and a steady flow.

5. Integrated Logistics Solutions for Agility

Connect procurement, warehousing, and transportation under one playbook to streamline processes, reduce handoffs, and boost agility, thereby reducing dwell time and delivering flexible logistics solutions.

Best Practices for Risk Mitigation in Manufacturing Supply Chains

Risk mitigation is no longer an option. But we have outlined a playbook that manufacturers aiming for resilience can stress‑test today and deploy tomorrow. Each move is practical, pilotable, and proven.

1. Scenario Planning and Contingency Strategies

Start with three high‑impact threats: a port closure, a tariff hike, and a raw‑material shortage. Build “if‑then” playbooks with trigger points, backup carriers, and approved suppliers. Maintain a dual-source plan for each SKU exceeding your ABC threshold and review it quarterly with finance.

2. Strategic Partnerships with 3PLs Like EFS

Resilience is not a company issue; it’s a supply chain issue, and recovery depends on the network. Lock in a 3PL that brings FTL, LTL, reefer, and cross‑docking under a control tower. You gain surge capacity and guaranteed cold chain integrity, which speeds up decision-making, reduces handoffs, and lowers dwell time and claims.

3. Inventory Optimization and Safety Stock

A disruption can erase 30% of one year’s EBITDA over a decade, making smart buffers a relatively inexpensive form of insurance. Set service targets by customer tier, not averages, and place a buffer where it protects revenue. Use demand forecasting and regional warehousing to move safety stock closer to buyers

4. Regulatory and Compliance Management

Assign one owner to track tariffs, export regulations, and labeling requirements. Keep digital files ready for audits and use brokers that update HS codes on a weekly basis. Clean paperwork prevents holds, protects shelf life, and keeps trucks moving with precision.

5. Building Redundancy Without Adding Cost

Supply chain resilience enables organizations to anticipate and quickly recover from disruptions, which is why it is important to treat resilience as a design spec, not an afterthought. Aim for selective redundancy, not blanket duplication. Split volumes across two qualified suppliers and test alternates every quarter with small lots. Utilize staggered shipping schedules and modes to mitigate risk and reduce costs.

Proof From the Field and Numbers That Move Action

Most supply chain teams have started to harden operations against global trade disruptions. According to McKinsey’s 2022 survey , 97% of companies reported using a combination of higher inventory, dual sourcing, and regionalization to enhance their resilience. Leaders said these moves minimized disruption in 2022, validating manufacturing supply chain risk mitigation that pays back.

A mid‑market food producer proved foodservice supply chain resilience during a heat wave by shifting two lanes to reefer, cross‑docking near retail DCs, and holding a week of extra stock near demand. Service levels remained high, waste decreased, and customers noticed the improved speed.

Resilient Manufacturing Supply Chains With EFS

Manufacturing success depends on expandability, quality, and integrated systems to handle the delicate needs of transporting goods early in the manufacturing process. And this is where Entourage Freight Solutions shines. We are the one-stop third-party logistics solutions built to support every aspect of the supply chain operation. Get in touch for logistics solutions that turn volatility into strength.

Freight Strategies Shift Amid Tariff Pressures

Mon, 18 Aug 2025 14:45:13 GMT

The freight and logistics sector is navigating a volatile mix of cargo crime, shifting trade policies, and strategic business realignments as 2025 progresses. Cargo theft is on the rise in both the U.S. and Mexico, with thieves targeting high-value, fast-moving consumer goods through increasingly sophisticated — and in Mexico, often violent — methods.

Meanwhile, cross-border trade with Mexico is losing momentum as tariffs cool investment, signaling a new period of recalibration for an industry that is striving to remain resilient in an increasingly unpredictable market. Cost pressures remain intense, with U.S. tariffs at their highest levels in decades and overcapacity depressing freight rates.

The U.S. has extended its pause on new China duties while collecting record tariff revenues — although still insufficient to close the widening federal budget gap. In other news, FedEx’s planned freight spin-off might lead to reshaping shipper contracts and pricing models in the less-than-truckload (LTL) space, while Echo Global Logistics is expanding through acquisition to bolster its West Coast presence.

Cargo Theft Surges in US and Mexico

Cargo theft in North America increased significantly in Q2 of 2025 , with the U.S. reporting 525 incidents, representing a 33% year-over-year rise. California accounted for 38% of U.S. thefts — driven by Los Angeles and Long Beach port activity, which alone comprised 36% of the national total.

Analysts link the surge to tariff-related import spikes into California, alongside notable increases in Tennessee, Pennsylvania, and Illinois.

Top U.S. theft categories included:

Electronics — mixed loads (29%), batteries/panels (18%), and computers (14%).
Food & beverage — coffee and energy drinks (21% of category).
Home & garden — appliances and pet supplies.

Pilferage was the most common method (52%), followed by full truckload thefts (22%), concentrated in Texas, Illinois, Pennsylvania, and California.

In Mexico, 82% of thefts involved violence, with Puebla and the state of Mexico leading in the number of incidents. Food and beverage goods topped the list (33%), with in-transit truck interceptions (65%) and theft from unsecured parking (34%) as primary methods.

FedEx Freight Spin-Off to Reshape LTL Contract Landscape

FedEx’s plan to spin off FedEx Freight by June 2026 could significantly alter how shippers negotiate LTL contracts. While large-volume customers typically have stand-alone deals, many smaller shippers rely on bundled agreements that link parcel and LTL services, allowing LTL spend to unlock parcel delivery discounts.

According to EVP & Chief Customer Officer Brie Carere, dismantling these bundles may reduce cost advantages for small and midsize businesses . FedEx is already approaching high-use LTL customers to shift them into unbundled agreements, said Thomas Andersen of LJM Group.

This could give shippers more freedom to explore competing LTL carriers, but may also erode the integrated cost savings that bundled contracts provide — particularly at a time when discounting is tightening and surcharges are climbing.

Echo Expands West Coast Reach with FreightSaver Buy

Echo Global Logistics has acquired FreightSaver, a Southern California-based 3PL, strengthening its West Coast and Midwest presence amid a sluggish U.S. freight market.

Founded in 2014 by Ryan Renne and Buster Schwab, FreightSaver operates in Utah, Michigan, Ohio, and California, offering truckload, LTL, expedited, specialized freight, and managed transportation services. Echo CEO Doug Waggoner called FreightSaver’s customer-focused, tech-enabled approach a natural fit with Echo’s managed transportation strengths.

Echo, the fifth-largest U.S. freight broker with revenue of $3 billion in 2024, was acquired in 2021 by The Jordan Company for $1.3 billion. The deal came amid slower post-pandemic M&A activity in freight brokerage, following big-ticket deals like RXO’s $1 billion purchase of Coyote Logistics (2024) and J.B. Hunt’s acquisition of BNSF Logistics’ brokerage unit (2023).

With TL and LTL rates under pressure from overcapacity , brokers are leaning on automation to protect margins. FreightSaver President Schwab said the partnership will deliver “smarter logistics” by combining technology and human expertise.

Tariffs and Overcapacity Strain Shipper-Carrier Partnerships

U.S. shippers are facing unprecedented cost pressures, the likes of which have not been seen in decades, with average tariffs now above 18%, up from 2.4% last year, alongside higher nearshoring expenses . Some are diverting cargo from contracted carriers to the spot market for short-term savings — risking long-term relationships.

Global shipping is entering an overcapacity cycle, with new vessel deliveries expected to worsen the imbalance into 2026. Trans-Pacific spot rates have already fallen 70% to the West Coast and 61% to the East Coast since June’s temporary easing of 145% China cargo tariffs.

Carriers are responding with aggressive “low-ball” offers, tempting shippers to abandon contract minimums. Industry experts warn this could backfire when capacity tightens, given carriers’ ability to manage supply through blank sailings. Maintaining commitments and transparency is seen as vital to preserving goodwill before the next rate rebound.

US Extends Pause on Additional China Tariffs

President Donald Trump extended the pause on new retaliatory China tariffs until November 10, citing “significant steps” by Beijing. Since May, the U.S. has applied a 30% combined duty — a 20% fentanyl-related tariff plus a 10% reciprocal tariff — while China cut its April 34% rate to 10% and dropped other retaliatory measures.

The extension follows July trade talks in Stockholm and is tied to a tentative deal framework under which the U.S. would impose 55% tariffs on Chinese goods while China holds at 10% on U.S. imports.

China remains central to U.S. supply chains, representing 10.9% of total U.S. trade in 2024 and contributing to a $295 bill trade deficit — the largest with any nation.

Tariff Revenues Hit Record High But Deficit Still Widens

U.S. customs duties reached $28 billion in July, up 273% year over year — yet the federal budget deficit still widened to $291 billion for the month, 10% higher than July 2024. Fiscal year to date, the deficit totals $1.63 trillion, just 4% narrower than last year after adjustments.

Tariff collections have reached $142 billion so far in FY2025, and the Treasury now expects to exceed 1% of GDP in annual revenue. While June saw a rare $27 billion surplus thanks in part to tariff inflows, July’s record receipts couldn’t offset rising interest costs and higher Medicare and Social Security spending.

Economists warn that the administration’s new tax and spending bill will deepen deficits in the coming years.

DSV Pauses US-Mexico Expansion

DSV, the world’s second-largest logistics provider after acquiring DB Schenker in April, is halting new U.S.-Mexico border investments amid a tariff-driven trade slowdown. CEO Jens H. Lund said the company is pausing cross-border trucking expansion and delaying other projects until trade policy with Mexico becomes clearer.

DSV has been a major investor in U.S.-Mexico infrastructure, doubling border warehouse capacity and tripling its Brownsville, Texas, facility in 2024, as Mexico overtook China as the United States’ top trading partner last year with $840 billion in bilateral trade .

The slowdown follows a 90-day extension of tariffs on Mexican goods — including cars and steel — and signals that recent nearshoring momentum is cooling under policy uncertainty.

Navigate the Freight Market with Entourage Freight Solutions

Our platforms use the latest cloud-based, GPS-enabled technologies. They can track drivers regardless of location, continuously reroute shipments based on the dynamics at play, such as weather or traffic, and account for real-time changes in market rates. At Entourage Freight Solutions, we offer a broad range of unsurpassed services. These include FTL, LTL, refrigerated, and cross-docking.

Request a quote today to see how Entourage Freight Solutions can help with your freight movement and other supply chain needs.

Broker Pushback, LTL Delays, and Drayage in Distress

Tue, 29 Jul 2025 14:49:33 GMT

The freight economy is feeling the strain from all sides — brokerage, drayage, warehousing, and truckload rates are all showing signs of stress. At the policy level , freight brokers are pushing back against proposed rate transparency rules, warning that mandatory disclosures could destabilize their business models.

FedEx Freight is delaying a major reclassification of LTL shipments. The shift to density-based pricing was set to impact thousands of customers. The delay gives shippers more time to adjust to the classification changes. Drayage firms face rising costs, stricter regulations, and mounting competition from digital brokers. Smaller operators are especially vulnerable in this high-pressure environment.

Across logistics and manufacturing, more than 4,000 jobs were cut this month — another sign of economic weakness. At the same time, truckers are urging Congress to fund one of their most basic needs: more safe parking options. Truckload markets remain in limbo. Overcapacity persists, spot rates are stagnant , and warehouse investors are pulling back amid market uncertainty.

The bottom line is that the freight market is uncertain, uneven, and under pressure.

TIA Opposes Broker Transparency Mandate

The Transportation Intermediaries Association (TIA) is opposing a proposed rule by the Federal Motor Carrier Safety Administration (FMCSA) that would compel brokers to disclose shipper rates to carriers. TIA CEO Chris Burroughs has warned that such a move could dismantle competitive logistics pricing and devastate smaller brokers, 75% of which earn under $15 million annually.

The effort was reignited by testimony from the Owner-Operator Independent Drivers Association (OOIDA), citing fraud and nonpayment as systemic issues fueled by opaque rate structures. The FMCSA proposal would require electronic records and a 48-hour carrier response window; however, TIA contends that existing tools, such as load boards and rate benchmarks, already offer sufficient transparency.

FedEx Freight Postpones LTL Reclassification

FedEx Freight is delaying the implementation of major revisions to the National Motor Freight Classification (NMFC), which shifts more than 2,000 commodities to density-based pricing models, by 150 days. Although the changes technically took effect July 19, FedEx won’t begin applying the new classifications until December 1, giving shippers time to adjust their pricing systems and processes.

The company, responsible for nearly 15% of all U.S. less-than-truckload (LTL) shipments, handles approximately 99,000 shipments daily and reported $9.1 billion in revenue last year . The reclassification will disproportionately affect shippers of low-density goods — items such as foam, cabinets, and chairs that occupy a large amount of trailer space relative to their weight.

In contrast, dense items like bricks or fasteners may benefit from reduced rates. While overall LTL volumes are down, Old Dominion and XPO reported year-over-year shipment drops of 6.8% and 5%, respectively. LTL pricing remains high. The long-distance LTL producer price index was up 7.8% in June.

The NMFTA continues to review nearly 20,000 commodity codes, suggesting more changes are ahead. FedEx warned that after December, inaccurate or incomplete shipment data may trigger inspection surcharges, further incentivizing shippers to ensure their freight specifications are accurate.

Drayage Sector Struggles with Price Wars, Regulatory Strain

It is a “race to the bottom” for drayage companies. Traditional drayage operators are being squeezed by rising operational costs, tech-enabled competition, and increasingly stringent environmental regulations, especially in California. Industry leaders describe an unsustainable pricing race in which even a $50 bid difference can mean lost business.

Companies like GSC Enterprises have shuttered, while others warn of a wave of buyouts targeting small operators with fewer than 50 trucks. The post-COVID influx of capacity and the rise of asset-light brokers are further pressuring margins. California's clean-air mandates and indirect source rules are compounding the challenges and accelerating consolidation.

“This race to the bottom has to end,” said Matt Schrap of the Harbor Trucking Association.

Layoffs Sweep Through Logistics, Distribution, Manufacturing

More than 4,100 job cuts have been announced in recent weeks across logistics, distribution, manufacturing, and food production sectors .

Beverage distributor Republic National Distributing Co. is exiting California, laying off 1,756 workers. Ohio Eagle Distributing and Americold Logistics are cutting 124 and 110 jobs, respectively.

Transloading provider MacMillan-Piper and grocery supplier GSC Enterprises cited sudden financial distress in WARN notices tied to 172 combined layoffs. In lumber, Canfor and Weaber are shuttering mills, attributing closures to weak markets and inflation. Food manufacturers like Pocino Foods and T. Marzetti are also closing facilities.

The breadth and diversity of layoffs underline systemic weakness across multiple supply chain nodes.

Trucking Groups Call for $755M to Fix Parking Shortage

The ATA and OOIDA are urging Congress to commit $755 million over five years to address a chronic shortage of truck parking, a leading safety concern among drivers. With just one legal spot available for every 11 trucks, the issue forces drivers into dangerous or noncompliant rest scenarios.

The call comes as lawmakers prepare the next Surface Transportation Reauthorization Act. While some federal funding has already been allocated, including $180 million in Florida and $24.8 million in West Virginia , advocates argue that a larger, sustained program is essential. The initiative is framed as both a safety imperative and a support system for driver retention and regulatory compliance.

Truckload Rates Stagnate as LTL Holds Firm

Freight markets remain divided, with truckload (TL) rates languishing under persistent overcapacity, while LTL carriers maintain pricing discipline. According to the TD Cowen/AFS Freight Index, TL rates are projected to decline for a 10th straight quarter, down 0.4% from Q2 and hovering just 5.6% above 2018 levels .

AFS CEO Andy Dyer cited global trade policy uncertainty and economic hesitation as reasons shippers are delaying spending, dampening demand, and stifling rate recovery. The TL market's overcapacity stems from a COVID-era influx of small carriers, many of which remain despite low freight volumes and mounting financial pressure.

Aaron LaGanke, VP of Freight Services at AFS, noted that most of the market exits have involved smaller firms and haven’t significantly reduced total capacity. Without a notable contraction or surge in demand, the imbalance is expected to persist. Meanwhile, LTL carriers are performing better, leveraging a strategy of targeted, profitable freight.

The LTL Freight Index shows a 1% year-over-year rise, supported by a 2.9% drop in cost per shipment and a 5.1% reduction in shipment weight. Carriers are benefiting from the new NMFC density-based classification, which enhances pricing control, although its full impact remains to be seen.

Trade Uncertainty, Surging Vacancies Freeze Warehouse Investment

U.S. warehouse deals stalled in Q2 2025, with industrial real estate investment flattening at $22.87 billion , following two strong quarters. Uncertainty surrounding new tariffs under the Trump administration is paralyzing investor decisions, while warehousing faces rising vacancies and muted tenant demand.

The national vacancy rate reached 7.1%, its highest level since 2014, amid a surge in post-pandemic construction. Leasing timelines have lengthened from six months to as long as 18 months, further complicating the underwriting process. New warehouse completions are down 47% year over year, and average asking rents, though still above pre-pandemic levels, have plateaued at $10.06 per square foot.

Experience Seamless Shipping with Entourage Freight Solutions

Our Services

Full Truckload (FTL): When you need a truck all to yourself.
Less-Than-Truckload (LTL): Efficient solutions for multi-stop shipments or combining smaller loads to save on costs.
Refrigerated Trucking: Keeping your temperature-sensitive products fresh and safe.
Cross-Docking: Strategically located facilities in Shelby, Ohio, Cedar Rapids, Iowa, and Romulus, Michigan, for streamlined consolidation, storage, and distribution.

The Future of Automotive Supply Chains: Preparing for Electric Vehicle Logistics

RSHanline (Nick Terry) — Thu, 24 Jul 2025 16:45:41 GMT

The electric vehicle shift is happening, but are supply chains ready?

In 2023, more than 14 million electric cars were sold globally , each requiring components such as lithium, cobalt, and nickel that were mined, sourced, and shipped from different parts of the world. This shift stretches lead times, increases risk, and complicates routes. Longer, less stable supply chains demand new planning and new tools.

Electric vehicles don’t just change what we drive — they change how vehicle parts move, what risks automotive supply chains face, and which partners matter most. Legacy logistics models built around internal combustion vehicles no longer apply. And automotive manufacturers who treat EV logistics like business as usual will fall behind.

Challenges: Electric Vehicle Logistics Comes With New Risks

Automotive manufacturers and shippers face several operational changes when moving electric vehicle parts .

Battery Shipping Is Dangerous and Regulated

Lithium-ion batteries are Class 9 hazardous materials. Mishandling them can trigger fires, explosions, and fines. The U.S. Department of Transportation, along with IATA for air freight, enforces strict handling protocols. These include UN packaging standards, thermal insulation, and proper labeling.

Failure to comply carries both safety risks and steep fines, making training, documentation, and certified carriers non-negotiable.

Batteries Are Big, Heavy, and Inflexible

EV batteries can weigh up to 1,500 pounds. They reduce trailer capacity by half and may require special permits. For instance, a truckload that once held 20 engines might only fit 10 EV battery packs. Warehouses must also reinforce racks and add fire suppression systems so they can store the batteries effectively. You can’t move them like you move engines.

New Vendors Bring New Problems

In 2023, port delays in China extended EV lead times to more than 80 days , disrupting delivery timelines. EVs rely on unfamiliar suppliers, such as battery makers, software firms, and electronics vendors, across more countries. That means more customs stops, new export rules, and less visibility.

Reverse Logistics Adds a Second Layer

Used EV batteries can’t just be discarded. They must be recycled or repurposed under tight regulations. However, very few stakeholders in the industry are prepared for this second leg. Reverse logistics for lithium batteries is complex, regulated, and expensive. Yet companies are under pressure from regulators and customers to show sustainability metrics.

Opportunities: Where Smart Automotive Supply Chains Get Ahead

Proactive teams can gain a competitive edge by investing in smarter, safer, and greener operations.

Specialized 3PLs Are Filling the Gap

Third-party logistics providers are now offering services built for EV logistics. These include:

Regulatory support: Help with labels, customs, and certifications.
Compliant warehousing: Fire-safe, temperature-controlled, and built for weight.
Battery-certified transport: Trained staff and modified trailers for high-voltage cargo.

Entourage Freight Solutions provides these services. The company offers temperature-managed freight, compliant battery handling, and custom visibility tools, providing shippers with real-time control over their shipments.

Technology Is Now Essential

Smart tools reduce the margin for error in EV logistics. They are no longer nice to have but required:

IoT sensors monitor shock, tilt, and heat in transit.
APIs sync with EV builders to match production schedules.
Digital twins test and compare shipping routes before goods move.

These tools cut damage claims, improve delivery times, and save money.

Networks and Warehouses Are Being Rebuilt

EV-ready facilities now include:

Fire-resistant storage zones.
Charging stations for EV delivery trucks.
Emergency response protocols for hazmat.

Decentralized networks are also gaining ground. Regional cross-docks reduce the distance batteries must travel, lowering cost, risk, and emissions.

Sustainability Is Now a Sales Advantage

Companies are under growing pressure to reduce emissions, and EV logistics is one place to start. Freight buyers now ask 3PLs to report carbon data per shipment . Some want emissions offsets or alternative fuel options baked into contracts. Those that offer transparency and green options win bids faster and retain more business.

Reverse logistics is also a competitive advantage. Brands that can recover batteries and reuse materials save money and meet ESG goals faster than their peers.

How EFS Makes EV Logistics Simple

Electric vehicles are already here, but their logistics needs are already different. Safety, visibility, and sustainability aren’t extras — they’re essential. Entourage Freight Solutions helps companies transport EV parts safely and on time, while ensuring full compliance.

Our services include:

End-to-end tracking.
Hazmat-certified transport.
EV-ready and flexible warehousing .
Reverse logistics for used batteries.
Emissions tracking and route optimization.

For EV brands and suppliers, Entourage offers the tools, support, and speed needed to scale safely. Waiting means playing catch-up later, under pressure. If you’re ready to move smarter in EV logistics, Entourage Freight Solutions is ready to help. Contact our team now .

Manufacturing Activity Stable Even as Tariff Uncertainty Persists

RSHanline (Nick Terry) — Tue, 15 Jul 2025 14:54:32 GMT

The U.S. freight economy is being recalibrated as policy-driven shocks collide with operational stress points in manufacturing, labor, warehousing, and trucking. Mounting regulatory and economic pressures are shaping the future of supply chain operations across the country.

There is a modest uptick in U.S. manufacturing performance, but the fragile recovery is undermined by weak demand and tariff uncertainty . Meanwhile, longshore unions are intensifying their resistance to automation, framing it as a global labor crisis ahead of a major summit in Lisbon.

Trucking may be on the cusp of a sharp reversal from prolonged overcapacity. Enforcement of the English Language Proficiency (ELP) mandate, combined with the immigration restrictions in H.R. 1, could result in the elimination of up to 175,000 drivers from the roads. Warehouse vacancy rates have hit an 11-year high, with leasing delays tied to tariff anxiety. And while tax relief in the “One Big Beautiful Bill Act” is being praised across industries, it comes alongside sweeping immigration crackdowns.

Pieces are constantly being moved across the industry. And in this issue, we map out the causes and consequences.

Demand Declines Despite Manufacturing Gains

The Institute for Supply Management (ISM) reported a modest gain in U.S. manufacturing in June, with the Purchasing Managers’ Index rising to 49%, up 0.5 points from May, still signaling contraction.

Production expanded into new territory at 50.3%, while inventory levels improved to 49.2% as companies accelerated the release of goods ahead of renewed tariffs. Despite this, demand indicators, including new orders, backlogs, and exports, declined.

Susan Spence, ISM Manufacturing Business Survey Committee chair, noted, “The biggest issue on our panelists’ minds continues to be the effect of tariffs on their supply chain and their cost structure.” Negative sentiment outweighed positive responses by a margin of 11-to-1.

In contrast, S&P Global’s U.S. manufacturing PMI rose to 52.9%, the highest since May 2022. S&P’s Chris Williamson credited sustained order volumes and output increases, but warned that pricing power linked to cost pass-throughs could risk reigniting inflation. The overall picture remains fragile, shaped more by tactical stockpiling than structural recovery.

Driver Pool Faces Deep Cuts with New Regulations

The ELP rule and immigration provisions in H.R. 1 could remove up to 175,000 drivers from the U.S. trucking workforce. The ELP mandate, effective June 25, allows the Commercial Vehicle Safety Alliance to place drivers out of service if they fail to demonstrate English fluency.

Many impacted drivers are immigrants, who make up at least 20% of the CDL workforce, though industry estimates suggest that number is higher. H.R. 1, signed July 4, bars work authorization for parolees, asylum seekers, and Temporary Protected Status holders, potentially sidelining 50,000 to 100,000 drivers dependent on Employment Authorization Documents (EADs). With SONAR data showing trucking spot rates at $2.28 per mile, down from $3.53 in early 2022, analysts believe capacity cuts of this magnitude could drive a freight market rebound.

Trucking and Retail Applaud H.R. 1

President Trump’s July 4 signing of H.R. 1 won immediate praise from the American Trucking Associations, U.S. Chamber of Commerce, and National Retail Federation. The law permanently extends key elements of the 2017 Tax Cuts and Jobs Act, including individual income tax rates and Alternative Minimum Tax (AMT) exemptions.

ATA President Chris Spear emphasized the law’s value to small carriers: “This provides much-needed certainty for the trucking industry, the backbone of our economy, to grow and thrive.”

The law reverses select Biden-era environmental programs, funds access to truck driver training, and boosts defense and border security spending. It also eliminates taxes on tips, overtime, and Social Security for individuals, per the White House.

National Retail Federation CEO Matthew Shay called it a “historic measure to revitalize the economy,” while the U.S. Chamber noted it gives businesses “the certainty they need to invest and hire.”

Zero-Emission Yard Tractors Gain Traction

Electric terminal tractors now account for 2.8% of the U.S. yard tractor fleet, growing 30% year over year , according to CalStart. Fleet leaders, such as Lazer Logistics and YMX Logistics, cite 50% lower maintenance costs and improved driver satisfaction.

At YMX, turnover dropped from 50% to under 10% among EV yard tractor operators. “These trucks don’t idle, don’t smell like diesel, and don’t roast you in the cab,” said Erin Mitchell, YMX COO. However, cost remains a barrier. While savings may reach $500,000 per unit over 10 years, according to Orange EV, upfront prices are still high.

Inconsistent access to charging infrastructure and a lack of trained EV technicians also limit scalability. State-level programs, such as California’s CORE, are helping, but the Trump administration’s rollback of emissions regulations and uncertainty surrounding battery tariffs are slowing adoption. “We need to get to a point where we have more EV technicians,” said Chris Bennett, VP at Lazer.

Despite headwinds, manufacturers expect EVs to reach 10% of total yard tractor sales in 2026.

Tariff Uncertainty Drives Up Warehouse Vacancy

U.S. warehouse vacancy hit 7.1% in Q2 2025, the highest level since 2014 . The spike was driven by tariff instability and cautious leasing, per Cushman & Wakefield. That’s up from 6.1% a year ago. Companies accelerated inventory shipments earlier this year, then paused leasing decisions amid threats of 30% tariffs on EU and Mexican goods by August 1.

Jason Tolliver, head of logistics real estate at Cushman, called the market “fits and starts,” noting companies resumed property tours only after some tariff suspensions were announced.

Developers have responded by pulling back. New construction dropped 45% year over year, while available sublease space hit 225 million square feet — a record. Despite this, rents rose 3% to $10.12 per square foot as long-term lease cycles and property scarcity in key corridors continue to buffer short-term volatility.

Longshore Unions Plot Anti-Automation Push

The International Longshoremen’s Association (ILA) and International Dockworkers Council (IDC) will host a global conference on port automation November 5-6 in Lisbon, Portugal. The People Over Profit Anti-Automation Conference aims to coordinate a unified strategy across unions representing more than 100,000 workers in 41 countries .

“This is not just about protecting our jobs,” said Dennis Daggett, ILA EVP and IDC general coordinator. “It is about preserving our communities, our families, and the very future we are building for the next generation.”

The ILA’s contract fight in 2024, which triggered a three-day port shutdown, concluded with a deal that allowed some automation but included strict job guarantees. The upcoming conference underscores labor’s global realignment against what Daggett calls “job-killing automation under the guise of safety and efficiency.”

The unions are preparing for broader resistance as automation technology continues to expand.

US Bans Livestock Imports from Mexico

The U.S. has again closed its southern border to livestock imports after New World screwworm infestations were discovered 185 miles northeast of Mexico City, 370 miles from the Texas border. The parasite lays larvae in open wounds on warm-blooded animals, which feed on live tissue and can devastate herds.

USDA Secretary Brooke Rollins announced the July 10 closure , stating, “Thanks to the aggressive monitoring by USDA staff in the U.S. and in Mexico, we have been able to take quick and decisive action.” Mexico, with 392 reported cases, called the move “exaggerated.”

The USDA is investing nearly $30 million to expand sterile fly breeding in southern Mexico and establish a release hub in Texas. Members of Congress are urging fast-track approval for antiparasitic treatments currently blocked by federal labeling rules.

With cross-border livestock trade disrupted, the threat to U.S. beef and dairy markets has reemerged after four decades of containment.

Experience Seamless Shipping with Entourage Freight Solutions

Our Services

Full Truckload (FTL): When you need a truck all to yourself.
Less-Than-Truckload (LTL): Efficient solutions for multi-stop shipments or combining smaller loads to save on costs.
Refrigerated Trucking: Keeping your temperature-sensitive products fresh and safe.
Cross-Docking: Strategically located facilities in Shelby, Ohio, Cedar Rapids, Iowa, and Romulus, Michigan, for streamlined consolidation, storage, and distribution.

Freight Front-Loading, Reverse Logistics, and a Shrinking Trucking Pool

Fri, 27 Jun 2025 17:47:30 GMT

The second half of 2025 is expected to bring significant shifts in freight routes, regulations, and border infrastructure. In May, dry van and reefer volumes rose slightly as shippers rushed to move goods ahead of expected tariffs. But experts say the bump won’t last.

At the same time, rising costs and trade uncertainty are forcing more companies to focus on reverse logistics — finding new value in returned goods while dodging fresh tariff hits. Adding pressure, the government’s tougher rules on English proficiency are cutting into the already short supply of truck drivers.

Big carriers like Schneider and J.B. Hunt are warning about tighter capacity, even as freight rates stay flat due to weak demand and surplus inventory. A brief spike in imports on the West Coast, driven by the end of tariff relief, has given way to concerns about a weak peak season.

Still, long-term investments at the U.S.-Mexico border continue, including bold new projects like the Green Corridors operating on raised tracks. This edition breaks down the data behind shifting freight capacity, rates, and infrastructure upgrades.

Freight Ticks Up in May but Summer Looks Soft

Spot rates and volumes for dry van and reefer freight inched up in May as shippers tried to get ahead of summer slowdowns and possible tariffs, according to DAT Freight & Analytics. Dry van rose 3%, and reefer climbed 5%. But the boost may be short-lived .

“It was a bumpy month,” said Ken Adamo, DAT’s chief analyst. “Roadcheck, Memorial Day, and tariff moves all played a part.” Dean Croke at DAT iQ said peak-season shipping was pulled forward to spring. Imports have been elevated since last fall, which could flatten the rest of the year. “There are still too many trucks for the loads available,” he noted.

That means tighter margins and more strain across the industry. Circle Logistics echoed the concern, but remains hopeful that consistent flows along key lanes could offer some relief. The lack of a coherent trade policy, however, leaves the freight outlook unstable as we move into the second half of 2025.

Reverse Logistics Gains Ground as Tariffs Bite

Returns are becoming a critical tool for retailers squeezed by high tariffs and rising costs. The U.S. reverse logistics market reached $150 billion in 2024 and is projected to grow at a rate of 6%-8% annually, according to Alix Partners. By processing returns more efficiently, retailers can resell goods, avoid purchasing new inventory, and safeguard their profits.

“Returns help cut costs — especially now that tariffs make new goods pricier ,” said Casey Chroust, COO of Optoro. With return handling often costing 30% of the item’s price, efficiency matters. Chroust added that 63% of retailers are selling secondhand goods, and more than 75% of consumers are open to buying them.

Luxury reseller Stork saw a 74% increase in pre-owned stock last quarter and reduced intake time from months to days, thanks to the help of AI tools. For these companies, returns aren’t just about sustainability — they’re a growing revenue stream. Total U.S. returns were expected to reach $890 billion last year, and logistics giants such as DHL, UPS, and FedEx are expanding their reverse logistics operations.

English Rules Shrink Driver Pool, Push Rates Up

The Federal Motor Carrier Safety Administration (FMCSA) is cracking down on English language rules for truck drivers. As of June 25, drivers who don’t meet federal standards can be pulled off the road immediately. FreightWaves says about 10% of drivers may be affected .

Currently, the market appears stable, with only 6% of loads being rejected, according to SONAR. But that may change fast. With fewer qualified drivers, rejection rates could rise. That would shift pricing power to carriers and drive rates higher. The National Truckload Index, now at $2.27 per mile, is expected to climb.

Fleet operators are encouraged to implement English language training programs to protect the viability of their workforce and ensure regulatory compliance. Shippers, meanwhile, should brace for elevated costs and tighter capacity through the second half of 2025. With compliance costs rising and driver pools tightening, market dynamics are shifting fast under FMCSA’s new emphasis on language standards.

Carriers Brace for Impact From New Regulations

Leaders at Schneider and J.B. Hunt predict that truckload capacity will shrink in late 2025, not because demand is growing but because new regulations are reducing supply. At a Wells Fargo conference, both cited tougher enforcement of English standards and possible crackdowns on illegal trucking under B-1 visas.

J.B. Hunt COO Nicholas Hobbs expects growth as excess trucks leave the market. Schneider CEO Mark Rourke said domestic demand is “steady, if unspectacular,” but warned that English rule enforcement, now triggering automatic shutdowns, is having an overlooked regional impact.

In 2024, 9,510 violations were cited, but only six drivers were sidelined . That number will likely surge as a result of the June 25 rule change. Hobbs also noted that scrutiny of cabotage when foreign drivers haul U.S. freight is growing and could further limit cheap labor options.

For carriers, the shakeout may help end a long slump.

Freight Demand Slips and Rates Stumble

Fresh data shows freight demand weakening. The Cass Freight Index and Producer Price Index (PPI) both dipped in May. Cass reported a 0.4% drop in shipments from April and a 4% year-over-year decline, worse than April’s 3.6% fall. Pre-tariff stocking is fading, and destocking has begun.

Truckload pricing rose 0.6% from the same period last year but fell 0.8% from April . Since February, rates have decreased by 1.5%. The Journal of Commerce reported May’s average all-in rate was $2.18 per mile, 8% below January and just under May 2024’s rate.

The long-haul PPI stayed flat at 177.3 in May, up only 3% from last year. The LTL PPI also slipped after record highs. June volumes are expected to fall another 2% year over year. Carriers remain cautious, citing weak consumer demand and uncertainty related to tariffs.

West Coast Import Rush Masks Soft Peak Season

A short-lived import surge is hitting West Coast ports as shippers rush to take advantage of expiring tariff breaks. The ports of Los Angeles and Long Beach anticipate their busiest weeks since early 2025, with nearly 140,000 containers forecast for late June and early July. The jump comes ahead of July 9 and August 14 tariff deadlines.

Kip Louttit of the Marine Exchange of Southern California says ship traffic is the highest in months. The Northwest Seaport Alliance also reports more vessel calls. But May was slow, so congestion isn’t expected. Still, spot rates are shaky. Prices from Asia to the West Coast dropped to $2,900 per container, a 10% decrease in a week and 50% from the June highs .

The National Retail Federation predicts a sharp drop in imports from July through October, suggesting this early “peak” is just a blip.

US-Mexico Freight Projects Target Bottlenecks

Despite tariff worries, cross-border freight investment is booming. Laredo, Texas, now America’s top import hub, sees more than 18,000 trucks daily. Waits can stretch to 24 hours. New projects in Texas include two additional bridges in Laredo and Eagle Pass, as well as an 18-lane expansion in McAllen.

The big bet is on Green Corridors, a privately funded project approved in June that involves a 160-mile elevated route for autonomous freight shuttles between Laredo and Monterrey. The $6 billion to $10 billion project aims to reduce emissions, traffic, and delays. All shipments will be scanned, compared to just 5% today, boosting security .

Backed by Chang Robotics, KPMG, and local governments, Green Corridors has five years to launch. If it works, it could serve as a model for similar routes near Houston and other major ports. For now, it’s a bold plan to combat strained border logistics.

Experience Seamless Shipping with Entourage Freight Solutions

Our Services:

Full Truckload (FTL): When you need a truck all to yourself.
Less-Than-Truckload (LTL): Efficient solutions for multi-stop shipments or combining smaller loads to save on costs.
Refrigerated Trucking: Keeping your temperature-sensitive products fresh and safe.
Cross-Docking: Strategically located facilities in Shelby, Ohio, Cedar Rapids, Iowa, and Romulus, Michigan, for streamlined consolidation, storage, and distribution.

Navigating E-Commerce Demand Surges in Retail Logistics Operations

RSHanline (Nick Terry) — Fri, 27 Jun 2025 15:02:53 GMT

E-commerce demand can surge suddenly, so it is not uncommon for a rapid influx of demand to have warehouse teams scrambling, trucks rolling , and the system straining. Traditional retail logistics cannot keep up, not when orders rise 300% overnight or a product goes viral on TikTok in under an hour.

More than ever, retailers need flexible systems, fast tracking, and freight partners that act proactively before problems arise. This article explains how shippers can keep moving when demand won’t sit still. You’ll learn how to predict volume shifts, automate fulfillment, and protect delivery promises without wasting capacity or cash.

E-Commerce Changed the Rules of Retail Logistics

Retail logistics used to run on forecast sheets and four-week lead times. E-commerce has flipped that model on its head, especially since the pandemic. Now, demand jumps without notice, often driven by sales campaigns or, in many cases, unplanned social buzz.

Shoppers want three things:

Speed — shipping in under two days
Accuracy — real-time shipment tracking and updates
Flexibility — free returns and multiple delivery options

Forty-one percent of consumers blame retailers for late deliveries , and 39% say they will never shop again with an online merchant following a negative delivery experience. That pressure is now part of every order. The fact is that e-commerce logistics doesn’t allow for delay. And if the system is not built to be flexible, it breaks.

Agility Beats Forecasts in Retail Fulfillment

Supply chain agility matters more than any seasonal plan. Retailers that respond faster win more orders.

For example, a beauty retailer can adjust its routing strategy mid-promotion by shifting volume to a nearby cross-dock site. The result? Shorter delivery windows and fewer late shipments ultimately save the retailer significant sums in fuel expenses and improve customer experience.

Agile logistics solutions pay off in both service and cost. But what does agility look like in action?

1. Spread inventory smartly

Placing the product closer to the customer speeds up last-mile delivery and reduces the cost per package.

2. Use live demand forecasting

AI tools adjust in real time by monitoring buyer activity, page traffic, and sales velocity.

3. Tap scalable freight

Logistics partners like EFS provide added capacity when your own trucks hit max load.

Warehouse Automation Turns Pressure into Precision

In 2024, 70% of top-performing retailers reported using automation in their fulfillment processes, which helped reduce order processing times by up to 30%. When order volume spikes, human-only systems quickly hit their limit.

This is why warehouses need machines to help carry the load. That difference decides who meets delivery expectations and who refunds shipping fees. Warehouse automation tools include:

Automated picking for fast-moving SKUs
Real-time slotting based on outbound order volume
Scan-to-ship systems that eliminate packing mistakes

Smart Transportation Starts With Real-Time Visibility

You can’t control what you can’t see. That’s why real-time shipment tracking now matters as much as transit speed. A modern transportation management system (TMS) helps retailers:

Monitor every shipment’s location and ETA
Auto-adjust routes based on traffic, weather, or driver status
Track driver hours to prevent capacity gaps or compliance risks

EFS’ systems do this across all retail shipment types. We track shelf-stable goods the same way we track time-sensitive deliveries. That level of attention protects every package and the promise behind it.

Fixing the Final Mile Without Losing Margin

In retail logistics, the last mile is where most delays happen. It’s also where most brand damage begins. To control cost and protect delivery speed:

Use mixed delivery fleets to expand quickly when needed
Stage orders at local depots to avoid long-haul delivery crunches
Batch dense delivery zones to shorten drive time and reduce fuel use

Retailers that prepare for these patterns hit tighter delivery windows even during flash sales and holiday spikes. Customer delivery expectations are unforgiving but beatable with the right tools.

Build Precise Retail Logistics With EFS

When e-commerce demand surges, response time shrinks accordingly. Retailers that wait to adjust lose orders, margins, and trust. Fast systems win, and smart systems last. This is why Entourage Freight Solutions runs on discipline. Our shipments arrive within the temperature range, on time, and error free.

That mindset aligns perfectly with retail logistics, especially when orders pile up quickly and late deliveries can lose customers. At EFS, we bring foodservice-level precision to the retail industry. We track every move, plan ahead, and fix issues before they become problems. That’s how our clients hit tighter windows, protect product integrity, and scale without losing control.

Import Spikes from Tariffs Pressure Ports and Cross-Border Crossings

Fri, 13 Jun 2025 17:25:36 GMT

The freight and logistics market has been navigating a turbulent spring as trade policy swings, supply chain bottlenecks, and shifting consumer behavior ripple through every link of the global network.

From record layoffs in retail to volatility in Mexican cross-border shipments, the industry is feeling the heat. And port operators, warehouse managers, and transportation carriers alike are having to adapt to rapid changes in container flows, tariff impacts, and regulatory shifts .

We have unpacked the critical developments around the freight world, each reflecting the delicate balance between capacity, demand, and regulation that supply chain leaders must navigate. Continue reading to find out more.

Tariff Volatility Fuels Cross-Border Freight Swings

U.S. shippers face erratic cross-border freight flows from Mexico as tariff uncertainties continue to disrupt their logistics and supply chain planning. According to the Bureau of Transportation Statistics, U.S.-bound truck crossings rose 10.2% in January, fell 6.3% in February, spiked 12% in March, and dropped again by 4.5% in April .

Averitt’s Edward Habe attributes this volatility to shippers’ attempts to beat tariff deadlines and navigate unpredictable trade announcements. Although a 25% tariff applies only to goods outside USMCA rules of origin, shippers remain cautious.

At Eagle Pass, Texas, beer demand drove a 49.2% year-over-year surge in northbound trucks in Q1, and a considerable part of this was because of Constellation Brands’ Modelo shipments. Meanwhile, Otay Mesa’s volume plummeted 34.9% due to tariffs on Chinese and Southeast Asian imports, which impacted Mexican assembly plants.

Key crossings like Laredo and El Paso posted modest declines, while Nogales, Arizona, saw a 4.4% gain. Experts have cautioned that cross-border trade will remain turbulent as long as tariffs fluctuate, making forecasting and operational planning challenging.

Chassis Providers Mobilize for Import Surge

With U.S. ports bracing for an influx of Chinese imports, America’s largest marine chassis providers — TRAC Intermodal, DCLI, and FlexiVan — are pulling tens of thousands of units from storage , inspecting, and repositioning them to key inland hubs like Chicago, Dallas, and Memphis.

TRAC’s Val Noel said, “It could be like a tsunami,” as companies aim to avoid service disruptions. TRAC and DCLI are working closely with BNSF and Union Pacific to anticipate container volumes. FlexiVan, exiting Southern California’s Pool of Pools, is focusing on core partner Ocean Network Express and opened a new chassis pool at the ports of Los Angeles and Long Beach.

Logistics providers say it takes weeks to inspect and repair stored chassis, a process they have accelerated since learning lessons during the pandemic. Private chassis pools and railroad container management have improved since the COVID-19 pandemic, reducing pressure on public chassis pools.

However, with a surge expected this summer, providers are racing to ensure sufficient capacity and avoid bottlenecks that plagued past import booms.

Forecast Points to Port Volatility Ahead

U.S. retailers are anticipating a temporary surge in port activity this summer, driven by the 90-day U.S.-China tariff pause that slashed rates on Chinese goods from 145% to 30%.

According to the National Retail Federation’s Global Port Tracker, this pause has prompted a rush to restock, with volumes rebounding in June to an estimated 2.01 million TEUs, despite being down 6.2% year over year . However, April’s peak at 2.21 million TEUs was short-lived, with May volumes projected to drop to 1.91 million TEUs, the lowest since December 2023.

Retailers are also front-loading back-to-school and winter holiday orders, creating an unusual overlap of peak seasons. Yet, forecasts for September and October show sharp declines of 21.8% and 19.8%, respectively.

With port labor strikes and tariff policy swings in play, importers face a turbulent second half of 2025, highlighting the challenges of managing global supply chains in an unpredictable trade environment.

Tariff Whiplash Sparks Supply Chain Disruptions

April saw the largest recorded monthly drop in the U.S. trade deficit, driven by a 16% import plunge after a tariff-driven order surge. The numbers highlight a troubling supply chain crunch. Data shows warehouse inventories are bloated while replenishment orders stall, widening the gap between inventory levels and costs to 26.8 points , the third highest on record.

With storage fees still climbing, small businesses are particularly squeezed, says Colorado State’s Zachary Rogers. Freight rates on the China-U.S. route spiked 88%, with container spot rates expected to peak in June before easing.

Flexport’s Ryan Petersen warns that stacked tariffs (some containers face 70% total duties) add layers of uncertainty. Smaller logistics providers, representing the “middle mile,” are hit hardest as large players hoard capacity.

C.H. Robinson and Flexport offer tech solutions that help with tariff simulation, but July’s potential tariff increase continues to add uncertainty. The bottom line is that small and mid-tier firms bear the brunt of tariff swings, threatening their viability in an increasingly volatile trade environment.

LTL Market Faces Soft Demand as Tonnage Declines

Tonnage fell in May for multiple carriers . According to initial reports from Old Dominion Freight Line, Saia, and XPO, sluggish demand persisted in the market. LTL tonnage per day and shipments for these firms all declined compared to a year ago.

However, the severity of the drops varied, with Old Dominion hit the hardest and Saia receding the least among the group. In contrast, ArcBest’s asset-based segment reported a 6% year-over-year increase in total tons per day for the month. That came as daily shipments were up 7% for May, “reflecting success in capturing new core business,” the company said.

Saia bucked the trend, growing LTL weight per shipment by 3% year over year in May. Manufacturing woes and the customer makeup of these carriers are affecting their tonnage and weight changes.

Experts say LTL carriers are navigating a low-demand environment by focusing on profitable lanes and contractual freight rather than chasing volume with pricing concessions.

Tariff-Driven Trade Shifts Threaten West Coast Ports

U.S. ports are navigating a shifting trade landscape as importers look to sidestep tariffs on Chinese goods, driving cargo diversification toward Southeast Asia and India. According to Larry Gross of Gross Transportation Consulting, the U.S. West Coast, which handled 57% of Chinese imports in 2024, is expected to lose the most as trade reroutes.

Chinese volumes accounted for 65% of West Coast port traffic, while only 27% and 8% went to the East and Gulf coasts , respectively. Southeast Asian imports already account for 32% of 2024 TEUs, offering some relief, but not enough to offset the decline from China.

When shippers pivot to India, the East Coast captures 86% of inbound freight, reinforcing its resilience. Additional shifts in supply chains, such as labor-related cargo diversions and closures of the Red Sea and Suez Canal, further complicate port planning.

Gross warns that the West Coast faces a “triple-barreled threat” of lower trade volumes, loss of diverted cargo to the East and Gulf coasts, and the erosion of Chinese import dominance.

Retail Layoffs Surge 274% Amid Tariffs, Economic Pessimism

U.S. retailers cut nearly 76,000 jobs in the first five months of 2025. A 274% surge over the same period in 2024, driven by tariffs, economic pessimism, and shifting consumer spending patterns.

According to Challenger, Gray & Christmas, retail ranked second in total job cuts, behind only government losses. May alone saw 11,483 layoffs in retail, up from 7,235 in April , reflecting industrywide struggles. Andrew Challenger, senior vice president at the firm, attributed the trend to tariffs, funding cuts, and economic headwinds that have forced companies to tighten budgets.

Major brands like Nike, Walmart, and Procter & Gamble announced significant layoffs in May, with Nike shifting responsibilities within its global tech team, Walmart trimming 1,500 positions in tech and operations, and P&G slashing 7,000 nonmanufacturing jobs, which is about 15% of its workforce.

Despite the cuts, overall U.S. employment grew by 139,000 in May, with the unemployment rate holding steady at 4.2%. Challenger noted that while some companies continue to hire, they do so cautiously, reflecting a challenging macroeconomic backdrop.

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Less-Than-Truckload (LTL): Efficient solutions for multi-stop shipments or combining smaller loads to save on costs.
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Cross-Docking: Strategically located facilities in Shelby, Ohio, Cedar Rapids, Iowa, and Romulus, Michigan, for streamlined consolidation, storage, and distribution.

Trucking Rates Hold as Orders Plunge and Tariff Threats Continue

Fri, 30 May 2025 14:30:33 GMT

May brought a fresh wave of operational recalibration across the U.S. logistics, retail, and manufacturing sectors.

Freight market stakeholders are navigating intensifying pressures tied to tariffs , regulatory uncertainty, and shifting consumer sentiment. Carriers are struggling to match revived trans-Pacific demand, while the LTL market holds pricing power amid broader freight softness. At the same time, truck makers are scaling back forecasts as uncertainty clouds the industrial outlook.

We have compiled critical developments defining the freight world and reshaping commercial strategy for global supply chain operations. From record LTL prices to license violations and retaliatory tariff risks, there is a lot in store in this edition of the EFS newsletter.

Truck Rates Expected to Hold Steady Despite Import Surge

A surge in U.S. imports during the 90-day tariff pause is boosting ocean rates, but the surge is unlikely to affect truckload and drayage pricing, according to analysts at Truckstop and FTR Transportation Intelligence. Despite stronger inbound flows at ports, truck capacity remains abundant, 35% higher than in 2019 , blunting any upward pressure on rates.

While some drayage drivers may shift to spot truckload, most surface freight markets remain stable. April saw increased load activity in hubs like Atlanta, Dallas, and Phoenix, but national dry van spot rates hovered around $1.60 per mile, with little change year over year.

Logistics providers like AFS and ITS Logistics expect some rate movement in June, but not enough to spark a freight rebound. Without broader economic catalysts, front-loaded imports are unlikely to reverse the freight recession that began in 2022. Analysts say tariffs alone don’t generate demand, and the market remains consistent, if soft, for now.

Truck Orders Plunge Amid Tariff Pressures, Market Uncertainty, and Rising Prices

U.S. Class 8 truck sales fell 9.4% year over year in Q1, with 50,627 units sold , as OEMs faced a mix of freight market softness, tariff uncertainty, and rising input costs. Although overall orders dropped sharply, April bookings plunged 52.1% year over year, per ACT Research.

Major manufacturers like Daimler, Volvo, and Paccar cut 2025 outlooks, citing weak demand and the impact of the Trump administration’s tariffs, including new 25% duties on steel and aluminum. Only Mack saw growth, with orders up 108%, driven by vocational truck demand.

Fleet caution, emissions rule uncertainty, and material price hikes contributed to a gloomy outlook. Layoffs followed: VTNA, Mack, and International cut more than 1,900 jobs in Q1. Daimler now forecasts 260,000-290,000 truck sales in North America for 2025, down from earlier expectations of 280,000-320,000.

Executives warn that tariffs and shifting policy will likely suppress new truck orders through the end of 2025.

EU Tariff Threat Raises Costs, Risks Reshoring Goals

According to logistics and trade experts, President Trump’s proposed 50% tariff on EU goods risks inflating production costs for U.S. manufacturers and straining a critical trade relationship . While Trump accuses the EU of trade barriers and manipulation, critics argue the proposed tariff could backfire by raising prices on industrial components essential to U.S. manufacturing.

Andy Abbott, CEO of Atlantic Container Line, said the EU supplies goods for U.S. production, unlike Asia’s consumer-driven exports, making higher tariffs counterproductive to Trump’s reshoring agenda. Analysts warn that reduced EU imports would also raise container rates for U.S. exporters, increasing outbound costs and hurting competitiveness.

Recent recovery in ocean freight bookings from Europe could stall if tariffs are imposed, while retaliatory EU measures remain a looming threat. Legal experts say Trump may also target Apple through a broader national security review of tech imports.

While the administration aims to pressure the EU on agriculture and digital trade, many believe achieving consensus will be difficult amid diverging interests across the 27-member bloc.

4% of US Truckers Lack Valid CDL, Raising Alarms Over Safety

A new analysis shows that roughly 4% of truck drivers operating on U.S. highways at any time lack a valid commercial driver’s license (CDL) .

Based on FMCSA roadside inspection data, the figure highlights a regulatory gap with major safety implications, especially for vehicles exceeding 26,000 pounds or transporting hazardous materials. 2025 data also shows a 56.4% violation rate across inspected trucks and a 19.3% out-of-service rate, mirroring recent years.

In Q1 alone, there were 645 fatal truck crashes, each carrying an average economic cost of $7.2 million, according to insurance data. Consequences for unlicensed operation include fines, jail time, and suspensions, depending on the infraction. Trucking expert Adam Wingfield suggests the push to fill seats amid perceived driver shortages may have compromised safety standards.

Industry leaders argue for tougher enforcement, saying improved compliance could reduce fatalities, raise industry professionalism, and increase trucking rates due to reduced capacity, ultimately making U.S. roads safer for everyone.

LTL Pricing Holds at Peak as Truckload Market Stays Depressed

U.S. LTL pricing remains at record levels, with the Bureau of Labor Statistics’ PPI holding at 259 from February through April, equal to its June 2022 peak. Rates are up 12.1% from July 2023 following Yellow’s collapse and 4.9% year over year.

This surge corresponds with Q1 contract renewals, with LTL carriers reporting mid-single-digit rate hikes. The LTL PPI tracks total costs to shippers, including surcharges and accessorials, not just base rates. Tariff-related demand fluctuations have had little impact on LTL pricing so far.

In contrast, the truckload market remains soft. The truckload PPI fell in April and is now 24.6% below its May 2022 high. Despite a 2.7% increase in LTL terminals last year, LTL capacity remains tighter than in truckload, which continues to face excess carrier volume, 37% more than in 2019.

This divergence reflects structural shifts as LTL firms hold pricing power while truckload carriers compete in a saturated spot market.

Walmart Leads Tariff-Driven Price Hikes, Warns More Increases Coming

Walmart confirmed it will raise prices in late May and early summer as tariff-hit goods reach shelves. CFO John David Rainey called the speed and scale of cost increases “unprecedented.” Some hikes, like bananas rising to 54 cents a pound, are already in effect.

While the recent U.S.-China deal reduced tariffs from 145% to 30%, Walmart warned that even the lower rate will significantly impact prices. Sales remained strong, with U.S. comparable sales rising 4.5% in the quarter ending May 2 . However, Walmart withheld a profit forecast, suggesting it may absorb some costs to stay competitive.

CEO Doug McMillon praised the White House for progress but urged further reductions. As retailers, including Target, Lowe’s, and Home Depot, prepare to report earnings, Walmart’s actions signal broader pricing pressure across the sector. The retailer plans to selectively adjust prices while leaning on private labels and advertising to protect margins.

Target Q1 Sales Dip 3.1% Amid Tariff Pressures, Consumer Backlash, and Exec Turnover

Target’s Q1 2025 merchandise sales fell 3.1% year over year to $23.4 billion , with overall comps down 3.8%, led by a 5.7% drop in store sales, partially offset by 4.7% digital growth. Despite a 13.6% rise in operating income, the retailer cut its full-year outlook from growth to a low-single-digit sales decline.

CEO Brian Cornell cited falling consumer confidence, tariff uncertainty, and backlash to diversity policy rollbacks as key headwinds. Tariff mitigation has included supplier negotiations, sourcing shifts, and selective pricing adjustments.

Target announced a new Enterprise Acceleration Office to speed execution, led by COO Michael Fiddelke, alongside major leadership exits — including Chief Strategy Officer Christina Hennington and Chief Legal Officer Amy Tu.

Analysts criticized Target’s missteps in inventory and customer service, noting the company’s strategic reset, including a five-year merchandising revamp and new Shipt delivery perks, will take time to gain traction. For now, the retailer faces uphill challenges in a softening economy.

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Full Truckload (FTL): When you need a truck all to yourself.
Less-Than-Truckload (LTL): Efficient solutions for multi-stop shipments or combining smaller loads to save on costs.
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Cross-Docking: Strategically located facilities in Shelby, Ohio, Cedar Rapids, Iowa, and Romulus, Michigan, for streamlined consolidation, storage, and distribution.

Supply Chains Consider Realignments Amid Tariffs and Trade Shifts

RSHanline (Nick Terry) — Fri, 16 May 2025 13:42:55 GMT

Supply chains in the U.S. are grappling with a complex mix of tariff pressures, declining freight volumes, and structural shifts in global sourcing. Export declines, container rate volatility, and the end of key trade exemptions are testing resilience across logistics networks. West Coast ports face significant volume drops, while e-commerce players scramble to overhaul fulfillment models.

Meanwhile, heavy-haul operators warn of infrastructure gaps, and carriers struggle to maintain stable rates despite reduced demand. Retailers and manufacturers are front-loading cargo and diversifying supply chains where possible, but the broader freight economy continues to feel the weight of policy-driven disruption. This bimonthly newsletter edition looks at critical developments shaping how goods move across the U.S. and global markets as companies navigate an increasingly unpredictable trade landscape.

Exports, Imports Plunge as Tariffs Hit Ag, Manufacturing Hard

A nationwide export slump that has continued since the start of 2025 continues to deepen as tariffs and trade wars disrupt U.S. trade, hitting agriculture hard. Ports like Portland and Tacoma report that export volume has dropped to 51%, while imports plunged 43% week over week through April 28. Major agricultural exports such as soybeans, corn, and beef are among the hardest hit so far.

Retailers across various industries are also facing a potential inventory shortage as freight experts project a 15% to 20% decline in imports sooner rather than later. Ocean carriers like Matson have already reported a 30% loss in their volumes and are increasingly uncertain when conditions will improve. Despite some manufacturers shifting sourcing to Vietnam, Thailand, and other countries, Michigan State’s Jason Miller warns that no alternatives can fully offset the 30-60% volume gap created by the tariff fallout.

Shrinking China Cargo Share Signals US Employment Risks

China’s share of U.S. port imports has declined sharply due to tariffs. In 2024, China accounted for 51% of Los Angeles cargo and 61% at Long Beach , and key retail categories, including toys, furniture, plastics, and electronics, depended heavily on Chinese imports.

Following expert warnings that sourcing shifts to Southeast Asia cannot fully compensate for the 30-60% volume loss, there is enough reason for local employment around the most affected ports to be worried, as fewer imports equal fewer drayage drivers and warehouse workers, coupled with knock-on effects from less activity in general.

E-Commerce Sellers Scramble as De Minimis Exemption Ends

On May 2, the U.S. ended the de minimis exemption for goods from China and Hong Kong, subjecting shipments under $800 to a 145% tariff . In response to the move, Shein and Temu raised prices by 40% to 100%. The exemption facilitated 1.36 billion shipments in 2024. However, with the exemption scrapped, more than 80% of e-commerce executives say the change threatens their business viability.

Brands like Kuru Footwear and ThirdLove are shifting inventory into U.S. warehouses or sourcing from Vietnam to limit tariff exposure. Smaller retailers face the toughest challenges as they restructure fulfillment models or pass costs to consumers. Many expect additional policy tightening that could further alter cross-border shipping practices.

Heavy Loads at Risk as Freight Network Mapping Stalls

The long-anticipated National Multimodal Freight Network (NMFN), aimed at mapping critical U.S. freight corridors, faces uncertainty under the Trump administration. The draft network covers 175,000 miles of transport routes and 205 ports and airports , but has stalled due to political changes.

Oversized/overweight (OS/OW) carriers fear that vital infrastructure may be neglected without official designation. Though most states now offer automated permitting systems, challenges like rest area shortages and infrastructure unsuitable for large cargo remain. The Specialized Carriers & Rigging Association (SC&RA) urges federal-state coordination to maintain heavy-haul corridors essential for industrial projects. Delays in finalizing the NMFN may impact long-term logistics planning and investment.

West Coast Ports Brace for Sharp Import Declines

Ports including Los Angeles, Long Beach, and the Northwest Seaport Alliance anticipate a 35% to 38% decline in import volumes through June, driven by 59 blank sailings. Experts believe the impact could eliminate anywhere from 65,000 to 71,000 TEUs of weekly freight volumes in Southern California.

Oakland and Seattle-Tacoma also are seeing rising blank sailings, while Vancouver remains largely unaffected due to its focus on Canadian trade. The ILWU criticized the tariffs, citing risks to supply chain employment. Terminal operators are reducing gate hours in response to falling volumes. Industry leaders expect further disruption if tariffs remain in place, potentially impacting West Coast port employment and capacity utilization.

Trump Holds Firm on Canadian Tariffs

President Trump confirmed that no immediate tariff relief is forthcoming for Canada, despite recent talks with Prime Minister Mark Carney. Canada faces 25% tariffs on general imports, 10% on energy and potash, and additional duties on auto parts, steel, and aluminum . Some goods under USMCA remain exempt.

Carney emphasized Canada’s trade integration with the U.S., noting that 50% of Canadian-assembled cars contain U.S. parts. Trump maintained that tariffs are essential to protect U.S. manufacturing, especially the automotive sector. As automakers navigate rising costs and supply chain challenges, both nations continue discussing potential trade agreement revisions , though no policy changes are imminent.

Asia-US Ocean Freight Rates Hold Steady

Container spot rates from Asia to the U.S. West and East coasts have held flat since mid-April at $2,790 and $3,830 per FEU, respectively, according to Xeneta. Rates are down 52% and 44% year to date , despite an April 1 spike. More than 40 blank sailings to the West Coast and 20 to the East Coast have offset reduced demand driven by 145% tariffs.

Trans-Pacific capacity cuts are expected to reach 28% for the West Coast and 42% for the East Coast. Shippers front-loaded cargo before tariff hikes, temporarily boosting Q1 volumes. Xeneta’s Peter Sand cautioned that the rate plateau is likely temporary unless demand rebounds or tariffs ease, with further declines possible in the second half of 2025.

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Our Services

Full Truckload (FTL): When you need a truck all to yourself.
Less Than Truckload (LTL): Efficient solutions for multi-stop shipments or combining smaller loads to save on costs.
Refrigerated Trucking: Keeping your temperature-sensitive products fresh and safe.
Cross Docking: Strategically located facilities in Shelby, Ohio, Cedar Rapids, Iowa, and Romulus, Michigan, for streamlined consolidation, storage, and distribution.

Tariffs, Trade Policy, and the Great Freight Fallout

Mon, 28 Apr 2025 17:14:38 GMT

In 2025, trade policy is no longer something that the freight industry can leave on the back burner. Trade policy today is shaping strategy at every level. From tariff escalations and retaliatory duties to sweeping regulatory changes and targeted maritime fees, supply chain leaders are navigating a freight market in which unpredictability is the only constant.

Sourcing decisions are shifting, pricing dynamics are unstable, and long-standing operational models are being rewritten in real time. This edition brings together key stories highlighting the growing pressure across logistics channels. Each development points to an industry moving fast, and often reactively, to keep pace with volatile policy decisions.

Tariffs Stall US Freight Recovery as Shippers Pause Orders

The recent move by the U.S. Trade Representative (USTR) to impose entrance fees on Chinese-built ships calling U.S. ports has only added to the confusion and uncertainty gripping global supply chains and freight operations. Shippers are pausing plans and slashing orders, with truckload volumes, containerized imports, and manufacturing output all showing signs of contraction.

Ocean freight spot rates have collapsed: Asia-U.S. West Coast rates have fallen 61% since January to $2,050 per FEU, while East Coast rates have dropped 53.7% to $3,100 per FEU . Blank sailings are rising, with vessels leaving Asia half-empty. Amazon and Five Below are among the major retailers reducing orders from Asia.

Container imports jumped 15.3% in 2024, but forecasts now predict a 20-27% decline through the summer. Exporters, particularly agriculture and forestry suppliers, are also squeezed, facing 125% retaliatory tariffs from China. Truckload and intermodal rates remain stagnant, while U.S. factory output fell sharply in March.

US Apparel Importers Brace for Long-Term Volume Declines

According to Trade Partnership Worldwide, a 124.1% tariff on Chinese clothing and footwear is expected to reduce U.S. apparel imports by 1.6% annually . China still accounts for 41.7% of apparel shipments, leaving limited flexibility for diversion.

The American Apparel and Footwear Association (AAFA) is warning of price hikes and mounting infrastructure stress as sourcing pivots toward Vietnam, India, and Indonesia. A looming May 2 deadline for de minimis exemptions could further complicate flows and delay deliveries. Even with a temporary 90-day pause in reciprocal tariffs, the policy uncertainty already affects long-term planning.

AAFA CEO Steve Lamar calls the shifting policies “chaotic,” and warned that high tariff pressure will hit both importers and U.S. manufacturers reliant on Chinese components. Port and rail capacity limitations at larger gateways are adding to concerns. Retailers now face rising costs, shrinking margins, and operational delays — all while consumer demand continues to shift rapidly.

Freight Pricing Gains Lose Momentum

According to the TD Cowen/AFS Freight Index, Q1 truckload rates rose 5.9% above the 2018 baseline, but are expected to decline slightly in Q2. Shippers are responding to tariff threats with aggressive front-loading and shorter-haul routes, driving per-shipment costs to three-year lows.

LTL carriers remain focused on profitable lanes and high-quality freight rather than chasing volume. The index forecasts a 0.7% year-over-year increase in LTL rate per pound for Q2 , despite sustained demand softness and macro uncertainty. A key driver behind the softening spot market conditions is a shift to shorter hauls and regionalized distribution, pushing per-shipment costs to their lowest point in more than three years.

This trend reflects how retailers and manufacturers are repositioning inventory in response to tariff volatility, as NRF’s Jonathan Gold and DAT analyst Dean Croke noted. Meanwhile, the LTL sector is seeing a 4% rise in fuel surcharges, offsetting lower weights and shorter hauls. With the freight market still under pressure after 26 months of contraction, optimism remains subdued as we enter the midyear period.

US Truckload Freight Spot Rates Continue to Fluctuate

National benchmark rates have experienced a decline across all categories. As of April 18, dry van decreased by 4 cents to $1.62, reefer by 2 cents to $1.88 , and flatbed by 3 cents to $2.16. This marked the first overall decrease since late January, signaling potential shifts in market dynamics. These changes can be attributed to factors such as tariff uncertainties and tighter capacity, especially affecting the flatbed market. Flatbed rates rely heavily on manufacturing activity in the country, which has been particularly hard-hit by the ongoing trade war with China, and to some extent, with the rest of the world.

US Finalizes Tiered Fee Plan Targeting Chinese Ships

The U.S. is moving forward with a revised plan to levy voyage-based fees on Chinese-owned and Chinese-built ships calling at American ports. The U.S. Trade Representative (USTR) announced the measure as part of a broader Trump administration effort to counter China’s dominance in shipbuilding and logistics while reigniting domestic ship construction and port infrastructure investment.

Starting in six months, Chinese operators will be charged $50 per net ton, with an annual increase of $30 for three years . Non-Chinese carriers using Chinese-built vessels will face lower rates, beginning at $18 per ton or $120 per container, with annual increases. The USTR capped fee applications at five voyages per vessel annually, scaling back its original, more punitive per-port-call proposal after intense industry pushback.

The fees are tied to findings from a USTR investigation, which concluded that China’s shipbuilding dominance — producing 29% of global fleet capacity and 70% of all container ships on order — stemmed from unfair trade practices. Exemptions apply to ships arriving empty, those in the Great Lakes or U.S. territories, and some bulk exports. LNG vessel transport restrictions will phase in over 22 years to support U.S. production.

China’s largest container carrier, Cosco Shipping Lines, has sharply criticized the USTR’s plan. In a strongly worded statement, Cosco labeled the move as “discriminatory,” and warned it would disrupt global industrial and supply chain stability.

Cosco denied allegations from that USTR investigation that claimed China manipulated its shipping and shipbuilding sectors to gain an unfair advantage. The carrier said it upholds “integrity, transparency, and compliance” in global competition and remains committed to ensuring the resilience of international trade.

Walmart Investing $6B in Mexico, Central America Store Expansion

Walmart of Mexico and Central America will invest $6 billion to open new stores across the region , reinforcing its long-term commitment to growth in Latin America. The expansion will include Bodega Aurrera, Walmart Supercenters, Sam’s Club, and Walmart Express formats, building on a robust network of 3,200 stores across all 32 Mexican states.

This latest move echoes Walmart’s earlier $1.3 billion investment in 2016 for regional distribution and operational upgrades. The retailer entered the Mexican market in 1991 with a Sam’s Club in Mexico City. In a statement, Walmart said the new expansion reflects confidence in the region’s economic potential and consumer demand.

Globally, Walmart continues to invest aggressively in infrastructure and store development. The company has pledged about $4.5 billion for its Canadian operations and $1.3 billion in Chile to build 70 new stores and a distribution center. In the U.S., Walmart is executing a five-year plan to build or convert more than 150 stores while modernizing 650 existing locations under its “Store of the Future” initiative.

Experience Seamless Shipping with Entourage Freight Solutions

Entourage Freight Solutions believes in total transparency in the shipping process. That is why we invest in tech solutions that track every shipment extensively, monitor every driver, and extract every bit of efficiency without sacrificing quality. Our state-of-the-art platform utilizes cloud-based GPS tracking to keep you informed, reroutes shipments on the fly to avoid delays, and even responds to real-time market changes to ensure you receive your shipment on time and as soon as possible.

Our Services

Full Truck Load (FTL): When you need a truck all to yourself.
Less-Than-Truckload (LTL): Efficient solutions for multi-stop shipments or combining smaller loads to save on costs.
Refrigerated Trucking: Keeping your temperature-sensitive products fresh and safe.
Cross-Docking: Strategically located facilities in Shelby, Ohio, Cedar Rapids, Iowa, and Romulus, Michigan, for streamlined consolidation, storage, and distribution.

Tariff Pressure Mounts as Trade Shifts and Rates Teeter

Fri, 18 Apr 2025 17:31:14 GMT

The U.S.-China trade dispute intensified when China raised tariffs on American goods to 125%, up from 84%, effectively shuttering much of the commercial viability of U.S. exports to China. The retaliatory move came just hours after President Trump ratcheted up duties on Chinese imports to an unprecedented 145%, despite temporarily pausing higher tariffs for most other trade partners.

China, already subject to prior hikes, saw its rate rise in stages from 104% to 125% and then to 145% . In response, China’s Ministry of Finance stated it would refrain from further retaliatory hikes, citing the current tariffs as having already rendered U.S. exports uncompetitive.

This escalation has hit U.S. agricultural exporters particularly hard. China, the third-largest U.S. trade partner in 2024, with $582 billion in bilateral trade, remains a major buyer of U.S. soybeans, corn, beef, and cotton. Last year alone, it imported $27.5 billion in U.S. agricultural products. “The continued escalation … is concerning,” said American Soybean Association President Caleb Ragland.

Tariff Surge Lifts Container Rates Briefly

President Trump’s sweeping tariff escalation , imposing minimum duties of 10% and up to 145% on Chinese exports, has jolted global markets, albeit briefly triggering a scramble across supply chains and pushing container rates upward.

Freightos reports that spot rates on Asia-U.S. lanes surged in early April:

Asia-U.S. West Coast: Up 3% to $2,246 per FEU.
Asia-U.S. East Coast: Up 5% to $3,541 per FEU.

The spike was driven by shippers rushing to beat the tariff deadline, opting for full containers, LCL shipments, and even airfreight to circumvent costlier future imports. But this momentum is not expected to last. A dramatic pullback in demand is forecast for the second half of the year as inventories peak, costs rise, and uncertainty mounts.

Tariff Turbulence Throttles Importers’ Strategies

The U.S. container logistics industry is caught in a crossfire of unpredictable tariff policies, as sudden changes are increasingly becoming more disruptive than the tariffs themselves. The recent reintroduction of aggressive trade measures under the Trump administration has reignited market uncertainty, reviving policy volatility in a magnitude not seen since his first term.

Three forces are driving the disruption:

Tariff volatility
Tariff magnitude
Tariff anticipation

Importers are front-loading cargo due to tariff fears, and while this behavior is hard to quantify, anecdotal evidence suggests it has accelerated short-term import spikes. The current 145% tariff on China and 10% on other countries translates to an estimated $5,000 annual increase in expenses for the average U.S. household.

Tariffs on countries like Vietnam and Thailand were imposed, then paused just 12 hours later for 90 days — echoing past moves with Mexico and Canada. This whiplash effect erodes supply chain planning cycles structured around quarterly and annual horizons. Overall, the long-standing goal of reshoring has again proven elusive.

As analyst Lars Jensen points out, previous tariff attempts only shifted production — not to the U.S., but to countries like Mexico, which are still deeply tied to Asian supply chains.

Port of LA Posts Strong Q1 But H2 Clouded

The Port of Los Angeles posted solid cargo gains in March, but port leadership is already bracing for a slowdown in the second half of the year, as front-loading and trade uncertainty distort import patterns.

March volumes reached 778,406 TEUs, a 4.7% increase year over year, contributing to a strong first-quarter total of 2.5 million TEUs, up 5.2% from the same period in 2024. Loaded imports grew 1.6% to 385,531 TEUs , but exports dropped sharply by 15%, down to 122,975 TEUs.

Meanwhile, empty containers surged 23% to nearly 270,000 TEUs, a signal of imbalanced flows. Port Executive Director Gene Seroka noted this marks the 18th month of growth out of the past 20, driven largely by early seasonal imports for spring and back-to-school merchandise. However, he also flagged a likely retreat in volumes beginning midyear.

“Many importers have already brought their goods in early,” Seroka said. “And with tariffs and counter tariffs dominating the news, I expect we’ll see cargo decline in the second half of the year by at least 10% compared to 2024.”

US Shipbuilding Push Faces Feasibility, Cost Hurdles

A new executive order aims to boost U.S. competitiveness in global shipping, but proposed measures like a $1.5 million fee on China-built vessels and a mandate to carry 15% of exports on U.S.-built ships are sparking concern.

China currently builds more than half of the world’s ships, while the U.S. produces less than 1% . Industry leaders warn that the U.S. lacks the fleet and shipyard capacity to meet proposed targets. Trade groups caution that the rules could disrupt exports and strain supply chains if finalized without adjustments.

FedEx, UPS Reintroduce China Surcharges

FedEx and UPS are reapplying surcharges on shipments from China to the U.S. as shippers rush to front-load goods ahead of rising tariffs and looming regulatory changes. Starting May 2, the U.S. will eliminate the de minimis exemption — previously allowing duty-free entry for shipments under $800 — for goods originating from China and Hong Kong.

FedEx will begin charging a disbursement fee of $4.50 or 2% of duty and tax (whichever is higher) on qualifying shipments, while duty and tax forwarding fees for third-party billing setups will rise to $8.50 or 2%.

These changes affect international package and express freight services but won’t alter shipment fees above the $800 threshold. The policy shift is expected to hit direct-to-consumer e-commerce shipments hardest, especially from Asia. However, FedEx says it is operationally prepared. “We feel very ready to execute the necessary change,” said Chief Customer Officer Brie Carere.

US Reshoring Plans Falter

Trump’s tariff policy is triggering supply chain recalibrations, but not in the reshoring direction the administration is aiming for. A CNBC Supply Chain Survey of 380 industry stakeholders shows that 61% of respondents prefer relocating production to low-tariff countries rather than the U.S., where rebuilding supply chains would double or more than double costs.

In the survey, labor shortages, automation reliance, and unclear federal strategy were major deterrents. Despite tax incentives, reshoring remains largely aspirational: 81% said automation would replace most labor if production moved back , and more than 70% believe building new domestic supply chains would take more than three years.

High-profile tech investments haven’t shifted the consensus. Order cancellations are widespread: 89% have paused or scrapped orders, especially from China, and 75% forecast a consumer spending pullback, hitting discretionary items, furniture, and luxury goods hardest. The removal of the de minimis exemption, rising costs, and unpredictable policy shifts are compounding pressure.

Navigate Market with Entourage Freight Solutions

Tariffs and trade wars have the freight economy trending around historic lows. While this can seem like good news for carriers as rates skyrocket, it also means the market is somewhat unstable, and trucking carriers will do what they can to recoup costs and stay afloat.

Shippers need access to freight management services and real-time data to manage their shipments and stabilize them in a volatile environment.

Entourage Freight Solutions provides steady services that help you navigate an ever-changing logistics environment and receive important information in real time.

Entourage Freight Solutions offers the following services and many more:

Our LTL Service provides on-demand access to capacity, real-time data, and peace of mind in this high-stakes world.
Our Freight Management lets your team stay organized across inbound and outbound logistics, tracking market capacity and using automation notifications to keep everyone informed.
Our Refrigerated Transport provides expertise in everything from finished goods to raw materials, ensuring products arrive on time and in top condition.

Request a quote today to see how Entourage Freight Solutions can help with your freight movement and other supply chain needs.

LTL Carriers Gear Up for Growth Amid Revised Trucking Payroll Data

Fri, 28 Mar 2025 14:12:48 GMT

LTL carriers are building terminals and adding lanes to be ready for a freight rebound expected later this year. These carriers are also bracing for future market shifts, including changes like the upcoming FedEx Freight spinoff and a potential LTL move by Amazon.

Meanwhile, employment figures for February revealed that trucking employment has been over-reported by 2% to 4% since 2022. Revised data now places the number of trucking employees at about 1.49 million, below the levels seen prior to the pandemic in 2019.

Continue reading to stay abreast of the latest news and trends happening across the industry.

LTL Carriers Gear Up for Growth

The current freight demand in the U.S. is weak. However, less-than-truckload carriers continue to expand their capacity and infrastructure. They are building terminals and adding lanes even when shipments fall short. The idea behind the continued push for expansion is that LTL companies are setting up to move quickly when freight picks up later this year.

Some carriers, like Roadrunner, have added hundreds of lanes to reach shippers faster . Other firms are investing in service centers to boost next-day and same-day service. Executives say the usual March peak is missing, and recent shipment numbers are down for many top carriers. However, they are hoping that capacity will tighten and trigger higher rates.

They are also preparing for future shifts in the market, including changes like the upcoming FedEx Freight spinoff and a possible LTL move by Amazon, which could add more capacity and impact freight prices further.

Revised Data Signals Shift to Smaller Carriers

U.S. employment data for February revealed a larger-than-expected shortfall in trucking employment, throwing light on a structural change in the U.S. trucking market.

The shortfall implies that, at least at larger carriers, truckload capacity could quickly tighten when demand rises. It also underscores a shift in employment from larger carriers to smaller trucking firms, a shift that may be permanent. Larger truckload carriers have cut capacity, while the number of small carriers has grown by 35% compared to pre-2020 figures .

This shift means more drivers now work for smaller firms, a change that may be permanent. The new data suggests that truckload capacity could tighten more quickly when demand rises. Shippers report that capacity remains available, and pricing is increasing only modestly. This change in employment distribution may have lasting effects on the trucking market as businesses plan for 2025 and beyond.

Trump Considers Targeted Reciprocal Tariffs

President Donald Trump indicated he is reviewing a new set of reciprocal tariffs set to be revealed April 2, which he calls “Liberation Day.” These tariffs aim to match those other countries impose on U.S. imports, but are expected to be narrower in scope than earlier proposals. Trump mentioned the possibility of offering some countries breaks, claiming that the U.S. has been generous in past dealings.

The plan calls for tariffs on any country that levies duties on U.S. goods. Treasury officials pointed to 15 nations known for unfair trade practices , including Australia, Brazil, Canada, China, the EU, India, Japan, South Korea, Mexico, Russia, and Vietnam. Additional tariffs may target such goods as aluminum, lumber, pharmaceuticals, and semiconductors. A 25% tariff also will apply to imports from any nation purchasing oil or gas from Venezuela.

Tariffs, Rising Prices Spark Growing Inflation Fears

Consumer expectations for inflation over the next year have risen to 6.2% from 5.8% in February. Many point to high prices on basic items like eggs and the effect of tariffs as key factors. A University of Michigan survey shows that inflation expectations have climbed the fastest since 1993.

Fed Chair Jerome Powell noted that long-term expectations remain steady, even as short-term concerns grow. Officials now expect core inflation to end the year at 2.8% . Federal Reserve Board of Governors member Adriana Kugler said rising prices, partly tied to trade policies, add to the economic uncertainty felt by consumers.

Retailers Stockpile Inventory to Beat Tariffs

Retailers are buying extra stock to lessen the impact of tariffs from the Trump administration. Stores from Costco to Williams-Sonoma and Zumiez are placing unusually large orders for items ranging from kitchenware to sneakers. They hope that by stockpiling now, they can avoid higher costs later.

While this approach acts as a buffer against rising tariffs, it also exposes companies to the risk of holding unsold goods if consumer spending slows. The strategy comes amid ongoing changes in inventory management since the pandemic, with many businesses shifting from a lean, just-in-time approach to a more cautious, just-in-case method.

Other factors, like potential port strikes and factory shutdowns during the Lunar New Year, have also pushed retailers to pull orders forward. While the tactic may protect margins in the short term, it leaves companies vulnerable if demand weakens.

Trump Imposes 25% Tariff on Foreign-Made Vehicles

President Trump signed an order to impose a 25% tariff on all automotive vehicles produced outside the U.S. The tariff goes into effect April 2 and applies to a wide range of imported vehicles and parts, including engines, transmissions, and electrical components. Parts made in the U.S. will not be taxed if the vehicle is foreign-made.

Importers under the USMCA can certify their U.S. content to limit the tariff to only non-U.S. portions, with full application for parts by May 3. Automakers had seen a pause in tariffs after discussions with major companies like General Motors, Ford, and Stellantis. The new measure raises concerns among automakers and parts suppliers, especially since a large share of U.S. vehicle imports comes from Mexico and Canada , prompting further U.S. capacity investments.

Proposed Port Fees Risk Disrupting Shipping

The U.S. Trade Representative is holding hearings on proposed fees that could hit Chinese-operated cargo ships with charges up to $1.5 million per call . The fees aim to boost U.S. shipbuilding and counter practices by China, which now leads in shipbuilding.

However, critics warn that many U.S. carriers, heavily reliant on Chinese-built vessels, may face steep financial and operational challenges. Atlantic Container Line warned that if the fees take effect, it could shut down its U.S. service, forcing job cuts and shifting trade routes.

Other stakeholders, including manufacturers and unions, express concern that these fees will reduce cargo capacity, drive up export costs, and hurt U.S. competitiveness in global trade.

Navigate Market with Entourage Freight Solutions

We can achieve a higher service level on all movements by approaching every shipment, whether shelf-stable or not, with the same care and consideration as the regulation-laden food supply chain industry. We also leave nothing to chance, tracking all legs of transportation and driver activity to maximize available capacity without sacrificing quality.

Our platforms use the latest cloud-based, GPS-enabled technologies. They can track drivers regardless of location, continuously reroute shipments based on the dynamics at play, such as weather or traffic, and account for real-time changes in market rates. At Entourage Freight Solutions, we offer a broad range of unsurpassed services. These include:

1. Full Truckload (FTL): For shipments requiring a dedicated whole truckload.

2. Less-than-truckload (LTL): For companies moving multiple shipments to different locations or consolidating goods from other companies to get a lower all-in rate.

3. Refrigerated Trucking or “Reefer” Transportation: Leveraged to avoid spoilage and damage to temperature-sensitive goods.

4. Cross-Docking: With locations in Shelby, Ohio, Cedar Rapids, Iowa, and Romulus, Michigan, that serve as cross-docks for strategic consolidation, storage, and end-to-end distribution programs.

Request a quote today to see how Entourage Freight Solutions can help with your freight movement and other supply chain needs.

Trade Wars and Tariffs Take the Freight World by Storm

Fri, 14 Mar 2025 18:01:00 GMT

It is no secret that the heightened trade wars have allies and adversaries on edge. New tariffs from the U.S. government and major changes to port fees are creating big disruptions. Shippers, trucking companies, and ports are scrambling to adjust, especially with so much uncertainty about how these changes can impact the freight economy.

Experts are confused about the Trump administration’s new direction. The agriculture industry faces serious threats from falling sales to China, and spot freight rates continue to spike. Even truck orders are impacted, with recent data showing a sharp drop. Uncertainty is everywhere.

To ensure you are always well-informed, we have curated all the latest news, so keep reading as we dive into how all this could impact your freight operations.

US Tariffs, Shipping Fees Set to Reshape Trade, Port Activity

The Trump administration has raised tariffs on Chinese goods by 20%, but is not stopping there. Plans are underway to introduce reciprocal tariffs on April 2. Shippers are moving goods to prepare for these changes, but trade with Canada and Mexico remains uncertain, with tariffs repeatedly imposed, rolled back, and delayed.

A separate proposal from the U.S. Trade Representative aims to charge ships built in China up to $1.5 million per port call . Since many of the world’s container vessels are Chinese made, this could drive up costs for cargo owners and shift shipping patterns. Companies may start using larger vessels or consolidating shipments to reduce port calls, which could reduce traffic at smaller U.S. ports.

While ports handled increased import volumes late last year without major problems, pressure is building.

US Agriculture Faces Growing Threat from Chinese Tariffs

Experts warn that U.S. agriculture will suffer the most from China’s tariff retaliation. Low margins and global competition make it difficult for American farmers to recover lost sales. Peter Friedmann of the Agriculture Transportation Coalition cited past trade disputes in which U.S. farmers suffered heavy losses and required government subsidies to stay afloat.

China has already been shifting away from U.S. suppliers, increasing purchases from Brazil and Argentina. The latest tariffs target key American exports, including cotton, pork, beef, and soybeans, all of which have alternative sources in global markets. Recent data from the U.S. Department of Agriculture shows soybean shipments to China have fallen sharply, with January volumes dropping from 3.8 million tonnes last year to 1.8 million this year .

Trade experts say the White House has not fully considered the long-term damage these trade policies could cause. Many in the agriculture sector fear these trade shifts could have lasting consequences well beyond the current tariff cycle.

Uncertainty Over Tariffs Disrupts Cross-Border Trucking

Trucking companies and logistics providers are adjusting to shifting tariff policies. Duties on USMCA-compliant imports from Canada and Mexico are currently suspended until April 2. This temporary pause has triggered a surge in freight movement as shippers rush to take advantage before potential new tariffs take effect.

Border crossings have slowed, and goods entering Canada and Mexico take longer to be transported. Carriers are staying in close contact with customers as businesses weigh their options. Some shippers are working through the process of qualifying for USMCA exemptions, while others are breaking down shipments to reduce duty costs.

Logistics firms report a spike in volumes, particularly from Mexico, and a tightening of available trucking capacity.

Truck Orders Drop as Tariff Uncertainty Disrupts Market

Orders for Class 8 trucks in North America fell sharply in February, down 34% from a year ago and 29% from January . This marks the second straight month of declines following a brief spike in December. Analysts point to trade and economic policy uncertainty under the new administration as a major factor behind the slowdown.

The drop was even steeper when adjusted for seasonal trends, with February posting the lowest figures in nearly two years. While some manufacturers, such as Mack Trucks, report steady demand in vocational markets, overall investment in new trucks appears to be stalling.

Industry experts say tariffs on Canadian and Mexican imports, which affect nearly half of all Class 8 trucks built for the U.S. and Canadian markets, affect orders.

Additional tariffs on steel and aluminum could further complicate fleet purchasing decisions.

US-Canada Tariffs Push Trucking Costs Higher as Volumes Drop

Cross-border trucking costs surged in early March, even as fewer goods moved between the U.S. and Canada. Spot rates for Toronto-to-Chicago shipments jumped 18%, while freight volumes on that route fell 20% . The trend was similar in the opposite direction, with rates rising 8% as loads dipped 2%. A shrinking supply of available Canadian trucks has tightened capacity, compounding the pressure.

The situation on the southern border was different. Shipments from Mexico increased 12% week over week, though rate hikes remained small. The difference comes down to how goods move. U.S.-bound freight from Mexico often gets transferred to domestic trucks at the border, while Canadian shipments move directly to their destinations.

When a fresh round of tariffs on Canadian and Mexican goods took effect (briefly) on March 4, some businesses opted to delay shipments.

CMA CGM Pledges $20 Billion Investment in US

French shipping executive Rodolphe Saadé met President Trump at the White House and committed to investing $20 billion in the U.S. over the next four years . The funds will go toward expanding CMA CGM’s U.S.-flagged fleet, upgrading port operations, building a Chicago airfreight hub, and adding new logistics infrastructure. The investment is expected to create 10,000 jobs.

The planned investment includes $8 billion for new container ships, $7 billion for logistics, $4 billion for ports, and $1 billion for air cargo. The company will add 20 new U.S.-flagged ships, likely built in South Korea, while exploring options for U.S. shipyard production. Trump has been pushing for a revival of the U.S. maritime industry, with plans to impose fees on Chinese-built ships and introduce new shipbuilding programs.

However, Saadé warned that such fees could disrupt trade. CMA CGM, the world’s third-largest container carrier, has been expanding its presence in the U.S., already employing 15,000 people and operating major terminals in Los Angeles and New York-New Jersey. The company plans to double its warehouse network and open an R&D center in Boston.

Port of LA Starts Year with Record Cargo Volumes

The Port of Los Angeles handled 924,245 twenty-foot equivalent units (TEUs) in January, making it the busiest start to a year in its 117-year history. Volume increased 8% from the previous year, continuing a seven-month stretch of strong container movement.

Importers moved goods early to avoid potential tariff increases and to prepare for Lunar New Year slowdowns. Loaded imports rose 9.5% year over year to 483,831 TEUs, while loaded exports dropped 10.5% to 113,271 TEUs . Port officials reported that despite the high volumes, cargo moved efficiently without major delays.

Navigate Truck Rates, Financials with Entourage Freight Solutions

Tariffs and trade spats have the freight economy trending around historic lows. While this can seem like good news for carriers as rates skyrocket, it also means the market is somewhat unstable, and trucking carriers will do what they can to recoup costs and stay afloat.

Shippers need access to freight management services and real-time data to manage their shipments and stabilize them in a volatile environment.

Entourage Freight Solutions provides steady services that help you navigate an ever-changing logistics environment and receive important information in real time.

Entourage Freight Solutions offers the following services and many more:

Our LTL Service provides on-demand access to capacity, real-time data, and peace of mind in this high-stakes world.
Our Freight Management lets your team stay organized across inbound and outbound logistics, tracking market capacity and using automation notifications to keep everyone informed.
Our Refrigerated Transport provides expertise in everything from finished goods to raw materials, ensuring products arrive on time and in top condition.

Request a quote today to see how Entourage Freight Solutions can help with your freight movement and other supply chain needs.

Tariff Threats, LTL Rates, and LA Port Calls All on the Rise

Wed, 26 Feb 2025 16:13:10 GMT

With the 2017 tax reductions about to expire this year, President Trump is looking at tariffs as a major source of revenue, especially with a looming $2 trillion deficit due.

Meanwhile, the LTL industry is turning around after a sluggish start to 2025. The LTL Producer Price Index jumped 5.8% in January as optimism continues to rise for a spring pickup. Large U.S. truckload carriers are also optimistic, as many resist aggressive fleet reductions in a turnaround that signals the end of the freight downturn.

Twice a month, we curate some of the top news and trends shaping the world of freight. Continue reading to find out what has transpired in the latter half of February.

Trump Eyes Tariffs as Revenue Fix Amid Push for Tax Cuts

The Trump administration is seriously considering tariffs as a major source of government revenue as it pushes for new tax cuts. With the 2017 tax reductions set to expire in the latter half of 2025 and a looming $2 trillion deficit, the administration is looking to tariffs as a funding alternative.

Trump has repeatedly highlighted “tremendous” tariff revenue, and officials like Kevin Hassett, director of the National Economic Council, and Commerce Secretary Howard Lutnick have claimed new levies could generate hundreds of billions annually. However, economists warn that reliance on tariffs as a major source of revenue could slow growth and trigger retaliation from other countries. Since the introduction of income taxes in 1913, tariffs have not been a major source of income.

Raising the necessary revenue would require significantly higher tariffs, which could hurt businesses and consumers. Trump and his allies argue that past trade policies have failed, using China’s rise as proof. Some Republicans in Congress see potential in the approach, but using tariffs as a primary revenue stream would mark a major shift in U.S. trade policy , potentially sparking more trade conflicts, especially with the EU.

LTL Rates Climb as Industrial Orders Show Signs of Life

So far, 2025 has seen a slow growth in LTL freight volumes. For the most part, the industry has been weighed down by weak demand and harsh winter weather. But optimism is building for a pickup in the spring. LTL carriers are still securing contract rate increases, and industrial activity is gaining momentum.

The LTL Producer Price Index jumped 5.8% in January, the sharpest increase since Yellow shut down in 2023. While freight demand hasn’t caught up yet, shippers feel more confident. Manufacturing orders are rising , and key industry indicators like the PMI have turned positive for the first time in over two years.

LTL carriers are preparing for stronger demand , although shipment volumes are still down. Some executives expect a slow recovery, but more shippers anticipate better conditions in the months ahead. March will be a key test, with potential tariff changes and an expected seasonal uptick in freight activity.

Truckload Carriers Slow Capacity Cuts as Market Signals Shift

Large U.S. truckload carriers have resisted aggressive fleet reductions in a turnaround that signals the end of the freight downturn, with signs that demand could pick up sooner rather than later. Shippers currently hold the upper hand in rate negotiations, but trucking executives believe the market could balance out later in 2025.

The Journal of Commerce Truckload Capacity Index hit its lowest point in a decade, reflecting years of fleet reductions. However, equipment cuts have slowed, with some companies holding off on further downsizing. Trucking executives point to signs of recovery, including rising industrial orders and a 6.4% year-over-year increase in January’s truckload Producer Price Index.

Small carriers continue to leave the market, but not fast enough to tighten capacity. Larger fleets remain cautious, with most limiting growth to dedicated operations. Some expect freight rates to improve in the year's second half, but whether that happens depends on how much excess capacity remains in the system.

FMCSA Reopens Comments on Broker Transparency Rule

The Federal Motor Carrier Safety Administration (FMCSA) is giving the public more time to comment on a proposed rule that would require freight brokers to share rate and payment details with carriers. Following a request from the Small Business in Transportation Coalition (SBTC), the comment period is now open until March 20.

The proposed rule would require brokers to store electronic records of their transactions and provide access within 48 hours of a request. It would also set standards for these records, ensuring they include all charges, payments, and claims related to a shipment. However, the FMCSA did not include SBTC’s request to ban contract clauses that waive a carrier’s right to review this data. Officials say they may reconsider that issue after reviewing the next round of comments.

Nikola Bankruptcy Raises Doubts About Hydrogen Trucks

Nikola’s bankruptcy has cast a long shadow of doubt on hydrogen-powered trucking, a technology that was supposed to compete with battery-electric vehicles. The company, once seen as a leader in the sector, said it could only support its trucks until the end of March.

Another fuel-cell truck maker, Hyzon, has also signaled trouble, warning of layoffs amid uncertainty over government subsidies. Hydrogen trucks have been promoted as a lighter alternative to battery-electric rigs with faster refueling times and longer ranges. However, they require an expensive fuel supply chain, and stakeholders say they can’t compete with diesel without strong subsidies.

Repair costs are another concern. One operator reported a $200,000 repair bill for a damaged fuel cell, more than the price of a new diesel truck. Hyundai now leads the hydrogen truck market in the U.S., with a small fleet operating in California and Georgia. Some fleet operators still believe in the technology but are hesitant to invest further, waiting to see if manufacturers can survive and improve reliability.

US Proposes Heavy Fees on Ships Built in China

The U.S. is proposing new charges on container ships built in China, with fees reaching up to $1.5 million per port call. The plan, announced by the U.S. Trade Representative, also targets vessel operators with Chinese-built ships in their fleets, imposing a $500,000 fee per company. Chinese-based carriers, including Cosco, could face a $1 million charge per port visit .

These costs are expected to ripple through the shipping industry, with carriers likely passing them on to shippers, leading to higher prices for imported goods. The proposal follows an investigation that found China’s trade practices give it an unfair advantage in shipbuilding and ocean shipping.

The plan also calls for more U.S. export cargo to be transported on American-flagged and crewed ships. A public hearing is set for March 24, and President Trump will decide. About 17% of container vessels calling at U.S. ports are Chinese-made, representing more than 1 million TEUs in imported goods last year.

Port of Los Angeles Starts Year With Record Container Volumes

The Port of Los Angeles moved 924,245 twenty-foot equivalent units (TEUs) in January, an 8% increase from last year. This was the busiest start in the port's 117-year history. The volume continues a seven-month trend of high volumes, averaging more than 927,000 TEUs monthly.

Port Executive Director Gene Seroka attributed the surge to a strong economy and importers bringing goods ahead of potential tariffs and the Lunar New Year. Loaded imports rose 9.5% to 483,831 TEUs , while loaded exports dropped 10.5% to 113,271 TEUs.

Experience Seamless Shipping With Entourage Freight Solutions

Entourage Freight Solutions believes in total transparency in the shipping process. That is why we invest in tech solutions that extensively track every shipment, monitor every driver, and squeeze out every bit of efficiency without sacrificing quality. Our state-of-the-art platform uses cloud-based GPS tracking to keep you informed, reroutes shipments on the fly to avoid delays, and even reacts to real-time market changes to ensure you get your shipment on time and as soon as possible.

Our Services

Full Truck Load (FTL): When you need a truck all to yourself.
Less Than Truckload (LTL): Efficient solutions for multi-stop shipments or combining smaller loads to save on costs.
Refrigerated Trucking: Keeping your temperature-sensitive products fresh and safe.
Cross-Docking: Strategically located facilities in Shelby, Ohio, Cedar Rapids, Iowa, and Romulus, Michigan, for streamlined consolidation, storage, and distribution.

Dedicated Freight is in Focus as Shippers Brace for Major Trade Changes

Fri, 14 Feb 2025 16:38:51 GMT

As disruptions continue to impact supply chain operations, more shippers are turning to dedicated freight services as a strategy for ensuring resilience. Big trucking firms are also jumping on this trend because it ensures they can lock in longer-term contracts at better rates. These carriers are also making significant investments to keep up with the demand.

Meanwhile, the less-than-truckload (LTL) classification system is set to undergo a major revision in July. This revision will result in significant pricing changes, which have shippers worried. Shippers will have to be more precise to avoid paying more, which can also be a major plus for sustainability and profitability for carriers.

The freight industry is off to an intriguing year, and we are committed to bringing you all the latest trends, news, and insights. Continue reading to find out more.

Big Trucking Firms Shift Focus to Dedicated Freight Amid Market Shifts

Major U.S. truckload carriers have shifted more trucks and drivers into dedicated services to secure stable revenue and margins. This shift has been underway for years but picked up speed during the prolonged freight downturn. Shippers want to improve resilience, and one way to achieve that is searching for guaranteed capacity. Many have expanded private fleets since the pandemic.

Companies like Schneider National, J.B. Hunt, Knight-Swift, and Werner are making dedicated trucking a priority. Schneider now has 70% of its fleet dedicated, aided by its $421 million acquisition of Cowan Systems. J.B. Hunt estimates the dedicated market is worth $90 billion and aims for profit margins between 12% and 14%, compared to just 4.7% in traditional truckload.

Carriers see dedicated trucking as a way to manage pricing volatility and are eager to leverage the changing tide to lock in longer-term contracts. Some, like Knight-Swift, are also expanding into LTL services to reduce dependence on one-way freight. While spot market rates have hurt dedicated services, carriers expect demand to pick up later in 2025.

Shippers Brace for Major Overhaul of LTL Freight Classes

A major revision to the U.S. LTL classification system is set to take effect in July, leaving shippers concerned about pricing changes. The National Motor Freight Traffic Association (NMFTA) has proposed more than 90 updates . Although this is significantly more than usual, the updates will aim to simplify a system that dates back to the 1930s.

The changes will put more weight on shipment density, meaning shippers must be precise with measurements to avoid unexpected costs. Some may need to invest in dimensioning equipment to comply. While officials say the update is not designed to raise rates, many expect pricing shifts, especially if they don’t adjust their shipping processes.

Companies are already working with carriers to understand the impact, with logistics teams reviewing freight dimensions and classifications. NMFTA is holding public meetings and webinars before finalizing the changes, and shippers are urged to prepare now to avoid surprises when the new rules take effect.

Trump Pauses Crackdown on Chinese Import Loophole

President Trump has delayed enforcing his order to suspend the de minimis trade provision , which allows low-value shipments from China to bypass duties and customs inspections. The provision, which applies to goods valued under $800, has been widely used by platforms like Shein and Temu to enhance their delivery to customers while offering the lowest possible prices.

However, it seems that other not-so-legitimate enterprises are also exploiting it. To tackle that, Trump initially suspended it as part of a broader tariff plan, which disrupted operations for e-commerce retailers and logistics operators. The U.S. Postal Service briefly stopped accepting parcels from China and Hong Kong before resuming service. The delay will remain in place until the Commerce Department sets up a system to inspect and tax these shipments.

The surge in low-value imports has raised concerns over compliance burdens, as Customs cannot efficiently screen individual packages. In response to the uncertainty, some suppliers in Temu have reported price hikes and product removals.

Trump to Impose 25% Tariffs on Steel and Aluminum Imports

President Trump plans to impose a 25% tariff on all steel and aluminum imports, including shipments from Canada and Mexico. He also has announced “reciprocal tariffs,” targeting countries that impose duties on U.S. goods. Following the news of the increased tariffs, shares of U.S. steel producers shot up in premarket trading, while global markets reacted with concern.

South Korea’s acting president convened a meeting to assess the impact, as the country exported nearly $5 billion worth of steel to the United States last year. Trump has stated that these import duties will generate revenue and pressure trading partners. When he first mentioned the plan, financial markets dipped last week, with consumer sentiment surveys showing rising concern over inflation linked to tariffs.

While some duties on China were delayed, Trump has moved quickly to bring tariffs into play early in his presidency.

Freight Market Struggles as Shipments and Spending Drop in Q4

According to the U.S. Bank Freight Payment Index, the U.S. freight market remained sluggish in Q4, with shipments down nearly 16% and spending falling 22% year over year. The slow recovery has been tied to weak manufacturing activity and structural shifts, including private fleet expansions.

While industrial production has started showing signs of life, trucking demand has yet to see a sustained rebound. Some improvement has been noted, with capacity tightening and spending per truck rising. Spot rates for dry van freight have increased, and the gap between spot and contract rates has been closing, signaling a possible shift in pricing power toward carriers.

Maersk Reports Strong 2024 Earnings on Higher Freight Rates

Maersk posted $55.4 billion in revenue for 2024, marking its third-strongest financial year. Earnings before interest, taxes, depreciation, and amortization (EBITDA) rose to $12.1 billion while operating profit increased to $6.5 billion. Strong freight rates and stable demand were key to the company’s performance.

The ocean division generated $37.4 billion, with container rates rising 38.1%. Logistics and terminals also saw revenue growth. Due to Red Sea disruptions, Maersk managed higher fuel and handling costs caused by rerouting ships around Africa.

The company expects 4% container volume growth in 2025 but warns of ongoing supply-demand imbalances. Depending on when Red Sea routes reopen, it forecasts EBITDA between $6 billion and $9 billion. It also announced a $2 billion share buyback and a dividend.

Tariff Uncertainty and Frontloading Keep Container Rates High

The Trump administration’s ongoing tariff changes continue to drive uncertainty in the market, prompting shippers to move goods ahead of potential trade restrictions. Asia-U.S. West Coast spot rates rose 3% to $5,078 per forty-foot equivalent unit (FEU), while East Coast rates increased 1% to $6,718.

Recent tariff announcements on Mexican and Canadian imports were short-lived as they were delayed for a month, with only the 10% added tariffs on Chinese goods staying in effect. Beijing responded with 15% tariffs on coal, LNG, and machinery. The possibility of a 60% tariff on Chinese goods adds to shipper concerns, reinforcing demand for early shipments. Red Sea diversions have kept trans-Pacific rates elevated, with some analysts predicting they could reach last July’s peak of $8,000 per FEU.

Meanwhile, Asia-North Europe rates dropped 11% to $3,667 per FEU , and Asia-Mediterranean rates held steady at $5,069. Trump has signaled potential tariffs on the European Union, and carriers have already announced trans-Atlantic peak season surcharges for March, likely anticipating another wave of frontloading.

Entourage Freight Solutions: Food-Grade Expertise for All Your Shipping Needs

Our Services

Full Truck Load (FTL): When you need a truck all to yourself.
Less Than Truckload (LTL): Efficient solutions for multi-stop shipments or combining smaller loads to save on costs.
Refrigerated Trucking: Keeping your temperature-sensitive products fresh and safe.
Cross Docking: Strategically located facilities in Shelby, Ohio, Cedar Rapids, Iowa, and Romulus, Michigan, for streamlined consolidation, storage, and distribution.

President Trump Vows Trade Tariffs on China, Canada, and Mexico

Tue, 28 Jan 2025 15:44:03 GMT

During his campaign, President Donald Trump made no secret of his intentions to bring manufacturing back to the U.S., including ending perceived trade disadvantages with key partners, including Canada, Mexico, and the European Union. The move has drawn mixed reactions from industry leaders and experts, but no one is certain how it will pan out.

In this newsletter, we review some of the potential tariff plans and how the market is reacting. Continue reading to find out more.

Trump’s Tariff Plans Target Major Trade Partners and Raise Economic Concerns

Imports moving into the U.S. from neighbors Canada and Mexico could soon be subjected to 25% tariffs as Trump follows through on his plans to impose duties on key markets, including countries aligned with America’s interests. Trump will also impose an additional 10% tariff on China-based imports starting Feb. 1. This aligns with commitments made during his reelection campaign and inauguration, with the timeline for implementation clarified during a recent White House press briefing. Trump has said the tariffs are tied to fentanyl imports from China into Mexico and Canada.

However, the move is part of a broader strategy outlined in a recent memorandum. The memorandum tasks federal agencies with reviewing U.S. trade policy and suggesting potential actions by April 1. The decision could strain U.S. trade relations, particularly with China, Canada, and Mexico, and may result in retaliatory tariffs and other economic impacts, including reduced consumer spending power and potential legal issues for U.S. businesses abroad.

Shippers Strategize Trucking Costs Amid Uncertain Freight Market

Trucking contract negotiations are underway, but shippers and carriers are trying to navigate the process to ensure long-term success. U.S. shippers are balancing the desire to limit rate increases with the need to maintain reliable carrier partnerships. Spot rates have shown a modest uptick , but contract rates have remained flat for the most part due to lingering excess capacity in the market. However, shippers are wary of pushing too hard for rate reductions, fearing a potential loss of capacity when demand rises later in 2025.

Industry experts suggest rate increases will be modest during this cycle, with many shippers prioritizing stability over short-term savings. Surveys indicate that 70% of shippers anticipate higher freight volumes , while 57% expect rate hikes this year. Some logistics managers are opting for moderate rate increases to maintain carrier relationships, particularly as tightening capacity is predicted to lead to higher costs in the second half of the year.

Conversely, carriers are under pressure to navigate these negotiations as they face increasing operational costs. While many shippers remain cautious, a shift in market conditions could see rates climb significantly by year’s end, potentially impacting the freight market’s recovery timeline.

Logistics Real Estate Primed for Growth Following US Election

Prologis, a major logistics real estate developer, anticipates an upswing in industrial rents later in 2025. This is driven by rising demand for leased space, including from third-party logistics providers. Following the presidential election, stalled decisions on new developments were unlocked, leading to a significant increase in leasing activity. Prologis set a record in the fourth quarter, leasing 60 million square feet of space.

The company reported an average occupancy rate of 95.8% in Q4 2024, with projections for stability of about 96% through 2025. While industrial rents declined slightly last year, Prologis expects them to bottom out and begin climbing later this year, fueled by inventory needs and steady absorption of logistics space. E-commerce, electronics, food and beverage, and 3PLs have been key demand drivers.

Prologis has $5 billion and 30 million square feet of projects underway and continues to see strong investor interest in logistics, data centers, and energy-related facilities.

Shipping Routes and Freight Rates Face Shift Amid Red Sea Developments

Earlier this month, following the Gaza ceasefire, the Houthi militants pledged to stop attacks in the Red Sea and limit their attacks to Israeli-affiliated vessels. However, despite these promises, ocean carriers remain cautious about resuming Red Sea transits.

Major carriers, including Hapag-Lloyd and Maersk, are calling for more secure waters and have reiterated their commitment to resuming Red Sea operations only when the area is deemed safe. The ongoing conflict, which began affecting shipping in late 2023, forced vessels to divert around the Cape of Good Hope, removing substantial capacity from the market. This shift led to higher freight rates as capacity tightened.

A return to Red Sea routes could significantly impact global shipping dynamics. Analysts predict falling spot rates and potential overcapacity challenges. Carriers have suggested increased scrapping and capacity management to address the risks. However, experts warn that the market may still experience turbulence, with rates likely to fall sharply before stabilizing.

US Considers Ending Duty-Free Rule for Certain Low-Value Imports

Prior to the end of the Biden administration, U.S. Customs and Border Protection (CBP) proposed changes to rules governing low-value imports, especially targeting goods subject to tariffs or national security restrictions. If the Trump administration implements the changes, it will end duty-free entry for products valued under $800, subject to Section 301 tariffs, including many Chinese imports like textiles, appliances, and steel.

The move could potentially increase consumer costs and dampen demand, although experts predict Chinese e-commerce firms will adapt swiftly through strategies like consolidating shipments or establishing fulfillment centers in North America. Under the current system, the de minimis exemption allows low-value imports to bypass duties and some reporting requirements. However, the CBP argues the exemption has been exploited, contributing to surging imports, counterfeit goods, and even fentanyl smuggling.

Proponents of the change, including U.S. textile groups, claim the loophole harms domestic industries by allowing subsidized foreign goods to undercut U.S. manufacturers. If finalized, the new rules could raise prices for certain low-cost imports by 20-35% and lengthen delivery times slightly. Consumers and businesses have 60 days to provide feedback on the proposal.

Tariff Threats on Canada and Mexico Pose Broad Trade Challenges for US Industries

President Trump’s threat to impose 25% tariffs on goods from Canada and Mexico has raised concerns across several key industries, including chemicals, energy, and transportation. While much attention has been focused on the auto sector, broader implications extend to essential goods like chlorine for water treatment, lumber, and critical minerals vital for electric vehicle production.

Canada is the top U.S. trade partner for chemicals, and billions of dollars of cross-border trade rely on railroads for transport. Analysts warn that tariffs could disrupt supply chains, inflate prices, and strain the close economic ties facilitated by agreements such as the USMCA. Meanwhile, shippers are preparing for the potential ripple effects, ranging from increased consumer costs to retaliatory tariffs.

Concerns are particularly acute in sectors like apparel , where tariffs could substantially increase the cost of goods like denim, and energy, with Canada being a key supplier of crude oil and natural gas. While trade policies are still under review, industries reliant on North American partnerships are bracing for significant challenges if tariffs are enacted.

China’s Dominance in Global Shipping and Shipbuilding Threatens US Competitiveness and Security

A recent U.S. investigation into China’s trade practices has revealed a concerted effort by the country to dominate the global ocean shipping and shipbuilding markets. While this is acceptable if done through the right channels, the investigation also revealed that the Chinese government is utilizing unfair tactics.

The probe, initiated in April 2024, highlighted that China’s market share in shipbuilding surged from less than 5% in 1999 to more than 50% by 2023. China also pushed its ownership of the commercial world fleet to over 19% as of January 2024.

According to the report, government policies that unfairly depress costs or provide advantages enabled the targeting. In a broader sense, the move has severely disadvantaged U.S. companies, workers, and the U.S. economy by lessening competition and commercial opportunities and creating economic security risks from dependencies and vulnerabilities.

Navigate the Freight Market with Entourage Freight Solutions

Entourage Freight Solutions has an extensive background and expertise in food service logistics. The company’s unique strategy, honed in the food supply chain, ensures an unmatched service level and extreme attention to detail in meeting all our shippers’ needs.

EFS platforms leverage the latest cloud-based, GPS-enabled technologies. They can track drivers regardless of location, continuously reroute shipments based on the dynamics at play, such as weather or traffic, and account for real-time changes in market rates. At Entourage Freight Solutions, we offer a broad range of unsurpassed services. These include:

1. Full Truck Load (FTL) : For shipments requiring a dedicated whole truckload.

2. Less than truckload (LTL) : For companies moving multiple LTL shipments to different locations or consolidating LTL goods from other companies to get a lower all-in rate.

3. Refrigerated Trucking or “Reefer” Transportation: Leveraged to avoid spoilage and damage to temperature-sensitive goods.

4. Cross-Docking : We have locations in Shelby, Ohio, Cedar Rapids, Iowa, and Romulus, Michigan, which serve as cross-docks for strategic consolidation, storage, and end-to-end distribution programs.

Request a quote today to see how Entourage Freight Solutions can help with your freight movement and other supply chain needs.

US Manufacturing on Road to Recovery Amid Tariffs Threats

Thu, 16 Jan 2025 14:00:25 GMT

The trucking industry and the freight world are gearing up for a new Trump presidency. While some experts believe tariffs would help increase domestic manufacturing, leading to more trucking moves, others contend that tariffs can harm the economy and reduce overall freight needs.

The pandemic exposed a lot of supply chains across the U.S. and the world at large. The devastating disruptions from then still have some ripple effects to this day. However, learning from mistakes is what makes or breaks any business. To that effect, experts and business leaders gathered at The Transportation Research Board’s 104th annual meeting to discuss the impacts of the pandemic and present supply chain vulnerabilities and strategies for going forward, especially in a year that is set to see an escalation in international trade policy wars.

Continue reading as we discuss some of the best topics, news, and trends in the freight world.

Manufacturing Sector Shows Signs of Recovery Amid Challenges

According to the Institute for Supply Management’s Purchasing Managers Index (PMI), the U.S. manufacturing sector ended 2024 with improved demand and production, rising as much as 49.3% in December. New orders and output climbed above growth thresholds, setting the stage for potential expansion in 2025.

Seven industries, including primary metals, electrical equipment, and plastics, reported growth during the manufacturing sector’s recovery. Concerns over potential tariff hikes have prompted manufacturers to explore alternative sourcing strategies. While tariff impacts are expected later in the year, cautious optimism remains over regulatory changes under the incoming administration.

S&P Global’s PMI painted a slightly less optimistic picture , declining to 49.4 on the index due to drops in demand and production. Rising costs for raw materials like aluminum and copper added to challenges, although manufacturers anticipate improved employment and supply chain activity as demand increases in the coming months.

Building Resilient Supply Chains by Learning from Past Disruptions

The Transportation Research Board’s 104th annual meeting highlighted the importance of preparing supply chains for future disasters and catastrophic events. Panelists emphasized that while disasters often allow local resources to respond within days, catastrophes overwhelm local capacity, requiring stronger preparedness measures.

Speakers discussed how the pandemic exposed vulnerabilities in global logistics and prompted new strategies to mitigate disruptions. These include scenario-based exercises, pre-positioning vital supplies, and fostering collaboration among ports, rail, and trucking systems. They also discussed the need for diversified port use, better infrastructure, and unified policies across jurisdictions.

From handling labor strikes to addressing extreme weather impacts, experts stressed the importance of proactive planning, innovation, and balancing economic considerations with long-term resilience. As global supply chains face rising pressures, stakeholders must prioritize flexibility and coordination to navigate future challenges effectively.

Biden Administration Adjusts Rules for Hydrogen Tax Credit to Boost Domestic Production

The Biden administration has revised rules governing a key tax credit for hydrogen production, addressing concerns from industry stakeholders. The updated guidelines, released by the Treasury Department, aim to support domestic hydrogen manufacturing while maintaining environmental standards.

Changes include extended timelines for clean energy alignment with hydrogen production, expanded eligibility for certain nuclear power plants, and allowances for hydrogen produced from natural gas using carbon capture. Renewable natural gas from sources like wastewater, animal manure, and coal mines also qualifies.

The credit, offering up to $3 per kilogram, is designed to promote hydrogen as a cleaner alternative for industries such as steelmaking and heavy transportation. Developers and companies welcomed the revisions, which they see as critical for advancing U.S. leadership in hydrogen energy.

Amazon Reaches Settlement with OSHA over Workplace Safety

Amazon and the Occupational Safety and Health Administration (OSHA) have reached a settlement addressing allegations of ergonomic risks and workplace safety issues at the company’s facilities. This agreement concludes a multisite investigation spanning over a decade and resolves 10 cases previously set to go to trial next year.

Amazon has agreed to improve policies at a facility in Illinois cited for handling bulky items and will allow OSHA monitoring inspections at several locations. The company also accepted more than 90% of the penalties related to the citations. OSHA withdrew most ergonomic citations but clarified that some withdrawals were influenced by an ongoing investigation by the U.S. Attorney’s Office for the Southern District of New York.

The settlement requires Amazon to implement corporatewide ergonomic improvements across its warehouses. This comes amid increased scrutiny of working conditions, with recent strikes by unionized workers and a Senate report criticizing Amazon’s warehouse safety practices. Amazon has contested these claims, describing the report as outdated and misleading.

Shifts in Trucking Spot Rates Might Reflect Market Recovery

National trucking spot rates have shown varied movements across equipment types in recent months. Dry van rates have steadily increased, especially in December, with consecutive weekly gains and higher year-over-year averages. Reefer and flatbed rates have fluctuated, reflecting seasonal and regional factors such as holiday demand and hurricane impacts.

Capacity constraints, changes in load volumes, and external disruptions like strikes and weather events have influenced these shifts. The market is experiencing signs of recovery from prolonged contraction, with recent data hinting at a new freight cycle. Frequent updates on these rates provide a window into evolving market conditions.

Record Highway Congestion Costs Impact US Trucking in 2022

The American Transportation Research Institute (ATRI) reported that highway congestion imposed a record $108.8 billion burden on the trucking industry in 2022. This figure represents a 15% rise from the previous high of $94.6 billion in 2021, despite a slight reduction in total congestion hours, which fell by 5.4% due to a slowing freight market.

Key contributors to the surge included higher operational costs driven by increased diesel prices, supply chain disruptions affecting vehicle production and maintenance, and rising labor expenses. ATRI noted that each registered combination truck incurred an average congestion-related cost of $7,588, equivalent to 430,000 truck drivers idling for an entire work year.

Congestion also led to the waste of more than 6.4 billion gallons of diesel, adding $32.1 billion in fuel costs and generating significant environmental impacts, including 65.4 million metric tons of additional carbon dioxide emissions. The most affected areas included major metropolitan hubs like New York City, Miami, and Chicago, with smaller cities such as New Orleans, Buffalo, New York, and El Paso, Texas, experiencing sharp increases in congestion-related costs due to trade growth following the pandemic.

Although federal, state, and local governments allocated $232 billion to highway infrastructure in 2022, ATRI questioned whether these investments effectively targeted the most critical congestion hotspots. This suggests better prioritization in infrastructure planning.

2025 Trucking Conferences: Your Guide to Key Industry Events

Industry conferences remain a cornerstone for trucking professionals seeking to stay informed, connected, and competitive. These events bring together executives, analysts, and investors, offering opportunities for networking, learning, and collaboration.

The lineup of trucking conferences in 2025 includes events across the country, from SMC³’s deep dive into LTL strategies to ATA’s premier gathering for trucking leaders. Highlights from the conferences will include sessions on artificial intelligence, alternative fuels, safety innovations, and hands-on experiences with the latest equipment.

Whether you’re looking to explore emerging technologies, refine your strategies, or strengthen your industry connections, these conferences offer valuable opportunities to engage with peers and leaders shaping the future of trucking.

Navigate Truck Rates and Financials with Entourage Freight Solutions

Trucking rates are treading around historic lows. While this can seem like good news for shippers looking to contract their freight or ship it via the spot market, it also means the market is somewhat unstable, and trucking carriers will do what they can to recoup costs and stay afloat.

Shippers need access to freight management services and real-time data to keep up with their shipments and stabilize in a volatile environment.

Entourage Freight Solutions provides steady services that help you navigate an ever-changing logistics environment and receive important information in real time.

Entourage Freight Solutions offers the following services and many more:

Our LTL Service provides on-demand access to capacity, real-time data, and peace of mind in this high-stakes world.
Our Freight Management lets your team stay organized across inbound and outbound logistics, tracking market capacity and using automation notifications to keep everyone informed.
Our Refrigerated Transport provides expertise in everything from finished goods to raw materials, ensuring products arrive on time and in top condition.

Request a quote today to see how Entourage Freight Solutions can help with your freight movement and other supply chain needs.

Trump Aligns With Dockworkers as Tariffs Scare The Trucking Industry

Fri, 20 Dec 2024 13:56:04 GMT

Dockworkers have a formidable ally in their contract standoff with their East and Gulf Coast ports. Donald Trump reiterated his position in their fight against automation with the United States Maritime Alliance (USMX), sparking questions about whether there will be another Biden-esque intervention when the temporary contract expires on Jan. 15, 2025.

As the president-elect prepares to take office, he has made many proposals about tariffs and continues to show willingness to use them as a weapon in the current trade war with various countries. If the tariffs backfire, industries like trucking and manufacturing will be impacted, with businesses across several verticals bracing for impact.

Questions loom over the future of the U.S. Postal Service (USPS) as it continues to struggle. Even Donald Trump is considering privatization of the company. We have this and more news, trends, and updates from around the freight world. Keep reading to find out more.

Trump Voices Support for Dockworkers' Union on Automation Issues

President-elect Donald Trump has reiterated his opposition to automation in shipping operations while strongly supporting the International Longshoremen's Association (ILA) in its contract dispute with employers at East and Gulf Coast container ports. After meeting with ILA leaders Dennis and Harold Dagget at his Mar-a-Lago residence, the soon-to-be president shared a message affirming his recognition of the union's work. This dispute centers on the ILA's opposition to automated cranes, which they argue threaten jobs and port security.

At the same time, the United States Maritime Alliance (USMX) contends such technology is vital if the country and its ports hope to compete on the global stage. As it stands now, none of the ports in the U.S. rank within the top 50 most efficient ports of the world, with most of the blame resting on their refusal to move ahead with automation. With contract talks stalled and the current agreement set to expire on Jan. 15, the prospect of a strike looms. However, this is not unfamiliar territory as previous disruptions, such as a three-day strike in October, halted operations and required federal intervention.

Employers have warned clients to brace for potential service interruptions, while shippers have preemptively managed cargo flows. Despite the president-elect's support of the union workers , his approach to handling a prolonged strike remains unclear. As seen in previous labor disputes, the federal government could invoke the Taft-Hartley Act to intervene. The stakes remain high for workers seeking job security and the industry vying for modernization.

Trucking Industry Braces for Impact of Tariff Policies Under Trump

Donald Trump has proposed tariffs on imports, including a potential 60% rate on goods from China and 25% tariffs across North America. All of which are raising concerns within the trucking industry. Most people and businesses within the industry understand that these measures may be used as leverage in trade negotiations. Still, they are also expected to influence freight demand and consumer costs.

Economists and industry experts warn that tariffs could slow economic activity , potentially offsetting the benefits of extended tax cuts. The trucking sector, which heavily relies on freight from North American manufacturing hubs, is particularly sensitive to changes in trade policy.

Although the full extent and timing of these tariffs remain uncertain, the trucking industry is preparing for potential disruptions in the movement of goods. Analysts predict a modest improvement in trucking conditions in 2025, though substantial growth is unlikely. As the administration moves forward, businesses and policymakers will closely monitor the balance between trade barriers and economic growth.

Trump Considers Privatization of U.S. Postal Service Amid Financial Losses

President-elect Donald Trump has reportedly discussed the potential privatization of the U.S. Postal Service (USPS) with key transition officials, including Commerce Secretary nominee Howard Lutnick. Citing USPS's $9.5 billion loss in the past financial year , Trump has questioned the need for government subsidies for the struggling agency.

The USPS has faced challenges from declining mail volumes and slower-than-expected growth in parcel shipping. During Trump's first term, his appointment of Louis DeJoy as Postmaster General sparked debate due to cost-cutting measures that were criticized for causing service delays. Details of how Trump might pursue privatization or reforms for the USPS remain unclear.

Truckload Spot Rates Reach Two-Year High Amid Tightening Capacity

The National Truckload Index (NTI) has climbed to $2.52 per mile, marking the highest level since January 2023. Despite a year-over-year decline in dry van outbound tender volumes, tender rejection rates have increased, reaching their highest point since July. These trends suggest tightening capacity drives rate increases , even with reduced overall demand.

The number of active trucking authorities has dropped by 4% compared to December 2023, reflecting fewer carriers in the market. This shrinking capacity could pose challenges for shippers, especially if demand surges in 2025 due to economic stimulus or policy changes. Industry experts recommend that shippers secure contract rates to ensure capacity availability, as future volume spikes might lead to higher rates and reduced options.

Supreme Court to Review Biofuel Producers' Challenge to California Emission Rules

The U.S. Supreme Court has agreed to hear a case concerning California's vehicle emission regulations. The hearing aims to address climate change by setting limits on auto pollution. Companies, including Valero Energy Corp. units involved in biofuel production and sales, argue that the Environmental Protection Agency overstepped its authority by allowing California to enforce these standards.

The outcome of this case could have broad implications for state-level environmental policies, particularly as the recent election of Donald Trump raises questions about the future of such regulations.

OnTrac and GLS US Announce Shipping Rate Increases for 2025

Parcel carriers OnTrac and GLS US are set to raise shipping rates in the coming weeks. Starting January 1, 2025, OnTrac’s rates will increase by an average of 5.7%, along with surcharges for residential, oversized, and rural deliveries. GLS US will implement a 5.9% average rate increase on December 23, 2024, near the end of the peak holiday shipping period, and will also adjust its surcharges.

OnTrac, which has expanded aggressively despite recent volume declines and rising costs, offers shippers long-term rate agreements and incentives. GLS US continues to expand its domestic and international reach, recently introducing direct delivery services between the U.S. and Europe and forming partnerships with other carriers to strengthen its network.

These increases are slightly below those announced by FedEx and UPS for the same period.

Dollar General Expands Leadership Team Amid Competitive Challenges

Dollar General has named Kevin Pinchon as Senior Vice President of Distribution and Tom Hutchins as Senior Vice President of Technology. Pinchon, who joined in June, manages distribution strategies across several states, drawing on experience from HD Supply and Target. Hutchins, onboard since September, oversees IT operations, having previously held leadership roles at Tractor Supply Company and Office Depot.

These appointments are part of a broader leadership expansion , including ten promotions and another new hire across various departments. Dollar General's management highlighted the contributions these leaders are expected to bring in efficiency, service improvements, and technology integration.

The retailer faces inflation, stiff competition from other low-cost chains, and shrinking operating profits. Dollar General plans to open 800 new stores in 2024, maintaining its growth strategy while navigating an increasingly harsh economic environment.

Navigate Truck Rates and Financials with Entourage Freight Solutions

Trucking rates are at historic lows. While this can seem like good news for shippers looking to contract their freight or ship it via the spot market, it also means the market is somewhat unstable, and trucking carriers will do what they can to recoup costs and stay afloat.

Shippers need access to freight management services and real-time data to keep up with their shipments and stabilize operations in a volatile environment. Entourage Freight Solutions provides steady services to help you navigate an ever-changing logistics environment and receive important information in real time.

Entourage Freight Solutions offers the following services and many more:

Our LTL Service provides on-demand access to capacity, real-time data, and peace of mind in this high-stakes world.
Our Freight Management lets your team stay organized across inbound and outbound logistics, tracking market capacity and using automation notifications to keep everyone informed.
Our Refrigerated Transport provides expertise in everything from finished goods to raw materials, ensuring products arrive on time and in top condition.

Request a quote today to see how Entourage Freight Solutions can help with your freight movement and other supply chain needs.

Trade Policy Shifts, Bipartisan Freight Bill, and Recovering Rates

Fri, 06 Dec 2024 21:00:26 GMT

President-elect Donald Trump announced last week on his Truth social account that he has nominated international trade lawyer and former White House official Jamieson Greer as the U.S. Trade Representative. You will recall that the office gained prominence during President Trump's first term, spearheading the trade war with China. In a bipartisan effort, the U.S. Senate has passed the Transportation Security Screening Modernization Act, which will help simplify how commercial drivers obtain their security clearance. This should boost the industry amid a fluctuating freight economy.

Keep reading to learn more about the news and trends shaping the freight industry.

Trump Administration's Trade Policy Shifts: A Look at Key Appointments and Strategic Focus

The USTR continues to be strategically important to the incoming administration amid Trump’s tariff rhetoric. Trump has stated that Jamieson, a key appointee , will prioritize reducing the U.S. trade deficit, supporting American industries, and expanding export opportunities.

Greer, another significant nominee, may work under Commerce Secretary Howard Lutnick if both receive Senate confirmation. The administrative structure suggests potential changes, with Lutnick potentially overseeing the USTR. Greer's alignment with Trump's trade policies is evident from his testimony to the U.S.-China Economic and Security Review Commission, where he labeled China's ambitions as a "generational challenge" and criticized its impact on U.S. economic and national security.

Interestingly, Greer diverges slightly from Trump's stance by supporting federal subsidies for industries, suggesting incentives similar to those in the CHIPS and Science Act to boost sectors like pharmaceuticals, robotics, and automotive manufacturing. Greer is also expected to play a pivotal role in renegotiating the United States-Mexico-Canada Agreement (USMCA) before its review in 2026, aligning with Trump's focus on leveraging advantages in the automotive sector.

Senate Advances Bipartisan Legislation Streamlining Security Credentials

The U.S. Senate has passed the Transportation Security Screening Modernization Act , a bipartisan effort to simplify the process for commercial drivers to obtain security credentials. The legislation introduced by Senator Roger Wicker seeks to standardize the credentialing process across the freight workforce, reducing bureaucratic inefficiencies and costs.

This initiative intends to attract more industry drivers, helping alleviate labor shortages and maintain efficient supply chains. Provisions within the bill ensure that high-security standards remain intact. The Transportation Security Administration (TSA) must provide Congress with a progress report six months after the bill's enactment. The bill's sponsors, including Senators Deb Fischer, Angus King, and Jon Tester, emphasized its potential to ease burdens on essential workers while upholding safety.

ATA President Chris Spear highlighted the years of frustration caused by the current credentialing system and hailed the bill as a step toward eliminating wasteful bureaucratic hurdles. The legislation is celebrated as a practical solution that reduces time and cost barriers for truck drivers. Advocates anticipate its implementation will simplify processes, making it easier for drivers to meet credential requirements and contribute to the transportation industry's operational efficiency.

Freight Rates Show Signs of Recovery as New Market Cycle Emerges

Analysts are observing positive developments in freight rates for 2024 , suggesting a potential shift in market dynamics. Data from DAT Freight & Analytics shows consistent growth in dry van spot rates year-over-year since July, signaling the start of a new freight cycle approximately three to four months ago.

Some key observations of this growth include:

Spot Rate Growth: DAT reports that dry van spot rates were 7% higher in Q4 than in the same period last year.
Contract Rate Lag: Contract rates typically lag spot rates by three to four months, but they are now approaching parity, reflecting a tightening market.
Discount Trends: Shippers still benefit from an 8.7% discount in the spot market compared to contract rates, although the gap is narrowing.

Despite these encouraging trends, the broader freight market remains challenging. Carriers have experienced steep declines in operating income during Q3, highlighting the need for increased freight volume to sustain recovery. According to Jason Miller of Michigan State University, the sector remains transitional, with one freight cycle concluding and the next fully taking shape.

Revamped Freight Classification System to Launch in 2025 with Digital Upgrades

The National Motor Freight Traffic Association (NMFTA) has announced July 19, 2025, as the launch date for its updated less-than-truckload (LTL) freight classification system. The new launch date, which was initially planned for May 2025, allows additional time for users to prepare for changes aimed at improving accuracy and reducing costs related to misclassified freight.

Some of the key digital upgrades include:

ClassIT+ Platform will replace the current ClassIT system and feature a new application programming interface (API) to simplify freight classification and improve transparency for shippers, carriers, and logistics providers.
The updated system will increase accuracy in freight classification , reducing errors and related fees for users.
Provide educational resources to gather feedback and assist stakeholders in adapting to the changes.

The NMFTA's broader efforts include maintaining digital standards for the LTL industry and protecting them through cybersecurity initiatives. The association aims to enhance operational efficiency across the shipping sector by streamlining the freight classification.

Trump Selects Lori Chavez-DeRemer as Labor Secretary Nominee

Trump has nominated Rep. Lori Chavez-DeRemer (R-Ore.) as his pick for Secretary of Labor . The rep who is just finishing up her first term but lost her re-election bid. If confirmed, Chavez-DeRemer will focus on expanding apprenticeships, improving wages, and enhancing working conditions.

Her nomination has received support from labor leaders such as Teamsters President Sean O’Brien, who acknowledged her willingness to collaborate and address workers' needs. This announcement is part of Trump’s ongoing cabinet appointments, which include high-profile figures such as Linda McMahon for Education Secretary and Sean Duffy for Transportation Secretary.

Chavez-DeRemer’s nomination underscores the president-elect's approach to balancing worker advocacy with business interests as he forms his administration.

Mexican President Sheinbaum Pushes Back Against Trump's Proposed Tariffs

A potential trade war with Mexico is brewing, as newly appointed Mexican president Claudia Sheinbaum strongly criticized Trump's proposal to impose 25% tariffs on imports from Mexico.

Sheinbaum has described the tariffs as threatening shared prosperity and pointed out that such measures would disrupt trade between the two nations worth hundreds of billions of dollars annually. According to Sheinbaum, American automakers operating in Mexico, including General Motors and Ford, would face significant challenges, arguing the tariffs would fuel inflation and job losses on both sides of the border.

Trump's tariff plans, set to take effect on his first day in office, would effectively dismantle the U.S.-Mexico-Canada Agreement (USMCA), the trade pact that replaced NAFTA and remains in effect until at least 2026. Moreover, Sheinbaum believes that much of the violence and drug-related issues blamed on her country are tied to U.S. demand for narcotics.

U.S. Holiday Spending Set to Rise in 2024 as Inflation Eases

U.S. holiday spending is forecasted to grow by nearly 3% in 2024. Although not much, the growth is heavily supported by declining inflation rates, increased consumer confidence, and early promotional campaigns from retailers — all of which have been effective. All things being equal, Thanksgiving spending is expected to increase by 1.8% year-over-year, Black Friday by 2.8%, and Christmas sales by 3%.

Inflation peaked at 3.5% in March and has averaged 2.5% recently , its lowest level since 2021. Additionally, wages have consistently outpaced inflation throughout 2023, and the Conference Board's consumer confidence index has risen for two consecutive months. An International Council of Shopping Centers (ICSC) survey reveals that 70% of respondents feel their financial situation is as good as or better than last year.

Navigating Volatility in the Trucking Market with Entourage Freight Solutions

In this dynamic environment, shippers need reliable freight management services and access to real-time data to stabilize operations and maintain supply chain efficiency. Entourage Freight Solutions offers services to help shippers thrive in an ever-changing logistics landscape. We ensure your shipments are handled precisely and with care by providing critical insights and dependable support. Our key services include:

LTL (Less-than-Truckload) Solutions: Gain on-demand access to capacity and real-time updates, providing confidence and efficiency in high-stakes logistics.
Freight Management: Streamline your inbound and outbound logistics with tools that monitor market capacity, deliver automated notifications, and keep your team informed and organized.
Refrigerated Transport: Safely transport goods, from raw materials to finished products, with temperature-controlled expertise to ensure timely delivery and optimal quality.

Request a quote today and discover how Entourage Freight Solutions can support your freight movement and supply chain needs. Get in touch to learn more about our comprehensive logistics services and how we can help you easily navigate today’s volatile market.

Trump Taps Sean Duffy to Lead Transportation; UPS Is Fined $45M

Wed, 27 Nov 2024 16:43:33 GMT

President-elect Donald Trump has nominated former congressman Sean Duffy as Department of Transportation secretary. If confirmed by the Senate, Duffy will be expected to usher in new policies and potentially repeal some of those that have caused tensions across the transportation industry.

UPS has been fined by the SEC for misvaluing one of its units and not following the mandated GAAP guidelines. The total fine amounted to $45 million and comes amid the CEO of the current owner being forced to defend the acquisition in a recent earnings call.

We have compiled some of the best news, trends, and updates shaping the freight world as we go deeper into Q4. Continue reading to find out all about them.

Trump Taps Sean Duffy to Lead Transportation Department

President-elect Donald Trump has nominated Sean Duffy, a former congressman and Fox Business host, as Department of Transportation secretary. Before his nomination, he was one of Trump’s top defenders.

If confirmed, Duffy will be in charge of aviation, automotive, rail, transit, and other transportation policies at the DOT, which has a roughly $110 billion annual budget. In the coming months, he is expected to address some of the pressing concerns across the transportation world, including aviation safety, infrastructure upgrades, and emissions policy rollbacks. According to Trump’s post on social media, Duffy is well-liked across both sides of the aisle.

That likeability will hopefully give him an edge, enabling him to resolve pressing concerns as quickly as possible with little bureaucracy.

UPS Fined $45M Over Misvaluation of Freight Division Sale

UPS agreed to a $45 million Securities and Exchange Commission fine for misvaluing goodwill in its UPS Freight unit before its 2021 sale to TFI International for $800 million. The sale has proven to be a headache for both parties, so much so that the CEO of the current owner had to defend the acquisition on an earnings call.

Between the SEC and UPS, an external consultant had valued UPS Freight at about $2 billion, but in 2019, an internal audit had valued the business at $650 million, which was $150 million less than TFI paid for it in 2021. On the part of the SEC, it found that UPS failed to follow GAAP guidelines, avoiding a necessary goodwill write-down that would have impacted reported earnings.

Following this fine, UPS has neither confirmed nor denied the findings, stating the charge was already accounted for and would not materially affect its operations.

Companies Rethink Supply Chains Amid Potential US Tariff Increases

More supply chains are being forced to rethink their operations due to potential tariffs under a Trump presidency. Many of these companies plan to reduce their reliance on countries like China, especially for U.S. inbound goods.

However, experts believe that this might come at a cost. Finding new suppliers, building new factories, and increasing labor costs and materials could be in the near future. Some impacted companies are considering reshoring and leveraging automation , while others are considering a pivot to source materials and labor in regions with fewer trade tensions, such as other parts of Asia and Mexico.

However, all of these depend on the extent of the new administration’s tariff and trade policy plans. A less extreme stand will mean the supply chains can continue business as usual.

Landmark Trucking Cases Highlight Industry Challenges with Nuclear Verdicts

The Texas Supreme Court is set to hear oral arguments in Werner Enterprises’ appeal of a more than $100 million nuclear verdict stemming from a 2014 crash. Attorney Matthew Leffler described it as the most critical case for the trucking industry, highlighting the verdict’s implications for insurance costs and operational risks.

The case is similar to one in Alabama, where a major verdict was issued against Wabash National ($460 million) and Daimler Truck North America ($160 million), underscoring concerns about escalating liability in the freight industry. These cases stress the need for heightened vigilance and potential regulatory reforms to address disproportionate judgments.

Trump Nominates Billionaire Howard Lutnick for Commerce Secretary

President-elect Trump continues to populate his cabinet. One of his most recent nominations is that of Wall Street billionaire Howard Lutnick, CEO of Cantor Fitzgerald, as secretary of the Commerce Department. Lutnick has rich experience and will be saddled with enforcing Trump’s pledge for an aggressive trade agenda.

Lutnick will oversee trade policies, including proposed tariffs potentially rising up to 60% on Chinese imports and 20% on others. He is a huge supporter of onshoring, clean energy production, and reducing government spending. Industry groups like the National Retail Federation welcomed his nomination, emphasizing collaboration on economic growth and domestic manufacturing.

The move continues Trump’s pattern of appointing Wall Street executives to key roles.

Trump’s Tariff Plan to Disrupt US Trade, Spur Costly Supply Chain Reshuffling

According to trade analyst Mary Lovely, President-elect Trump’s proposed tariffs, potentially ranging from 10% to 60%, could significantly disrupt U.S. trade flows. During a Port of Los Angeles briefing, Lovely highlighted potential reductions in imports and exports due to higher costs for U.S. manufacturers and supply chain adjustments.

She foresees shifts in global supply chains, with some companies creating U.S.-focused production systems and others avoiding the market altogether. While the administration’s focus on reshoring could create jobs, Lovely expressed skepticism about the quality and sustainability of these positions. Increased tariffs could raise consumer prices, slow the economy, and reduce competitiveness for U.S. manufacturers. Supply chain managers are hesitant to invest amid the uncertainty, further delaying reindustrialization efforts.

Lovely predicted tariffs might be implemented gradually in mid-2025, targeting goods like electronics. Trade partners such as Mexico and Canada will also face scrutiny under renegotiated agreements like the United States-Mexico-Canada Agreement (USMCA). Meanwhile, U.S. exporters may suffer from retaliatory measures, jeopardizing their global standing and employment in manufacturing sectors.

Slow Recovery Expected for Freight Market Amid Economic Adjustments

Bob Costello , the American Trucking Associations’ chief economist, predicts gradual improvement in the freight market as equipment supply and demand rebalance. At the ATA Management Conference, he highlighted manufacturing’s weak performance and private fleets’ impact on for-hire trucking recovery.

He also mentioned the industry’s battle with high interest rates and shifts in consumer behavior toward services. While the broader economy shows resilience, the freight sector faces hurdles like collapsed spot rates and competition from private fleets. Costello sees interest rate adjustments as a positive influence, though stagflation, excess capacity, and rising costs remain hurdles.

Costello expects moderate recovery but warns of persistent challenges due to rising operational costs and structural shifts in freight demand.

Navigating Volatility in the Trucking Market with Entourage Freight Solutions

Trucking rates have reached historic lows, presenting shippers with an opportunity to secure competitive pricing in both contract and spot markets. However, these low rates signal market instability, with carriers striving to recoup costs and remain operational.

LTL (Less-than-Truckload) Solutions: Gain on-demand access to capacity and real-time updates, providing confidence and efficiency in high-stakes logistics.
Freight Management: Streamline your inbound and outbound logistics with tools that monitor market capacity, deliver automated notifications, and keep your team informed and organized.
Refrigerated Transport: Safely transport goods, from raw materials to finished products, with temperature-controlled expertise to ensure timely delivery and optimal quality.

Carriers Look to Leverage Changing Tides in Trucking Freight Market

Thu, 14 Nov 2024 19:20:11 GMT

Following Donald Trump’s election as president, the freight market has been awash with higher-than-expected demand amid fears that he will spark a tariff war that will slow imports and expose supply chains to disruptions. However, for carriers, the spike in demand has not translated to higher rates because of excess capacity.

In other news, logistics services providers like Averitt Express are poised to take advantage of the nearshoring and reshoring wave. Averitt has expanded its logistics footprint in San Antonio with a warehousing facility in the Texas city to position itself to provide better cross-border logistics operations for businesses moving freight between the U.S. and Mexico.

Continue reading to find out more insights and news taking the freight world by storm this month.

Tariff Uncertainty and Import Surge Drive Demand Shifts

A surge in imports has the domestic freight market bustling with concern and excitement. The industry is experiencing stronger-than-anticipated demand, driven largely by shippers front-loading goods in anticipation of possible tariffs under President-elect Trump’s trade policies. However, for some carriers, the overcapacity that has plagued the industry for so long continues to play a major role in keeping freight rates low.

For these carriers, this means that despite the overall excitement of demand, excess capacity — remnants from earlier economic highs — continues to weigh down rates and dampen industry sentiment. The demand imbalance is compounded by a slowdown in consumer spending and inflation pressures, which began in 2020 and were further strained by the 2022 Russia-Ukraine conflict.

Trump’s proposed tariffs could expedite a shift to “reshoring” in U.S. manufacturing, which is already underway as companies look to reduce dependency on foreign suppliers. In the long term, this trend may boost domestic freight demand. However, should tariffs trigger inflation, further Fed rate hikes could constrain consumer spending and manufacturing output, posing risks to the trucking sector.

Averitt Expands San Antonio Facility to Meet Growing Demand

Averitt Express has expanded its San Antonio facility with a new 85,000-square-foot distribution and fulfillment warehouse along the I-35 corridor. The recent expansion comes in response to a growing demand for cross-border logistics. Situated between major hubs in Laredo and Austin, Texas, the facility includes an expanded cross-dock terminal and a new fueling station that will be ready by next year.

Ed Habe, Averitt’s vice president of Mexico sales, noted that nearshoring is increasing the need for logistics and warehousing services in Texas, especially in regions close to the Mexican border. The San Antonio location, originally established in 2001, is part of a broader Texas-based infrastructure strategy to support U.S.-Mexico trade.

Following recent growth and expansion , the company now operates more than 800,000 square feet of warehousing in Texas, with major locations across key cities, including Laredo, Dallas, and Houston. However, the expansion is not unique to just Averitt Express. It aligns with a growing industry trend that has also seen companies such as Kuehne+Nagel and Uber Freight improve their capacity in Texas to serve increased cross-border and nearshoring needs.

California Aims to Protect Zero-Emission Vehicle Mandate

Following Trump’s victory in the presidential election, there is a general sense in California that his triumph will impede the state’s zero-emission mandate. To mitigate that risk, Gov. Gavin Newsom announced plans for a special legislative session to protect the state’s environmental regulations, including its ambitious zero-emission vehicle (ZEV) mandate.

California’s zero-emission mandate requires all new vehicles sold by 2035 to be electric, hydrogen-powered, or plug-in hybrids. Newsom framed this move as part of California’s commitment to resist federal interference and safeguard environmental standards amid anticipated regulatory rollbacks. State Attorney General Rob Bonta confirmed that California has been preparing for potential legal challenges, with more than 120 lawsuits reviewed from Trump’s previous term as president.

California Republican lawmakers criticized the session as a political maneuver, while Newsom emphasized the state’s dedication to defending its environmental and economic autonomy.

Hydrogen Fuel Cell Trucks Face Adoption Hurdles

Although often lauded as a primary option for zero-emission long haul trucks, the development of hydrogen fuel cell electric vehicles (FCEVs) is progressing slowly, impacting demand and planned carrier shifts. The shift to hydrogen-powered trucks demands complex new designs and extensive infrastructure changes, which industry disruptors like Nikola and Hyzon are leading.

Nikola recently achieved record sales in the hydrogen truck market, with prominent companies such as J.B. Hunt and DHL adopting its trucks. However, infrastructure concerns and high hydrogen costs continue to deter wider adoption, with the hydrogen price still far from a viable range for cost-effective operations.

Established truck makers like Daimler and Volvo Trucks are cautious. Many manufacturers plan to kick-start production of hydrogen trucks later in the decade, while others remain focused on battery-electric technology as a more immediate alternative. As challenges persist, industry experts predict hydrogen FCEVs may serve niche applications rather than dominate the long-haul freight sector in the near future.

Canadian Government Orders End to Port Labor Lockout

The British Columbia Maritime Employers Association (BCMEA) locked out more than 700 International Longshore and Warehouse Union (ILWU) Local 514 members on Nov. 4, following a union-led walkout at major ports. Following this, major ports, including Vancouver and Prince Rupert , experienced significant disruptions in operations, including those in the container, automotive, and breakbulk sectors.

However, the Canadian government has stepped in , imposing final and binding arbitration for labor disputes that have stopped work and ordered an end to the disputes. Labor Minister Steven MacKinnon highlighted the situation’s urgency, noting that negotiations had stalled and dockworkers were locked out in Vancouver, Prince Rupert, and Montreal. He stated that the shutdowns threatened Canadian jobs, economic stability, and Canada’s reputation as a reliable trading partner, with CA$1.3 billion in goods impacted daily.

Covenant Logistics to Gradually Raise Rates Amid Shifting Business Model

Following a shift in the business model, Covenant Logistics Group has implemented multiple rate increases and expects additional hikes next year. CEO David Parker has indicated that the company will aim for a 2-3% rate rise during the current bid season, followed by another 2-3% increase in the latter half of 2025. Despite potential customer pushback on rate hikes, Parker remains confident in Covenant’s customer relationships and the potential to negotiate incremental increases.

The company’s shift toward a model that prioritizes dedicated contracts over spot market exposure has provided more stability for its customers. However, there is a trade-off that limits the company’s flexibility to capture rising rates as market demand cycles upward. CFO Tripp Grant noted that this operational shift, initiated two years ago, has improved Covenant’s profitability and resilience against market volatility , aligning it with industry peers like Schneider National and Werner Enterprises, increasing their share of dedicated business.

Trucking Spot Rate Trends Reflect Seasonal Shifts and Market Stability After Pandemic Boom

Spot rates have been relatively stable in recent months, with fluctuations due to seasonal demand and external factors like hurricanes and labor disputes. Despite this, rates remain well below pandemic-era highs, reflecting a new period of market stability. Flatbed rates have also remained relatively steady at $1.97, but there may be regional variations due to factors like construction activity and commodity shipments.

Data from DAT Freight & Analytics reveals that recent rate increases were modest, with dry van holding steady at $1.65 and reefer edging up for holiday demand to $2.02 as of early November. DAT analysts said that spot market cycles appear to be returning to pre-pandemic patterns, with subtle rate changes influenced by holiday surges, regional disruptions from hurricanes, and a stable volume of load posts across transportation types.

The industry is cautiously optimistic about the future, with some analysts predicting a potential uptick in rates as the economy recovers and demand for transportation services increases.

Navigating the Freight Market with Entourage Freight Solutions

Entourage Freight Solutions offers a broad range of unsurpassed services and end-to-end distribution programs. These include:

Full Truckload (FTL) for shipments requiring a dedicated whole truckload.
Less-than-truckload (LTL) for companies moving multiple shipments to different locations or consolidating goods from other companies to get a lower all-in rate.
Refrigerated Trucking or “Reefer” Transportation to avoid spoilage and damage to temperature-sensitive goods.
Cross-Docking at locations in Shelby, Ohio, Cedar Rapids, Iowa, and Romulus, Michigan, for strategic consolidation, storage, and end-to-end distribution programs.

Request a quote today to see how Entourage Freight Solutions can help with your freight movement and other supply chain needs.

Modest Recovery for Trucking Spot Rates As Nearshoring Benefits Mexico

Wed, 30 Oct 2024 14:05:07 GMT

Trucking spot rates have stagnated over the last couple of years since the pandemic but began fluctuating in 2024. Most of these were spurred by increasing seasonal demands and the double hurricanes that wrecked parts of the country, including North Carolina, Georgia, and Florida. October has seen the most spike in a long time, but even at that, the rates are still below pre-pandemic levels .

Supply chains across North America are changing their mode of operations as more of them favor a localized process that would avoid the rigors of geopolitical crises and trading wars. Meanwhile, Douglas Horn, a dismissed truck driver, took on the U.S. Supreme Court in a case that could expand civil RICO to false advertising cases.

This edition of our newsletter is packed with intriguing news and trends shaping the freight market.

Trucking Spot Rates See Modest Recovery Amid Mixed Market Trends

According to data from DAT Freight & Analytics, 2024 has seen fluctuating trucking spot rates in the U.S. At its peak, the COVID-19 pandemic caused a surge in demand and spot rates. However, the industry has experienced two years of weaker conditions since then. The national spot rates for dry van, reefer, and flatbed equipment types have seen minimal changes.

This situation might be improving, thanks to disruptions from a strong hurricane season that increased demand in October 2024, signaling an end to the prolonged market contraction. However, rates remain well below the pandemic highs. Despite the surge in spot rates, regional variations were noted, particularly in the Southeast, where hurricanes impacted transportation modes.

Nonetheless, the overall market is still in recovery , with moderate gains and slight upward movement in rates as the industry stabilizes.

Nearshoring Trends Reshape US Supply Chains with Mexico as Key Beneficiary

Recent crises, such as the COVID-19 pandemic and the Panama Canal drought, have driven the shift from globalized sourcing towards more localized, resilient supply chains. A KPMG survey of 250 U.S.-based executives from large companies revealed that major U.S. supply chains are shifting towards nearshoring, focusing mainly on North and South America.

Supply chains in these regions are expected to increase from 59% to 69% over the next two years. As far as countries go, Mexico is taking the lead, increasing from 27% to 36% and replacing Canada as the second-most favored nearshoring destination. While the U.S. share of these operations is projected to drop to 44%, Mexico is expected to rise as a prominent location, increasing from 27% to 36%, replacing Canada as the second-most favored nearshoring destination.

The Mexican preference is attributed to its low labor costs and strategic positioning under the U.S.-Mexico-Canada Agreement (USMCA), making it a key player in replacing China as the largest U.S. import market.

Supreme Court Hears Case on Truck Driver's Firing Over CBD Use and RICO Law Implications

Arguments in the case of Douglas Horn, a truck driver dismissed after failing a marijuana test despite only using a CBD product, were recently heard in the U.S. Supreme Court. According to Horn, the product, Dixie X, was falsely marketed as THC-free, which was wrong and led to his dismissal.

The central legal question is whether Horn's firing qualifies for damages under the Racketeer Influenced and Corrupt Organizations Act (RICO). Horn's legal team claims that the CBD maker's misrepresentation harmed his economic status by causing job loss. If that argument is successful, Horn could receive triple damages under RICO .

However, before that, the Supreme Court must decide whether Horn's job termination and subsequent economic loss constitute "injury" or "damages." The distinction is critical to RICO's applicability. The case is already a bit skewed as Justice Kavanaugh expresses concerns about expanding civil RICO to false advertising cases, potentially setting a broad precedent for future litigation.

GM Invests $625 Million in Nevada Lithium Mine to Secure EV Supply Chain

General Motors (GM) has announced a joint venture with Lithium Americas that will see the former invest $625 million in the Thacker Pass lithium mine in Nevada. The deal replaces the previous agreement and increases GM's total investment in the project to $945 million.

GM expects to leverage this venture to secure domestic lithium supplies crucial for electric vehicle (EV) batteries, aiming to comply with the Inflation Reduction Act and qualify for EV tax credits. The company will receive up to 100% of the lithium produced in the mine's initial phase for up to 20 years. Construction is already underway, and the project is expected to begin production in late 2027.

Volvo Group Faces Profit Decline Amid Lower Truck Demand and Supply Chain Challenges

Decreasing demand for trucks in Europe and America is still impacting truck manufacturers and their balance sheets. The most recent victim is the Volvo Group, which reported a 28.5% drop in Q3 2024 profits, with earnings falling to $956.6 million. Revenue fell 12% to $11.1 billion, while the company's operating margin declined from 13.8% to 12%.

Trucking orders from North America dropped by 50% . For the Volvo Group, that meant a 39% decrease for Volvo Trucks and a 56% drop for Mack Trucks. In addition to declining demand, supply chain delays have further constrained their ability to deliver on time. In response, Volvo has acquired a North Carolina plant to address issues with Mack cab production.

Despite these challenges, Volvo is optimistic about future improvements, especially with Mack Trucks.

Flexibility and Networking Help Small Carriers Weather Freight Market Challenges

Moscoso Express has thrived in a market riddled by nearly two years of stagnancy, which has caused some carriers to exit the industry. The company has remained successful in the now-dreaded market by leveraging technology, staying flexible, and expanding its client base.

Company president Elizabeth Moscoso shared insights on managing business expenses, utilizing technology to find loads, and focusing on short-term, high-demand jobs, like conference logistics, during the Inland Distribution Conference in Chicago. It has also helped them reduce operational expenses .

Networking with other carriers and developing a diverse client base has also paid off and is a key aspect of their resilience. Similarly, Damien Hutchins of CloudTrucks emphasized the importance of building relationships with shippers and expanding from niche services to broader opportunities.

Biden Administration Pledges $2B for Power Grid Resilience Against Extreme Weather

The Biden administration is investing nearly $2 billion to bolster the U.S. power grid against extreme weather and support transmission projects. The funding, distributed by the Department of Energy, will go to 32 projects across 42 states.

This initiative aims to enhance grid resilience, including in areas damaged by hurricanes Helene and Milton. It involves constructing over 300 miles of new transmission lines and upgrading more than 650 miles of existing ones.

The effort comes in response to the growing challenges posed by severe weather on the nation's aging electric infrastructure, as highlighted by Energy Secretary Jennifer Granholm.

Seamless Shipping Solutions With Entourage Freight Solutions

Our platforms use the latest cloud-based, GPS-enabled technologies. They can track drivers regardless of location, continuously reroute shipments based on the dynamics at play, such as weather or traffic, and account for real-time changes in market rates. At EFS, we offer a broad range of unsurpassed services. These include:

Full Truck Load (FTL) : For shipment requiring a dedicated whole truckload.
Less than truckload (LTL) : For companies moving multiple LTL shipments to different locations or consolidating LTL goods from other companies to get a lower all-in rate.
Refrigerated Trucking or “Reefer” Transportation: Leveraged to avoid spoilage and damage to temperature-sensitive goods.
Cross Docking : With locations in Shelby, Ohio, Cedar Rapids, Iowa, and Romulus, Michigan, that serve as cross-docks for strategic consolidation, storage, and end-to-end distribution programs.

Request a quote today to see how Entourage Freight Solutions can help with your freight movement and other supply chain needs.

ILA Strike Short Lived as Port Leaders Promise Smooth Operations

Thu, 10 Oct 2024 13:04:54 GMT

Oct. 1, 2024, marked history as the ILA commenced its first labor strike in over half a century. However, with consistent pressure from the Biden administration and other industry leaders, the ILA and USMX reached a consensus on a tentative agreement to return to operations until Jan. 15, 2024.

This edition of our newsletter covers all the highlights from the ILA strike, the agreement, and how the industry reacted to the brief strike.

East and Gulf Coast Ports Reopen as Tentative ILA Contract Reached

The dockworkers' strike, the first of its kind since 1977, ended abruptly as the International Longshoremen's Association (ILA) and the United States Maritime Alliance (USMX) reached a tentative agreement on the evening of Thursday, Oct. 3. Although the strike lasted only three days, it halted vital shipping operations at 36 ports along the East and Gulf Coasts. It also negatively impacted container and roll-on/roll-off (ro-ro) handling.

The new agreement includes a 61% wage increase, equating to $4 per hour over six years, but it will extend the master contract until January 2025. Following the strike, it was clear that the implications of an extended strike could have devastating effects on the economy, ensuring a tentative deal was swiftly agreed to.

The tentative agreement demands ratification from the union members, but fears of extended port closures and supply chain disruptions have eased so far. Key business groups welcomed the news, highlighting the importance of avoiding future disruptions to the U.S. economy.

East and Gulf Coast Port Leaders Promise Smooth Operations Post-Strike

Following the three-day strike and the tentative agreement reached by the ILA and USMX, ports along the East and Gulf coasts prepare for a quick recovery. Fortunately, the strike was not long enough to severely complicate shipping operations, which could have taken months to untangle. For instance, the ripple effects of the pandemic hurt supply chain operations for a couple of years beyond the actual logistics bottlenecks.

With the agreement, both parties will continue with the current contract terms until Jan. 15, 2025, allowing the ports to address a backlog that entails over 60 ships. It helped that many shippers managed to divert goods to other ports, especially to the ports of LA and Long Beach.

Port leaders across the East and Gulf Coast ports anticipate a return to normal operations within days, thanks to spare capacity and efforts to manage delayed vessels. However, despite the temporary peace, unresolved automation concerns may cause future disruptions.

ILA Continues Fight Against Automation Amid Post-Strike Port Delays

Despite the tentative agreement reached on Oct. 3, including a substantial 61.5% wage increase over six years, the ILA has continued the battle against port automation. The union declined to accept the contract offer immediately to avoid being trapped by the no-strike clause, which could impact their ability to address other job security concerns, particularly that of automation.

Automation’s impact on jobs remains a threat for the union and a major sticking point, as it seeks to protect positions like crane operation and equipment servicing from being outsourced or automated. Following the three-day strike, ports along the East and Gulf Coast saw significant congestion as major shipping lines like CMA CGM, MSC, Hapag-Lloyd, and Maersk had to adjust operations, reroute cargo, and temporarily suspend surcharges to manage the backlog.

Considering how impactful the three-day strike was, the USMX may be more amenable to the ILA terms when negotiations resume before the new Jan. 15 deadline, a period likely to coincide with increased shipping demand ahead of the Chinese New Year.

Industry Praises Tentative Agreement Ending East and Gulf Coast Port Strike

Following the short-lived ILA strike that grounded over 60 ships along the East and Gulf Coast ports, industry leaders have expressed relief and heaped praise on the new deal. The deal includes an extension of the master contract until Jan. 15, 2025, allowing time for further negotiations on unresolved issues. The strike led to operational adjustments by ports and carriers, with some shippers moving cargo early and frontloading inventories for the peak season.

Now that ports are reopening, industry stakeholders expressed relief. President Biden, Acting Labor Secretary Julie Su, and Transportation Secretary Pete Buttigieg praised the agreement , emphasizing the importance of collective bargaining and the resumption of vital supply chains, particularly for regions impacted by Hurricane Helene.

Industry Leaders Expect Truckload Rate Hikes in 2025 After Prolonged Decline

Industry executives' predictions for the US truckload industry at the Journal of Commerce Inland Distribution Conference (Inland24) skewed towards a slow recovery, with mid-single-digit percentage rate increases expected in 2025. This prediction comes even as the spot truckload market continues to see minimal rate improvements, which have been flat since mid-2023 due to excess capacity. Kendra Walker, CEO of Truckstop.com, noted resilience among small truckers, keeping spot rates low.

Executives like Adam Miller of Knight-Swift Transportation and Jim Filter of Schneider National expect a gradual shift toward market equilibrium, with contract rate increases expected to start in early 2025. Some experts believe that Hurricane Helene’s impact and the recent East and Gulf Coast dockworker strike could further accelerate this trend.

North American truckload carriers , which saw revenue drop in 2023, are expected to see revenues rise by 7.2% in 2025. Less-than-truckload (LTL) carriers, which benefit from reduced capacity after Yellow’s bankruptcy, are forecasted to perform even better.

Cargo Theft Expected to Surge During Peak Shipping Season

After a recording-breaking year of breaches in various logistics and supply chain security, industry experts and leaders are sounding the alarm on a potentially significant rise in cargo theft during this peak season. Overhaul has reported increased cargo thefts from August, with more escalation expected throughout the fourth quarter.

Danny Ramon of Overhaul attributes this to reduced security measures as companies rush to move goods. He predicts that if the current status quo is not changed, it could lead to a record number of strategic thefts by the year's end. Keith Lewis from CargoNet noted a recent surge, with a spike in weekly thefts, which could bring the annual total close to 4,000 incidents.

According to him, the spike is linked to a rise in holiday shipping, particularly targeting high-value items like electronics. Scott Cornell from Travelers added that cargo thefts have become more strategic and international over the past few years, with organized criminal operations growing in complexity.

Cargo theft in 2024 is already projected to exceed last year's record-breaking levels, with a 1,500% increase in strategic thefts since 2021.

US Warehouse Construction Declines Sharply as Vacancy Rates Rise

The US warehousing sector is experiencing a significant contraction following its pandemic-era expansion. In the third quarter of 2024, industrial real estate construction fell by 43%, marking the steepest drop since 2008, with only 309 million square feet under development, according to Cushman & Wakefield. This decline comes as developers slow their expansion due to rising borrowing costs and companies delaying leasing decisions.

The sector's vacancy rate surged to 6.4%, up from 4.6% the previous year, the highest level since 2014. Warehouse operators also cut 11,000 jobs in September, with employment in storage and distribution falling by 171,600 jobs since its peak in 2022. As consumer demand for goods has waned and inflation has risen, the logistics sector is recalibrating after the pandemic-driven boom in e-commerce.

Developers are increasingly shifting focus toward data centers to meet the growing demand for artificial intelligence infrastructure. However, industry experts, including Cushman's Jason Price, predict that the reduced warehouse construction could lead to capacity shortages if demand rebounds, signaling a potential market shift in 2025.

Navigating The Freight Market With Entourage Freight Solutions

Our platforms use the latest cloud-based, GPS-enabled technologies. They can track drivers regardless of location, continuously reroute shipments based on the dynamics at play, such as weather or traffic, and account for real-time changes in market rates. At EFS, we offer a broad range of unsurpassed services. These include:

Full Truck Load (FTL) : For shipment requiring a dedicated whole truckload.
Less than truckload (LTL) : For companies moving multiple LTL shipments to different locations or consolidating LTL goods from other companies to get a lower all-in rate.
Refrigerated Trucking or “Reefer” Transportation: Leveraged to avoid spoilage and damage to temperature-sensitive goods.
Cross Docking : With locations in Shelby, Ohio, Cedar Rapids, Iowa, and Romulus, Michigan, that serve as cross-docks for strategic consolidation, storage, and end-to-end distribution programs.

Request a quote today to see how Entourage Freight Solutions can help with your freight movement and other supply chain needs.

Looming Strike at East and Gulf Coasts Ports Amid Falling Fuel Prices

Thu, 26 Sep 2024 12:35:21 GMT

At this point, the impending International Longshoremen’s Association (ILA) strike , which will impact container port operations from Boston to Houston, is likely inevitable. With major consequences bound to shake up the economy and supply chains across various industries, it is unclear how stakeholders can avoid it.

Diesel prices continue to decline amid bearish markets driven by factors like Libya's reduced oil exports and notable short positions across the market. Futures, on the other hand, have rebounded slightly, prompting a major bank to revise its downward forecast. Explore all this, and much more, in this edition of the newsletter.

Strike Threat at East and Gulf Coast Ports Sparks Concern

The impending contract expiration between the International Longshoremen’s Association (ILA) and the United States Maritime Alliance is poised to shake up the shipping world. The current agreement, which covers container ports from Maine to Texas, will end on Sep. 30. Still, with no formal contract negotiations held for months, the threat of a major disruption looms as the deadline approaches.

The union rhetoric continues to intensify, with the ILA preparing for a strike beyond just a "potential" at this point. In anticipation of disruptions, retailers have frontloaded shipments and continue to shift cargo to the West Coast ports. However, that may not be enough to avoid disruptions and their ripple effects across various supply chains . They could hurt imports and exports and lead to backlogs.

The obvious victims are delayed holiday shipments, partial or complete halting of manufacturing supply chains, and agricultural exports. Experts are warning that such a strike could have significant economic repercussions, similar to the 2002 West Coast port lockout, which cost the U.S. economy $1 billion per day.

Bearish Market Sees Diesel Prices Decline for 10th Straight Week

Diesel prices are still searching for a bottom as the average weekly retail diesel price dropped for the tenth consecutive week. Today, the average retail price sits at $3.526 per gallon, down by 33.9 cents over that period. The current benchmark price is about $1.10 lower than a year ago.

The recent decline in retail prices mirrors the drop in ultra-low sulfur diesel (ULSD) futures, which hit a low of $2.058 per gallon on September 10. However, since then, ULSD prices have slightly rebounded, closing at $2.0958 on Monday. Despite this, the market remains largely bearish, driven by factors like Libya's reduced oil exports and a notable increase in short positions in the Brent crude market .

UBS has also revised its oil price forecasts downward, projecting $75 per barrel for Brent crude in Q4, down from a previous estimate of $83.

Retailers and Manufacturers Continue to Brace for Potential Disruption

Retailers and manufacturers brace for the potential impact of the multibillion-dollar disruption of their supply chains and the economy if the ILA goes on strike starting October 1. The looming strike will primarily affect major East Coast and Gulf Coast ports. Still, considering that many businesses are already redirecting shipments to the West Coast, it could lead to massive congestion at these ports.

The current contract between the ILA and the United States Maritime Alliance, which covers 25,000 workers and also represents port management, expires on September 30. Businesses and supply chains have spent months preparing for this, with many frontloading shipments or shifting imports to the West Coast to avoid disruptions during the peak holiday season. However, it is increasingly clear that this only slightly solves the problem.

A strike would impact billions of dollars worth of imports and export s, and stakeholders are currently panicking. Retailers fear delays in holiday shipments, manufacturers worry about supply chain breakdowns, and farmers could lose access to overseas markets.

The National Retail Federation (NRF) and the National Association of Manufacturers (NAM) have warned that a prolonged strike could raise costs, disrupt supply chains, and result in job losses.

Freight Market Remains in Trough as Expenditures Decline in August

Data from August 2024 Cass Information Systems shows the U.S. freight market is still experiencing a trough. Shipments declined 1.9% year-over-year (y/y), following a 1.1% y/y decline in July. However, the drop was smaller than expected.

On the other hand, seasonally adjusted shipments improved by 1% from July, marking a second consecutive monthly increase, though they remain 12.3% below 2022 levels. Freight expenditures dropped 9% year over year and 1.3% from July, reflecting the overall decline in freight spending, with "inferred freight rates" down 7% year over year.

The Cass Truckload Linehaul Index, which tracks core linehaul rates excluding fuel surcharges, also showed a 3.3% y/y decline. Market overcapacity has kept bids competitive, resulting in stagnant contract freight rates despite a slight increase in spot rates. According to industry leaders and experts, the industry continues to recover slowly from a prolonged recession , with no significant market inflection yet.

Industry Unites to Electrify Interstate 10 Trucking Corridor For Zero-Emission Freight

A coalition of industry giants, including Microsoft, PepsiCo, Maersk, DB Schenker, and AIT Worldwide, is spearheading an initiative to electrify the Interstate 10 trucking corridor, which runs from Los Angeles to El Paso, Texas. The effort focuses on developing charging infrastructure for long-haul battery-electric trucks along this key trade route, which connects the nation’s busiest ports to the second-largest border crossing.

The project, part of the U.S. government's National Zero-Emission Freight Corridor Strategy, is supported by TeraWatt Infrastructure, which will provide charging solutions at six hubs along I-10. PepsiCo and Maersk, with their massive fleets and ambitious sustainability goals, are leading the charge, along with DB Schenker, which was recently acquired by DSV.

The initiative reflects a broader effort to build a sustainable logistics framework and accelerate truck electrification, contributing to significant carbon reduction. The I-10 pilot project is set to create a blueprint for scaling fleet electrification across the country.

Alabama Jury Awards $160 Million in Truck Rollover Case Against Daimler

In a nuclear verdict that shocked the freight world, an Alabama jury awarded $160 million in damages to Leonard Wiley Streets, who became a quadriplegic after a 2022 rollover accident involving a Western Star truck manufactured by Daimler Truck North America. The accident occurred when another vehicle veered into Streets' lane, causing his truck to overturn.

The jury in the case awarded Streets $75 million in compensatory damages and $75 million in punitive damages, while his wife received $10 million for loss of consortium. The case centered on allegations that design flaws in the truck's roof structure and suspension seat contributed to Streets' severe injury, though Daimler disputed the claims and plans to appeal.

Despite the shock of the verdict, it is just the second major product liability verdict against truck manufacturers in recent weeks, following a $462 million verdict in St. Louis against Wabash National Corp.

Biden Administration Proposes De Minimis Reform to Curb Abuse

The de minimis exemption allows imports below $800 to avoid duties and taxes, but pressure has been mounting on the Biden-Harris administration to reform or eliminate it. The administration has pushed new proposals that would eliminate de minimis eligibility for shipments covered by Section 301, 201, and 232 tariffs to prevent foreign businesses, particularly from China, from exploiting the exemption.

Key changes include enhanced information collection, requiring importers to file tariff classification numbers and certificates of compliance electronically with U.S. Customs. The administration also called for Congressional action to pass additional de minimis reforms, focusing on protecting U.S. workers and industries, particularly the textile and apparel sectors.

Finally, It is important to note that multiple legislative proposals related to de minimis reform have been introduced but have not yet been passed.

Navigating The Freight Market With Entourage Freight Solutions

Our platforms use the latest cloud-based, GPS-enabled technologies. They can track drivers regardless of location, continuously reroute shipments based on the dynamics at play, such as weather or traffic, and account for real-time changes in market rates. At EFS, we offer a broad range of unsurpassed services. These include:

Full Truck Load (FTL) : For shipment requiring a dedicated whole truckload.
Less than truckload (LTL) : For companies moving multiple LTL shipments to different locations or consolidating LTL goods from other companies to get a lower all-in rate.
Refrigerated Trucking or “Reefer” Transportation: Leveraged to avoid spoilage and damage to temperature-sensitive goods.
Cross Docking : With locations in Shelby, Ohio, Cedar Rapids, Iowa, and Romulus, Michigan, that serve as cross-docks for strategic consolidation, storage, and end-to-end distribution programs.

Request a quote today to see how Entourage Freight Solutions can help with your freight movement and other supply chain needs.

Trucking’s Balancing Act: Surging Used Truck Sales, Rising Driver Pay & Regulatory Roadblocks

Fri, 13 Sep 2024 13:19:47 GMT

Used Class 8 truck sales are increasing, with July seeing a nearly 17% year-over-year increase to 22,800 units. The increased sales are spearheaded by younger truck models, even as credit conditions impact demand for older truck models. Although prices are below last year's levels, there was a slight uptick from June.

Saia continues seeing sizeable volume growth one year after Yellow Corp’s demise. This happens amid the industry's prolonged struggle to exit the freight recession . Although year-over-year growth rates have slowed, current freight rates are still notable by historical measures — all this, and much more, in this edition of the newsletter.

Used Class 8 Truck Sales Surge in July, Showing Signs of Market Stabilization

In July 2024, used Class 8 truck sales saw a substantial year-over-year increase of nearly 17%, reaching 22,800 units. However, prices are nowhere near last year's levels, tallying 14% lower, according to ACT Research. This spike in sales is due to a turnaround in June that has continued into July, hinting the market might be making a comeback that’s long due.

Prices for trucks six years or under have appreciated, while those more than six years old have depreciated. Experts believe there are several reasons, the chief of which are tightening credit conditions and insurance.

July was a strong month for some industry players. Businesses like Mission Financial Services reported 30% growth in financing, although momentum slowed in August. Ritchie Bros. also reported solid transportation equipment sales, though it remains a buyer's market compared to the high demand in 2021-2022.

Upcoming regulations, like the Advanced Clean Truck and Low NOx rules, are already prompting pre-buys, adding complexity to the used truck market's future outlook . Experts are optimistic but cautious about market trends as inflation and future emission regulations create uncertainty.

Saia Continues to Grow Amid Tough Comparisons and Freight Recession Challenges

A year after Yellow Corp's exit from the market, the less-than-truckload industry leader is still going strong and seeing volume growth. The first two months of Q3 in 2024 saw Saia's tonnage per day increase by 6.6% year over year, which was driven by an 8.5% rise in shipments, although shipment weights fell by 1.8%. August outpaced July's 5% rise, ending up with an 8.2% year-over-year increase in tonnage.

The LTL carrier has also expanded its network by acquiring 28 of Yellow's terminals for $236 million, reopening several locations, and planning to launch 18-21 new service centers in 2024.

Although the freight mix has shifted toward lighter, lower-margin retail shipments, its yield (revenue per hundredweight), excluding fuel surcharges, rose nearly 9% in Q2. However, the LTL carrier expects margin pressure in Q3 due to cost challenges from its new terminals.

California Small Businesses and Local Governments Oppose New Warehouse Regulations in AB98

The trucking industry continues to grapple with regulations impacting almost all aspects of the operation. The California small business sector, supported by the local government, is pushing back on Assembly Bill 98 (AB98), which proposes new state-level regulations for warehouse siting and expansion.

It is currently awaiting Gov. Gavin Newsom's decision. If passed into law, it will require cities and counties to create trucking routes and impose restrictions on new warehouse developments, including truck route plans and environmental standards. However, current or existing warehouses are exempt and will only be impacted if they seek expansion.

Business groups claim the bill could impact supply chain jobs and the economy, especially in the Inland Empire, where many large warehouses are located. On the other hand, local governments are backing the opposition through the small business sector because it undermines their authority in land-use decisions.

The AB98, which was passed rapidly, caught the opponents off guard . While it includes some accommodations for local concerns, many groups believe further amendments would be necessary if the bill is signed into law.

Trucking Industry Boosts Driver Pay Despite 2023 Freight Recession

According to the American Trucking Associations (ATA), the trucking industry continued to increase driver pay despite a freight recession in 2023. The ATA's Driver Compensation Study revealed that truckload drivers earned a median annual income of $76,420, a 10% increase from 2021.

This pay rise reflects the industry's strong demand for qualified drivers despite the sector's current downturn. The study also noted a shift from recruitment-focused incentives, such as sign-up bonuses, to retention efforts, with more carriers offering tenure bonuses.

While less-than-truckload (LTL) drivers also saw pay increases, their growth rate slowed compared to previous years.

ATA Chief Economist Bob Costello expressed cautious optimism about the freight market's recovery, with some signs that the market may have hit bottom. However, expectations remain tempered for any significant growth in the near term.

LTL Carriers See Volume Decline in August, But Yields Remain Strong

Less-than-truckload (LTL) carriers XPO and Old Dominion reported lower shipment volumes in August than the previous year. However, the companies maintained positive yield results. For XPO, the company cited a "soft" August but remains confident in its margin expansion outlook due to favorable yield trends.

Old Dominion attributed its decline to a sluggish economy and lower fuel surcharges. LTL carrier Saia defied the odds and reported a year-over-year increase in tonnage for August, although it's experiencing a shift in freight mix toward lower-margin categories.

Overall, while LTL volumes are down, yields remain strong, signaling potential stability in the market.

Manufacturing Slumps Further in August as Production and New Orders Fall

According to the Institute for Supply Management (ISM), the manufacturing sector's struggles continued in August, with production levels dropping to their lowest since May 2020. The ISM's Purchasing Managers' Index (PMI) slightly rose to 47.2% but remained below the 50% threshold, indicating the industry's continued contraction.

Production dropped to new lows, reaching 44.8%, the lowest in over three years. New orders also saw significant declines, and the backlog of orders has diminished, leading to reduced staffing levels and ongoing layoffs.

The S&P Global PMI also shows a decline, falling to 47.9 and marking the first decrease in production in seven months. Due to the gloomy outlook of falling demand, unsold stock, and reduced new orders, manufacturers hesitate to commit to new projects.

Both reports reflect deepening challenges for the sector , worsened by elevated inventories and reduced sales.

U.S. West Coast Ports Join Federal Data Initiative to Enhance Supply Chain Visibility

After the Port of Oakland and Northwest Seaport Alliance (Seattle and Tacoma) joined the effort, all major U.S. West Coast container ports are now a part of the FLOW initiative . The ports, along with the Port of Los Angeles and Port of Long Beach, which had enrolled prior, handle about 95% of West Coast inbound container volume.

The Freight Logistics Optimization Works (FLOW), led by the Department of Transportation, aims to enhance data-sharing among over 170 shippers, carriers, and supply chain stakeholders to improve freight visibility and reduce port congestion.

Although companies like Home Depot and C.H. Robinson have benefited from the initiative, it's not so much for other participants. They are now calling for more comprehensive data to further streamline decision-making.

Navigating the Freight Market With Entourage Freight Solutions

EFS can achieve a higher service level on all movements by approaching every shipment, whether shelf-stable or not, with the same care and consideration as the regulation-laden food supply chain industry. The company leaves nothing to chance when moving your products, from tracking all legs of transportation and driver activity to maximizing available capacity without sacrificing quality.

Full Truck Load (FTL) : For shipment requiring a dedicated whole truckload.
Less than truckload (LTL) : For companies moving multiple LTL shipments to different locations or consolidating LTL goods from other companies to get a lower all-in rate.
Refrigerated Trucking : Leveraged to avoid spoilage and damage to temperature-sensitive goods.
Cross Docking : With locations in Shelby, Ohio, Cedar Rapids, Iowa, and Romulus, Michigan, that serve as cross-docks for strategic consolidation, storage, and end-to-end distribution programs.

Request a quote today to see how Entourage Freight Solutions can help with your freight movement and other supply chain needs.

Trucking Market Continues to Rebound, Even as Insurance Costs Rise

Thu, 29 Aug 2024 12:34:28 GMT

While Cass Information Systems (CIS) has reported a shipment decline of 1.1% year-on-year in July, there are a couple of good things to note in this weak freight market. One, the decline in July is the lowest in the previous 17 months, and two, despite the decline, there was an increase of 3% from June’s report. These two data points have prompted confidence in a rebounding market .

That said, it is not sunshine and rainbows yet. Operational expenses continue to be a problem for trucking firms, with a significant chunk of that being insurance costs. The high costs of insurance have pushed truckers to search for alternatives, which we will explore further in this edition of our monthly curation of the news and trends shaping the industry.

July Freight Data Shows Smallest Shipment Decline in 17 Months

Cass Information Systems' July freight data reveals a persistent decline in shipments but also highlights a reduction in expenditures. Although shipment volumes remain low, the report notes a 3% increase from June, with only a 1.1% year-over-year decrease. This marks the smallest year-over-year decline in 17 months, even as overall expenditures decrease compared to previous months.

Beyond informing us about the shipment volume and expenditures, the Cass report has also shown that pressure on for-hire trucks is easing as demand for shipping services rises and private fleets reduce capacity.

However, it wasn't all about shipments and expenditures. The truckload line haul index, which reflects the core line haul rates, saw a year-over-year decline, primarily due to overcapacity and competitive bidding.

As Insurance Costs Rise, Trucking Companies are Finding Alternatives

Insurance costs remain a major problem for trucking companies, which have seen a persistent increase due to inflation, labor costs, and larger court settlements. In response, these companies are investing in several strategies to offset the cost.

Here is what that looks like:

Investing in Technology: Many trucking companies are implementing advanced driver assistance systems, telematics, and cameras to enhance safety and potentially reduce insurance costs. Tech solutions track mileage, driver behavior, and other factors, helping optimize insurance costs to carrier performance.
Self-Insurance and Captives: Companies are coming together to explore self-insurance options because it allows them to gain more control over their insurance costs and risks.
Focus on Safety and Compliance: Smaller carriers prioritize safety and compliance to make their operations more attractive to insurers.
Adapting to New Risks: Trucking companies are adapting their insurance strategies to address the rising prevalence of alternative fuel vehicles and the increasing threat of nuclear verdicts by revising coverage needs and implementing specialized driver training.

As insurance costs continue to skyrocket, more trucking businesses and carriers will continue to adapt and find cheaper alternatives.

Freight Recession Continues to Impact the Top 100 Carriers

The prolonged freight recession has forced companies to survive on lower rates and tightly managed operational expenses while waiting for the market to rebound. Most trucks on the Top 100 For-Hire Carriers list reported lower revenue and profits in 2023 due to the reduced rates and increased shipper bargaining power.

The bankruptcy of Yellow Corp, a major LTL carrier ranked 13th last year, ultimately had ripple effects and reshaped the industry's competitive landscape. Despite the downturn, industry consolidation continued with several high-profile acquisitions, such as TFI International's purchase of Daseke and Ryder System's acquisition of Cardinal Logistics.

The updated list of the top 100 carriers for hire included new entries like Manitoulin Group and FirstFleet. The rankings are based on 2023 revenue, primarily from company surveys and financial reports, but companies now need to operate at least 500 commercial vehicles to qualify for the list.

What Would The De Minimis Demise Mean For Shippers?

The de minimis exemption is a U.S. trade law that allows duty and tax-free import of goods valued under $800. However, Chinese e-commerce companies like Temu and Shein have increasingly taken advantage of the ruling, enabling them to offer low-cost products to their customers in the US.

Despite this benefiting consumers in the US, the move has sparked concerns in the government about China's influence on the market, and de minimis could also make room for contrabands to enter the country unabated. The de minimis rule has evolved alongside e-commerce, shifting from a personal-use exemption to a critical business tool. It allows businesses to respond to consumer trends faster and effectively manage lean inventory.

However, increased government concerns could result in stricter customs screening or a lowered threshold, impacting these benefits. Although the government has not taken action yet, experts predict that some changes will be likely, but demand for international goods is also expected to remain strong.

Food and Snack Company Plans $1.2B Supply Chain Upgrade

Mondelēz International invests $1.2 billion in a multi-year project to transform its ERP system and supply chain. The major food and snack company aims to increase the efficiency and throughput of its operations through this move. The project is planned to be completed by 2028 but will involve collaboration with SAP, Accenture, and o9.

This move is similar to that of other food companies like Hershey, which also invests in ERP modernization to streamline operations and reduce costs in response to changing consumer spending habits.

Entourage Freight Solutions: Food-Grade Expertise for All Your Shipping Needs

Our roots run deep in food service logistics, and our expertise and track record speak for themselves. At Entourage Freight Solutions, we've built our reputation on handling perishable and sensitive shipments with the utmost care and precision. This dedication to service and attention to detail extends to every shipment we touch -- perishable or not.

We believe in total transparency. That is why we invest in tech solutions that track every shipment extensively, monitor every driver, and squeeze out every bit of efficiency without sacrificing quality. Our state-of-the-art platform uses cloud-based GPS tracking to keep you informed, reroutes shipments on the fly to avoid delays, and even reacts to real-time market changes to ensure you're getting your shipment on time and in full.

Our Services

Full Truck Load (FTL) : When you need a truck all to yourself.
Less Than Truckload (LTL) : Efficient solutions for multi-stop shipments or combining smaller loads to save on costs.
Refrigerated Trucking : Keeping your temperature-sensitive products fresh and safe.
Cross Docking : Strategically located facilities in Shelby, Cedar Rapids, and Romulus for streamlined consolidation, storage, and distribution.

Carriers Position Themselves to Take Advantage of the Changing Tide in Freight Market

Thu, 15 Aug 2024 12:40:12 GMT

As the trucking market seems to be past its bottom, carrier firms are becoming increasingly optimistic about the second half of the year — cue, the positive signs arising just before the peak season. With peak shipping demand expected to be right around the corner, the increase in demand and rates will possibly result in a profitable second half for carriers.

Carriers are now building capacity to meet challenges from a market experiencing increased demand. However, some of these businesses are still impaired from fighting a long market downturn, with high maintenance costs and long repair wait times leading to carrier exits. Some companies have suffered significant exits of their owner-operators. In this newsletter, we track this change, besides exploring stories highlighting the industry direction and how businesses prepare to take advantage of the evolving status quo.

The Logistics and Transportation Sector Welcomes Relief As Diesel Prices Dip

According to data released by the Energy Information Administration, the national average price of diesel has dipped 1.3 cents to $3.755 per gallon. The dip continues a four-week downward trend, which has resulted in a gallon of diesel costing 48.4 cents less than it did at this time last year.

According to the EIA’s weekly survey, prices dropped in all regions except the Midwest, which saw a slight increase of 0.2 cents. The Central Atlantic region experienced the largest decrease, at 3.7 cents.

Gasoline prices also fell, and the transportation and logistics sectors reacted positively to this news, especially because it provided some much-needed relief amid broader economic conditions. However, they remain sensitive to changes in global energy policies and supply chain factors.

As Demand Picks Up, Covenant Logistics Continues to Raise Rates

Covenant Logistics Group raised rates three times in 45 days after holding still for two years, signaling a pick-up in demand for the industry. The CEO's recent comments expressed optimism. "This is only the beginning," CEO David Parker said on a Q2 earnings call, pointing to increasing demand as the reason behind rising rates.

Parker expressed optimism over further increases, citing a sustained rise in demand since mid-May. However, his address was peppered with caution as well. "We don't have the momentum yet to go full-fledged and say, 'Roll out rate increases all over to every customer,' but we're looking at that," he contended.

Due to these rate hikes, the company's operating income rose 15% in Q2. Other truckload carriers are also hopeful for a freight rebound, with Knight-Swift Transportation Holdings closely watching for signs of a seasonal volume increase towards the end of the year.

Renewable Diesel Gains Attraction in The US Trucking Industry

Renewable diesel has sparked interest across the trucking industry due to perceived gains, such as reduced carbon emissions and lower maintenance costs than petroleum diesel. According to California's Low Carbon Fuel Standard Certified Carbon Intensities , renewable diesel reduces carbon intensity by 65% on average compared with petroleum diesel.

It can also help distributors and fleet users save up to two cents per mile and works well for existing diesel engines because it is a drop-in fuel, meaning that it can used on the engines without modifications.

While HVO is currently a prominent solution, the increased availability of renewable diesel and clean fuel programs enacted by various states is driving its adoption. A combination of solutions, including renewable fuels and electric power , will play a significant role in achieving substantial decarbonization in the trucking industry.

LandStar Loses 14% of Its Owner-Operator Headcount in Q2

As companies such as Covenant Logistics Group get excited about the pick-up in demand, others are struggling to retain their workforce due to the impact of the past downturn on logistics operations. And Landstar is a victim of this challenge.

Landstar's owner-operator headcount dropped 13.9% year over year to 8,385 last quarter due to increased repair costs and longer wait times. The company had hoped its declining headcount would bottom out last year after acknowledging many had been struggling to keep their trucks in service in the fall of 2022.

As the market shifts and demand increases, revenue per mile remains above pre-pandemic levels, which provides some optimism for the future. The number of owner-operators in the market is expected to continue falling but at a pace slower than before. Landstar believes rates will stay higher than before the pandemic because of increased operating costs.

Korber Purchases TMS Provider to Boost Its Supply Chain Solutions

Korber Supply Chain Software is acquiring MercuryGate International Inc., a TMS provider known for its capabilities in multimodal optimization and execution. Korber will leverage MercuryGate's system to strengthen its supply chain software business.

The move is strategic because it allows Korber to expand its capabilities to deliver a comprehensive and scalable supply chain execution portfolio. Following the acquisition, the company will offer solutions connecting inbound and outbound supply chain activities, improving cost efficiencies and customer experiences.

Additionally, Korber aims to establish a resilient supply chain platform with visibility across inventory pools, providing simulation capabilities to evaluate future strategies and understand return on investment. This acquisition responds to the evolving supply chain landscape and aims to address the challenge of balancing resilience and cost-effectiveness amidst disruptions.

Navigating the Freight Market With Entourage Freight Solutions

Our platforms use the latest cloud-based, GPS-enabled technologies. They can track drivers regardless of location, continuously reroute shipments based on the dynamics at play, such as weather or traffic, and account for real-time changes in market rates. At Entourage Freight Solutions, we offer a broad range of unsurpassed services. These include:

Full Truckload (FTL) : For shipment requiring a dedicated whole truckload.
Less than truckload (LTL) : For companies moving multiple LTL shipments to different locations or consolidating LTL goods from other companies to get a lower all-in rate.
Refrigerated Transportation : Leveraged to avoid spoilage and damage to temperature-sensitive goods.
Cross-Docking : With locations in Shelby, Ohio, Cedar Rapids, Iowa, and Romulus, Michigan, that serve as cross-docks for strategic consolidation, storage, and end-to-end distribution programs.

Request a quote today to see how Entourage Freight Solutions can help with your freight movement and other supply chain needs.

Trucking Firms’ Financials Are Still Downhill

RSHanline (Nick Terry) — Fri, 26 Jul 2024 14:48:21 GMT

An ongoing freight recession isn’t showing many signs of letting up. As trucking carriers report their latest quarterly financial results, they’re revealing dips in revenue in income, and squeezed profits and margins.

It’s a shipper’s market and has been for multiple years, with historically low freight rates. There are more available trucks than there is available freight, making it tough for trucking companies to boost their earnings.

Following trucking’s financials gives shippers a snapshot of what’s happening in the market, so bids and rates for their own freight. Here are six headlines to keep up on the state of the trucking industry, along with other supply chain and logistics news.

J.B. Hunt’s Income Tumbles

The Arkansas-based trucking giant reported a drop in income in its second quarter. According to Trucking Dive , J.B. Hunt’s operating income fell 24% YOY. The reason? The weak freight market that’s existed for two years.

It’s not just one type of freight, either. Intermodal, truckload, dedicated contract, and integrated capacity solutions brokerage all saw volume dip. Only the final mile segment, which delivers goods on the last leg of the supply chain, reported an increase in revenue.

J.B. Hunt CEO Shelley Simpson said shippers are doing a better job managing inventory. It’s creating a demand pattern that more closely resembles pre-pandemic times. Instead of big swings or stockpiling of inventory, freight demand is more seasonal.

Despite some not-so-great results in Q2, the trucking carrier’s executives are optimistic about this second half of the year. Even by the end of Q2, they were starting to see some momentum in freight volume.

Marten’s Financials Nosedive

Marten Transport’s balance sheet painted a similar picture.

Revenue fell by nearly $40 million year-over-year in the second quarter. Net income was a third of what it was in last year’s Q2. Profits and margins weakened because of higher operational costs and near rock-bottom freight rates, Transport Topics reported .

As Marten’s executive chairman, Randolph Marten, summed it up: “Our earnings were heavily pressured by the freight market recession’s oversupply and weak demand, inflationary operating costs, and cumulative impact of freight rate reductions leading to freight network disruptions.”

Just like at J.B. Hunt, revenue fell across segments, including truckload, dedicated, intermodal, and brokerage. Operating income was also down in those four of Marten’s segments.

UPS Profits Plummet

Trucking carriers aren’t the only ones suffering. UPS – which operates trucking services but also parcel, airfreight, and more – revealed a big drop in profit in its latest earnings report.

According to an article in Pymnts , consolidated operating profit in Q2 fell 30% YOY. In addition, revenue was down , although just by 1.1% compared to last year’s Q2. Some of the factors for the drops include stagnant pricing, higher labor costs, and overall soft freight demand.

UPS wants to emerge profitably from the prolonged freight recession. To do that, it’s focusing on digital tools and rightsizing its network. In one example, UPS deployed an automated process for driver dispatching, which cut down staff by 26%. It also has a smart facility program, so customers can print out their own RFID labels, further reducing the need to employ workers to do that task. UPS has closed five buildings as part of its “Network of the Future” plan.

On the latest earnings call, CEO Carol Tomé told investors: “We expect to return to operating profit growth.”

Saia on a Spree

While UPS shutters some of its facilities to improve costs, Saia is opening up terminals.

The LTL carrier announced it will open two new service centers this year, FreightWaves reported . One is located in Stockton, California, with the goal of serving the Northern California market. The other is in Davenport, Iowa, to strengthen operations in the Midwest.

The two centers are part of a plan to add somewhere between 18 and 21 terminals this year. Other terminals will be in Minnesota, Montana, New Jersey, Pennsylvania, Texas, and Utah.

Saia has been on a spree of acquiring properties and opening service centers. The less-than-truckload company bought 17 facilities from Yellow, after that firm went bankrupt and auctioned off its assets. Saia also agreed to acquire 11 of Yellow’s leased properties. But the two new service centers in California and Iowa are separate from the Yellow sites, per FreightWaves.

All told, Saia could have up to 215 terminals by the end of this year, with its streak of opening terminals and service centers.

AAA Cooper Reopens Yellow Terminals

AAA Cooper Transportation, too, is reopening old Yellow terminals.

According to Trucking Dive , AAA Cooper’s parent company, Knight-Swift, acquired more than a dozen terminals from Yellow last year in its bankruptcy auction. Now, AAA Cooper has reopened four of the terminals. They’re located in Athens, Georgia; Jackson, Michigan; Dayton, Ohio; and Everett, Washington.

Knight-Swift sees the terminals as a way to provide national in-house LTL service by 2026.

FMCSA Needs More Data

Meanwhile in Washington, the Federal Motor Carrier Safety Administration is struggling with a lack of data.

The agency that governs trucking and safety told Congress that it’s having a tough time getting a handle on broker fraud, FreightWaves reported . FMCSA doesn’t have enough data, and jurisdiction issues are making it challenging to spot unlawful brokerage activities.

Much of the concern is related to broker fraud and its relationship with motor carrier safety.

“As brokers do not typically engage in the actual transportation of goods, however, the direct safety impact of failing to register with FMCSA as a broker is unclear,” the agency wrote in its report to Congress.

Navigate Truck Rates and Financials with Entourage Freight Solutions

That’s why shippers need access to freight management services and real-time data, to keep on top of their shipments and find stability in a volatile environment.

Entourage Freight Solutions provides steady services that can help you navigate an ever-changing logistics environment and receive important information in real time.

Entourage Freight Solutions offers the following services and many more:

Our LTL Service provides on-demand access to capacity, along with real-time data and peace of mind in this high-stakes world.
Our Freight Management lets your team stay organized across inbound and outbound logistics, tracking market capacity and using automation notifications to keep everyone informed.
Our Refrigerated Transport provides expertise in everything from finished goods to raw materials, ensuring products arrive on time and in top condition.

Request a quote today to see how Entourage Freight Solutions can help with your freight movement and other supply chain needs.

Trucking’s Record-High Costs in 2023 Pinched Fleets and Carriers

Mon, 15 Jul 2024 14:19:38 GMT

Shippers face myriad factors when deciding whether to outsource their logistics and trucking operations or to keep them in-house and operate a private fleet. While some of the largest companies like Walmart and PepsiCo have gone the private fleet route, owning and maintaining trucking assets simply doesn’t make sense for many other businesses.

That’s especially true in the face of rising costs to operate a truck. In fact, those costs reached a record high last year. As shippers navigate costly logistics, here are six headlines to keep up with the latest on trucking costs and other supply chain news.

The Cost of Truck Operation

Operating a truck is a costly endeavor . The total marginal cost of truck operation rose to $2.27 per mile last year – a new record, according to an annual report by the American Transportation Research Institute, highlighted in a Transport Topics article .

The costs rose despite fuel costs falling by 8.8 cents per mile. On an hourly basis, truck operation costs increased to $91.27. In 2022, costs per hour were $90.78, and costs per mile were $2.251.

When fuel is taken out of the equation, costs rose 6.6%, “higher than a lot of us were hoping and expecting,” Alex Leslie, an ATRI senior research associate and co-author of the report, told Transport Topics.

What’s behind the spiking expenses? The report named line items such as truck and trailer payments, driver wages, and maintenance costs, all of which increased from 2022 to 2023. Deadhead mileage, which is when a tractor operates without hauling a trailer, rose last year. That adds fuel costs and wear-and-tear expenses — without the earnings of hauling freight. Insurance premiums spiked by 12.5% as trucking companies faced nuclear verdicts and high awards from juries.

The rising costs for truck operators – whether large carriers, owner-operators, or private fleets – come against a backdrop of a freight recession. For several months, the market has been characterized by low trucking rates, due to excess capacity slowly exiting the market and a decrease in shipper demand following pandemic-era highs.

So far this year, some trucking costs are continuing to increase marginally, like costs for maintenance, trucks, and trailers. But tire costs went down.

The bottom line, according to Leslie: “Right now, it looks like costs are still trending up overall in 2024, but not by as much as we saw in 2023.”

Big Trucking Companies Feel the Pinch

The largest carriers are feeling the strain from higher costs and an enduring freight recession . On Transport Topics’ Top 100 For-Hire Carriers List, several companies have seen their revenue and profits decline, the publication reported .

Revenue at UPS, No. 1 on the list, fell below $91 billion last year. In 2022, the parcel giant had surpassed $100 billion in annual revenue. FedEx, in the No. 2 slot, brought in $87.7 billion in revenue in its latest fiscal year, down from $90.2 billion the prior year. And No. 3, J.B. Hunt, saw revenue drop below $11 billion last year, down from $12.4 billion the year before.

However, several other carriers have grown their businesses, leading them to jump up on the Top 100 list. Heartland Express is now No. 36, up from No. 58, as it acquired Smith Transport and CFI.

Trucking Jobs Flatline

Continued low spot rates are contributing to some lackluster results in truck transportation jobs.

FreightWaves reported that in June, Bureau of Labor Statistics data revealed 1,548,600 job openings in the sector. That’s virtually the same as the 1,548,700 job openings in May.

The job numbers are the lowest they’ve been since October. The good news, according to BLS’ vice president of market intelligence, is that employment is stable.

“We think stability in employment levels is a best-case scenario in the short term,” David Spencer said.

Analysts expect spot rates to rise in the summer peak season, which could bolster the truck transportation job figures.

The Aging Trucking Workforce

As trucking jobs remain flat but stable, very few young drivers are joining the workforce.

Commercial Carrier Journal conducted a survey of company drivers and leased owner-operators. The results: 74% of respondents were 55 years old or older. The remainder were 35 to 54 years old, and none were under the age of 35.

The average age of respondents was 59.5 years old. By comparison, the median age in the overall labor force is about 42 years old.

Trucking’s aging workforce would typically be a big concern for the industry’s future, except for the fact that many drivers have no intention of imminent retirement. In CCJ’s survey, more than half of respondents said they either hadn’t decided when they would retire or that they plan to drive as long as their health allows.

A Cross-Border Conundrum

For truck drivers and companies based in Mexico, a California rule taking effect next year could present some challenges.

California’s Clean Fleets rule mandates fleet owners to remove international combustion engine vehicles at the end of their useful life, according to FreightWaves . That includes trucks that cross the border from Mexico into the U.S.

Many cross-border trucks in Mexico are older, used diesel vehicles from the U.S. The fear is that complying with California’s rule and acquiring electric vehicles could put some Mexico-based fleets out of business. The majority of Mexico’s 200,000 trucking companies are small businesses, operating one to five trucks. An electric truck can cost upwards of $100,000. In addition, EV infrastructure is lacking in Mexico, with just over 1,000 charging stations in the country, many of which are concentrated around large cities.

Rail Workers Vote to Strike

At the other border, a strike isn’t out of the question.

Workers from Canada’s largest railroads, Canadian National and Canadian Pacific Kansas City Southern, voted in favor of striking unless they get a new labor deal, Supply Chain Dive reported .

While that doesn’t necessarily mean a strike will happen soon, it positions union members to stop work unless they receive a new contract to replace the last deal, which expired at the end of 2023. The union is seeking improved wages, better working conditions, and flexibility on fatigue management. The union represents workers who are engineers, conductors, rail traffic controllers, and more.

This is the second time this year that the union voted to authorize a strike . The first time, Canada’s Minister of Labour intervened, requesting information on how a work stoppage could affect Canadians’ safety and health. Legally, the Canadian government has to make a ruling before the union is permitted to strike.

Keep Trucking Costs in Check with Entourage Freight Solutions

Truck operating costs are at a record high, and they’re only increasing. Rising costs will no doubt reverberate to shippers, whether you contract your freight transport or operate a private fleet.

That’s why shippers need access to freight management services and real-time data, to keep on top of their shipments and ensure their costs are in check.

Entourage Freight Solutions provides steady services that can help you navigate an ever-changing logistics environment and receive important information in real time.

Entourage Freight Solutions offers the following services and many more:

Our LTL service provides on-demand access to capacity, along with real-time data and peace of mind in this high-stakes world.
Our Freight Management lets your team stay organized across inbound and outbound logistics, tracking market capacity and using automation notifications to keep everyone informed.
Our Refrigerated transport provides expertise in everything from finished goods to raw materials, ensuring products arrive on time and in top condition.

Request a quote today to see how Entourage Freight Solutions can help with your freight movement and other supply chain needs.

Supply Chain Professionals Cast Wary Eye as Strike Threats Loom

Thu, 27 Jun 2024 19:52:02 GMT

In a prior edition , we dug into negotiations and a possible strike by the International Longshoreman Association, or ILA, a labor union. But it’s not the only labor action that could have far-reaching impacts on supply chains and freight movement.

Here are six headlines to keep up with ongoing union actions and other supply chain and logistics news.

A Deal at the Border

Canadian border agents are voting as we speak on a new four-year labor agreement with the country’s government, Supply Chain Dive reported

In early June, the union and Canada’s treasury board reached a tentative agreement that averted a strike. Had the strike occurred, it could have led to backed-up traffic at dozens of crossings along the U.S.-Canada border . It likely would have also stalled or created longer processing times for freight shipped between the two countries. There’s a lot of that – freight between the U.S. and Canada totals about $65 billion every month, with computers, vehicles, and electrical machinery making up a significant portion of the shipments.

Now, the union is working on a longer-term agreement, per the Supply Chain Dive article. Border agents have from June 20 to July 4 to vote on the agreement, and a result is expected shortly after voting ends at noon Eastern on July 4. The agreement, if ratified, will cover June 2022 through June 2026. It includes compounded wage hikes of more than 15%, along with concessions related to shifts and paid time off.

Stalled Negotiations and a Strike Vote

Also in Canada, the Teamsters Canada Rail Conference is organizing a vote on a strike. The labor union represents more than 9,000 Canadian rail employees who work for Canadian National and CPKC – the combined railways of Canadian Pacific and Kansas City Southern.

The strike vote is happening as contract negotiations with the railroads have stalled, according to FreightWaves . The vote will continue until June 29. If members vote in favor, and the strike does not pose a threat to public safety, a strike could take place as soon as mid-July.

Regarding negotiations, rail workers such as conductors, engineers, and traffic controllers are looking for higher wages and provisions related to crew scheduling and fatigue management. Canadian National has been negotiating with the union since November. The union said it has “no indication” how long the negotiation process might take or what the outcome could be.

An Abrupt Shutdown

U.S. Logistics Solutions, a Texas-based company, abruptly shut down its operations. Thousands of truck drivers, warehouse employees, and dock workers were laid off. They received notice that the company would halt operations, and that they would not receive their paychecks, according to Chron , a website covering news in Houston, Texas.

The company was owned by a private equity firm, which ceased operations and left USLS without a bankroll.

USLS was called Forward Air Solutions before it was acquired by the private equity firm in 2021. The company distributed time-sensitive products.

Truck Tonnage Starts Its Turnaround

Despite some turmoil on the labor side of the logistics industry, truck tonnage is finally on the upswing.

The American Trucking Associations’ for-hire truck tonnage index gained 1.5% year-over-year in May, Transport Topics reported . That was the first increase in 15 months for the index, which surveys ATA members and draws feedback from contract freight rather than the spot market.

For many months, trucking industry executives and analysts have been postulating that the market is due for a turnaround after many months of historically low rates. An overcapacity of carriers , many of which entered the market during the pandemic, and a decrease in demand from shippers after pandemic highs, have contributed to the low trucking rates. Experts have been cautiously optimistic that trucking will recover, and the ATA is continuing that sentiment.

“It is still too early to say whether this is the start of a long-awaited recovery in the truck freight market,” said the organization’s chief economist.

Not all indices measuring the trucking market have shown positive results, however. The Cass Freight Index, for one, reported shipments down by 5.8% year over year.

“Some data sets are looking pretty good, other data sets are not,” said Tim Denoyer, senior analyst at ACT Research, which also assesses the state of the freight market. “The freight cycle is recovering, [but] it’s not lifting all boats yet.”

Diesel Prices Climb

Also turning around: diesel prices. According to Transport Topics , the price of diesel had declined for nine weeks in a row. But that ended in mid-June, when prices rose 7.7 cents, resulting in a national average diesel price of $3.735.

The price hike is the biggest one since mid-February, when diesel rose 21 cents to $4.109. Still, a gallon of diesel is about eight cents less than it was at this time last year.

OOIDA vs. EPA

Even as diesel prices tick up, the Owner-Operator Independent Drivers Association (OOIDA) is suing the Environment Protection Agency (EPA) over the agency’s final rule on electric vehicles, FreightWaves reported .

The rule aims to reel in greenhouse gas emissions with a handful of provisions related to heavy-duty vehicles. The EPA’s rule affects truck model years 2027 and 2032 and applies to several sizes, from delivery trucks to long-haul sleeper cabs. For example, long-haul tractors would need 25% of their fleet to be zero-emission by 2032.

OOIDA, which represents independent truckers and small businesses, contends that the vehicle standards would put its members out of business due to the costs associated with new equipment and upgrading their fleets. A new Class 8 diesel truck costs about $180,000, whereas the same-size electric truck costs $400,000. The association called the EPA’s rule “arbitrary, capricious, an abuse of discretion, and not in accordance with law.”

Navigate Strikes and Shutdowns With the Help of Entourage Freight Solutions

Work stoppages or trucking company shutdowns can be sudden and hard to predict. A strike among transportation workers or border agents can have ripple effects up and down the supply chain. Having a trusted partner and contingencies in place can help keep your freight flowing as smoothly as possible.

That’s where Entourage Freight Solutions comes in. EFS provides steady services that can help you navigate an ever-changing logistics environment and receive important information in real time.

Entourage Freight Solutions offers the following services, and many more:

Our LTL service provides on-demand access to capacity, along with real-time data and peace of mind in this high-stakes world.
Our Freight Management lets your team stay organized across inbound and outbound logistics, tracking market capacity and using automation notifications to keep everyone informed.
Our Refrigerated transport provides expertise in everything from finished goods to raw materials, ensuring products arrive on time and in top condition.

Request a quote today to see how Entourage Freight Solutions can help with your freight movement and other supply chain needs.

The Next Big Logistics Risk: ILA Negotiations

Fri, 21 Jun 2024 19:59:12 GMT

The supply chain world is no stranger to risks and disruptions. The past twelve months have seen everything from drought-related restrictions at the Panama Canal to diversions due to piracy in the Red Sea, from the Francis Scott Key Bridge collapse in Baltimore to unpredictable shipper demand and carrier capacity.

As we reach the halfway point of the year, the next big risk could be a labor strike at U.S. seaports, as negotiations are underway — yet stalled — for a new contract. Here are six headlines to keep up with the labor actions and other supply chain and logistics news.

A Possible Strike Looms

About 85,000 port workers along the East and Gulf Coasts are members of the International Longshoreman Association, or ILA, a labor union.

The ILA recently suspended contract negotiations with the U.S. Maritime Alliance (USMX), which represents employers at East and Gulf Coast ports, the Loadstar reported . Central to the dispute was automation and how the technology is used at some seaports. For example, auto gates process trucks autonomously, without the need for labor. That violates the ILA contract, which is in effect until the end of September.

When the ILA found out that APM Terminals in Mobile, Alabama, was using an auto gate system, the union suspected other ports and terminals might be using that same technology, and the ILA suspended negotiations.

“This is a clear violation of our agreement and we will not tolerate it any longer,” a spokesperson for ILA said, per the Loadstar .

Calling for Higher Wages

In addition to the automation issues, the ILA is also calling for higher wages for dockworkers, according to FreightWaves . The union’s rationale: Ocean carriers are bringing in “billions of dollars,” as reported in their public financial results.

“USMX member company’s profits are enormous,” the union wrote in a social media post, according to the FreightWaves article. “The ILA will demand wage increase commensurate with these revenues.”

Under the current contract, union members make between $20 and $37 per hour, depending on their jobs, skills, and years of experience. It’s not entirely clear what kind of raise the ILA will seek in negotiating the next contract.

If the negotiations continue to stall and a contract isn’t negotiated by the fall, workers could strike. That could have ripple effects throughout the supply chain, delaying trucks from being able to pick up containers and preventing shippers from moving their goods in a timely fashion. But it would also draw attention to the labor issues at hand, and emphasize the importance of the port workers’ jobs.

The Slow Exit of Trucking Workers

As questions linger about the state of labor at the nation’s seaports, one thing is certain. The trucking industry is slowly shedding workers.

That’s what data from the Bureau of Transportation Statistics shows, according to an article in Transport Topics . Last month, employment in the transportation and warehousing sector fell by 0.2% year-over-year, reaching 6.58 million workers in May 2024.

The numbers are more telling in truck transportation, specifically. Within that sector, Employment dropped 1.9% in the same time frame, marking the eighth month in a row that truck employment declined compared to the previous year. For-hire trucking shed 5,400 jobs last month.

Still, the trucking industry remains in a state of overcapacity, according to research analysts quoted in the article. One analyst said the dropping employment is a move in the right direction, but the gradual rate of change isn’t enough to rebalance the freight market, which has favored shippers for several months.

Werner Expresses Cautious Optimism

Werner Enterprises CEO and Chairman Derek Leathers agreed that the trucking market is “not yet really at an inflection point,” according to Trucking Dive .

At the height of the pandemic, several smaller carriers entered the market to keep up with soaring demand from shippers. But for the last two years, those carriers have started to exit the market – either through bankruptcy or being absorbed by a larger company. Small carriers continue to leave, leading to shrinking capacity which will likely push up truck freight rates.

But we’re not there just yet, Leathers hinted. As trucking carriers continue to exit, “we’re closer to the end than the beginning,” the chief executive said. But he said more attrition is necessary to truly rebalance the market.

Logistics Inflation Carries On

Even as we’ve been operating in a shipper’s market, logistics inflation continues to remain high. But costs are falling after rising for a couple of years.

Before the pandemic, logistics spend was around $1.5 trillion, FreightWaves reported . Against that baseline, costs rose 22.4% in 2021 and almost 20% in 2022. But in 2023, logistics costs dropped 11%, falling to $2.4 trillion.

The numbers are from a “State of Logistics” report from the Council of Supply Chain Management Professionals. One conclusion is that logistics executives view volatility as the normal condition for supply chains, making it essential to have a flexible warehousing and transportation network.

Pushing Back on EVs

Meanwhile on Capitol Hill , some senators are pushing back against the Biden administration’s electric vehicle goals, per Transport Topics .

A group of lawmakers introduced a bill that would require the Energy Department to use specific criteria to calculate the efficiency of electric vehicles . The goal is to make sure there isn’t a “misinformed mandate” to adopt EVs, the publication said.

Other lawmakers have expressed concerns and frustrations that more progress hasn’t been made to build out electric vehicle charging infrastructure, which is essential to widespread adoption of the cars and trucks.

Additionally, some senators and congressmen are concerned that the plans to speed up EV adoption could harm American jobs, especially in industries like traditional automotive manufacturing, where many workers are trained and skilled in producing internal combustion engines.

Tackling Logistics Risks With Entourage Freight Solutions

Risks are simply a part of doing business in the supply chain world. Having a trusted partner to navigate the volatile trucking market and the various logistics disruptions can help keep operations running smoothly.

That’s where Entourage Freight Solutions comes in. EFS provides steady services that can help you navigate an ever-changing logistics environment and receive important information in real time.

Entourage Freight Solutions offers the following services, and many more:

Our LTL service provides on-demand access to capacity, along with real-time data and peace of mind in this high-stakes world.
Our Freight Management lets your team stay organized across inbound and outbound logistics, tracking market capacity and using automation notifications to keep everyone informed.
Our Refrigerated transport provides expertise in everything from finished goods to raw materials, ensuring products arrive on time and in top condition.

Request a quote today to see how Entourage Freight Solutions can help with your freight movement and other supply chain needs.

Is Trucking About to Turn Around?

adam@the-robinson-agency.com — Fri, 31 May 2024 14:20:32 GMT

After soaring demand, tight capacity, and sky-high freight rates in the early days of the pandemic, trucking carriers have witnessed a downturn in the market that has continued through today.

Many analysts who cover the trucking industry and executives in the space are beginning to turn cautiously optimistic, expecting rates and the market to start recovering in the near future. Here are six headlines to keep up on the latest predictions for the trucking market , along with other supply chain and logistics industry news.

Truckload Carriers Head for Equilibrium

The truckload industry is in what FreightWaves described as a “long slog back to market equilibrium.” The publication reported on a recent investor conference, in which two trucking CEOs pointed to signs of recovery for carriers.

Werner Enterprises CEO Derek Leathers said some signals are “more positive.” For one, the number of trucks posted on load boards has declined over the last two months, signally more normalized capacity. The freight boom spurred by the pandemic led to excess trucking capacity entering the market.

In addition, Leathers said Werner’s shippers with dedicated contracts have increased their truck counts, and some have renewed at higher prices. He expects margins to improve throughout the year.

Mark Rourke, Schneider National’s president and CEO, also expressed some positive thoughts on the TL business, according to FreightWaves. Schneider has seen low-single-digit price increases on contract renewals in its one-way truckload segment. Rourke also expects better margins in the following quarters.

Cloudy Trucking Skies Clear

Analysts who cover and follow the truckload market expressed similar sentiments as Schneider’s and Werner’s CEOs. According to Transport Topics , analysts predict an improvement in the market and rates after a challenging Q1.

One analyst from Bloomberg Intelligence said TL rates should start to rise. It won’t be shipper demand that influences the rates, but rather supply factors, and how much the industry is able to balance itself as the oversupply of capacity gradually exits the market.

Another analyst, Avery Vise, FTR Transportation Intelligence vice president for trucking, expects TL spot rates to rise steadily and be positive YOY by Q3. Vise predicts rates will rise by 1% overall in 2024.

Uber Freight projected the market would tighten in the second half of the year and warned shippers to prepare for that eventually.

Finally, Bank of America saw shippers’ freight demand outlook increase to the highest level since June 2022.

High Volumes for Peak Season

Import levels at U.S. seaports are also on the road to recovery. The nation’s top ports had relatively low volume in 2023, Supply Chain Dive reported . But loaded import volumes at the top 12 container ports will stay higher than 2 million TEUs through this October.

As a point of reference, volumes in 2018 and 2019 were below that figure, while the top ports handled well over 2 million TEUs every month from August 2020 through October 2022. In the past couple of years, volumes tapered off, and ports only surpassed the 2 million threshold in September and October of last year.

The National Retail Federation and Hackett Associates made the prediction on import volumes, citing continued consumer spending on goods.

“Regardless of what headlines about the economy might say, consumers are shopping and retailers are making sure they have merchandise on hand to meet demand,” said NRF Vice President for Supply Chain and Customs Policy Jonathan Gold.

Truck Prices Go Downhill

While the trucking market and imports are on the rise, vehicle prices are sliding down.

Midyear 2022 Class 8 tractors sold at an average retail price in April of $95,365, according to FreightWaves citing information from J.D. Power. That was 5.4% less than in March, a decline of $5,379. But the price was more than $33,000 lower than in February.

A similar situation bore out for model year 2021 vehicles. They sold at an average price of $50,173 in April, down from $54,477 in February. For 2020 tractors, prices fell to $32,433 in April from $37,064 in February.

Supply Chain Reactions to China Tariffs

In regulatory news, the Biden Administration released a plan to increase tariffs on goods imported from China. The administration’s goal is to advance U.S. tech manufacturing while combating trade practices in China.

Supply Chain Dive reported that the increased duties would be on items such as electric vehicles , semiconductors, solar cells, and some medical products.

The supply chain industry had mixed views on the administration’s plan.

Many consumer goods-related organizations disagreed with the proposal. The American Apparel and Footwear Association was against the extended tariffs, calling them “a real blow to American consumers and manufacturers alike.” The Retail Industry Leaders Association also disagreed with the policy, saying the tariffs were harmful to U.S. businesses and consumers. The National Retail Federation said it was “extremely disappointed” with the decision to expand tariffs and called for a new strategy to shift supply chains.

On the other hand, the Alliance for Automotive Innovation agreed that the White House needs to look at ways to enhance the competitiveness of the auto industry in the U.S.

The Freight Fraud Crackdown

Also on Capitol Hill , House lawmakers have introduced a bill to crack down on fraud in freight.

The bill would work to combat fake brokers and carriers that don’t have physical addresses. It would also give federal officials the ability to suspend or revoke broker or carrier registrations that don’t have a valid place of business, FreightWaves reported .

The Owner-Operator Independent Drivers Association, the American Trucking Associations’ Moving & Storage Conference, the Transportation Intermediaries Association, the Commercial Vehicle Safety Alliance, and several other organizations have endorsed the bill. It’s a rare instance in which trucking organizations have voiced near-unanimous support for a bill.

Navigating the Wavering Trucking Market with EFS

As the trucking market continues its ups and downs, Entourage Freight Solutions can help shippers secure the capacity they need as they navigate the trucking market. EFS provides steady services that can help you navigate an ever-changing logistics environment and receive important information in real time.

Entourage Freight Solutions offers the following services, and many more:

Our LTL service provides on-demand access to capacity, along with real-time data and peace of mind in this high-stakes world.
Our Freight Management lets your team stay organized across inbound and outbound logistics, tracking market capacity and using automation notifications to keep everyone informed.
Our Refrigerated transport provides expertise in everything from finished goods to raw materials, ensuring products arrive on time and in top condition.

Request a quote today to see how Entourage Freight Solutions can help with your freight movement and other supply chain needs.

Electric Vehicles: Many Manufacturers Charge Ahead While Others Have a Hybrid View

Fri, 17 May 2024 12:52:40 GMT

Whether electric trucks are the future will depend greatly on who you ask. EV manufacturers will, no doubt, insist that such vehicles are the future and even the present. Hybrid or hydrogen-fuel-cell OEMs might have a different answer that benefits their own interests. Manufacturers of combustion parts or other stakeholders in the logistics industry will likely have yet another answer to the question.

In this blog, we look at how electric trucks are progressing, along with other headlines to stay current on supply chain and logistics industry news.

Volkswagen Bets on Hybrids

Volkswagen has been seeing a slowdown in demand for fully electric vehicles, leading the auto manufacturer to revisit and pivot its strategy toward plug-in hybrid cards.

According to Transport Topics , Volkswagen’s CEO said the company’s priority is to expand its portfolio of models with batteries and engines because customers want plug-in hybrids.

It’s a deviation from its prior strategy when the company focused mostly on fully electric vehicles. In fact, VW had plans to build a $2.2 billion EV factory in Germany but scrapped the build last year.

Other OEMs have seen a similar decline in EV interest. Toyota, for one, is reaping the benefits of a global surge in hybrid vehicle demand. Meanwhile, Mercedes-Benz said it plans to sell combustion-engine cars for longer than initially planned because of disappointing EV sales.

Some of Volkswagen’s hybrid tech has an electric range of more than 62 miles. The next step, per the CEO: figure out how to go further and make the vehicles even more cost effective.

Daimler Touts New EV Prototype

As Volkswagen doubles down on its hybrid strategy, Daimler Truck is full speed ahead on electric trucks with its latest prototype.

The company rolled out an autonomous, battery-electric Freightliner eCascadia prototype this month, Trucking Dive reported . Daimler is heralding the vehicle and the technologies it uses as “a glimpse into the future.”

The truck uses a Level 4 autonomous sensor suite from Torc Robotics (a subsidiary of Daimler) for the autonomous portion. The zero-emissions part is being trialed with battery electric but could also be powered by hydrogen in the future, Daimler said.

Torc has already been piloting its autonomous system on diesel trucks, preparing for a market launch in 2027. Applying the autonomous system to EVs is the next step. As Joanna Buttler, head of Daimler Truck’s global autonomous technology group, said, “We always look further into the future.”

Is Renewable Diesel the Answer?

A recent report isn’t so sure about electric vehicles. Rather, the American Transportation Research Institute found that renewable diesel is a viable way to cut down on carbon emissions while having a minimal impact on trucking operations .

In fact, renewable diesel “looked a lot better” than battery electric when assessing the full lifecycle emissions, Overdrive reported . The lifecycle emissions for battery EVs include the mining of minerals for batteries and the eventual disposal of the trucks and batteries. Emissions over the lifecycle of an EV are 30% lower compared to an internal combustion truck using diesel, while renewable diesel cuts emissions by 67.3%, the institute found.

From an operations standpoint, renewable diesel doesn’t require any changes to equipment or engines, which is yet another bonus for carriers.

Firmly in a Freight Recession

While OEMs keep moving along with innovations in emissions-cutting vehicles, the trucking market has yet to move out of a freight recession, according to a recent article in FreightWaves .

The article cites The Logistics Managers’ Index, in which a number above 50 indicates expansion and a reading below 50 means contraction. Transportation prices clocked in at 44.1 in April, down nearly nine percentage points from March.

“We are still firmly in a state of freight recession,” the LMI report said, per FreightWaves.

Part of the reason is the excess capacity in the trucking market. The transportation capacity index registered at 61.4. The process of that capacity exiting has been slow, which leads to lower freight rates. In fact, some rates have fallen below operating costs for certain fleets.

Trucking Transitions to Growth

FreightWaves’ report on the LMI dovetails with Heavy Duty Trucking’s article based on FTR data, which noted that trucking’s overcapacity is keeping freight rates low.

Several small carriers entered the market during the early days of the pandemic. While the carrier base declined starting in 2022, there are still 92,000 more trucking firms with operating authority compared to 2020, creating a plethora of capacity in the market.

But the outlook is more optimistic for trucking rates. FTR expects year-over-year growth starting in the third quarter. It won’t be “terribly robust,” said Avery Vise, FTR's vice president of trucking, but it will likely be growth. Vise expects a stronger trucking market in 2025.

Recovery Efforts at Key Bridge

Meanwhile, at the Francis Scott Key Bridge in Baltimore, the body of the sixth and final person who died in the tragic bridge collapse has been recovered, FreightWaves reported .

Crews recovered the body of José Mynor López more than a month after the bridge collapsed. López was 37 years old and was one of the construction workers on the bridge at the time the container ship crashed into the bridge, causing its collapse.

Next, crews will conduct what’s known as a controlled demolition to break up the bridge. That frees the container ship and returns marine traffic to normal at the Port of Baltimore.

Adapting to the Port Closure

Several businesses surrounding the Port of Baltimore have had to adjust their operations in the wake of the bridge collapse. One company is Baltimore International Warehousing and Transportation.

According to an article in Marketplace , the bridge collapse disrupted the company’s operations to the point where it had to lay off most of its truck drivers.

A worker retention grant a few weeks later allowed the company to bring back its drivers, but the hours and routes were longer. Instead of the Port of Baltimore, the firm is bringing in cargo from the Ports of Norfolk, Philadelphia, and New York.

Even as Baltimore’s port reopens, Baltimore International Warehousing and Transportation’s CEO expects it will take some time for vessels to return, because many carriers weren’t booking cargo until the channel reopened.

Moving Freight, EV or Not

Whether electric, hybrid, combustion or something else, freight needs to move from one destination to the next in a timely manner. Entourage Freight Solutions can help shippers secure the capacity they need as they navigate the trucking market. EFS provides steady services that can help you navigate an ever-changing logistics environment and receive important information in real time.

Entourage Freight Solutions offers the following services, and many more:

Our LTL service provides on-demand access to capacity, along with real-time data and peace of mind in this high-stakes world.
Our Freight Management lets your team stay organized across inbound and outbound logistics, tracking market capacity and using automation notifications to keep everyone informed.
Our Refrigerated transport provides expertise in everything from finished goods to raw materials, ensuring products arrive on time and in top condition.

Request a quote today to see how Entourage Freight Solutions can help with your freight movement and other supply chain needs.

Freight Flows Across Borders and Oceans

Tue, 30 Apr 2024 12:33:51 GMT

Odds are, something in your vicinity right now has a “Made in China” tag on it. Globalization has significantly increased the trade flows and supply chains between the U.S. and China. In fact, the U.S. imported $536.3 billion worth of goods from China in 2022.

E-commerce is only growing the global nature of supply chains and the flow of trade around the world. Cargo continues to move by air and sea, and companies are investing to ensure they have the tools in place to ensure a smooth transport of goods.

Here are six headlines to keep tabs on trade routes and relationships, along with other supply chain and logistics industry news:

China’s E-commerce Spree Boosts Airfreight

This isn’t typically the busiest time of year for air cargo. April and May tend to be slower months outside of the peak shopping and holiday seasons in the fall. But a handful of factors are boosting demand for airfreight.

One of those factors, according to Freightwaves , is the continued growth of e-commerce players in China. Online marketplaces, such as Temu and Alibaba, are “sucking up outbound capacity from China,” the publication wrote. The rapidly growing fast fashion retailer Shein is also playing a role in air cargo capacity coming out of China.

These marketplaces haven’t always shipped by air. In the recent past, goods traveling to Europe and North America were shipped by ocean and then stored in warehouses. But now, e-commerce accounts for about half of the air cargo coming out of South China and Hong Kong, adding more volume to airfreight.

Another factor boosting airfreight is the continued attacks and piracy in the Red Sea. Many ocean carriers are avoiding the region, but bypassing the Red Sea can add 10 days or more to transit times. Some shippers with time-sensitive goods or that want more predictable supply chains are using airfreight for faster transit.

All told, airfreight volume in March increased 11% YOY, per Xeneta, a rate benchmarking platform. Flight activity in global air cargo went up 6.8% in March, compared to 2023.

“The level of demand in the first quarter doesn’t indicate a market which is running out of steam so far,” said Niall van de Wouw, Xeneta’s Chief Airfreight Officer.

Cargo Moves In and Out of West Coast Ports

The switch by some shippers to airfreight hasn’t dented ocean freight volumes coming into the Port of Los Angeles. Quite the opposite, in fact.

Cargo volumes at the port grew 19% YOY in March. According to Supply Chain Dive , that was the eighth consecutive month of YOY growth. The cargo is broken down into imports and exports. Imports were up 19% YOY, and exports were up 47% in March compared to March 2023. Exports were the highest they’ve been since January 2020.

The high export numbers are helping the Port of LA reach a key goal. The seaport wants to boost American exports and get closer to a ratio of two imports for every export. In 2021, the port faced an imbalance, with 6.2 imports to each export.

The port’s executive director expects “robust cargo flow” to continue throughout Q2, due to a strong job market and consumer spending.

Tax the Canned Food Imports

As goods flow across the Transpacific from China to the U.S., some efforts are being made to tamp down on certain exports and imports. This month, Packaging Dive reported that President Joe Biden called on the U.S. Trade Representative to consider tripling the tariff rate on imports of steel and aluminum from China.

Higher tariffs would increase the duties for U.S. companies buying items such as canned fruits and vegetables from China. The higher rates could dissuade businesses from importing from China and incentivize them instead to purchase from U.S. manufacturers. Canned food imports from China increased 19% from 2021 to 2022.

Some lobbying groups, however, say Biden’s call to triple tariffs doesn’t go far enough. The Can Manufacturers Institute wants an even higher rate to protect the U.S. metal can industry.

The group’s president called the tariffs “meager” and said Biden “needs to take action now to save U.S. union jobs in the metal can and canned food industry.”

Freight Flows With the Largest Trading Partner

In another important trade relationship, the U.S. and Mexico are working to make sure goods flow between the two countries. After all, Mexico is the United States’ largest trading partner; the former nation did $800 billion in trade with the U.S. last year.

Freightwaves reported on Redwood Logistics’ inaugural Cross-Border Logistics Council event. During that meeting, experts said both countries need to zero in on infrastructure, technology, policies and cargo security.

A good deal of infrastructure investment is going toward highways that connect the border crossing at Laredo, Texas. Dollars are also being poured into the construction of new warehouses and trucking facilities in the border city. As Jordan Dewart, president of Redwood Mexico, put it: “You can see the dust clouds from 50 miles away from all construction.”

Experts at the Logistics Council event noted that Mexico faces a shortage of drivers, another factor that needs to be resolved to maintain a smooth flow of goods across the border. About 56,000 truck driver jobs are currently open in Mexico. The country’s Trucking Chamber of Commerce is working to promote truck driving and logistics jobs, especially for women, who are significantly underrepresented in the industry. Fewer than 5,000 women work in trucking jobs in Mexico.

Bringing Workers into Logistics

Mexico isn’t the only place facing a dearth of workers. An opinion piece penned in The Tennessean said the state’s supply chain industry is booming, but it’s missing sufficient workers.

Tennessee is home to several supply chain and logistics hubs. Most notably, FedEx is headquartered in the state, creating tons of jobs and the busiest cargo airport in North America.

Nationwide, logistician jobs are expected to grow by 28%, while supply chain operations and supply chain management jobs are estimated to grow by 11% over the next eight years. The question is whether labor availability will grow enough to meet the forecasted surge in job openings.

The opinion piece writers called on the higher-ed community to offer more degrees in supply chain management and for employers to offer training and tuition reimbursement.

Trucking Sales Remain Weak

Jobs may be growing, but trucking prices are not enjoying the same level of thriving.

Ryder recently published its quarterly earnings. In that report, it revealed average prices for a used tractor dropped 34% YOY in the first quarter. From last year’s Q4 to this year’s Q1, used truck prices fell between 3% and 4%, Freightwaves reported .

Volume was down, too. Used truck sales (which include Class 8 tractors and other vehicles) decreased 30% year over year in Q1.

The main reason, according to Ryder’s CEO: The market has an oversupply of trucks available for rent. But he’s optimistic and does expect some recovery in the second half of this year.

Keep the Freight Flowing with Entourage Freight Solutions

Whether you’re moving freight across oceans or across state lines, you want a well-oiled supply chain that keeps goods flowing smoothly. Entourage Freight Solutions provides steady services that can help you navigate an ever-changing logistics environment and receive important information in real time. Entourage Freight Solutions offers the following services, and many more:

Our LTL service provides on-demand access to capacity, along with real-time data and peace of mind in this high-stakes world.
Our Freight Management lets your team stay organized across inbound and outbound logistics, tracking market capacity and using automation notifications to keep everyone informed.
Our Refrigerated transport provides expertise in everything from finished goods to raw materials, ensuring products arrive on time and in top condition.

Request a quote today to see how Entourage Freight Solutions can solve your key logistics pain points.

Managing a Mass Disruption to Trucking

adam@the-robinson-agency.com — Wed, 17 Apr 2024 16:41:30 GMT

Logistics doesn’t operate in a vacuum. As shippers know, even the best-laid plans and well-oiled supply chains can be upended in minutes due to an external disruption, whether it’s a pandemic, a geopolitical conflict, or a natural disaster.

The latest disruption was the tragic collapse of the Francis Scott Key Bridge near Baltimore after a container ship struck one of the bridge’s piers. Here are seven headlines to stay up to date on the latest happenings at the Port of Baltimore, along with other news in the supply chain and trucking industry:

Relief Efforts for the Francis Scott Key Bridge

The U.S. agency that governs trucking, the Federal Motor Carrier Safety Administration (FMCSA), extended its emergency declaration for drivers who are providing assistance related to the collapse of the Francis Scott Key Bridge.

As Trucking Dive reported , the emergency declaration relaxes electronic logging device regulations for drivers supporting relief efforts. The declaration extends the 11-hour driving time restriction by two hours.

State governments have also taken action. Maryland, Pennsylvania, and Virginia waived International Fuel Tax Association requirements for truck drivers hauling to or from the port. Maryland extended the tax deadline from April 30 to June 30. Virginia issued 30-day permits for container hauling until the end of the emergency.

Access to the Port of Baltimore

As local trucking companies and state governments work on relief efforts, the U.S. Army Corps of Engineers is working to open a limited access channel to the Port of Baltimore, according to an article in Supply Chain Dive .

The channel will be limited to 280 feet wide and 35 feet deep and will be used by barge container traffic and roll-on/roll-off vessels, helping with the transport of items such as automobiles and farm equipment . It is expected to open by the end of this month.

The permanent channel, which is 700 feet wide and 50 feet deep, should reopen by the end of May.

Truckers Find Workarounds

In the meantime, logistics companies are coming up with creative solutions to keep freight moving. Evans Delivery Company’s Land Transportation brand devised a “Drop Lot” solution, according to the American Journal of Transportation .

Baltimore truckers can drop off containers in a lot along I-95, about 40 miles north of Richmond. From there, Norfolk drivers pick up the containers and haul them over to the Port of Virginia for shipment. The system works in reverse, too.

The system helps smaller and medium-sized trucking companies, which may not have as large a network or ease of access to transfer cargo insurance between partners. The solution also deploys artificial intelligence to track cargo throughout the supply chain and help the various parties communicate in real time.

XPO Greenlights Yellow Terminals

In other logistics news, LTL carrier XPO is beginning to open up service centers that it acquired from the bankrupt trucking company Yellow, formerly called YRC.

Yellow held an auction back in December, and XPO made a bid for Yellow’s terminals. XPO ended up purchasing 26 owned terminals and two leased terminals from the bankrupt firm, FreightWaves reported . In total, that’s about 2,900 doors – a 10% to 15% increase in XPO’s total door capacity.

So far, XPO has opened three facilities: one in Nashville, Tennessee; another in Grand Junction, Colorado; and the third in Nogales, Arizona. That brings XPO’s total service centers to 297.

“With a deeper presence in strategic markets, we are introducing new premium services and expanding our existing offerings, such as our cross-border service with Mexico,” said XPO CEO Mario Harik.

XPO isn’t the only LTL carrier opening up terminals that formerly belonged to Yellow. Saia acquired 28 terminals from Yellow and opened one of them this month in Missoula, Montana . Meanwhile, Roadrunner opened a facility in Atlanta that used to be operated by Yellow.

A Normalizing Truck Market

LTL carriers might be speedily opening up terminals, but truck OEMs are starting to see a slowdown as the market normalizes.

According to Transport Topics , Daimler Truck North America sold 46,220 trucks and buses in Q1. While it seems like a hefty number, it’s actually a 5% YOY decrease. The manufacturer, which owns brands such as Freightliner and Western Star, sold 48,891 trucks and buses in the first quarter of 2023.

The OEM is seeing a normalizing marketing across its truck segments and its geographies. For global sales this year, the company expects to sell between 490,000 and 510,00 vehicles, a drop from last year’s 526,053 vehicles.

“Reasons for the normalization include the persistently challenging economic conditions and the absence of catchup effects from pent-up demand that was exceptionally high during the previous two years,” Daimler Truck Chairman Martin Daum said.

But one segment is bucking the trend. Daimler’s battery-electric sales jumped 183% to 813 units, up from 287 in Q1 2023.

Calling All Truck Drivers

Despite a slight slowdown in truck manufacturing, trucking demand remains high, and so does the need for drivers.

The FMCSA proposed a rule that would help fill the need for drivers by loosening testing regulations for commercial driver's licenses (CDL). The rule would do a few things, FreightWaves reported . It would allow commercial learner’s permit (CLP) holders who passed CDL skills tests to operate trucks without CDL holders sitting on the passenger’s side. The proposed rule would also allow CDL applicants to take skills tests outside of their home states. Finally, the rule would eliminate a 14-day waiting period after receiving a CLP to take the CDL skills test.

As with any regulation , the rule has some strong advocates as well as some staunch opponents.

The Owner-Operator Independent Drivers Association opposes the FMCSA’s proposed rule. It worries that drivers won’t receive adequate mentorship or training in challenging conditions if a CDL holder is not in the passenger seat. Safety advocates fear what the streamlined rules could do for FMCSA’s safety objectives.

But the American Trucking Associations believes the rule would streamline the process and attract more drivers to the field. The group pegs the driver shortage reaching 160,000 by 2030. The Commercial Vehicle Training Association also supports the rule, particularly revisions that shorten wait times related to license processing.

TikTok’s Trucker

An unconventional method might draw more people into the trucking workforce.

A social media creator dubbed “Alex the Trucking Guy” has accrued more than a million and a half followers across Instagram, TikTok, and YouTube as he documents what it’s like to be a truck driver.

“I started posting behind-the-scenes contents of the life of a truck driver, like who we are and really putting a face to these giant machines that you see on the road,” the content creator told Fox Business .

Alex eventually got into the trucking industry after dropping out of college and realizing a degree wasn’t for him. He aims to show that trade professions can be a great option for many people who want steady careers without accruing student loan debt.

Keeping Supply Chains Moving in the Face of Disruption

In the supply chain industry, risk is unpredictable, and disruption could happen at the blink of an eye. Entourage Freight Solutions provides steady services that can help you navigate a turbulent logistics environment and receive important information in real time. Entourage Freight Solutions offers the following services, and many more:

Our LTL service provides on-demand access to capacity, along with real-time data and peace of mind in this high-stakes world.
Our Freight Management lets your team stay organized across inbound and outbound logistics, tracking market capacity and using automation notifications to keep everyone informed.
Our Refrigerated transport provides expertise in everything from finished goods to raw materials, ensuring products arrive on time and in top condition.

Request a quote today to see how Entourage Freight Solutions can solve your key logistics pain points.

Cutting Costs Up and Down the Supply Chain

RSHanline (Nick Terry) — Wed, 27 Mar 2024 20:53:14 GMT

While every for-profit business has its own mission and goals, a commonality exists between all of them: maximizing revenue and saving costs . Some businesses in the food and agricultural industry are coming off pandemic-era highs in terms of demand, which means they’re not seeing the same revenue growth they saw over the last several years.

As such, it’s high time to trim the fat and keep costs low. Keeping tabs on the state of the supply chain industry can help with cost savings and spend planning. Here are eight headlines to stay up to date:

ADM Cuts SKUs, Cuts Costs

Archer-Daniels-Midland Co. is on a mission to cut costs. The food and nutrition giant intends to save half a billion dollars over the next two years, Supply Chain Dive reported .

A big reason for the cost cutting is ADM’s nutrition business. The segment’s revenue fell 6% year over year (YOY). The company will cut 17% of SKUs in the nutrition segment. ADM is also commissioning 300 projects to reduce costs, and it already closed more than 20 animal nutrition production lines .

Going forward, simplicity is the name of the game for ADM. “Many of the supply issues are the result of the complexity built into the Nutrition business over time,” Chairman and CEO Juan Luciano told analysts on a recent earnings call.

A Mixed Truck Tonnage Picture

As some companies notice a slowdown in demand, the trucking market is reflecting the state of the market. In February, truck tonnage dropped 1.4% YOY. That was the 12th consecutive YOY dip, according to Transport Topics. On the plus side, though, tonnage was up 4.3% over January.

The conclusion from American Trucking Associations Chief Economist Bob Costello: “Truck freight remains in a recession.”

ACT Research analysts paint a slightly more optimistic picture. The firm predicts that the freight industry could improve in the second and third quarters of this year. One senior analyst at ACT said truckload CEOs are seeing volumes improve – enough that they can be more selective about their freight mix.

Trucking at the Bottom of the Hill

ATA’s assessment of the trucking industry dovetails with observations by owner-operators, brokers, and other freight analysts.

As Trucking Dive reported , several speakers at the Mid-America Trucking Show, which took place in March in Louisville, Kentucky, agreed that the trucking market has bottomed out. One professor pointed out that over-the-road truckload is at the bottom, while the less-than-truckload sector has now passed the low point.

No matter the segment, it's been a rough several months for carriers in the trucking industry. The segment has been in a trough for about a year and a half, and that could continue for much of this year. Contract rates appear to be flattening out, meaning shippers continue to have the upper hand when it comes to pricing power.

Signs of Freight Growth

Shippers are also transporting a lot less freight than they were last year. In February, shipments were down 4.5% YOY, according to the Cass Freight Index . Expenditures, which measure how much shippers spent on transportation, fell almost 20% compared to last year.

But it’s not all doom and gloom. U.S. manufacturing activity is on the upswing, and that’s leading to higher freight demand, the Journal of Commerce reported . The index was 7.3% higher in February compared to January, and expenditures were up 4% month over month.

Transloading Gets a Boost

As trucking contends with its market reality, logistics companies are witnessing increasing popularity in one particular service: transloading.

The process involves moving freight from rail to truck, or vice versa. It was popular during the pandemic as ports were clogged and capacity was tight. Now it’s seeing a resurgence once again, according to CNBC .

Some of the reasons include diversions from the Suez Canal due to attacks in the Red Sea, limited booking slots at the Panama Canal, and the threat of labor-related strikes at East Coast seaports. As a result of these disruptions, some shippers are sending freight to the West Coast and then going over land to reach East Coast destinations. In fact, disruptions have led to a nearly 20% increase in freight into West Coast ports.

Transloading not only adds flexibility, but it can also save costs for shippers. CNBC’s article notes that retailers can save up to $1,000 in transportation and labor costs with transloading.

Owner-Operators vs. the Judge

Aside from the ups and downs of the market, the trucking industry is also busy navigating the highway of regulation. The latest news concerns AB5, a California law which defines whether workers are classified as employees or contractors.

In mid-March, a federal judge in the state tossed a case from the California Trucking Association and the Owner-Operator Independent Drivers Association. The judge rejected arguments that AB5 should be barred from regulating California’s trucking sector.

Now, fights to keep AB5 out of the state’s trucking industry are “likely at a dead end,” FreightWaves reported . It’s possible that groups could appeal the judge’s decision. But one attorney told the publication they’re not sure how successful it could be, and it might be time to move on.

The EV Transition Price Tag

Another regulatory action taking the industry by storm is the Biden administration’s move to decarbonize the trucking industry. The Environmental Protection Agency plans to finalize a rule that would mandate reduced truck engine emissions, from model year 2027 to 2032.

But compliance will be pricey, according to an article in FreightWaves . The Clean Freight Coalition, which features members such as the American Trucking Associations, LTL carriers, truck dealers and truck stop operators, published a study about the costs. The conclusion: Commercial trucking would have to invest $620 billion in charging infrastructure. On top of that, utility companies would need to spend $370 billion to upgrade their grids so they can handle the demand. Altogether, that’s a $1 trillion price tag, which doesn’t even include the cost of purchasing new battery-electric trucks.

The legislation has plenty of supporters, though. Some environmental groups believe the EPA’s rule isn’t aggressive enough and have called for even stricter regulations. One group, the Zero Emission Transportation Association, advocates for 100% electric vehicle sales and called for a quicker transition to zero-emission trucks.

Supercharging Hydrogen Trucking

Battery-electric isn’t the only path to transition to zero-emission trucking. Fuel-cell, hydrogen-electric vehicles are another option. While they’re much less common, with less infrastructure to support them, Nikola is taking big steps to propel hydrogen trucks forward.

Car and Driver reported that Nikola has built HYLA stations that can refill a commercial truck in less than 20 minutes. The name HYLA combines “hydrogen” and “Nikola,” and it’s a subsidiary of the truck manufacturer.

The stations are not only for Nikola trucks. They use industry standards, so fuel-cell trucks from Hyundai or other manufacturers can also fill up.

Optimize Supply Chain Costs and Efficiency With Entourage

Whatever your supply chain needs, Entourage Freight Solutions can help you with personalized services that maximize efficiency. Entourage Freight Solutions offers the following services, and many more:

Our LTL service provides on-demand access to capacity, along with real-time data and peace of mind in this high-stakes world.
Our Freight Management lets your team stay organized across inbound and outbound logistics, tracking market capacity and using automation notifications to keep everyone informed.
Our Refrigerated transport provides expertise in everything from finished goods to raw materials, ensuring products arrive on time and in top condition.

Request a quote today to see how Entourage Freight Solutions can solve your key logistics pain points.

Less is More? Less-Than-Truckload Shipping Gets a Boost

RSHanline (Nick Terry) — Thu, 21 Mar 2024 14:44:51 GMT

Food and beverage shippers know that the trucking industry is always moving – both literally, and in the sense of the market. Carriers’ rates have been up and down, and one key LTL carrier is on a growth spree.

As tonnage, rates, and capacity continue to change, here are six headlines to keep up to date with the latest in the ever-changing logistics industry:

Saia Basks in February Glory

Things warmed up for Saia in February. The LTL carrier saw an 11% YOY increase in daily tonnage last month, with a 19% boost in shipments and a 6.7% decrease in weight per shipment. That growth was even faster than in January, when tonnage went up 3.3% YOY and shipments grew 11.8%.

“March is the most important month in Q1,” Saia CFO Doug Col told analysts on the carrier’s quarterly earnings call last month. “That's where maybe we'll start to get a better feel for what's going on with this underlying freight economy. … So, we'll see what things look like in March.”

But Saia isn’t waiting until March to invest. According to FreightWaves , the LTL carrier has big growth plans this year—Its $1 billion in CapEx includes $550 million for real estate. The carrier plans to grow its net door count by 12% to 14% this year. And recall that Saia recently acquired 28 terminals from bankrupt Yellow.

Diesel Prices on the Downhill

As carriers like Saia see their tonnage go up, they’re also seeing diesel prices go down. On March 4, the Department of Energy/Energy Information Administration diesel price was $4.022 per gallon. That’s a drop of 3.6 cents a gallon from a week earlier, FreightWaves reported .

When we take a step back, however, the picture is even clearer. At this time last year, the diesel price was $4.282 cents a gallon. That’s 26 cents more than the price at the beginning of this month.

So, why the drop? There are a handful of possible factors. Last year, there was more uncertainty regarding Russia’s diesel supplies as the country continued its invasion of Ukraine. Those supplies have mostly normalized.

More refining capacity for diesel has come online, increasing the ability to supply diesel. For one, ExxonMobil brought on 250,000 barrels a day of new refining capacity at its refinery in Beaumont, Texas.

A final potential reason is the rise of renewable diesel capacity in the U.S. All those factors together equal a softening picture for diesel, which is welcome news for diesel consumers.

Scope 3 Emissions Get the Boot

It’s tough to discuss diesel without also talking about the elephant in the room: greenhouse gas emissions.

There’s a new development in the Securities and Exchange Commission’s climate disclosure rule. The SEC finalized its rule, but it doesn’t require publicly traded companies to report their Scope 3 emissions. On top of that, requirements to report Scope 1 and Scope 2 emissions are scaled back, according to ESG Dive .

The SEC first laid out its climate reporting proposal in March 2022. At the time, Scope 3 emissions—which are generated from a company’s supply chain rather than its direct operations—were slated to be part of the disclosure. However, since then, the SEC has received more than 16,000 comments opposing the inclusion of Scope 3.

While the rule is finalized, the impact isn’t over. KPMG noted that large companies still have to report their Scope 3 emissions to comply with other regulations, such as California’s climate disclosure laws. Plus, many firms have set their own sustainability goals. Tracking Scope 3 emissions, from transportation providers to suppliers, holds them accountable for meeting those targets.

A Costly Forklift Regulation

In other regulatory news , the California Air Resources Board is developing a rule that would require businesses and local governments to replace combustion forklifts with battery-electric ones. According to a new economic impact report released by the Western Propane Gas Association, this wouldn’t be cheap.

WPGA estimates the regulation will cost California forklift owners and operators up to $27 billion, Food Logistics reported .

The association notes that, under the regulations, operators will spend $10 billion on forklift replacements and will have to buy new forklifts even if their internal combustion ones are fully functional. They’ll also spend more than $6.3 billion on implementing charging stations, and that doesn't include any costs to upgrade power supplies or actually transmit electricity.

But making the transition to battery-electric forklifts is also a critical part of CARB’s strategy . According to the board, the measure helps meet California’s air quality and greenhouse gas reduction goals. The board will consider the rule this summer.

Smaller Suppliers Feel the Pinch

A recent Supply Chain Dive article took a look at the finances of small companies. Turns out, many are in worse shape than before the pandemic began. Private middle-market companies have filed for bankruptcy four times as often as public large companies since 2019. Those middle-market companies also saw earnings before tax drop 20% from 2019 to 2022, while large companies’ earnings rose 20%.

“Their profit margins are being squeezed. Their capital costs are increasing,” Rapid Ratings Executive Chair James Gellert told Supply Chain Dive.

It can behoove large firms to support their suppliers. Some buyers are pressuring suppliers with short lead times or canceled orders. By avoiding those practices, and offering faster payment terms, large buying companies could improve the health of their suppliers and the overall value chain.

The Need for Cold Chain Focus

Here’s a staggering statistic: $1 trillion of food goes to waste every year.

Can supply chains dramatically reduce that? Most certainly, according to Food Logistics . The publication calls on companies to make cold chain technology a big focus for 2024. The food supply chain hasn’t kept pace with the food industry’s rapid expansion, with thousands of farms, restaurants, and grocery stores feeding the nation. Fast and reliable transportation is essential.

One solution is to remove moisture from shipping containers. Companies can also use technology for better circulation in a container. Another is to use expedited trucking . These strategies help better maintain the freshness of perishables, in an environment where every degree counts.

“Holding in cold temperatures and improving the flows of refrigeration should be the north stars of the logistics industry in the coming years,” the article stated.

Tyson’s Call for Cold Chain and More Startups

As the industry rallies around modernizing and cutting down waste in the cold chain, Tyson Foods is making its own play.

The CPG’s venture capital arm, called Tyson Ventures, will hold its third Demo Day this summer, Food Business News reported . Startups focused on everything from cold chain to forecasting to logistics software are invited to pitch their technology solutions at the Demo Day event.

The idea is for Tyson to work with startups to improve sustainability and efficiency across its supply chain, while Tyson provides mentorship and partnerships to the startups.

As Tyson’s CFO put it: “Together, we can reimagine, innovate, and elevate the protein supply chain across every touchpoint.”

Securing Capacity – LTL or Otherwise – With Entourage

Whatever your logistics needs, Entourage Freight Solutions can help you with personalized services and security capacity. Entourage Freight Solutions offers the following services, and many more:

Our LTL service provides on-demand access to capacity, along with real-time data and peace of mind in this high-stakes world.
Our Freight Management lets your team stay organized across inbound and outbound logistics, tracking market capacity and using automation notifications to keep everyone informed.
Our Refrigerated transport provides expertise in everything from finished goods to raw materials, ensuring products arrive on time and in top condition.

Request a quote today to see how Entourage Freight Solutions can solve your key logistics pain points.

How Expedited Trucking Can Help Speed Up Production Lines

adam@the-robinson-agency.com — Fri, 23 Feb 2024 14:00:27 GMT

Imagine hitting a turbo button on your production line, where downtime shrinks, deliveries speed up, and your entire operation swiftly pivots to meet the market's ever-changing demands. We aren't talking about a feature from the latest Nintendo game; it's the reality of leveraging expedited trucking in the real world. With this service, you've got a secret weapon in the competitive arena of logistics and supply chain management, ensuring your products don't just reach their destination on time but do so in a way that keeps your business a step ahead.

Diving into the world of expedited trucking, we uncover its critical role as not just a fast delivery service but a strategic asset that boosts your production efficiency. It's about turning potential logistical nightmares into opportunities for growth and profit. Expedited trucking ensures that every second counts, translating directly into savings and earnings for your business.

Accelerating Production Through Expedited Trucking

Expedited trucking ensures fast and reliable transport . But where it shines is in keeping production lines moving smoothly by linking raw materials directly to production needs, helping businesses stay nimble and ahead of the curve. The benefits transcend speed; they keep operations seamless and responsive to every opportunity and challenge.

Minimizing Production Delays

Suppose you're at the helm of a food manufacturing plant and in the final stretch of preparing a large shipment of frozen pizzas for a national grocery chain. Everything goes smoothly until you discover you're short on a critical ingredient: high-quality mozzarella cheese. The clock is ticking, and the absence of this key component could delay your entire production, risking your delivery deadlines and, ultimately, your relationship with the grocery chain.

That's where expedited trucking steps in, not just as an innovative delivery solution but as the savior of your production line. Perfectly suited for those moments when time isn't just money but everything, it ensures that the missing mozzarella cheese is transported from the supplier to your facility with no time to waste, turning a potential production halt into a minor hiccup.

This rapid response service isn't about mere speed; it's about smart logistics —prioritizing your urgent needs, choosing the fastest routes, and allowing you to maintain just the right level of inventory. This agility keeps your operations flexible and ready to face planned and unplanned challenges head-on. With expedited trucking, it doesn’t matter whether you’re dealing with an unexpected spike in demand or overcoming supply chain disruptions.

Enhancing Supply Chain Responsiveness

Expedited trucking emerges as the secret weapon in your production arsenal , effortlessly steering through abrupt market shifts and supply chain complications. This dynamic service empowers businesses with the agility to adapt quickly—be it rushing a last-minute supply or managing a surge in orders—to minimize delays and maintain optimal inventory levels. In today's market, where consumers demand increasingly personalized products, swiftly adjusting production lines becomes crucial. The stakes are high, with personalization driving a 10% to 15% increase in revenue . Salesforce research emphasizes this trend, with 66% of consumers expecting companies to anticipate their unique needs. Thus, there’s a need for flexible production lines , with expedited trucking stepping in to meet these evolving demands. It ensures that companies remain versatile, operations are smooth, and commitments to on-time delivery are solid, regardless of the challenges ahead.

Strategic Advantages of Expedited Trucking for Manufacturers

Expedited trucking is more than just a fast lane for shipping; it's a strategic powerhouse that perfectly complements Just-in-Time (JIT) manufacturing . This dynamic duo revolutionizes how manufacturers approach production, slashing inventory costs and minimizing waste in a way that's both efficient and sustainable.

JIT Manufacturing's Best Friend

At the heart of JIT manufacturing is the goal to produce what's needed right when it's needed, eliminating the cost and clutter of unused stock. Expedited trucking stands out here, delivering materials precisely on schedule and ensuring their arrival just when the production line needs them. This tight coordination between manufacturing and logistics not only keeps inventory lean—significantly cutting down on holding costs—but also streamlines the entire production process.

Moreover, with expedited trucking, manufacturers can reduce unnecessary inventory, leading to lower shipping costs, reduced storage expenses, and more space for productive use. Efficiency in logistics is key; an average automotive manufacturer can face up to 800 hours of downtime annually, with costs soaring to $22,000 per minute when production stalls . Expedited trucking's knack for timely delivery, seen in industries like Toyota's automotive production , aligns with JIT to keep those costs at bay, proving its weight in gold by maintaining a continuous, cost-effective production flow.

Strengthening Vendor Relationships

The strategic value of expedited trucking extends beyond the factory floor, strengthening the bond between manufacturers and suppliers through dependable, predictable delivery schedules . This level of reliability is non-negotiable, especially in B2B relationships where every minute counts. Expedited trucking's ability to quickly transport shipments reduces the need for large inventory reserves, allowing businesses to operate more leanly and responsively. This operational efficiency doesn't just boost the bottom line; it enhances the customer experience and positions a company as a reliable partner in the eyes of suppliers. For instance, a company based in the U.S. could compete head-to-head with competitors physically located in Canada by offering a dedicated expedited solution.

Streamlining Production with Expedited Trucking

Integrating expedited trucking into your production line management can transform how you meet deadlines, manage inventory, and satisfy customer demands. However, This strategic move requires careful consideration to ensure it aligns with your production needs and benefits your overall efficiency.

Selecting the Right Expedited Trucking Provider

Choosing the right expedited trucking provider is a critical first step in enhancing your production line. Look for a partner with a solid track record in urgent shipping , capable of accommodating last-minute demands while maintaining on-time delivery . Assess their range of services and transit times and understand the costs involved . It's vital to consider their coverage area and whether they offer real-time tracking capabilities, allowing you to monitor your shipments closely. Additionally, ensure they adhere to stringent security measures and comply with industry regulations , as the safety of your goods and adherence to legal standards are non-negotiable. Customer service should also be a key criterion; responsive support is essential for swiftly addressing any issues.

Weighing Costs Against Benefits

While expedited trucking offers undeniable speed and reliability, it comes at a premium. Balancing these benefits against the cost is key to making it a viable part of your logistics strategy. Expedited deliveries can enhance customer satisfaction and give you a competitive edge by allowing you to adapt quickly to market demands. However, it's essential to craft cost-effective strategies to mitigate the higher expenses associated with expedited services. Measuring the return on investment (ROI) is critical in this context. Calculate the ROI by comparing the net profit generated from expedited deliveries against the total cost of these services. This analysis will help you understand whether the speed and efficiency of expedited trucking translate into tangible value for your business, ensuring your production line remains competitive and responsive.

Sector-by-Sector: How Expedited Trucking Enhances Production Efficiency

Let’s tie it all together with a brief look at how expedited trucking plays a key role in enhancing production line efficiency across various sectors. Consider the following hypothetical examples:

Automotive Industry: Imagine a car manufacturer preparing to launch a new model. The production schedule is tight, and any delay could lead to significant financial losses. In this scenario, expedited trucking could ensure that essential parts and components arrive just in time for assembly, supporting the tight production schedule and ensuring a successful launch.
Healthcare Industry: Consider a hospital experiencing a sudden surge in patient numbers due to an unexpected health crisis. The hospital urgently needs additional medical equipment to cope with the increased demand. Expedited trucking could play a vital role in delivering the required equipment promptly, enabling the hospital to meet the surge in demand and provide necessary care to patients.
Retail Sector: Picture a retail store preparing for the holiday season. The store needs to manage its inventory effectively to meet the expected increase in customer demand. Expedited trucking could deliver additional stock quickly, helping the store manage its seasonal inventory challenges and meet customer expectations.
Manufacturing: Visualize a manufacturing company that relies on various components to produce its products. A delay in the delivery of any component could lead to costly production delays. In such a case, expedited trucking could ensure the timely delivery of components, preventing production delays and associated costs.
Food Industry: Think about a restaurant that prides itself on serving dishes made from fresh, high-quality ingredients. Any delay in the delivery of these perishable ingredients could impact the quality of the dishes served. Expedited trucking could ensure these ingredients' freshness and timely arrival, enabling the restaurant to maintain its high standards.

Enhance Your Production Line With Entourage Freight Solutions

Expedited trucking is essential for keeping your production line moving smoothly and swiftly. It's not just about speed; it's a strategic tool to avoid downtime and increase efficiency, giving you an edge in today's competitive market. Whether dodging delays or adjusting to sudden market changes, expedited trucking has your back, ensuring your business remains adaptable and on track.

Entourage Freight Solutions (EFS) offers many expedited trucking services designed to meet these diverse needs. Whether you need Full Truckload , Less Than Truckload , Refrigerated Trucking , or something more specific like Special Projects , EFS has you covered. With a commitment to leveraging the latest technology for real-time tracking and efficient freight management, EFS operates around the clock to be there whenever you need them.

Need a logistics partner to help keep your operations running smoothly and respond to the market's demands? Contact Entourage Freight Solutions today for a quote and see how expedited trucking services can boost your supply chain and keep your business competitive.

Preparing Your Freight for Expedited Trucking

RSHanline (Nick Terry) — Fri, 16 Feb 2024 13:56:25 GMT

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The Role of Communication in Expedited Trucking

Wed, 31 Jan 2024 13:46:43 GMT

Imagine a small, rural hospital facing an urgent crisis: their only MRI machine has broken down, and a patient with a suspected brain aneurysm needs an immediate scan. The nearest replacement part for the machine, a critical magnetic coil, is over 500 miles away. Enter Mike, an experienced driver in the expedited trucking industry, who receives the call for this emergency delivery.

As Mike sets off in the early hours, his dispatcher, Sarah, is already mapping out the fastest, safest route. She keeps an eye on live traffic updates and weather forecasts, ensuring Mike avoids any delays. Their communication is constant and efficient, with Sarah relaying information about potential road closures and Mike providing progress updates.

Back at the hospital, tensions run high. Yet, the trucking company's customer service team maintains a steady line of communication with the hospital, providing reassurance and real-time updates on the magnetic coil's arrival.

This scenario isn't just a story; it's a day in the life of the expedited trucking industry, where such high-pressure situations are routine. Here, communication goes beyond talking over the radio or sending emails . It’s a key strategic principle that can mean the difference between life and death.

Enhancing Operational Efficiency through Communication

Effective communication is a building block of smooth operations in expedited trucking. It isn't just about passing messages; it’s about creating a seamless flow between dispatchers and drivers to ensure timely deliveries and happy customers.

Streamlining Dispatch and Driver Interactions

Clear and concise communication between dispatchers and drivers is fundamental to the smooth running of any trucking operation. Dispatchers are orchestrators and direct drivers to their destinations while often managing multiple routes and schedules simultaneously. Drivers, as the executors, navigate through unpredictable roads and weather conditions. This dynamic duo must work in perfect harmony to avoid costly delays and errors and allow for swift adjustments and decision-making. It's all about understanding and being understood.

Leveraging Technology for Better Communication

Technology has revolutionized how dispatchers and drivers communicate, making information exchange faster, more reliable, and more efficient. For instance, real-time data sharing and GPS tracking have become indispensable tools in expedited trucking by providing a live view of vehicle locations, enabling dispatchers to make informed decisions, and relaying accurate information to drivers and clients. At the same time, these tools combined enable dynamic routing. Dispatchers can reroute drivers based on traffic conditions, road closures, or weather issues, minimizing delays and enhancing delivery predictability.

Solving Problems and Improving Safety with Effective Communication

The benefits of effective communication go beyond staying on schedule. Communication is also a vital tool for problem-solving and enhancing safety. With the right communication strategies, managing both expected and unexpected challenges efficiently and safely is achievable.

Quick Resolution of On-Road Challenges

Imagine a driver encountering an unexpected road closure or a cargo issue. As we showed in our intro, instant and clear communication with the dispatch team can be the difference between a minor hiccup and a major delay. With real-time communication, dispatchers can quickly assess the situation, provide alternative routes, or offer solutions to cargo-related issues. This responsiveness ensures the prompt resolution of problems, minimizes downtime, and keeps schedules on track.

Ensuring Driver Safety through Advanced Communication Tools

Driver safety is paramount, and advanced communication tools play a critical role. Telematics systems, for instance, provide vital data on vehicle performance and driver behavior, enabling proactive maintenance and safer driving practices. Custom mobile applications are another boon. They offer drivers easy access to essential information without the distraction of handling multiple devices or paperwork. These apps can send alerts about weather conditions, traffic updates, or route changes, allowing drivers to focus on the road with fewer distractions.

Building a Supportive Trucking Community

Finally, building a supportive community is essential for driver well-being and job satisfaction in the often-solitary world of trucking.

Fostering Team Spirit and Driver Engagement

The rise of social media and digital platforms has opened new avenues for drivers to connect, share experiences, and support each other, regardless of their physical location. Online forums, social media groups, and dedicated apps allow drivers to engage in real-time conversations, exchange tips, and celebrate each other’s successes. This digital camaraderie fosters a sense of belonging and team spirit, which is crucial in an industry where isolation can be challenging. Moreover, companies can leverage these platforms to recognize driver achievements, share important updates, and gather feedback, nurturing a culture of inclusivity and loyalty .

The Impact of Communication on Driver Satisfaction

Effective communication goes beyond just passing information; it enhances driver satisfaction. When drivers feel heard and valued, their job satisfaction levels rise. Regular check-ins, transparent communication about schedules and expectations, and providing a platform for drivers to voice their concerns are all practices that contribute to a supportive environment. After all, 4 in 5 American workers report stress due to poor communication , while good communication can improve productivity by up to 25%.

Tying Together the Power of Communication in Expedited Trucking

The essence of expedited trucking revolves around precision, speed, and reliability , all underpinned by robust communication between dispatchers, drivers, and customers. From managing unexpected road closures to enhancing driver safety with advanced tools, communication improves operational efficiency and builds a sense of community and satisfaction. Every minute counts, and clear and efficient communication is the backbone of success.

Entourage Freight Solutions (EFS) stands at the forefront of integrating these communication principles into practical, real-world services . As a well-rounded provider with offerings from full truckload to specialized freight management designed to cater to diverse needs while prioritizing safety, efficiency, and reliability, EFS understands the critical role of timely deliveries, expedited service , robust communication, and 24/7 support. Advanced communication tools, coupled with a network of strategic locations, ensure that your cargo is handled with the utmost care and precision, no matter how urgent or sensitive.

Ready to experience a new level of expedited trucking service? Request a quote from Entourage Freight Solutions today and get started.

Understanding the Regulatory Environment of Expedited Trucking

Fri, 26 Jan 2024 13:36:43 GMT

2024 is shaping up to be a rollercoaster year for expedited trucking and the trucking industry as a whole. Think of it as a highway under constant construction, with new speed limits and safety signs emerging. The U.S. Department of Transportation (DOT) and the Federal Motor Carrier Safety Administration (FMCSA) are ramping up their game – imposing heftier fines for non-compliance. On the horizon, there are potential new laws. Imagine trucks mandated to have built-in speed caps, automatic braking systems, or Electronic Identification Devices becoming the standard, requiring you to upgrade your fleet just as you would swap an old phone for a smart one.

That's just the tip of the iceberg. For everyone in expedited trucking, it's time to buckle up, stay alert, adapt, and keep pace with the pros, cons , changes, and proposed changes we’ll discuss in this article.

Key Regulatory Changes in the Trucking Industry for 2024

Let’s first focus on three critical areas of change: stricter enforcement, higher fines, and new safety regulations.

Stricter Enforcement and Financial Penalties

The FMCSA is adopting a tougher stance with increased fines for non-compliance. This move isn't just a random decision; it's part of a yearly update required by a law passed in 2015, known as the Federal Civil Penalties Inflation Adjustment Act Improvements Act. This law is about keeping fines in step with inflation, ensuring they remain a strong deterrent against violations.

As a result, if you find yourself caught bending the rules – say, falsifying records or ignoring out-of-service orders – expect to feel a heavier pinch in your wallet. To put it into perspective, the penalty for falsifying records has jumped from $14,960 to $15,445 . It clearly signals that the FMCSA is serious about reinforcing safety and compliance, especially for smaller trucking businesses that might more acutely feel the impact of these increased fines.

Other Adjustments in Civil Penalty Amounts

DOT has also updated civil penalty amounts for various infractions in line with inflation in response to economic changes and to ensure that fines continue to deter regulatory violations effectively. As of January 2024, significant adjustments include increased penalties for premerger filing notification violations under the Hart-Scott-Rodino Improvements Act (from $50,120 to $51,744), violations of cease and desist orders under the Clayton Act (from $26,628 to $27,491), and several infractions under the FTC Act, including unfair or deceptive acts (each from $50,120 to $51,744). Additionally, penalties for failures to file required reports and maintain necessary records under several acts have increased from $659 to $680.

Potential New Federal Laws

On top of the harsher fines and penalties, the trucking industry is also facing some proposed new federal rules and regulations focused on vehicle safety and employment practices:

Speed Limiters on Trucks: Balancing speed, safety, and service is a constant trucking challenge, and The FMCSA is getting involved with a proposal to mandate speed limiters on commercial motor vehicles with a gross vehicle weight of over 26,000 pounds. Proposed initially to cap speeds at 68 mph, this specific limit was later retracted, pending a final decision after public comment. This change aims to enhance road safety by controlling truck speeds on interstate highways.
Automatic Emergency Braking Systems: There is a proposed rule, expected to be finalized by April 2024, for the mandatory inclusion of automatic emergency braking systems on new commercial vehicles over 10,000 pounds. This development is part of ongoing efforts to reduce accidents and improve safety standards in heavy truck operations.
California's AB5 Labor Law: Potentially expanding to the federal level, California's AB5 law is redefining the classification of many independent contractors and gig workers as employees. This shift could significantly impact employment practices within the trucking industry, aiming to provide more worker protections while potentially requiring business model adjustments.

Potential Technological and Sustainable Trucking Changes in 2024

Beyond the key regulatory changes we discussed above, there are two other ones to consider. One is the proposed Electronic Identification Devices (UIDs) requirement by FMCSA, and the other is California's Advanced Clean Trucks Regulation. While one is a proposal and the other is already in motion, they each signal a trucking industry on the cusp of significant changes in technology and regulation driven by environmental concerns, safety measures, and the need for increased efficiency.

Electronic Identification Devices (UIDs) Requirement by FMCSA

Since September 2022, the Federal Motor Carrier Safety Administration (FMCSA) has been pushing a game-changing rule for commercial motor vehicles: requiring Unique Identification Devices (UIDs). Sparked by a petition from the Commercial Vehicle Safety Alliance (CVSA), this proposal would equip every interstate commercial vehicle with technology to transmit a unique ID to safety enforcement personnel wirelessly. The goal? To boost safety and compliance monitoring by pinpointing vehicles needing inspections and honing in on higher-risk carriers and drivers.

However, there's a catch: privacy concerns. A 2023 Pew Research Center survey reveals growing unease: 71% of Americans worry about how the government uses their data, up from 64% in 2019. People feel powerless over their data, with 73% concerned about companies and 79% about government handling. Unsurprisingly, these concerns center on using, accessing, and securing data gathered through UIDs.

California's Advanced Clean Trucks Regulation

Effective 2024, California's Advanced Clean Trucks Regulation ushers in a new era in transportation, mandating 5% to 9% of truck sales to be zero-emission, depending on the category. This pioneering initiative aims to diminish emissions and foster clean technology, aligning with California's vision to transition to a zero-emissions transport system by 2045 . However, even though zero-emission vehicles are emission-free during operation, they still emit pollutants during their construction and the production of energy carriers. Moreover, the higher costs associated with zero-emission vehicles stemming from vehicle prices, new fueling infrastructure, and performance attributes are challenging, particularly for small fleet operators . Such operators bear the brunt of operational changes and financial pressures due to these higher costs while managing limited resources.

Strategies for Navigating the New Regulatory Landscape

Now that you have a bird’s eye view of the trucking industry’s new regulatory landscape, what can you do to stay compliant? It requires a strategic approach, and we’ve outlined five tips you can employ:

Regular Training and Updates: Stay informed about the latest FMCSA regulations and ensure that all employees, especially drivers, receive regular training on these updates. This approach helps understand and adhere to new rules, thus minimizing the risk of violations and associated fines.
Investing in Compliance Tools: Utilize advanced software solutions designed for the trucking industry. These tools can track and manage compliance-related tasks, making it easier to adhere to FMCSA regulations. Features like automated alerts, record-keeping, and reporting functionalities are invaluable.
Proactive Maintenance: Regular vehicle maintenance is more important than ever. Ensure that your fleet meets all safety standards to avoid violations related to vehicle condition. Doing so not only helps in compliance but also in ensuring the safety of your operations.
Accurate Record-Keeping: Maintain meticulous records of driving hours, vehicle maintenance, and other compliance-related information. Accurate record-keeping is essential for compliance, particularly with the increasing complexity of regulations and the heightened emphasis on documentation.
Seeking Professional Advice: Consider consulting with legal or compliance experts specializing in the trucking industry. They can provide tailored advice and help with specific challenges and changes in regulations.

On the Fast Track: Closing Remarks on the Evolving Trucking Industry

Expedited trucking in 2024 feels like a high-speed chase with new rules, regulations, and technological advancements. From higher fines to new laws to proposed new laws, it's not just about keeping up; it’s about staying safe, efficient, and profitable no matter what comes your way.

Now's the perfect time to team up with a logistics partner who handles these changes. Entourage Freight Solutions (EFS) is at the forefront with expertise and diverse services. From the demanding world of food service logistics to a wide array of shipping needs, EFS ensures top-notch service with the customer at the center. Addressing everything from full truckload shipments to specialized freight management and using cutting-edge tech, they ensure each shipment is monitored and adapted to changing circumstances, maintaining high service quality and efficiency.

So, why not take the next step? Contact Entourage Freight Solutions, request a quote , and prepare to steer your business through 2024 and beyond.

How Does Expedited Trucking Transform Food Manufacturing Operations

Mon, 22 Jan 2024 13:32:59 GMT

As the world speeds up, so do the demands on the food industry. Picture a seasonal fruit company about to launch a limited-edition mango-flavored ice cream. But, with just a week left, they face a sudden shortfall of ripe mangoes due to unexpected storms. Enter expedited trucking: a fast and carefully coordinated service built for such emergencies . Within hours, a refrigerated truck dedicated solely to this task races across states, ensuring the mangoes arrive fresh and on time.

This mission, more than just a delivery, is a testament to the growing significance of expedited trucking in food manufacturing. As we go deeper into this topic, we'll see how this fast-paced logistical solution has evolved from a convenience to a necessity, reshaping how food reaches from farm to factory to fork in record time .

Understanding Expedited Trucking in Food Manufacturing

The role of trucking in food manufacturing is like the bloodstream in the body: essential and life-sustaining. With trucking responsible for moving roughly 72.6% of the nation’s freight , it’s toiling behind the scenes, bringing ingredients to factories, products to shelves, and connecting farms, factories, and families. Consider expedited trucking as its express lane.

The Expedited Trucking Process

Unlike standard trucking, which operates on pre-set schedules and routes, expedited trucking is the 911 call of logistics. It's a tailored, rapid-response service that handles urgent, time-sensitive deliveries. When regular shipping says "in a week," expedited trucking says "overnight" or even "within hours." This process often involves dedicated vehicles and non-stop driving, bypassing the usual logistical hurdles to deliver urgent shipments as fast as possible.

Key Benefits for Food Manufacturers

For food manufacturers, expedited trucking is not just a service; it's a strategic advantage with three key benefits:

Time-Sensitivity: In a world where timing is everything, expedited trucking ensures that seasonal, perishable, or limited-time products hit the market exactly when needed.
Reduced Spoilage: Fast delivery means fresh ingredients and products, meaning less spoilage and waste for perishables like dairy, meats, fruits, and vegetables. After all, the U.S. wastes more food than any other country: nearly 120 billion pounds a year, or about 40% of the country’s entire food supply .
Efficiency: Expedited trucking streamlines the supply chain, enabling manufacturers to operate leaner and respond faster to market demands and unexpected challenges.

Impact on Supply Chain Dynamics

The addition of expedited trucking into the supply chain is like introducing a high-speed train into a world accustomed to stagecoaches . It's transforming the dynamics of the movement and management of goods, making the supply chain faster, smarter, and more responsive.

Enhanced Supply Chain Efficiency

Imagine a world where the supply chain operates with the precision and speed of a finely tuned sports car. That's what expedited trucking brings to the logistics world. By significantly reducing transit times, expedited trucking allows businesses to implement just-in-time inventory strategies, transforming their operations into lean, agile systems that cut down on warehouse storage needs and associated costs and enable quick responses to market demands and customer needs.

Take a boutique hot sauce company, for instance. The company’s unique, spicy creations are hot in taste and demand, and they're having trouble keeping pace. So, they turn to expedited trucking. The service works almost as a superpower for the company, ensuring the exotic peppers, spices, and ingredients needed arrive ASAP from distant suppliers—no more waiting for weeks, no risk of losing customers to competitors.

Risk Management in Food Transportation

The path perishables take from farm to fork is fraught with potential risks like temperature fluctuations, contamination, physical damage during transit, delays leading to spoilage, and loss due to inadequate storage facilities. Expedited trucking mitigates risks such as spoilage, contamination, or damage to sensitive products by shortening the delivery window. For instance, a dairy company switching to expedited trucking services can see a noticeable decrease in spoilage rates, ensuring that the products reaching consumers are as fresh as possible.

Technological Advancements and Innovations

Technology is reshaping our daily lives, and expedited trucking in food manufacturing is no exception. These advancements are not just about moving goods faster but smarter, safer, and more sustainable logistics.

Role of Technology in Expedited Trucking

Think of expedited trucking today as like a well-coordinated offense of a football team, where every player, or in this case, technology, has a specific, vital role . GPS tracking is the quarterback, guiding trucks along the most efficient routes and ensuring timely deliveries. Temperature monitoring technologies act like the offensive line protecting perishable goods against spoilage. Sophisticated logistics software functions like the coach, devising strategies to optimize routes, manage fuel usage, and enhance delivery times. It’s an orchestrated synergy that ensures your time-sensitive food items arrive in peak condition.

Future Trends in Food Logistics

The future of food logistics promises even greater efficiency and innovation, with advancements set to streamline the process of expedited trucking and contribute to more sustainable and eco-friendly logistics.

One key trend is the increasing use of electric trucks, which could significantly reduce carbon emissions by at least 63% while maintaining the speed and efficiency of deliveries. Autonomous trucking technology is another exciting development, offering around-the-clock transportation without the constraints of human drivers. Additionally, AI and machine learning will likely become more prevalent, enabling predictive analytics to anticipate demand better and optimize supply chain operations.

Best Practices for Food Manufacturers

For food manufacturers, selecting the right expedited trucking service is about partnering with a carrier that can handle transporting perishable goods efficiently and reliably . Here are 5 points to consider when making that decision:

Evaluate Carrier Reliability and Experience: Prioritize carriers with a strong history in expedited trucking and experience in handling perishables. High on-time delivery rates and positive customer testimonials are good indicators of reliability.
Assess Technology and Tracking Capabilities: Choose carriers with advanced tracking and temperature monitoring technologies. This level of transparency allows for real-time monitoring of the shipment's condition and precise location tracking.
Understand Pricing Structures: Carefully compare the pricing of various carriers. While affordability is necessary, the cheapest option may not always offer the best value. Weigh the cost against the quality of service, reliability, and speed.
Plan for Flexibility and Scalability: Opt for a carrier that can adapt to your fluctuating needs, especially during peak seasons or in response to unexpected demand. Flexibility and scalability in a carrier are crucial for handling changing business dynamics.
Seek Carriers with a Diverse Fleet: A carrier with a varied fleet can offer more tailored solutions for different types of shipments. Whether refrigerated trucks for dairy products or smaller vans for quick urban deliveries, a diverse fleet ensures that the specific needs of each shipment are met.

Sealing the Deal: Why Choose Entourage Freight Solutions

Expedited trucking has become a cornerstone in food manufacturing, transforming the way we handle perishables with efficiency and precision. This service, more than a mere convenience, is a strategic asset that addresses the unique demands of food logistics – delivering freshness at speed.

Entourage Freight Solutions (EFS) embodies this dynamic , offering tailored services that cater to the diverse needs of foodservice and food manufacturing . From comprehensive truckload options to specialized refrigerated transport and beyond, EFS's portfolio covers every aspect of modern food logistics. They provide a reliable network of services, including Full Truckload , Less Than Truckload , Refrigerated Trucking , Cross Docking , and more, ensuring that your food products are handled with the utmost care and professionalism.

For those seeking a logistics partner that combines speed, reliability, and expertise, reach out to Entourage Freight Solutions and request a quote to elevate your food transportation strategy.

DC to DC and Beyond: Three Trends Shaping Food Transportation

RSHanline (Nick Terry) — Fri, 12 Jan 2024 00:14:48 GMT

Let's cut to the chase — 2024's food transportation and logistics outlook is pulsing with innovation and challenges . Imagine a world where sleek technology seamlessly intertwines with the gritty realities of labor and operational costs, all while consumer choices shift like the tides. This sector isn't just about DC-to-DC transfers or the backdrop to our daily lives; it's a living, breathing ecosystem adapting to the rhythms of technological progress, economic shifts, and evolving tastes. We're about to unpack three transformative trends shaking up the industry, revealing what’s making it tick and keeping our world nourished and moving.

Trend 1: Technology and Automation in Food Logistics

Food logistics is undergoing a revolutionary change driven primarily by technology and automation. It’s a shift not just about efficiency but a response to various challenges, including changing consumer demands, environmental concerns, and the need for greater transparency.

Rising Importance of Supply Chain Visibility

Recent events over the past three-plus years have revealed the fragility of our food supply chain. The pandemic led to abrupt order cancellations for foodservice suppliers, resulting in significant stock excess due to mismatches in packaging sizes , exacerbating food waste. Geopolitical tensions, particularly the conflict in Ukraine, have disrupted vital crop supplies like wheat and corn, impacting global food accessibility . Similarly, climate change has led to concerning agricultural shifts ; Malaysia's chicken export restrictions due to reduced egg production in extreme heat and India's wheat export ban following a heatwave-induced yield drop are prime examples.

In response, technology has become indispensable. With only 6% of companies having full supply chain visibility, 70% now prioritize this aspect strategically . Emerging technologies like AI and machine learning further revolutionize this space , enhancing demand forecasting, inventory management, and market responsiveness.

Adoption of Advanced Technologies

Let's take a closer look into those innovative technologies transforming food transportation:

Real-Time Visibility: Essential for tracking goods, monitoring inventory, and adapting to demand changes. Alpine Fresh, a major player in the U.S. fruit and vegetable import market, is a prime example of the impact of this technology . They faced substantial losses due to untraceable shipments and product spoilage, so they turned to Tive’s Solo 5G trackers. This move improved their logistics operations and saved them hundreds of thousands of dollars.
Blockchain: This technology offers a secure, decentralized ledger, vital for industries needing high transparency and traceability. Nestlé's use of IBM's Food Trust blockchain ledger exemplifies this . Through it, they can track the origin of products like Mousline purée and Zoégas coffee, partnering with the Rainforest Alliance to monitor cocoa bean sources, enhancing consumer transparency and supporting sustainable farming practices.
Artificial Intelligence (AI): AI's application ranges from predictive analytics to data analysis and automation. Its impact on the food supply chain is significant, addressing challenges like container storage costs, asset planning, and route optimization. The increasing adoption of AI-driven solutions in the industry is a testament to its effectiveness in streamlining operations and enhancing overall efficiency.

Trend 2: Addressing Operational Challenges

The second trend shaping food transportation and logistics is addressing operational challenges. This trend encompasses two major areas: labor and talent management and capacity and cost issues.

Labor and Talent Management

Beyond food logistics, the challenges of retaining workers and managing rising labor costs impact the entire value chain in the transportation and logistics sector. Despite wage increases, logistics operations struggle with hiring and retaining frontline workers. Over 3 million truck driver positions are unfilled globally, including a 60,000 driver shortage in the U.S. Worse, this global shortage could double by 2028 . To address these issues, companies are building strategic relationships with temporary staffing agencies and prioritizing proactive hiring, employee development, competitive compensation packages, workforce retention , and developing managers and supervisors. They also leverage technology like advanced tracking and automation systems for more efficient operations.

Dealing with Transportation Capacity and Cost Issues

A 2022 survey revealed that 71.8% of companies were dealing with global supply chain disruptions, and 57.7% were working through ongoing transportation capacity shortages. Consequently, U.S. business logistics costs surged to $2.3 trillion, a substantial 19.6% increase from the previous year, accounting for 9.1% of the nation's GDP, the highest in the deregulated era . These challenges persisted throughout 2023 and led to rising transportation costs , directly impacting the profit margins of food and beverage manufacturers and causing widespread operational disruptions.

In response, companies are adopting innovative approaches like big data analytics for improved operational insights and route optimization, utilizing Industry 4.0 tools for waste reduction and food safety , switching to more efficient materials like plastic pallets for transportation, and implementing advanced optimization algorithms to enhance transportation efficiency.

Trend 3: Consumer Behavior and Market Dynamics

The third and final trend impacting food transportation and logistics is the interplay of evolving consumer behaviors and global market dynamics.

Shifting Consumer Preferences

Shifting consumer preferences are significantly influencing food transportation. A study by Ingredion shows that 75% of consumers are making more deliberate food choices, with a willingness to pay more for brands aligning with their ideals. Deloitte UK also highlights how the rise in energy prices in 2023 drove consumers towards sustainable products and packaging . Simultaneously, BCG reports that health, quality, and nutrition are top priorities in food choices.

These trends necessitate efficient transportation for fresh, organic, and local foods, transparency in processed food supply chains, and robust networks for increasing online grocery shopping and home delivery services. Moreover, as consumer behavior evolves, driven by social trends, economic conditions, and technological advancements , businesses must adapt their supply chain and product offerings to meet these changing demands.

Economic and Geopolitical Influences

As we kick off 2024, the food transportation sector is still reeling from the prolonged impacts of inflation that began in mid-2021 despite recent signs of easing . Plus, even if the economy sees a “soft landing” in 2024, economists still expect inflation to remain above the Fed’s long-term 2% inflation target . After all, food prices increased 5.8% in 2023 and could rise another 1.2% in 2024 . Compounding these challenges are geopolitical tensions and fluctuating global trade policies. Tensions are occurring worldwide, but the Russia-Ukraine War, with the region’s importance to energy and as Europe’s breadbasket , has disrupted supply chains and spiked energy prices.

In response, the sector is adopting several strategies to mitigate these effects. These include improving operational efficiency, strategically managing costs and purchases , and enhancing price-negotiation capabilities . In addressing geopolitical uncertainties, investments in renewable energy , effective recycling of surplus nutrients, regionalizing supply chains , and exploring alternative revenue streams are also key tactics.

Food Logistics: Entourage Freight Solutions (EFS) and The Road Ahead

The food transportation and logistics world is changing, with technology, operational hurdles, and consumer trends at the forefront. So, if your head is spinning, that’s understandable. How can you put your best foot forward to confront these trends?

The answer lies in working with providers like Entourage Freight Solutions (EFS) . With specialized logistics services designed to cater to the complex needs of this dynamic sector, EFS has an answer for everything in foodservice logistics , food manufacturing , and beyond. Whether leveraging cloud-based technologies for real-time tracking, implementing strategic supply chain solutions, or needing expedited services and a refrigerated truck , they ensure top-tier service regardless of your needs.

Entourage Freight Solutions is your go-to partner. Request a quote today and position yourself in the best way possible to thrive in the face of these changes.

Improving OTIF Rates with Expedited Transportation

Thu, 21 Dec 2023 13:32:45 GMT

You're at the helm of a shipping operation where every minute counts and deadlines loom large. Getting your goods delivered precisely on time and in full isn't a goal but literally the heartbeat of your business. If you don’t know or understand the 'On-Time In-Full' (OTIF) acronym, now’s the time to learn. Because those four letters represent much more than a catchy abbreviation, they're a commitment to delivering shipments precisely as promised, complete and undamaged. Falling short on OTIF can lead to devastating consequences, including customer dissatisfaction, financial penalties, or worse.

So now, let's get to know your secret weapon in avoiding such adverse outcomes: expedited transportation. When you hear the term "expedited transportation," you probably think of fast transit and racing against the clock. But in reality, it's about so much more: making smart, timely choices. How can you leverage it to meet OTIF requirements and improve rates ? Think of this article as your playbook with expedited transportation as the star QB.

For Today’s Shippers, OTIF Rates Remain a Challenge

Walking the tightrope of high OTIF rates can feel like a high-stakes balancing act for shippers. You're constantly juggling to ensure every order is complete and punctually delivered. Miss the mark, and the consequences are more than just a red mark on a report card — think missed delivery windows and incomplete orders, each slip-up inching you closer to costly penalties. It's a game where precision is key, and the cost of a misstep can ripple through your business.

The High Cost of Missing the Mark: Penalties for Missed Deliveries and Incomplete Orders

Imagine the frustration when a carefully planned delivery misses its window or arrives incomplete. It's like preparing a perfect meal only to have it served cold. In the shipping world, such slip-ups do more than disappoint; they often lead to penalties and real hits to your bottom line and reputation.

Financial Repercussions: The U.S. food retail industry sheds around $15–20 billion in sales annually due to unavailable or unsellable items, roughly 2-3% of total sales. Penalties for not meeting OTIF requirements can reach a staggering $5-6 billion annually in the U.S.
Operational Hurdles: About a quarter of deliveries show up over two hours early, throwing a wrench in distribution center schedules and leading to idle assets and demurrage costs. This inefficiency consumes industry capacity and increases operational challenges.
Strained Supplier-Retailer Ties: A survey of 300 retail buyers revealed that 100% value on-time delivery highly, with 73% having severed ties with suppliers over delivery issues. These relationships are increasingly at risk, with OTIF non-compliance rates averaging 20-30%.
Penalties from Major Retailers: Retail giants like Walmart and Kroger enforce strict penalties for OTIF non-compliance. Walmart fines 3% of the purchase price for early, late, or incomplete orders. At the same time, Kroger imposes a $500 fine for orders over two days late. These fines can accumulate rapidly, especially for larger orders.
Sales Impact: Incomplete deliveries, even when on time, contribute to up to 30% of out-of-stock situations, leading to an estimated $1 trillion in lost sales globally each year.

The Role of Expedited Transportation in a Complex Logistics Environment

In a world where every second counts, expedited transportation is the key to mastering logistics with speed and certainty. Let’s look more deeply at how expedited services go beyond traditional shipping methods , offering tailored, efficient solutions crucial to meeting tight OTIF goals.

Understanding Expedited Transportation: Speed and Reliability Combined

Expedited transportation is more than just quick shipping; it combines efficiency, speed, and reliability. Imagine it as giving your cargo a VIP pass, optimizing every aspect for the fastest delivery possible. Its hallmarks are direct routes that minimize stops, dedicated resources like exclusive vehicles and teams focused solely on your shipment, and enhanced tracking for real-time updates on your shipment's journey.

How Expedited Services Differ from Standard Shipping Methods

Standard shipping is efficient but bound to a set schedule and multiple stops like the regular bus service. Expedited transport, on the other hand, is akin to a private taxi ride explicitly tailored to your urgent needs. While standard shipping suits routine deliveries, expedited services shine in scenarios where time is of the essence. These services offer faster delivery times by significantly reducing transit time, provide customized solutions for unique shipping needs, and involve less cargo handling, lowering the risk of damage and delays.

The Advantages of Expedited Transportation in Meeting OTIF Goals

Do you still need to be sold on expedited services meaningfully differing from standard shipping methods? Consider the following advantages that expedited transportation has in achieving OTIF goals:

Swift and Safe Deliveries: Ensures shipments reach their destinations quickly and intact.
Mitigating Financial Risks: Reduces the likelihood of penalties and lost opportunities due to delays.
Strategic Business Choice: Enhances your business's reputation and reliability in a competitive market.
Improved Customer Satisfaction: Leads to happier clients thanks to reliable and prompt delivery.
Enhanced Flexibility: Offers the ability to respond quickly to last-minute orders or changes in demand.

3 Strategies for Improving OTIF Rates

The world of expedited transportation is a high-stakes race against time with zero margin for error. It's a thrilling yet challenging arena where the right strategies make all the difference. In this dynamic setting, let's dive into three game-changing strategies that promise to boost your OTIF rates and transform your shipping experience into a smoother, more satisfying adventure for you and your customers.

Precise Planning and Forecasting

OTIF success is the holy grail in the world of expedited shipping. Achieving it begins with precise planning and forecasting. Why? It's simple. By accurately predicting customer demand, you can seamlessly align your production schedules with shipping windows. Doing so ensures that goods are ready to ship right when a truck is available, minimizing delays and maximizing efficiency.

Consider this hypothetical scenario: A company anticipates a seasonal surge in demand for its product. By using accurate forecasting methods, it increases production in advance. When the surge arrives, they're ready. Not only are products available, but they've also coordinated with expedited shipping providers ahead of time. This foresight means trucks are waiting to roll out as soon as products are off the line, leading to a significant increase in OTIF delivery rates.

Carrier Selection and Performance

The reliability of your carrier is the core of your logistics. Yet, not all carriers are created equal when it comes to expedited transport. Be sure to evaluate and select those with a proven track record of on-time deliveries. Your due diligence should go beyond just checking boxes and dive deep into their performance history, customer feedback, and operational strengths. The benefits of forging long-term partnerships with these dependable carriers go beyond reliability. They understand your business needs, can anticipate challenges, and are often willing to go the extra mile, quite literally, to meet your OTIF targets.

Real-Time Visibility and Tracking

In expedited transportation, time is not just money; it’s everything. It's here where real-time tracking and visibility become game-changers. The use of advanced technology in providing real-time updates on your shipment’s progress is a tech-driven approach that transforms how you manage logistics, offering a window into each stage of the transportation process. It enables proactive issue resolution, ensuring that you address potential delays before they impact your OTIF. These advantages all lead to an underlying goal far beyond tracking: real-time insight can help build a resilient, responsive, and reliable shipping strategy.

Streamlining Your OTIF Success with Entourage Freight Solutions

As we've explored, expedited transportation is not just about speed; it's about making smart, strategic choices. From the high costs associated with missing delivery targets to the complex logistics environment, the challenges are many. But so are the opportunities for those ready to embrace innovative solutions to improve OTIF rates.

It's here where Entourage Freight Solutions (EFS) steps in. As a dedicated logistics expert, EFS offers a range of services designed to meet the unique needs of your shipping operation. Whether it's Full Truckload (FT) for dedicated shipments, Less Than Truckload (LTL ) for efficient multi-destination transport, specialized Refrigerated Trucking , or cross-docking solutions , EFS has you covered. They excel in managing retailer shipping , DC-to-DC transfers , and freight management solutions while leveraging their extensive food service logistics background.

Don't let logistical challenges slow you down. Embrace the opportunity to excel with EFS. Request a quote today and take the first step towards seamless, efficient, and reliable shipping solutions.

Three Questions to Ask Your Expedited Trucking Provider

Thu, 30 Nov 2023 14:15:12 GMT

You’re on the edge of your seat, eyes locked on a cargo load filled to the brim with products that need to be halfway across the country within the next 24 hours. The clock is ticking louder and faster than ever, and there’s no room for mistakes. That's the high-octane world of expedited trucking for you, where every second counts and speed meets reliability.

Expedited trucking’s importance is at a fever pitch, ensuring that time-sensitive freight gets exactly where it needs to be and fast. It’s a world filled with opportunities. But only for those who know how to navigate it skillfully.

That's where you, as the shipper, need to make crucial decisions and steer through a sea of potential providers. It's a big deal: choosing the right expedited trucking partner is a mission that can make or break your operations and mean the difference between a spot-on delivery or a logistical fiasco . So, how do you make the right call? It’s about asking the right questions, understanding the nuances of expedited trucking, and finding a partner that gets it — really gets it.

In a Volatile Landscape, Shippers Turn to Expedited Trucking

The demand for expedited trucking is surging these days. Consider the following factors explaining why:

E-Commerce Explosion: With 20.8% of retail purchases happening online in 2023 and an anticipated increase to 24% by 2026, e-commerce is an undeniable driver of expedited trucking's growth.
Rising Consumer Expectations: Shopify reveals a striking trend: 60% of shoppers expect deliveries within a maximum of two days. Furthermore, nearly half (47%) of U.S. consumers are happy to pay more for faster service.
Tech Integration: GPS and tracking technologies ensure real-time monitoring and optimal route planning, leading to faster deliveries.
Diverse Offerings: Many trucking companies have broadened their services to include dedicated, intermodal, and brokerage options, enhancing their market resilience and creating new opportunities.

With an increasing number of expedited trucking providers entering the market to meet this demand, making the right choice is increasingly difficult. Yet, an excellent way to start this search is by focusing on the following three questions:

Question 1: What is Your Average Transit Time for Expedited Shipments?

Transit time is a binding promise to your customers and a critical piece in the puzzle of expedited transport that can make or break customer satisfaction. As a shipper, understanding the average transit time for expedited shipments is like having a crystal ball, giving you the foresight to set realistic expectations and keep your customers in the loop. It’s about reliability and consistency because, in the world of expedited transportation, every second counts. Consider the elements influencing transit time: the distance to be covered, potential route complications, traffic conditions, and the carrier's capabilities . It’s a delicate balance, and clear communication is key.

Question 2: What Measures Do You Have in Place for Cargo Security and Safety?

When it comes to expedited trucking, do not gamble on the safety and security of your cargo under any circumstances. It’s not about getting from A to B—it’s about getting there securely, with every item intact and accounted for. Explore the provider’s security measures, from sophisticated tracking systems and rigorous driver training programs to secure storage and transit facilities. Let’s also not forget about compliance—adhering to industry regulations and safety standards is not just a good practice. By championing technology and best practices in cargo security and safety, your expedited trucking partner plays a crucial role in safeguarding your shipments and your peace of mind.

Question 3: How Do You Handle Unexpected Delays or Issues During Transit?

Transportation, by nature, is fraught with unpredictabilities, and expedited transport is no exception. Here is where the resilience of your expedited truck provider gets put to the test. Ask about their approach to handling delays and issues during transit. What’s their strategy for communication and problem-solving when the clock is ticking? It’s about establishing trust and ensuring that you’re in the loop if hiccups occur and your provider is actively pursuing solutions. A provider with robust contingency plans and a proactive approach is worth their weight in gold, turning potential transit disruptions into mere bumps in the road.

Empower Your Shipping with EFS

Choosing the right expedited trucking provider is more crucial than ever, with speed and dependability taking center stage. With the e-commerce boom fueling demand and customer expectations for quick deliveries at an all-time high, the market is full of options. This abundance makes finding the perfect partner a complex task, necessitating a strategic approach. While the three questions we focused on are an excellent way to start your search, they are only a means to an end. That’s where Entourage Freight Solutions (EFS) comes into play.

EFS is a dedicated third-party logistics company focused on express shipping and stands out in this crowded marketplace with a suite of services tailored to the unique demands of expedited shipping. From Full Truckload to Less Than Truckload and from Refrigerated Trucking to Special Projects , EFS has the capabilities and expertise to handle your shipments with precision and care. Operating 24 hours a day, 365 days a year, they also leverage state-of-the-art, GPS-enabled technologies to ensure real-time visibility and optimal routing for speed, safety, and efficiency.

So don't leave your expedited shipping needs to chance; contact EFS today to request a quote and take the first step toward a seamless and secure shipping experience.

Three Cost-Saving Strategies for Expedited Trucking

Thu, 30 Nov 2023 14:01:59 GMT

Expedited trucking is a big deal in modern logistics, transporting vital, time-sensitive, and sometimes life-saving shipments quickly and precisely . As demands become increasingly unrelenting for timely deliveries, this turbo-charged freight service has evolved from a luxury to a fundamental necessity for everything from critical medical supplies to last-minute retail inventory. It’s the secret weapon for businesses in the race against time, positioning expedited logistics and freight services as indispensable.

Yet there’s a catch- it’s expensive . The speed and efficiency price tag comes steep, and shippers must do what they can to craft innovative cost-saving strategies. So, in this article, we focus on how you can do just that with three tried-and-true tactics.

In Today’s Economy, Expedited Trucking Plays a Vital Role

Expedited trucking ensures that everything from the smallest parcels to the bulkiest cargo arrives on time and in perfect condition. Let’s peel back the layers on its general importance and why its importance ramps up even further in food logistics .

The Pivotal Importance of Expedited Trucking

Expedited trucking is synonymous with speed, precision, and impeccable timing. Specializing in rush orders and delicate handling, it caters to goods ranging from sensitive laboratory specimens and pharmaceuticals to critical automotive parts. In other words, industries that cannot afford a second of delay. The versatility of equipment used in expedited trucking, including cargo vans, sprinter vans, and tractor-trailers, further amplifies its capacity to handle diverse loads easily.

Expedited Trucking: A Lifeline in Food Logistics

There’s one specific industry, though, where expedited trucking plays an even more critical role: food logistics. Perishables require unique transportation conditions to ensure freshness and quality. Whether it’s specific temperature conditions or transportation time, expedited trucking takes center stage. For example, high-value food products like Ahi Tuna, which demand consumption within hours of receipt, rely on expedited freight services. Moreover, the extensive network coverage and capacity of expedited carriers ensure that even the most specialized requirements, such as refrigeration, are met. With an estimated 2-5% of food shipments facing rejection due to spoilage during transit, expedited logistics helps ensure that products arrive perfectly while actively combating food loss and bolstering customer satisfaction .

Unfortunately, though, this type of service doesn’t come cheap.

Three Cost-Saving Strategies for Expedited Trucking

Time and money are of the essence in expedited trucking, driving shippers to seek out efficiency while cutting costs. So, let’s get straight into three strategies to help you polish your expedited logistics operations without sacrificing quality or budget.

Leveraging Technology for Efficiency

A wealth of technological tools exist to help streamline operations and slash costs. Automation is at the forefront of this revolution, simplifying tasks and reducing fuel consumption. Route optimization software takes this further, carefully planning each journey to minimize mileage and time on the road, leading to substantial cost savings.

The innovation continues from there. Telematics and IoT integration are increasingly vital in monitoring vehicle performance and fuel usage. With real-time data analytics from IoT devices, shippers can unlock new levels of fuel efficiency, proactively tackle maintenance issues, and ensure their fleet runs like a well-oiled machine.

Streamlining Operations for Cost Efficiency

Efficiency is the name of the game in expedited logistics, and that extends to loading and unloading processes. By refining these vital steps, shippers can significantly reduce vehicles' idle time, translating to lower costs and faster delivery times. Furthermore, shippers can streamline processes by fostering effective collaboration within the supply chain and enhancing coordination with suppliers and customers. The cost savings will naturally follow.

Implementing Sustainable Practices

Adopting eco-friendly practices isn’t just good for the planet—it’s good for your bottom line. Sustainable driving practices and regular vehicle maintenance enhance fuel efficiency, reducing fuel consumption and environmental impact. Additionally, exploring alternative fuels and investing in energy-efficient vehicles, such as electric or hybrid options, presents an opportunity to cut costs while contributing to a greener future. These practices don’t just make economic sense; they position your business as a forward-thinking, responsible, expedited logistics player. After all, 91% of consumers want an eco-friendly shipping option, and 57% will pay an extra 10% or more for eco-friendly shipping and packaging .

Maximizing Expedited Trucking with Entourage Freight Solutions

We’ve shown you how vital expedited logistics are, ensuring everything from medical supplies to retail stock arrives quickly and in perfect condition. We’ve also explained its unique importance in food logistics . Yet despite its essential nature, expedited trucking is costly. Yet embracing technology, streamlining operations, and adopting sustainable practices are three strategic cost-saving measures you can adopt.

Entourage Freight Solutions (EFS) is your ideal partner for doing this. Offering a comprehensive range of services from full truckload and less than truckload to specialized refrigerated trucking and cross-docking solutions , EFS has the expertise and commitment to customer service you need.

Ready to elevate your expedited trucking game? Contact Entourage Freight Solutions today . Let’s make your shipping faster, more intelligent, and more cost-effective.

Leveraging Technology in Expedited Logistics for Produce Shipping

Fri, 17 Nov 2023 14:48:39 GMT

Imagine biting into a fresh, juicy strawberry in the middle of winter or enjoying a fresh salad with lettuce hours away from the farm it came from. How do these delights reach us in perfect condition, irrespective of the season or distance? Welcome to the world of expedited logistics.

Expedited logistics offers a fast transportation system, ensuring products, especially time-sensitive ones like produce, move from farm to fork swiftly and efficiently while preserving freshness. Refrigerated transportation, known as 'reefer freight,' is the star player in this process , with trucks acting as temperature-controlled sanctuaries to maintain the quality of our fruits and vegetables.

With growing consumer preferences for year-round fresh produce and seasonal surges in shipping volumes , the demand to expedite logistics is booming. We’re only in the first inning, too. So let’s explore the technological advancements shaping this world, making every bite we take a testament to efficiency and innovation.

5 Ways Technology is Transforming Expedited Logistics for Produce Shipping

You don't have to be a foodie to appreciate the magic in savoring a perfectly ripe fruit or biting into a crisp vegetable. But have you ever paused to consider how these delights reached your plate in the first place? From cherries traveling in perfect conditions and maintaining freshness to real-time updates on a peach shipment for a summer smoothie, the path that fresh produce takes is more high-tech than you might think. Add to this mix the data analytics insights predicting our next cravings and security measures that guarantee freshness and safety . So, let’s peel back the layers.

Enhancing Efficiency and Accuracy

Technology is the silent force behind ensuring fresh produce remains in pristine condition. That means no wilting leaves, no overripe fruits, and no early spoilage, just consistently fresh and flavorful bites every time. However, with each passing moment after harvest, the risk of spoilage rises, and alarmingly, 33% of fresh food shipments never make it to supermarket shelves . Yet, automation and advanced route optimization come to the rescue, ensuring precise planning and execution to combat these odds. Whether it's cherries and grapes journeying in ideal conditions at a cool 0–2°C with 95–100% humidity or onions preferring the same temperature but in a drier environment, the technology guarantees timely deliveries and preserves freshness from farm to fork.

Real-time Tracking and Visibility

Imagine a truckload of strawberries, each berry red and ripe, en route to a supermarket. These delicate fruits have a limited window to remain at their peak. A minor disruption, such as a traffic jam, sudden weather changes, or mechanical failure, could spell disaster, turning those once-juicy strawberries into wilted, unsellable produce. When that happens, it could mean financial losses and a missed opportunity to provide consumers with the fresh, delicious strawberries they crave. That’s where real-time tracking steps in. With advanced tracking tools and GPS technology, expedited logistics teams can gain unparalleled visibility into each shipment. Beyond knowing where a truck is, it's also about assessing and responding to every potential hiccup on its route. When disruptions occur, these tracking systems' immediate insight enables teams to reroute shipments, communicate with drivers, and take swift recovery actions, ensuring those strawberries arrive in the best possible condition.

Communication and Customer Experience

It's a sweltering summer afternoon, and Clara, a local cafe owner, eagerly awaits her shipment of ripe peaches to make her signature summer smoothie. In the world of produce shipping, where fruits and veggies are racing against time, even a minor hiccup can mean the difference between a fresh peach smoothie and telling a disappointed customer, “Sorry, we're sold out; come back another day.” Produce can't languish at distribution centers or miss their delivery slots; they're inching closer to rotting every moment they're not on the move.

Enter the wonders of technology. As Clara checks her order status, a chatbot offers real-time updates and answers her queries instantly, saving her from long waits on customer service calls. Simultaneously, the farmer dispatching those peaches uses advanced systems to ensure timely updates. Clara receives instant notifications about any changes. Beyond tech-savviness, it's a lifeline that ensures fresher produce and happier consumers.

Data Analytics for Informed Decision-making

Suppose you’re organizing a summer fruit festival and want to know in advance which fruits will be the crowd favorites. That's the power of data analytics and AI in fresh produce logistics. These tools dive into past seasons and sales, helping suppliers select the best routes and carriers. It's not about guesswork anymore; it's about delivering those juicy strawberries or crisp apples most efficiently, based on proven data.

But the magic extends beyond today's delivery. Predictive analytics is like a farmer's almanac for the digital age. Suppose a local grocer can foresee a spike in avocado demand ahead of a big sports event. In that case, they can stock up, ensuring guacamole remains on the menu. With data and AI guiding the way, the fresh produce industry isn't just meeting today's demand but anticipating tomorrow's cravings, ensuring we always get our favorite fresh picks on time.

Safety and Security Measures

We all relish that moment when we slice open an avocado and find it perfectly ripe or when the lettuce in our salad is crisp to the bite. But behind those simple joys is a complex web of expedited logistics, ensuring our produce reaches us in the best condition. Safety and security are imperatives to make it happen. For instance, the slight variance between a continuous 32 degrees and fluctuating temperatures can be the tipping point between a fresh batch of veggies and a wilted disappointment.

Technologies like telematics and the Internet of Things (IoT) act as vigilant eyes and ears throughout this journey. Vehicles have sensors that constantly monitor conditions, ensuring the temperature remains consistent, and our produce stays fresh. These digital tools also keep tabs on cargo security, ensuring that our fruits and veggies are fresh and safe from external threats.

The Future is Bright for Technology and Expedited Logistics

As our cravings shift to fresh, local, and sustainable delights, technology isn't just enhancing our expedited logistics—it's defining it. While merging new tools with time-tested methods has challenges, those embracing this tech transformation will lead the way in expedited logistics and freight services. Here's a glimpse into some of those emerging technologies:

Internet of Things (IoT): More than just a buzzword, IoT is actively reducing food waste. Tracking location and monitoring variables like temperature in real time ensures our food remains fresh during transit.
Artificial Intelligence (AI): The future of food is automated . AI allows anyone in food logistics or manufacturing to spot damage or inefficiencies before the human eye. Replacing time-consuming inspections and aiding in efficient route planning, AI helps build efficiency, reduce delays, and, in the process, prevent food spoilage.
Blockchain: Seeking transparency for expedited logistics freight? Blockchain ensures records remain tamper-proof. It's a game-changer for items like seafood, olive oil, coffee, alcohol, and honey, where authenticity is paramount.
Big Data: In a world driven by data, analyzing vast amounts of information helps optimize processes, ensuring everything from organic salad greens to fruits remains crisp and fresh.
Wearables: These aren't just fitness trackers. In the logistics world, wearables monitor the health and safety of expedited logistics workers, including food and beverage, in real time, ensuring a safer work environment.

Embracing the Future with Entourage Freight Solutions

The world of expedited logistics for produce shipping is both complex and fascinating. It’s also no small feat. It's a delicate balancing act of preserving freshness, ensuring timely deliveries, and leveraging cutting-edge technologies like IoT, AI, and blockchain. As we've explored the tech transformations of this sector, one name stands out: Entourage Freight Solutions (EFS).

EFS isn't just another logistics company; they're the gold standard in expedited logistics and freight services. Operating round the clock, they offer myriad services tailored to every shipping need in food manufacturing , food service , and beyond, from full truckloads to specialized 'reefer' transportation , ensuring your temperature-sensitive goods reach their destination in pristine condition. With strategic cross-docking locations and a dedicated focus on projects ranging from trade show logistics to food manufacturing, EFS embodies efficiency and expertise. Their proactive approach guarantees transparency, accountability, and competitive rates. Most importantly, they understand the nuances and regulations tied to food transport , ensuring compliance every step of the way.

So, as we look forward to a future of fresh, timely, and sustainable produce, remember EFS is here to make it happen. Ready to elevate your shipping game? Request a quote and let EFS steer you into the future.

Retail Shipping: 5 Trends Shaping Retail Logistics

Fri, 03 Nov 2023 13:52:01 GMT

Have you ever juggled a shipment crisis on a Monday morning? Or scrambled to find a last-minute solution to an out-of-stock debacle? As retailers and supply chain managers, you're at the heart of the retail shipping universe, making countless decisions that impact the flow of goods daily. The world of e-commerce has amplified the importance of retail logistics, turning it from a background process to the centerpiece of customer satisfaction. Yet, amidst these heightened stakes, U.S. retail operations report an average supply chain accuracy of only 63% . What's more, a staggering 43% of small businesses are experiencing this without even tracking their inventory!

For those in the trenches, especially in Food & Beverage, these challenges present opportunities for the taking. This article is your roadmap to the five pivotal trends reshaping retail logistics. From the e-commerce tidal wave to the green shipping revolution, we're about to unpack the strategies and innovations you'll want on your radar.

Today’s Retailers Face a Challenging Landscape

The world of retail logistics involves more than just delivering products on time; it's a complex interplay of meeting heightened customer expectations, managing persistent inventory issues, and staying resilient amidst increasing supply chain disruptions. For retailers and supply chain managers, the stakes have never been higher.

An Increase in Supply Chain Disruptions

From January to June 2023, 8,197 supply chain disruptions were recorded across all industries, marking a 3% year-on-year increase . Although this indicates some stabilization, the specifics are concerning. Labor disruptions, including strikes and layoffs, surged by a whopping 136% in the first half of 2023 compared to the same period in 2022. Though declining by 20%, factory fires still presented as the leading disruption, with 1,642 instances. Moreover, financial disruptions, such as bankruptcies and profit warnings, skyrocketed, increasing 196% and 300%, respectively.

A Steep Rise in Customer Expectations Around E-commerce

E-commerce has been booming and continues to do so. An estimated 20.8% of retail purchases will occur online in 2023, with global e-commerce sales projected to reach a massive $6.3 trillion and grow by 10.4%. As 80% of U.S. consumers continue to evolve their shopping habits, with 43% now opting for online purchases over in-store buys, the pressure on retailers to adapt and excel in this digital domain is immense. Furthermore, free and fast shipping has emerged as the primary driver for online purchases, underscoring the importance of robust retail shipping strategies.

Persistent Inventory Issues

Managing inventory has been tumultuous for many in the retail sector, especially in the post-pandemic era amid changing consumer behavior. After the shortages of 2020 and 2021, many retailers faced the challenge of unloading excess products as consumer spending declined due to steep inflation. Matt Garfield of FTI Consulting observed unprecedented inventory levels at several apparel retailers, likening the situation to peak season distribution centers even in off-peak months. Additionally, major retailers like Target had to adjust their inventory in response to sudden shifts in consumer spending, with Telsey Advisory Group's analysis quantifying this and revealing that inventory growth across major retail segments averaged 46% in Q2 of the previous year.

The challenge now is to strike a balance – ensuring availability without the burden of overstock. So, what does this mean exactly for the 5 trends shaping retail logistics?

5 Trends Shaping Retail Logistics

Retail logistics is in fast-forward mode. From speedy e-commerce deliveries and green shipping to blending online and in-store shopping, warehouses going high-tech, and supply chains bracing for surprises.

1. E-commerce Boom and Last-Mile Delivery

The e-commerce world isn't just changing; it's skyrocketing. But as it soars, it brings along sky-high expectations from consumers. 90% of online shoppers expect packages to arrive in two or three days . Another 32%? They're abandoning their shopping carts if the delivery estimate seems too long. Let's not start with the 61% who want items delivered within three hours after placing an order or the 80% who want same-day shipping .

The e-commerce boom has especially impacted the Food & Beverage sector . Think about it: fresh produce, meal kits, or niche providers such as ButcherBox, Goodfood, Sea to Table, and others – all need to arrive quickly and in perfect condition . This new appetite for swift food deliveries has tossed the traditional retail logistics playbook out the window. It's like juggling flaming torches, trying to keep pace with evolving consumer preferences while ensuring freshness upon delivery. But there's a silver lining for these retailers. Collaborating with a 3PL could be the secret sauce, offering the agility and expertise needed without the logistical migraines of old-school fleet management.

2. Sustainability and Green Shipping

In the face of the e-commerce explosion, a new trend is reshaping the world of retail logistics: the drive for sustainability. TRecent BCG research highlights this shift: 82% of shipping customers are now willing to pay a premium for zero-carbon shipping, a number that's grown by 11% since 2021. This demand is especially evident in the Food & Beverage sector , where product freshness intertwines with sustainable shipping. However, with the Paris Agreement aiming to limit global warming to 1.5ºC/2.7ºF by 2050, the shipping industry faces challenges in aligning current green practices with these ambitious goals. The push is on to boost customer willingness to pay, harness regulations, and adopt green shipping innovations. After all, in an era where consumers are more conscious than ever about their carbon footprint, green shipping isn't just an eco-friendly choice—it's a business imperative.

3. Omnichannel Fulfillment

Imagine a world where your customers seamlessly transition between online browsing, in-store visits, and app purchases while anticipating a cohesive shopping experience. Welcome to the age of omnichannel fulfillment. For retailers and supply chain managers, grasping and executing this strategy is paramount, yet only 60% of retailers recognize that. So, to make these strategies genuinely impactful, securing reliable capacity access is non-negotiable, and perfecting omnichannel fulfillment is the way forward.

4. Warehousing and Inventory Optimization

Imagine a busy street corner in a city center. There, a micro-fulfillment center, no larger than a typical neighborhood store, rapidly processes your customer's order. This image isn't a snippet from a sci-fi movie; it's today's reality. But we’re only in the first inning. While 250 MFCs currently operate in the U.S., projections suggest this number will skyrocket to around 5,600 by 2030 — a staggering 20-fold increase. Moreover, as the era of smart and flexible warehousing dawns, retailers are turning to AI to optimize inventory management. Concurrently, data analytics provides invaluable insights for demand planning. At the same time, Just-In-Time strategies guarantee the right stock at the right time.

5. Supply Chain Resilience and Risk Mitigation

Recent black swan events and global supply chain disruptions have thrust the importance of resilience into the spotlight for retailers and supply chain managers. It's no longer just about reacting but proactively anticipating challenges. The solution? A combination of diversifying supply routes, regular risk assessments, and leveraging technology. Partnering with seasoned carriers and utilizing advanced tech tools, such as cloud-based GPS systems, can track shipments in real-time, navigate around weather and traffic hiccups, and ensure maximum value.

A Future-Ready Retail Revolution with Entourage Freight Solutions

The retail shipping world is in the throes of a seismic shift. From the e-commerce explosion to the dawn of green shipping and the push for omnichannel fulfillment, the stakes are sky-high for retailers and supply chain managers. Amidst this, supply chain accuracy and inventory management are more crucial than ever. But with Entourage Freight Solutions (EFS) in the mix, these tasks turn from an uphill climb to smooth sailing.

EFS doesn't just offer services; they offer solutions tailored to confront modern-day retail logistics challenges . Whether looking at full truckloads or refrigerated trucking, cross-docking in strategic locations, or specialized project logistics, EFS has got you covered. The cherry on top? Their state-of-the-art, GPS-enabled tech ensures real-time rerouting and rate adjustments.

For those in retail logistics management, partnering with Entourage Freight Solutions is about more than efficient shipping; it's about crafting a resilient, future-proof strategy. So why wait? Request a quote from Entourage Freight Solutions today.

Innovations in Expedited Trucking for Food Manufacturers

Fri, 20 Oct 2023 13:57:02 GMT

In the heart of every vibrant kitchen or local supermarket aisle, there's an unsung hero: expedited trucking. It's not just about the roar of engines or the blur of passing highways. It's about that ripe avocado in your salad and the fresh milk in your morning coffee. When 71% of all American freight , especially the food we love and need, relies on trucks, you begin to see the journey behind every bite. This method of transportation does more than move boxes; it keeps our food fresh, safe , and ready for our tables.

Yet, as our world keeps evolving, especially in the wake of supply chain disruptions and challenges, so do the needs of food manufacturers . They're caught in a delicate balancing act of preserving quality, ensuring timely deliveries, and managing costs. With its agility, load consolidation, and strategic route planning, expedited trucking offers a remedy . By embracing these innovative transport solutions, food manufacturers don't just keep up; they lead the way , ensuring every plate has fresh, safe, timely, and cost-effective produce from farm-to-table .

Food Manufacturers Face a Challenging Shipping Landscape

Food manufacturers confront a challenging shipping arena driven by rising costs, strict regulations, and more. With the global shift towards farm-to-fork transparency, the demand for efficient transportation solutions has never been greater, prompting shippers and carriers to embrace strategies to face the following obstacles.

Temperature Control and Food Safety

Shipping perishable foods demands a blend of speed, safety, service , and utmost precision. Every item has its unique temperature requirements , from tropical fruits like bananas, which thrive at temperatures between 53.6°F and 57.2°F, to deep-frozen delicacies such as shrimp and fish, which require an arctic-like minus-18.4°F to minus-22°F. By adhering to these optimal conditions, shippers can guarantee the freshness and safety of each item. This commitment ensures that goods, even after long-haul journeys, reach their destinations with their quality intact. This level of care is essential for delivering top-notch food products to consumers.

Regulatory Compliance

Consumer safety takes center stage in the food industry, resulting in a complex web of regulations, from labeling to safety protocols. These guidelines aren't just bureaucratic red tape but are crucial standards that uphold public health. Manufacturers who don't meet these standards face heavy fines and potential product recalls and jeopardize their brand's reputation. It's concerning that 48 million Americans endure foodborne illnesses yearly, with 3,000 of these incidents becoming fatal, highlighting the need for these regulations. In response, the FDA Food Safety Modernization Act (FSMA) has sharpened its focus on illness prevention, providing clear directives for the entire global supply chain. This legislation emphasizes our shared duty to ensure that every bite we take is safe and reliable.

Supply Chain Disruptions

The global supply chain, crucial for food manufacturers, encountered significant disruptions in 2023. Resilinc documented 8,197 disturbances, marking a 3% increase from the previous year . Most alarmingly, labor-related issues, particularly strikes, skyrocketed by 136%, with the healthcare and food sectors bearing the brunt. The business landscape also felt the tremors as bankruptcies soared by an unprecedented 196%. Manufacturing wasn't immune either, with interruptions—from complete shutdowns and production halts to labor conflicts—expanding by 30% compared to the previous year. Moreover, product recalls saw a sharp 66% increase from the first half of 2022, underlining the need for more robust and resilient supply chain strategies.

For Today’s Food Manufacturers, Innovative Logistics are Essential

Food manufacturers can no longer rely on outdated logistics systems these days. With modern logistics demanding adaptability, efficiency, and precision to not only meet demand but also follow regulations, the following technologies are taking center stage.

Advanced Tracking and Visibility

Today's logistics go beyond merely transporting goods; it's about real-time insights. For companies like Alpine Fresh, specialists in fresh produce, the stakes are even higher given the perishability of their products. They once confronted the twofold challenge of product spoilage and the limitations of outdated lithium-battery trackers. However, their strategic alliance with Tive in 2019 marked a pivotal turning point. Leveraging the capabilities of Tive's Solo 5G trackers, Alpine Fresh had access to real-time data concerning location and crucial metrics like temperature and humidity. This upgrade in technology transcended basic tracking. It empowered Alpine Fresh with enhanced sustainability and safety measures, streamlined communication, and, most importantly, resulted in tangible financial benefits. A testament to this transformation is their substantial savings, averting potential losses on high-value shipments like their $120,000 blueberry consignment and a $90,000 asparagus load.

Temperature Control Technologies

Safeguarding temperature-sensitive cargo is at the heart of food manufacturing. Thanks to modern refrigeration and climate control innovations, we've moved beyond basic temperature management. Today's advanced cooling systems guarantee that products remain fresh from warehouse shelves to consumers, effectively thwarting spoilage. This evolution signifies more than temperature optimization; it embodies a deeper commitment to sustainability, energy efficiency, and considerable food loss reduction. Remarkably, with appropriate cold storage, up to 144 million tons of food loss could be curtailed in developing countries alone. Furthermore, innovative tools like the modernized cold chain and IoT-integrated warehouse management indicate the industry's notable progress, enhancing profitability and transforming our food preservation and safety outlook.

Data Analytics and Predictive Tools

Logistics today goes beyond just moving products—it's about smartly utilizing data to make informed decisions. Data analytics are at the forefront of this transformation, offering a dynamic way to optimize routes by considering real-time factors such as current traffic or impending weather disruptions. Through the power of AI, complex challenges like costly container storage or complex route planning are streamlined , especially crucial in the food sector with its varying storage needs. On the demand side, sophisticated predictive models , ranging from time-series analysis to neural networks, provide a window into future needs . By tapping into these tools, food manufacturers can anticipate demand, minimize waste, enhance delivery timelines, and always stay prepared for what's coming next.

Expedited Trucking: Bringing Freshness to Your Doorstep

Behind every delicious meal and snack you relish lies a remarkable journey—trucks zipping across highways, ensuring that whatever fruit, vegetable, dairy, meat, or seafood product you want arrives fresh. From the hustle and bustle of shipping lanes to the precision of temperature-controlled storage, it's a world where timing, safety, and innovation play pivotal roles. And as our dining tables increasingly demand farm-fresh and timely supplies, this logistics dance gets even more intricate.

That's where Entourage Freight Solutions (EFS) steals the spotlight. They're not just another logistics company. They're your behind-the-scenes partners, ensuring your food arrives fresh, safe, and timely. Whether managing a full truckload or nifty solutions for temperature-sensitive goods , EFS is the unsung hero in making it all happen with expedited trucking.

If you're passionate about getting the best to your consumers or a food manufacturer seeking a logistics partner that "gets it," let's chat. Contact Entourage Freight Solutions , and let's help you bring the freshest flavors straight to your table.

5 Steps to an Effective Expedited Trucking Budget in Food Manufacturing

Fri, 22 Sep 2023 19:34:13 GMT

Efficient budgeting is like the secret sauce in the recipe for success in food manufacturing. It's not just about numbers; it's about ensuring fresh products reach their destination quickly and safely. That's where the magic of expedited trucking budgeting comes in.

By mastering this budgeting art, companies can cut operational costs and pour those savings into exciting areas like new product development. But it's not just about the money. Getting products to customers on time means happy customers and a strong reputation.

The 5 Steps

Crafting the perfect budget in the intricate world of food manufacturing requires a systematic approach. While the challenges are many, understanding the pathway can make the journey smoother. Here, we present a comprehensive five-step guide navigating the nuances of expedited trucking budgeting. Each step aims to foster informed decision-making, leading to optimal financial planning and operational efficacy. Let's dive in.

Step 1: Understand Your Transportation Needs

When it comes to trucking, one size doesn't fit all—especially in food manufacturing. Begin by taking a deep dive into your company's specific transportation needs. Consider several factors and ask yourself : How often are we shipping products? What's the average distance they need to travel? Given the perishable nature of food items, how critical are the delivery timelines? Every manufacturer will have distinct needs, whether daily deliveries to local stores or weekly shipments across state lines.

The food industry presents distinct challenges . Items might necessitate temperature-controlled environments or adhere to strict sell-by dates. Recognizing these particular demands early on enables you to formulate an effective expedited trucking budget, ensuring each expenditure maximizes operational efficiency and customer satisfaction.

Step 2: Factor in Cost Variables

Expedited trucking doesn't operate on fixed costs alone; numerous factors influence the final price . While the distance your goods travel is a major determinant, other elements, like fluctuating fuel prices, come into play. Moreover, unique handling requirements, such as refrigeration or special packaging, as well as seasonal demands like the surge around Thanksgiving, affect the overall rates.

Given these complexities, it's clear why partnering with a trusted carrier becomes vital. Carriers with a wealth of experience provide invaluable transparency concerning these cost variables, helping businesses refine cost predictions and shield against unforeseen budgetary hiccups.

Step 3: Explore Cost-saving Strategies

Being cost-effective isn't about sacrificing quality or timeliness of deliveries but rather about intelligent planning. Load consolidation is one such strategy to consider. By combining smaller shipments, manufacturers can optimize truck space and reduce transportation costs. Strategic route planning is another because it helps businesses avoid high-traffic areas and toll roads, saving time and money . Moreover, minimizing cargo handling reduces the risk of damage and subsequent unexpected costs.

In this realm of cost-effective logistics , EFS emerges as a true game-changer. With deep industry expertise, it designs tailored solutions that resonate specifically with the needs of food manufacturers. It's not merely about cost-cutting; it's about value optimization. Partnering with EFS assures financial prudence and guarantees that your products remain in impeccable condition throughout transit.

Step 4: Consider Value-added Services

Beyond simple transportation, expedited trucking offers many services that can boost efficiency and security. For food manufacturers, these value-added services can be a game changer. Temperature-controlled shipping, for instance, ensures perishables maintain their freshness. Meanwhile, real-time tracking bestows the confidence of constantly being updated about product whereabouts. Advanced technology can anticipate potential challenges, offering solutions before they become issues. Some may fear the extra costs, but the benefits—preventing spoilage, avoiding losses, and keeping customers satisfied—often outweigh the initial investment.

EFS excels in this area, presenting comprehensive value-added services tailored for food manufacturers. Their offerings, like refrigerated trucking and grower-shipper freight management, are designed to add genuine value without straining your budget . Their dedication, evident from their 24/7 operations, ensures your food products reach their destination in prime condition every single time .

Step 5: Partner with a Reliable Carrier

Effective budgeting for food manufacturers hinges on aligning with a trusted carrier. Carriers that consistently deliver, navigate regulatory standards, and provide transparent documentation form the bedrock of financial predictability and operational efficiency, even amidst unforeseen challenges. But precise budgeting goes beyond merely projecting costs—it also involves anticipating indirect savings from timely deliveries, damage prevention, and compliance assurance.

That's why partnering with EFS is an investment in precision budgeting, operational excellence, and bespoke solutions crafted for the dynamic world of food manufacturing. Their unwavering commitment to transparency means no hidden fees, ensuring predictable pricing for manufacturers. By harnessing advanced GPS technologies, EFS proactively addresses operational roadblocks, from weather changes to traffic reroutes, directly impacting the bottom line. Their vast service array, tailored to diverse needs, promises adaptability without budgetary surprises.

Transforming Costs into Value: The EFS Difference

Effective budgeting in food manufacturing isn't just about crunching numbers; it's a refined blend of financial wisdom and operational prowess. Through expedited trucking budgeting, you can reduce operating costs and enhance customer satisfaction by ensuring fresh products arrive on time and in impeccable condition. From pinpointing specific transportation needs, exploring cost-saving strategies, and considering value-added services to partnering with a trustworthy carrier, the five steps we covered in this piece can help you craft a practical budget.

EFS emerges as a top partner in this endeavor. Specializing in bespoke solutions, EFS adeptly addresses the distinct challenges of food manufacturing. Offering services ranging from temperature-controlled shipping to advanced GPS-enabled route planning and grower-shipper freight management, their commitment to transparency ensures your budget remains steadfast and devoid of hidden charges or unwelcome surprises.

Why leave such aspects to chance? Allow EFS to transform the 'art' of budgeting into a precise science, ensuring each dollar invested bolsters operational efficiency, customer contentment, and your bottom line. Take the initiative: Request a quote from EFS today.

Carrier Checklist: What to Look for When Selecting an Expedited Carrier for Food and Beverage Logistics

RSHanline (Nick Terry) — Fri, 15 Sep 2023 13:54:45 GMT

There's more riding on your choice of expedited carrier than you might realize. Imagine ordering mouthwatering fresh produce only to receive a wilted and tasteless version because it got caught up in the logistical limbo. Shockingly, 14% of food doesn't even make it from the farm to our plates, lost somewhere between harvest and retail, as highlighted by the Food and Agriculture Organization . Such inefficiencies are not just about lost resources; they speak to the heart of shipment efficiency, the safety of products , and that golden touchpoint – customer satisfaction.

Our choices in selecting the right carrier can be the difference between a delighted customer and a business disaster. So, how do we make this important decision? It all revolves around three essential steps.

Step 1: Understand Your Needs

Selecting the right expedited carrier involves careful consideration of multiple elements. Let's break down these elements and understand how Entourage Freight Solutions (EFS) meets these demands.

Defining Your Shipping Requirements

Before diving into the vast ocean of expedited carriers, have a clear map of your shipping needs. Like any significant business decision, the clearer the requirements upfront, the better the outcome. Not all shipping tasks are created equal; what works for one company might be entirely off-base for another. It's about seamlessly fitting the puzzle pieces together.

Key Factors to Consider

Several pivotal factors play into this choice. Are you looking for next-day delivery, or is there a more extended window? Is your cargo delicate, perishable, or standard? Do you have special handling needs like refrigeration or cushioned transport? And, of course, are you shipping locally, nationally, or internationally? These considerations dramatically influence the type of carrier you'll need.

Why EFS Stands Out in Food Transportation

When it comes to the nuances of food transportation , expertise matters immensely. EFS has carved out a niche in understanding and meeting the specific challenges of food and beverage logistics. There's little room for error with food - a slight delay or a temperature mishap can mean the difference between fresh and waste. Trusting a carrier like EFS, which has honed its skills in this arena, ensures your food items arrive in optimal condition every time.

Step 2: Build Your Checklist

Success in modern logistics depends on multiple pillars, each vital to ensuring efficient, reliable, and seamless operations. Let's explore the essential components that set leading carriers like EFS apart.

Network Coverage and Capacity

The heartbeat of modern logistics lies in an expedited carrier's network coverage and capacity . As the demand for e-commerce swells, so does the need for expansive and efficient global supply chains . The reach of a carrier—its depth and breadth—dictates the flexibility and speed of deliveries. With e-commerce volumes rocketing upwards, shippers confront capacity challenges, diminished negotiation leeway, and rising costs. It's here that EFS steps up. With a vast expedited trucking network, over 3,500 pre-qualified refrigerated freight carriers , and the capability to manage diverse shipment sizes , EFS is a cornerstone of reliability and adaptability.

Technology and Tracking

As technology permeates every facet of modern logistics, the game-changing benefits of real-time tracking are becoming increasingly evident. From expedited trucking to the intricacies of food and beverage logistics as an example, real-time tracking offers unparalleled visibility and transparency. It empowers companies to predict delays, manage inventories, and provide timely updates while elevating customer experience. EFS stands at the forefront of this digital transformation with advanced tracking systems that take customer interactions to the next level and provide an unmatched logistics experience .

Compliance and Safety

Logistics is not just about moving goods; it's about balancing industry regulations and implementing robust safety measures. Compliance fosters trust, helps avoid penalties, and ensures timely deliveries . Moreover, safety measures bolster cargo integrity and instill confidence in stakeholders during transit . EFS embodies this commitment. Specializing in food and beverage logistics and transporting sensitive items and dry bulk goods , their team maintains precise transport conditions—from ideal temperatures to optimal humidity. Their dedication is evident in their strict adherence to leading standards, including the FSMA, FDA Food Code, CFR Title 21, Part 117, ISO 20000, and Good Distribution Practices (GDP) .

Customer Support and Communication

Effective customer support fosters trust and cultivates enduring relationships. 82% of clients return after a positive service experience, and they're 2.4 times more likely to remain loyal when issues are resolved promptly . A commitment to prompt, transparent, and dependable communication, augmented by multi-carrier shipping software, ensures customers receive consistent shipment updates—from real-time tracking to potential delays. Setting the benchmark is EFS, with a 24/7 dedicated team emphasizing unparalleled service and meticulous attention to every shipment.

Value-Added Services

Carriers offering value-added services bring immense benefits, enhancing product protection and delivery speed. Temperature-controlled shipping is vital for temperature-sensitive industries like food and beverage logistics, ensuring goods remain pristine. Cargo insurance shields against potential financial loss from unforeseen events while expedited customs clearance streamlines international transactions for speedier deliveries. EFS is a prime example of this service-centric approach. EFS offers value-added services, including "reefer" trucking for temperature-sensitive items , efficient cross-docking, grower-shipper freight , tailored logistics, and more.

Step 3: Choose the Experts

For unparalleled efficiency in food and beverage logistics, your best bet is to partner with carriers recognized for their expertise. Here's why:

Mutual Respect and Promptness: Ensuring timely payments, swift claim resolutions, and accurate invoicing establishes a trustworthy foundation .
Integrity and Consistency: Upholding promises, guaranteeing consistent loads, or delivering superior service fosters lasting partnerships.
Harnessing Technology: Tools like Transportation Management Systems (TMS) enhance transparency and promote accountability, bridging the communication gap.
Continuous Improvement: Carriers with a proven track record prioritize optimization, leading to improved logistics efficiency and elevated customer service.
Strategic Collaboration: An established carrier understands the nuances of food and beverage industry logistics and can create tailored solutions.
Streamlined Processes: Expert carriers have refined systems that ensure smooth operations, reducing errors and boosting cost-effectiveness.

The Key Takeaway: The Right Choice Matters

Selecting a carrier with proven expertise is vital for ensuring customer satisfaction, preserving perishables, and efficient delivery. At the heart of it all stands EFS as a testament to quality and trust. With specialized services encompassing DC-to-DC transfers , expedited shipments, food service , food manufacturing , grower and shipper logistics , and retail , EFS manages every supply chain link precisely and carefully.

See it in action for yourself. For a partnership that guarantees excellence in every facet, request a quote from EFS . Elevate your logistics, one shipment at a time.

Safety, Speed, and Service: Three Reasons Smart Shippers Use Expedited Trucking for Food Transportation

Fri, 01 Sep 2023 12:44:32 GMT

The urgency of transporting perishable food is unmatched. With every tick of the clock, the danger of spoilage and contamination looms, threatening quality and profitability. As the demand for meal kits and on-demand deliveries skyrockets, it becomes crystal clear: traditional trucking, with its inherent delays and vulnerabilities, just doesn't cut it anymore.

Enter expedited trucking: the game-changer in food transport. While conventional methods risk temperature fluctuations with every stop, expedited trucking offers a nearly untouched voyage, maintaining optimal conditions. The promise? Fresher, safer, and swifter deliveries, ensuring the food on our tables remains impeccable.

In a world craving speed, safety, and stellar service, expedited trucking is more than a mere transport method ; it's the gold standard. Guaranteeing predictable delivery timelines and superior quality, it's rapidly setting the pace for the future of food transportation, making it an undeniable choice for savvy shippers.

In a Challenging Industry, Food Manufacturers Search for a Solution

The dynamic world of food manufacturing faces numerous obstacles. From stringent delivery deadlines to intricate regulations, manufacturers confront an ever-changing environment. Let's explore these critical challenges and uncover innovative solutions on track to redefine food transportation.

Common Challenges in Food Transportation

Food shippers face many obstacles while trying to accomplish their goal of on-time, in-full deliveries, including the following:

Timely Deliveries and Unexpected Fees: Distribution centers operate at peak efficiency, but missing the Must Arrive by Date (MABD) incurs added fees, adding pressure on punctuality.
Refrigerated Vehicle Shortage: The need for temperature-controlled vehicles is rising, yet availability needs to catch up, causing a crunch, especially from April to July.
Contamination and Damage Risks: Strict regulations, such as the FSMA, mandate intensive cleaning between loads, emphasizing safety but increasing handling risks.
Fluctuating Supply Chain Costs: With market-driven price volatility, suppliers are often cornered into paying premium rates, especially when targeting optimal freshness.
Soaring Commodity Losses: Price fluctuations and external factors lead to unpredictable commodity costs, impacting overall transportation expenses.
Global Risks: Deloitte’s 2023 Manufacturing Industry Outlook pinpoints issues like sourcing bottlenecks, global logistics delays, and cyberattacks affecting the broader supply chain and, by extension, the food manufacturing industry.
Driver Shortages : Amid carrier shutdowns and a freight recession , we still face a severe truck driver shortage. By 2030, this could lead to a shortfall of 160,000 drivers and necessitate 1 million new drivers over the next decade .
Environmental Impacts : The environmental impact of food transportation poses a challenge. As companies pursue sustainability and lower carbon footprints, they must adapt, often facing higher costs and needing innovative solutions.
Regulatory Compliance : The U.S. food transportation sector faces an intricate regulatory landscape. From stringent sanitation standards to specific labeling requirements, businesses face a maze of compliance challenges. One misstep can lead to hefty financial penalties and a tarnished reputation.

Backed Against a Corner With Emerging Solutions

Innovation and emerging solutions take center stage as food manufacturers confront the challenges mentioned above. For instance, there’s a significant buzz around drop-trailer shipping , with a 3% boost in beverage shipments and a whopping 32% leap in demand . And there's more — advanced route planning is cutting through the maze, making deliveries smarter and cheaper. Yet, the hunt for dependable refrigerated solutions heats up, with just two companies controlling 71% of North America's cold storage space . Amidst these shifts, expedited trucking stands out with the potential to reshape the future of food transport .

Expedited Trucking in Food Transportation

As the food manufacturing sector surges, set to reach an impressive $974.30 billion in 2023 at a 3.78% CAGR , the spotlight is on efficient transportation. Despite challenges like talent management, transportation capacity, and supply disruptions , expedited trucking offers a superior method for delivering perishable foods while preserving their freshness. Of course, speed plays a significant role — but it’s just as much about safety and service.

Safety: Protecting Perishable Cargo

The journey from farm to table is fraught with challenges for the food industry. The surge in cargo theft in 2023 spotlighted the ever-present risks, with food and beverage products the top targets with an average loss of $214,000 . But it's not just theft – factors like contamination, mishandling, and more threaten the very essence of our food during transit. Echoing these concerns, the International Association for Food Protection flags pivotal threats: security breaches, inconsistent temperature checks, the menace of cross-contamination, and hasty loading routines.

Thankfully, the industry is not without its vanguards. Expedited trucking swoops in to minimize stops and transfers, significantly enhancing shipment safety . Further fortifying this safety net are specialized trucks outfitted with advanced facilities to maintain optimal conditions for perishables. Pair that with drivers trained in the unique requirements of food transport, and we see a robust solution ensuring that our food reaches its destination fresh and intact.

Speed: Meeting Demanding Schedules

A staggering 14% of harvested food never reaches supermarket shelves . These alarming numbers highlight immense waste and reveal hidden challenges in modern logistics. Perishables like fruits, vegetables, dairy, and meat face the dual threat of time and decay, racing to maintain their freshness.

Enter expedited trucking. Designed for these urgent needs, it emphasizes the quickest routes and eliminates potential delays. Whatever your favorite food, expedited transport guarantees they maintain their optimal quality while meeting tight deadlines . With the global cold chain market having risen from $233.2 billion in 2022 and expected to grow at a CAGR of 18.6% from 2023 to 2030 , it's clear the world is leaning more towards fast, temperature-sensitive food transportation solutions.

Service: Delivering Excellence

Expedited trucking offers more than just swift transportation; it represents a holistic approach to service. At the heart of this service is the commitment to timely, safe delivery of food products. Thus, as the bar of customer expectations rises, so does the need to adapt . Transparency, real-time tracking, and seamless communication are non-negotiable these days.

Central to this commitment is an unwavering dedication to customer support. Leading expedited trucking companies pride themselves on having a round-the-clock team ready to address queries and offer timely shipment updates. Trust, vital for enduring relationships with shippers, stems from consistent deliveries and exceptional service. Furthermore, fulfilling promises, providing instant tracking, and catering to client needs all solidify lasting partnerships in food transport.

For Expert Expedited Trucking in Food Transportation, Smart Shippers Choose EFS

When shippers seek unmatched expertise in food transportation, Entourage Freight Solutions (EFS) stands out as the gold standard. EFS seamlessly combines knowledge with practical solutions, catering to the complex needs of the industry.

EFS's Profound Understanding of Food Transportation Challenges

EFS stands out in the intricate domain of food transportation. Their vast expertise in food service logistics and food manufacturing uniquely equips them to tackle the nuanced challenges of transporting perishable goods . Through ongoing learning and practical experience, EFS presents an unmatched depth of understanding and mastery , guaranteeing shippers top-tier service in expedited trucking.

Specialized Fleet, Seasoned Drivers, and Cutting-Edge Technology

EFS is a dedicated third-party logistics company with a versatile fleet tailored to diverse shipping needs, including full truckload , less than truckload , and refrigerated trucking . Strategically positioned cross-docks in Shelby, Ohio; Cedar Rapids, Iowa; and Romulus, Michigan amplify their efficiency. Furthermore, EFS employs the latest cloud-based, GPS-enabled tech to optimize routes, account for market rate changes, and ensure top-tier service at cost-effective rates .

EFS's Dedication to Safety, Speed, and Stellar Service

EFS stands at the forefront of food transportation, relentlessly committed to safety, speed, and unmatched service. Their proficiency covers comprehensive regulations, ensuring food items—from finished products to fresh produce—reach their destinations swiftly and securely. Leveraging advanced GPS technologies, EFS offers real-time tracking for optimal route efficiency. With a vast network of over 7500 carriers , they provide 24/7 operations, ensuring seamless food supply chains, all while upholding stringent USDA and FDA standards.

Final Word: Tapping into the Future of Food Transport

Expedited trucking has become the embodiment of efficient and secure food transportation. Addressing concerns from punctual deliveries to strict safety measures, this mode of transport is the answer to many of the multifaceted logistics challenges of today.

EFS is a paragon of excellence in this field with a specialized fleet, cutting-edge technology, and steadfast dedication. To EFS, expedited trucking is more than just a service; it's a genuine partnership. Boasting an extensive network of 7500+ carriers, elite tracking systems, and rigorous safety measures, they handle every shipment precisely. Whether fresh produce or finished products, EFS's seasoned expertise guarantees top-tier quality at the destination.

Shippers seeking unmatched precision shouldn't compromise. EFS offers the perfect blend of speed, safety, and stellar service. Want to redefine your food transportation standards? Contact EFS today and see for yourself the benefits.

Six Strategies for Getting the Most out of Your Expedited Logistics

Fri, 18 Aug 2023 12:28:26 GMT

When time is ticking on delivering your goods, enter expedited logistics to make meeting last-minute deadlines possible. This proven solution has become a go-to delivery option for major industries, including food and drink , e-commerce and retail , and shipping .

It is the quickest delivery service available, and with the benefit of covering almost anywhere, combined with real-time tracking capabilities, you get complete visibility and control over expedited logistics freight movements. This means your deliveries arrive on time, every time.

When you're contending with the complexities and unpredictability of modern supply chains, expedited logistics is the smart solution for dealing with unexpected challenges. Plus, it can play a crucial role in your broader logistics strategy.

To expedite logistics effectively and to know when to use it, careful planning and fine-tuning are needed to get the best out of it. Here are six strategies to help you do just that:

Strategy 1: Know Your Needs

When considering expedited logistics, the starting point should be an evaluation of your specific shipping requirements. There's a lot to consider:

What type of goods are you shipping?
Are they perishable, fragile, hazardous, or valuable?
What is the final destination of your shipments?
How quickly do they need to be delivered?

This is 'need to know' information to help you identify critical shipments that require expedited logistics. Plus, ask yourself, what is the risk of opting not to expedite logistics for specific shipments?

For example, let's say you're a shipper facing a last-minute delivery over a long distance . If you use traditional trucking, you run the risk of longer transit times and missing the deadline. This scenario calls for expedited logistics.

If you transport perishable goods, like food, where the stakes are high for maintaining food safety and freshness during transit, you would need reefer trucking to expedite logistics.

When planning expedited shipments, you should leverage data to forecast demand. Gather relevant historical data on your shipments, like order volumes, delivery times, locations, and other relevant information. This will enable you to accurately forecast demand and optimize your logistics operation to manage expedited shipments.

Strategy 2: Trust the Experts

Partnering with an expedited logistics provider will prove to be decisive for your business. However, what you want is a company that's more than a provider, be on the lookout for a strategic partner like Entourage Freight Solutions (EFS) .

A provider might merely quote you the best routes for expedited shipping; a partner will service routes for you. Providers offer solutions, but partners offer and execute them. That's why reliability and experience are attributes you should be looking for when choosing an expedited trucking company .

Expedited shipping relies on many functions. That means you should prioritize a logistics partner that can offer:

An extensive network of carriers that have been appropriately vetted.
End-to-end shipping visibility with 24-hour support.
A solid record of regulatory compliance.
A proven track record of on-time delivery.
Multiple services and equipment types.
Speed and flexibility.
Access to integrated technologies.

All these factors will give you the agility to anticipate and respond to changing supply chain conditions.

The right logistics partner will use a combination of experience and technology to give you value-added services like tracking, real-time updates, and dedicated customer support.

Strategy 3: Communication is Key

Clear communication is valuable to expedited logistics. According to Food Processing, food manufacturers consider communication the most critical factor when choosing an expedited carrier.

That's why you must establish solid communication channels between your business and logistics partner. Communication should be built on trust and reciprocity — it goes both ways.

Every detail matters when trying to get the most out of expedited logistics. Make it a culture to proactively share shipment details, deadlines, and special requirements for expedited logistics freight.

This will keep communication channels open throughout the shipping process and deal with any issues without delay.

Strategy 4: Optimized Logistics Requires Optimized Loading

A strategic and organized approach to loading and unloading goods can prevent delays in expedited logistics.

Efficient and effective loading all starts with optimizing your packing process. What you pack items in will determine how much space is used and affect load capacity. Getting the packaging wrong has a knock-on effect on loading, and suddenly delivery deadlines get even tighter.

Then there's the loading and unloading itself. Implementing efficient loading and unloading procedures that minimize handling time is important.

A proven way to improve loading and unloading efficiency to make the most of expedited shipping is to use technology and automation. This will help optimize your loading and unloading times while preventing unnecessary delays.

In fact, according to Robotics and Automation , Automatic Truck Loading Systems (ATLS) can reduce loading and unloading times from 30 minutes or more to a matter of minutes.

Strategy 5: Safety First

Speed of delivery should not come at the expense of safety. The correct safety measures can enhance expedited logistics. For example, take securing cargo. If cargo isn't secured properly, delays will occur because of having to resecure shipments or, worse still, clear up any damage. The knock-on effect is lost profits and unhappy customers.

Failure to comply with safety regulations and industry standards will delay expedited logistics. There's nothing more frustrating than missing paperwork or unsafe goods making it onto trucks, which leads to compliance and safety issues.

It's also best to designate regulatory and compliance requirements to a team that can identify and resolve any issues ahead of shipping. This helps time be well-spent further along in the process.

Security is another crucial area that must be managed to prevent expedited logistics delays. Theft and unauthorized access can cause significant disruption to shipping schedules and will often result in missing deadlines. Not only can this result in lost profits, but it will also affect your reputation.

You must implement measures to safeguard against security threats. For example, you should choose secure shipping routes, use container security devices and tracking systems, and even train your staff to help spot signs of tampering or theft.

Anything that helps to minimize the risk of damage, theft, and delays will maximize favorable outcomes in expedited logistics.

Strategy 6: Top-Tier Performance Requires Top-Tier Technology

A combination of industry experience and technology powers the very best expedited logistics. The easiest way for your business to get the best of both is via a logistics partner like EFS.

Your business gets the benefit of experience and access to advanced technology without the associated costs and disruption of overhauling your existing systems.

With the ability to monitor shipments in real-time using advanced tracking systems, every step of the expedited logistics process is visible.

Your customers benefit from that same visibility, too.

They experience the power of expedited logistics through real-time status updates that integrated technology can offer. This means they know exactly when they will receive their shipments.

Plus, there's the bonus of technology gathering essential data to help you optimize delivery routes, maintain safety and security, and more, all of which helps to eliminate delays and ensure on-time delivery.

Across every function of your logistics operation, the blend of professional experience and technology will help shape your business's future.

With the Right Data, Improvement is Inevitable

The role of data visibility now matters more than ever, especially amid the complexities and challenges of the modern supply chain. This is true for expedited logistics. Thanks to integrated technologies, data is more readily accessible. But it's only by gathering the right data that you can improve your expedited logistics.

One essential data set you should focus on is customer and internal stakeholder feedback. Therefore, honest feedback should be encouraged to determine whether you are making the most of expedited logistics. Your customers and internal stakeholders are the people experiencing the service first-hand.

Their feedback is crucial to identifying issues and fine-tuning your expedited logistics strategy.

Equally, you should analyze key performance metrics to identify where you can enhance areas. The details and metrics really do matter when it comes to minimizing delays, cutting costs, and maximizing the full availability of your logistics network.

To ensure that the right data is gathered and used effectively, implement a culture of continuous improvement. This stops your expedited logistics strategy from becoming stagnant while providing a roadmap for the future of your business.

Sustainable Expedited Logistics Starts Here

Armed with these six strategies, the experience of professionals like EFS, and integrated technologies, you're equipped to shape an expedited logistics strategy that's manageable and sustainable.

Offering 24/7 solutions proven to deliver outstanding customer service, you can access a wide selection of expedited trucking services, including full and less-than-truckload deliveries , refrigerated transportation , special projects , and more.

With the rise in foodservice subscriptions, meal kits, and same-day delivery for goods, Entourage Freight Solutions doubled down on traceability and instant access to capacity through expedited shipment services . We leverage our expertise and resources to find your capacity when you need it most.

Request a freight quote today and delight your customers with a new level of expedited logistics that goes the distance.

Expedited Trucking: The Pros and Cons

RSHanline (Nick Terry) — Mon, 07 Aug 2023 12:23:33 GMT

When every second counts in delivering your goods, expedited trucking emerges as the hero of the hour. This service, pivotal to numerous food manufacturers , shippers , and retailers , transforms last-minute delivery deadlines into achievable goals. Its unique ability to traverse any land-based location coupled with real-time GPS tracking grants businesses visibility and control over their freight movements, ensuring deliveries are never a minute late.

However, expedited trucking has its challenges. The costly nature of this service, combined with capacity limitations, can pose a dilemma. Moreover, external variables such as weather disruptions, traffic congestions, not to mention driver fatigue and safety concerns, can put its effectiveness to the test. Even visibility issues have a role to play, further complicating operational efficiency.

This article aims to help you weigh the balance—to analyze the pros and cons of employing expedited trucking services. With facts and insights, you can make an informed choice about this pivotal aspect of your logistics strategy.

Is Expedited Trucking Right for Your Operations?

Expedited trucking might be the missing piece in your business's puzzle. Each of the below use cases illustrates how expedited trucking can help players in the food industry meet customer demands, ensure safety and freshness , meet tight deadlines , and foster a competitive edge.

Food Manufacturers

Consider a scenario where a California-based food manufacturer has a batch of fresh strawberries needing prompt delivery to an East Coast grocery chain within two days. Traditional shipping methods might fail to succeed against such a tight schedule. However, with expedited trucking, the strawberries can be delivered on time and in prime condition, preserving their freshness and ensuring customer satisfaction.

Food Shippers

Food shippers have their unique set of challenges. Let's take a shipment of frozen seafood that needs transporting from the port to a far-off distribution center. The seafood requires a consistent cold environment to prevent spoilage. Expedited trucking companies offer temperature-controlled trailers designed for such demands. They ensure the seafood is delivered quickly, safely, and at the right temperature, mitigating the risk of spoilage.

Food Retailers

Consider the common scenario of food retailers who frequently face a race against time to restock popular items. A grocery chain, for instance, might find itself running low on a customer-favorite organic milk brand. They may have to source the milk from a distant dairy farm while simultaneously working against the clock, where the need for speed in restocking becomes critical. Here, expedited trucking proves its worth with prompt delivery services swiftly transporting the milk from the dairy farm to the stores and catering to the demand.

Pros of Expedited Trucking

The world of expedited trucking is one with a wealth of benefits ranging from faster deliveries and enhanced customer satisfaction to reduced cargo risk, increased flexibility, and efficient supply chain management. Let’s unpack them.

Faster Deliveries

A key benefit of expedited trucking lies in its commitment to speed. This approach surpasses traditional freight services, handling everything from small parcels to large consignments with unmatched swiftness. Undoubtedly, the ability to deliver on time is a strong indicator of a business's dedication to customer satisfaction, highlighting the importance of expedited trucking. Which unsurprisingly is the next advantage we’ll focus on.

Enhanced Customer Satisfaction

Expedited trucking, a vital ingredient for customer satisfaction, empowers businesses with a unique competitive edge. Through on-time deliveries, it weaves a positive brand narrative that fosters loyalty and prompts positive feedback. A striking statistic from DigitalCommerce360 unveils the consumer's urgent needs: 61% insist on delivery within three hours of purchase, while 80% anticipate same-day shipping. Equally compelling, another study reveals that nearly two-thirds of consumers will pay more for faster delivery services.

Reduced Risk of Cargo Damage and Loss

Expedited trucking significantly reduces cargo damage and loss risk, thanks to fewer stops and less cargo handling. Using exclusive-use vehicles keeps goods separate, avoiding inter-vehicle transfers and reducing potential damage. Moreover, with fewer touchpoints, the likelihood of loss or mishandling plummets. This safety and precision have boosted expedited trucking's appeal, especially for goods needing delicate handling or time-sensitive delivery.

Flexibility and Customization

The strength of expedited trucking lies in its flexibility and ability to offer custom solutions. These services allow businesses to strategically plan delivery routes, even accommodating time-sensitive or delicate cargo. Unlike traditional freight shipping, expedited trucking doesn't have limits from preset constraints; it readily adapts to direct routes and off-peak travel times. Furthermore, its customizable features - from door-to-door delivery to real-time shipment tracking - aptly cater to a business's specific shipping needs.

Efficient Supply Chain Management

With expedited trucking, supply chain efficiency gets significantly boosted, cutting back on inventory expenses and fostering streamlined operations. This approach ensures speedy deliveries, achieving ideal inventory levels, and fulfilling customer needs. Additionally, incorporating expedited services into your transportation blueprint minimizes errors and irregularities in distribution, resulting in smoother order processing, faster delivery times, and, ultimately, increased profits.

Cons of Expedited Trucking

Even though the benefits of expedited trucking are manifold, there are still several pressing disadvantages to consider.

Higher Cost

A critical consideration in expedited trucking is the higher cost associated with its unparalleled speed and efficiency, which can either inflate product prices or squeeze profit margins. This increased expense, a trade-off for non-stop transport from pickup to delivery, requires shippers to juggle the delicate balance between cost and urgency . As shipping complexities grow, finding this equilibrium becomes increasingly challenging. Even though strategies like consolidation or carrier negotiations can mitigate costs, the price tag of expedited trucking is a crucial factor to consider.

Limited Capacity

Although expedited trucking is renowned for its efficiency, it occasionally grapples with limited capacity, primarily due to surging demand, driver shortages, and equipment constraints. This limitation highlights the necessity of thorough planning, foresight, and early booking to reap the full rewards of expedited services. Securing sufficient capacity to meet shipping needs also requires strategic balancing intricately linked to wider market trends and resource availability.

Weather and Traffic Constraints

Expedited trucking, while offering swift deliveries, can face obstacles due to adverse weather and traffic conditions causing delays. These can range from impassable roads due to heavy snowfall or flooding to traffic congestion. Mitigating these risks involves strategic route planning, considering weather patterns, traffic, and road closures. Additionally, companies must establish contingency plans, such as alternate routes, backup drivers, and additional equipment, ensuring shipments are delivered timely, irrespective of unexpected disruptions.

Driver Fatigue and Safety Concerns

Driver fatigue, a critical safety concern, is significantly amplified by the demanding schedules inherent in expedited trucking. As per National Highway Safety Traffic Administration data, drowsy driving accounted for 684 deaths in 2021. Yet, worryingly, a National Sleep Foundation poll reveals roughly a third of American drivers still admit to falling asleep at the wheel. Moreover, with AAA studies showing an 11.5x increase in crash risk for drivers with only four hours of sleep, strict adherence to safety regulations is vital.

Visibility Issues

Expedited trucking, with its high-speed demands, has a critical disadvantage: maintaining robust visibility. The industry is caught in a tricky balancing act, needing to satisfy urgent shipping needs while also ensuring reliable, real-time tracking. Although nascent Real-Time Transportation Visibility Platforms herald a promising future, they’re still in their infancy. To partially alleviate these concerns, the industry leans on proactive tracking and swift services, including pickups within an hour.

Expedited Transportation Requires a Reliable Provider

Expedited trucking is a critical lifeline for businesses but presents unique challenges. A well-chosen provider, however, can efficiently mitigate these hurdles and ensure reliable service.

Intelligent Logistics and Route Optimization

An adept expedited trucking company leverages advanced technologies like AI and machine learning. These tools equip the provider with the ability to determine the quickest and most cost-effective routes, reducing delivery times and mitigating environmental impacts.

Efficient Load Balancing

A top-tier provider employs strategic load planning, pairing cargo with the most suitable mode of transportation and consolidating less-than-load (LTL) shipments where possible. This judicious use of space can reduce costs and enhance the overall efficiency of expedited trucking.

Trained Professionals and State-of-the-Art Equipment

The assurance of safety for your goods comes from professional drivers skilled in handling and transporting various items. Moreover, professionals that utilize top-of-the-line equipment minimize the likelihood of any potential damage during transportation and instill a sense of confidence.

Flexibility and Transparency in Service

The most effective expedited trucking providers offer various services, enabling shippers to customize their choice based on their specific needs. Real-time tracking and open communication provide transparency and reassurance for shippers, affording them the flexibility to make necessary adjustments.

Superior Customer Service

Unforeseen issues are an integral part of logistics. A provider that maintains a responsive customer service team can aid shippers in swiftly finding solutions to unexpected problems, minimizing potential delays, and maintaining the efficacy of expedited trucking.

Embracing Sustainability

With growing concerns about the environmental impact of logistics, some providers are adopting greener practices. Using electric trucks or carbon offsetting initiatives by these companies adds an environmentally friendly facet to the many advantages of expedited trucking.

Speed and Strategy: How Entourage Freight Solutions (EFS) Puts the Balance in Expedited Trucking

Expedited trucking offers a powerful solution for businesses struggling with challenging delivery timelines. Its ability to deliver goods swiftly and safely is remarkable, albeit with complexities like higher costs, capacity limitations, and unforeseen disruptions. Still, through real-life scenarios from the food industry, we've seen its transformative impact—achieving demanding targets, ensuring freshness, and satisfying customer expectations.

EFS stands out among expedited trucking companies, providing a 24/7 operation committed to stellar customer service. EFS offers diverse services, including full and less-than-truckload deliveries, refrigerated transportation, and, most notably, expedited shipping . Their intense focus on traceability and capacity accessibility makes them a dependable ally in today's logistics, addressing urgent shipping needs and creating superior customer experiences.

Take the next step to redefine your logistics strategy. Tap into the promise of expedited trucking with EFS. Request a freight quote today and make punctuality your new standard.

Reefer Truck Essentials: Six Strategies for Safe Trucking

Wed, 26 Jul 2023 16:00:21 GMT

Every degree matters in the world of reefer trucking. One misstep can create a chain reaction, transforming temperature-sensitive goods into waste and anticipated profit into a loss.

The stakes are high when transporting temperature-sensitive products such as fresh produce, plants, animal products, specialized medicines, or chemicals. The average reefer truck can maintain temperatures ranging from minus-13 degrees to 77 degrees Fahrenheit, and some specialized refrigeration units can go as low as -85 degrees Fahrenheit. With so many different types of refrigerated trucks for different needs, there’s one underlying question- how is it possible to navigate these temperature nuances to guarantee the secure arrival of goods?

This article aims to answer this question by uncovering six crucial reefer truck safety and reliability strategies. It will walk you through each stage, from the earliest steps of truck preparation to the decisive moment of unloading. When implemented with care and precision, these strategies serve as a comprehensive blueprint for ensuring optimal results.

Six Strategies for Reliable Reefer Trucking

Reefer trucking offers numerous benefits for the safe transport of perishable goods. However, securely transporting these goods could prove futile without implementing a robust blend of strategies. Several critical tactics come into play – meticulous preparation, careful loading, constant monitoring, comprehensive theft prevention, adherence to regulations, and reliance on industry experts. Let's unpack these six strategies and see how each plays a pivotal role in achieving reliable and efficient transportation of perishable goods.

1. Preparing the Reefer Truck

When securing the integrity of temperature-sensitive goods , a reefer truck's preparedness is paramount. Preparation involves a meticulous, two-pronged approach that can significantly influence the safe delivery of the goods.

The first prong involves thoroughly inspecting the reefer unit before each trip. This stage is not a cursory glance but a detailed analysis of various critical components, including checking for mechanical issues such as leaks or loose belts, which could jeopardize the reefer truck's performance. Equally important is ensuring the temperature settings align flawlessly with the cargo's temperature requirements. Misaligned temperature settings could lead to a severe risk of cargo spoilage during transport, causing financial loss and reputational damage.

The second prong involves an equally comprehensive examination of the cargo area itself. A well-rounded reefer trucking strategy necessitates checking the integrity of door seals, the condition of insulation, and any signs of structural weaknesses in the truck body. A compromised door seal or inadequate insulation can lead to temperature fluctuations, threatening the quality of the goods.

2. Loading and Securing the Goods

An organized approach that treats freight not just as goods to transport but as unique elements needing specific care forms the bedrock of efficient reefer trucking. Like a chef who understands the nuances of different ingredients, familiarize yourself with the temperature needs of each item in your cargo to maintain optimal conditions to keep the goods in peak condition during the journey.

The loading process commences not with the first item placed in the truck but rather with the pre-cooling of the truck. This initial step guarantees the cargo area meets the optimal temperature immediately. Concurrently, maintaining abundant airflow can help prevent hotspots from unfavorably affecting specific goods. Then, once loading begins, pay attention to balancing speed and safety. Consider strategically arranging items to prevent shifting during transit - even a single box out of place can disrupt airflow, meddle with temperature regulation, and risk your goods' safety.

The final yet crucial step in this process is securing your goods. Consider outfitting your reefer truck with tools like load bars, straps, airbags, pallets, and dividers to anchor cargo, minimize transit movement, and reduce the risk of damaging goods. Moreover, thoroughly securing your cargo stabilizes the truck, significantly enhancing overall journey safety.

3. Monitoring and Controlling the Reefer Unit

Running a successful reefer trucking operation entails vigilant monitoring and control of the reefer unit's temperature and humidity levels beyond just setting the right temperature. Swift, accurate responses to deviations safeguard your cargo's quality and reputation while simplifying compliance with regulations like the Food Safety Modernization Act (FSMA).

The number one priority in this step is to optimize ventilation and proper air circulation within the truck. Creating a balanced, well-regulated ecosystem eliminates temperature inconsistencies and effectively manages humidity. By taking this proactive approach, you also significantly reduce the risk of harmful condensation and provide extra protection for your goods.

To accomplish this objective, consider embracing technology and advanced systems . Real-time monitoring, advanced power management, and wireless sensors are a few tools you can use to streamline regular checks and facilitate early issue detection. With uninterrupted oversight, you gain remote control capabilities that enhance operational efficiency. Advanced power management further optimizes your operations by extending battery life. Moreover, immediate alerts from wireless sensors promote streamlined and responsive operations, ensuring your cargo remains in prime condition.

4. Preventing Theft and Unauthorized Access

An alarming rise in cargo theft , notably with food and beverages, is sweeping the U.S. Statistics from CargoNet underscore a troubling 50% year-over-year surge and an average loss of $214,000 per incident. Moreover, the FBI estimates the annual cost to trucking companies and retailers at $15 to $30 billion, further straining an already troubled supply chain.

Safeguarding your reefer trucks, therefore, is non-negotiable. Thieves frequently focus on commodities they can easily sell on the black market . Implementing robust security measures such as tamper-proof locks and seals is vital to combat this. GPS tracking systems supplement these measures, enabling real-time monitoring of your reefer truck's route and swiftly identifying any unusual stops. According to Travelers ' special investigations group, such technology has led to the recovery of over $85 million in stolen goods since 2011.

Meanwhile, also pay attention to the human factor. Meticulous background checks on personnel, complemented by strict access control measures like key cards or biometric scanners, significantly reduce the risk of unauthorized access to your precious cargo. By embracing these strategies, you can combat the rising tide of cargo theft, ensuring your goods arrive safely and securely at their destination.

5. Compliance with Regulations and Best Practices

Safety in reefer trucking starts with adhering to strict regulatory standards. Key ones include the FSMA, the FDA Food Code , The Code of Federal Regulations (CFR), Title 21, Part 117, The International Organization for Standardization (ISO) 20000, and The Good Distribution Practices (GDP). These establish guidelines for the safe transportation and distribution of food and pharmaceutical products worldwide.

However, safety goes beyond knowing rules. It's about embedding best practices into your routine. Regular inspections of your reefer truck, detailed documentation of temperature and humidity levels, and a comprehensive maintenance logbook serve as the foundation. Layer in real-time monitoring systems, extensive personnel training, and robust contingency plans, and you're paving the way to a secure transport environment.

Reefer trucking is challenging. Nobody said it's easy. But, by keeping a keen eye on these complexities and staying focused on regulations and best practices, you can ensure a safe journey for every temperature-sensitive item. Consider the storage temperature requirements for various types of produce. The wide range of temperatures speaks for itself and illustrates the importance of staying on top of things.

Apples: 30–40°F
Pears: 29–31°F
Green Beans: 40–45°F
Cucumbers: 50–55°F
Eggplant: 46–54°F
Watermelon: 50–60°F
Sweet Peppers: 45–55°F
Potatoes: 38–40°F
Sweet Potatoes: 55–60°F
Tomatoes: 55–70°F

6. Trust the Experts

Navigating the complexities of reefer trucking requires a blend of expert knowledge and committed application, both of which providers like Entourage Freight Solutions (EFS) exemplify. With a deep-rooted understanding of the intricate rules and regulations in the industry, EFS's team of professionals ensures safety is never compromised. The comprehensive expertise extends to personalized solutions , meeting each client's unique needs.

Partnering with EFS presents a unique opportunity. A tailored, client-focused approach ensures the logistics of temperature-sensitive transportation are streamlined and efficient. EFS employs advanced technology and applies its vast experience to provide unrivaled reefer trucking solutions. The result is not only the safe transit of goods but also the peace of mind that comes with knowing that a dedicated and reliable partner is at the helm. EFS’s deep commitment to safety, personalized solutions, and exceptional service marks them as the trusted experts in reefer truck transportation.

A Safer Tomorrow in Reefer Trucking

We've explored the key strategies for reefer truck safety, taking in the sights from preparation to loading, control, theft prevention, regulatory compliance, and expert guidance. These are more than just theoretical guidelines. They are actionable steps to secure your temperature-sensitive goods during transport.

Leveraging the expertise of seasoned professionals like EFS simplifies reefer trucking logistics. With comprehensive services spanning the entire food service supply chain , EFS meets evolving demands. It offers logistics solutions for food service subscriptions, meal kits, and same-day deliveries. Furthermore, EFS provides specialized logistics solutions, integrated support for early-stage manufacturing transport , and customized services for growers, shippers , or retailers . Prioritizing care, efficiency, and cost-effectiveness, EFS enhances the quality and scalability of logistics operations with features like traceability and immediate capacity access via expedited shipment services.

No matter the challenge, a freight specialist from EFS is ready to help. Don’t compromise on the safety of your goods. Harness the power of expertise, personalize your reefer trucking solutions, and pave the way to a more secure tomorrow in the industry. Speak to a freight specialist today … and put safety first.

What Does the Rise of E-Commerce Mean for Food Manufacturing?

Wed, 19 Jul 2023 13:13:17 GMT

Food and Beverage E-Commerce: A Paradigm Shift in Food Manufacturing

A retail revolution is unfolding in front of our eyes. E-commerce is dominating, already accounting for 20.8% of retail purchases. However, this isn't a fleeting trend. Forbes' 38 E-Commerce Statistics Of 2023 ' predicts this figure will grow to 24% by 2026, further entrenching online shopping in our daily lives. The United States is leading this digital charge, with sales poised to exceed $1.1 trillion this year. The global market could also see its value balloon to $6.3 trillion by the end of 2023 and over $8.1 trillion by 2026.

Amid the e-commerce boom, the U.S. food and beverage (F&B) industry is scrambling to seize a golden opportunity despite food and beverage e-commerce traditionally lagging behind other sectors. Nevertheless, food manufacturers are resolute in changing this narrative despite long-standing pain points like managing perishable items and unique delivery and storage requirements. As they rethink everything from production to logistics , their innovative responses will shape the F&B industry's future and how companies can leverage e-commerce.

The Impact of E-Commerce on Food Manufacturing

The inexorable rise of e-commerce has ushered in a wave of changes in food manufacturing. We're witnessing a meaningful shift in consumer habits and supply chain dynamics, shaping a new normal for F&B e-commerce.

Changing Consumer Behavior

The food and beverage industry is transforming significantly, marked by the rise in online grocery shopping and direct-to-consumer sales. Today's consumers, who value convenience and personalization, are steering this change. As food e-commerce gains traction, the widespread use of smartphones further amplifies this shift, making online shopping more accessible and seamless. Thus, with the projected surge in online food delivery expected to reach 21% of the market by 2025 (up from 13% during the pandemic), strategic adaptation is more urgent than ever.

Meal kits encapsulate these consumer desires perfectly, a market segment projected to soar from $11.1 billion in 2021 to an astounding $43.4 billion by 2031, based on Allied Market Research’s findings. Companies like HelloFresh, Blue Apron, and Home Chef spearhead this revolution, offering meal kits and pre-portioned ingredients directly to consumers' doors.

Additionally, the burgeoning demand for personalization has given rise to niche providers such as ButcherBox, Goodfood, Sea to Table, and Territory Foods, who enhance the consumer experience in the F&B e-commerce space by catering to unique dietary preferences.

Evolving Supply Chain Dynamics

Modern consumer expectations are soaring - a Forbes report indicates that 90% of consumers now anticipate standard two- or three-day shipping. Further, 32% will quickly abandon their shopping carts if delivery times miss their expectations. This accelerated demand for speed shapes the ongoing evolution of supply chains in the food and beverage e-ommerce industry and the importance of specific solutions like expedited trucking .

Among this sector's myriad challenges, ensuring efficient order fulfillment and last-mile delivery stand out prominently. Everything from warehouse location , the distance to the customer, the specific type of food, and even the time of day can influence supply chain efficiency. Some, though, are turning these headwinds into opportunities by focusing uniquely on logistics and customer demands. Amazon Fresh, for instance, offers same-day delivery of fresh groceries for Prime members in select cities. Similarly, Instacart allows customers to order groceries from local stores for delivery within an hour. Whole Foods Market assures a two-hour delivery window for orders above $35. Other services like GoPuff function like on-demand convenience stores and deliver food, drinks, snacks, household essentials, and more within minutes.

However, even as certain F&B e-commerce companies excel in order fulfillment and last-mile delivery, ensuring product quality and safety during transit remain significant challenges. Unpredictable environmental changes during transportation can threaten food safety. Here, reefer trucking for perishable goods often helps by ensuring optimal conditions throughout transit. Yet other challenges can still persist, such as physical damage and human error in handling or storing food products.

As E-Commerce Continues to Grow, Food Manufacturers Adapt

The world of e-commerce is rapidly expanding, and this presents many challenges and opportunities for those in the food manufacturing industry. As the potential for success in this sector becomes increasingly apparent, businesses seek new and innovative ways to reinvent their strategies, from production to distribution, to stay ahead of the game.

Production and Packaging

Revamping production processes to meet e-commerce demands is step one for food manufacturers to kickstart their e-commerce transformation. Considering the increasing popularity of meal kits and individual servings that offer convenience and customization, it's imperative to rethink the process flow to cater to these unique product formats.

Simultaneously, packaging considerations have taken the forefront in F&B e-commerce. It's not just about aesthetics anymore; packaging now plays a pivotal role in maintaining product integrity during transit. As a result, manufacturers have been dedicating resources to researching and developing durable and transport-friendly packaging solutions to ensure that food products arrive at their destination as fresh as the day they leave the factory.

Inventory and Demand Planning

Inventory management and demand forecasting, once a game of educated guesses, are becoming data-driven pursuits in the e-commerce era. The challenge lies in maintaining a delicate balance; too much inventory could lead to wastage, while too little could result in missed sales opportunities.

Modern data analytics tools offer a solution, providing real-time insights into buying patterns and trends. These insights help manufacturers forecast demand more accurately, optimize inventory, and plan production schedules efficiently.

Logistics and Distribution

The ability to consistently deliver products in a timely and reliable manner can make or break a brand's reputation. That's why it's so essential to establish a solid logistics and distribution system from the get-go.

Many manufacturers partner with specialized carriers and fulfillment service providers because a robust delivery network is so non-negotiable in food e-commerce. Such collaborations bolster delivery capabilities and allow manufacturers to focus on their core competency - producing high-quality food items.

Traceability and Food Safety Systems

With the rapid transformation of the food industry comes heightened regulatory attention. Manufacturers proactively respond by investing in end-to-end traceability systems that monitor the food journey from farm to table. This proactive approach not only fulfills regulatory compliance but also accentuates safety and quality, ensuring that the food reaching consumers is of the highest standard.

Furthermore, the importance of food safety for online shoppers drives manufacturers to reinforce safety protocols throughout the supply chain. They ensure safety from ingredient sourcing to final delivery by instituting stringent quality checks and sustaining hygienic production environments.

As the Demand for Reliable Food and Beverage e-commerce Continues to Grow, Collaboration is Key

The food and beverage sector is dramatically transforming due to the meteoric rise of e-ommerce. Ensuring efficient operations and customer satisfaction, the power of collaboration significantly drives this evolution.

Importance of Collaborating with Logistics Providers

A key partnership for food manufacturers in the e-commerce era is with logistics providers . Reliable, efficient shipping isn't just a bonus; it's necessary for an industry where the quality of goods often depends on speedy and secure delivery. Establishing collaborative relationships with trusted logistics partners can simplify the distribution process, reduce delays, and enhance product quality upon delivery.

Moreover, partnerships with logistics providers offer invaluable insights into optimal storage and handling practices. These insights can help manufacturers refine their processes, reduce waste, and ultimately deliver a fresher, higher-quality product to the end consumer .

Leveraging Partnerships to Optimize Operations and Customer Experience

Strategic partnerships with logistics providers offer far more than efficient shipping and distribution in the food and beverage e-commerce world. These alliances amplify operational efficiency by equipping manufacturers with a suite of advanced tools and data resources. Leveraging these, manufacturers can deepen their market comprehension, streamline operations, and implement data-driven inventory management and production planning strategies.

Moreover, a focus on partnerships can also reshape the customer experience. Manufacturers collaborating closely with diverse stakeholders can craft unique online shopping experiences tailored to individual customer preferences. This personalized approach nurtures brand loyalty and promotes customer retention, further strengthening F&B e-commerce.

Reaping the Benefits: F&B E-Commerce and the EFS Advantage

As food and beverage e-commerce expands, opportunities and challenges for food manufacturers simultaneously appear. Success in this rapidly evolving terrain hinges on navigating a wide range of changes, from new production and packaging processes to sophisticated logistics and traceability systems. However, with the right mindset and a willingness to adapt, there are endless possibilities for growth and success in this exciting industry.

Striking a balance between quality, speed, and affordability, Entourage Freight Solutions (EFS) offers bespoke solutions for success in food e-commerce. With an around-the-clock network and real-time, IoT-enabled tracking, EFS gives businesses full control and transparency over the transportation of their goods. A robust portfolio of over 7500 specialized carriers, including those in refrigerated freight and dry bulk goods, also helps provide scalable solutions aligned with growth objectives. Moreover, with EFS's expedited freight services, businesses can maintain supply chain readiness and provide positive customer experiences.

So take the next step to a fruitful e-commerce future. Speak with an EFS Freight Specialist today to learn how to enhance your food e-commerce capabilities and explore the potential benefits.

How Does Flexible Warehousing Help Retailers Build Resilience?

adam@the-robinson-agency.com — Mon, 10 Jul 2023 18:00:13 GMT

How Does Flexible Warehousing Help Retailers Build Resilience?

Today, retailers must be acrobatic in their warehousing and delivery strategies to meet changing and growing consumer demand. Flexible warehousing is a valuable tool that can make it easier to deliver valuable inventory when and where consumers want it. Flexible warehousing is also a key first step to building a more resilient supply chain that wins loyalty by delivering desired goods quickly and efficiently.

In 2022, Retailers Learned the Importance of Inventory Management the Hard Way

The last few years have thrown inventory management into complete disarray. From panic over-buying in 2020 to the overactive demand of 2021 and an inventory glut in 2022, retailers are struggling to maintain the proper inventory management system to anticipate and meet demand accurately.

For food retailers looking to meet changing consumer tastes and seasonal trends, flexible warehousing can be a valuable tool that makes it possible to meet demand without overpaying for warehousing and fulfillment.

With the Inventory Crisis Here to Stay, Retailers Innovate

It doesn’t have to be this way. Obviously, consumer demand is variable and always will be. However, when appropriately applied, flexible warehousing can enable innovative businesses to quickly meet increased demand without overpaying.

What is Flexible Warehousing?

Flexible warehousing helps shippers respond to changing demand and market conditions while maintaining a nimbleness that cannot be so easily achieved with traditional warehousing setups. Two types of flexible warehousing can be utilized to make food supply chains more resilient.

The first kind allows shippers to rent warehouse space on short-term contracts. Typically, when shippers pay for warehousing space, they sign contracts that commit to paying for it for several years. This means they have to project their shipping and warehousing needs (and thus, consumer demand) over several years. As we’ve seen, that’s not an exact science, and it means that shippers need to pay for the maximum amount of warehousing space they anticipate they might need. In practice, this can result in empty warehouse space for much of the year and a warehousing crunch during the busiest times. And it can make it difficult for companies to grow sustainably. With flexible warehousing, shippers can rent additional warehouse space on short-term leases during busy times or as their business grows. Shippers using flexible warehousing are not left paying for that space when they don’t need it, nor do they struggle to deliver goods when and where they’re desired.

The second form of flexible warehousing makes it easier for retailers to deliver goods during times of massive volumes. If a business experiences a huge rush of incoming demand that’s entirely beyond its usual capacity, it can use flexible warehousing to help meet that demand. Flexible warehousing services can store goods and fulfill shipments on behalf of a company. This is particularly useful for companies that experience outsized demand for short periods of time, such as a company selling turkeys around Thanksgiving. Since demand is relatively small the rest of the year, they operate a small staff. Rather than scramble to hire additional temporary labor, they can outsource fulfillment to flexible warehousing specialists who can simply and affordably fulfill those orders.

Flexible Warehousing Lets Growth-Minded Food Retailers Think Big

Flexible warehousing is a terrific tool for increasing the on-demand scalability of warehousing, especially for food retailers who may be looking for temporary storage after having secured reefer trucking capacity. With these tools to store and deliver perishable goods more efficiently, food retailers can confidently meet demand without overstocking or overspending on warehousing. They can also reduce food waste through improved inventory management. Since warehouse space can be easily attained, there’s no need to overstock select items in anticipation of future demand. And by making it easier to dispatch orders and keep on-demand items in warehouses, a flexible warehousing plan helps businesses turn inventory into cash more efficiently.

Freight Brokers: The Secret Weapon for Great Inventory Management

When it comes to better inventory and warehouse management, Entourage Freight Solutions (EFS) is the go-to for intelligent, cost-effective solutions. Their team of freight management experts can help companies forecast demand and plan shipping for a flexible warehousing solution that fits their needs. EFS covers everything from FTL to drop trailers, focusing on perishable food items. EFS’s suite of technologies helps them track market capacity and rate trends, and they also make it possible for EFS to meet shipping needs as companies respond quickly to market demand. Make it easy to plan a dynamic, flexible supply chain with EFS.

Flexible Warehousing is Changing Food Retail. Are You Ready?

Flexible warehousing and efficient transportation management boost competitiveness by delivering customers' desired goods at an affordable price point. This dynamism helps companies consistently deliver the goods customers want and build customer loyalty.

In an increasingly uncertain world, flexible warehousing will enable smart companies to keep up with changing demand and production conditions. It will also build resilience for the food retail industry so that we are all better prepared to handle supply chain disruptions like the ones we’ve seen in recent years.

A good freight broker partner can make it possible to build a resilient and efficient flexible warehousing system. With its wide-ranging expertise in food freight and flexible warehousing planning, EFS is the smartest choice for companies looking to build smart, resilient supply chains. Contact EFS today .

The Big Three: Breaking Down the Top Challenges in Food Manufacturing

adam@the-robinson-agency.com — Fri, 16 Jun 2023 17:16:24 GMT

The Big Three: Breaking Down the Top Challenges in Food Manufacturing

In 2021 the US food and beverage market was worth over $5,815 billion. With so much food being consumed annually, it’s vital to understand the top challenges in food manufacturing and how the best 3PL partner can help food manufacturers address challenges and ensure sustained growth.

The Top Challenges in Food Manufacturing

Food manufacturing has its own set of unique challenges. Our food supply chains are long and complex, with many weak points where delays can build up. Furthermore, labor shortages and a lack of trained truck drivers affect logistics and slow deliveries. The wait for manufacturing or delivery could spell spoilage for perishable food items, so it’s essential to identify the major slowdowns and how we can overcome them.

1: Supply Chain Complexity & Specialization

Our food supply chains are already highly complex, even before delays or issues. From growers to packers to shippers and retailers, multiple stakeholders are almost always involved in each supply chain. The complexity of food supply chains means challenges associated with managing inventory, preparing logistics, and coordinating orders.

As such, it’s essential that each stakeholder plans ahead and prepares for contingencies. In times of high demand, having streamlined supply chain solutions can improve efficiency and reduce costs. The ability to deliver highly-desired goods to stores when competitors cannot sets your business apart from others and builds customer loyalty.

Even as the supply chain is very complex, it’s also highly specialized, with a small number of actors producing the majority of many staples. The war in Ukraine is one instance where supply chain consolidation affected the industry. Ukraine is a top producer of grains and oilseeds globally. In 2022, Ukraine was the biggest global exporter of sunflower oil and meal and No. 3 for grapeseed oil. With the outbreak of the war, supply chains globally were affected by a shortage of sunflower oil, deepening food crises in East Africa and affecting food production with oil globally. Just as it's vital to have a broad foundation of carriers to meet varying capacity demand, building robust and resilient supply chains will include diversifying the sources of our ingredients.

2: The Ongoing Labor Shortage

The ongoing labor shortage in food manufacturing and logistics is a pressing problem for the food industry. More than 130,000 positions in food manufacturing were vacant in 2021. Furthermore, the trucking industry reported an 80,000 trucker shortage and projected that figure may rise to 160,000 by 2030 .

Food manufacturers are facing severe employee shortages. This is affecting production and slowing down manufacturing lines. Each manufacturer is approaching scarcity differently, but many are turning to time-proven tactics, including:

Increasing pay or benefits.
Training and promoting internally.
Improving working conditions with more amenities and flexibility.

Labor strikes also play a role in decreased production and logistics. Work stops and production or logistics get backed up as laborers strike for changes in conditions or pay. These delays can compound across ports, factories and shipping routes.

The biggest challenge with many job vacancies is maintaining adequate capacity. Food producers struggle to meet production demand without enough workers, and a lack of truck drivers means goods sit longer before they are transported.

For the logistics industry, labor shortages remain top of mind, and as a result, logistics leaders are looking towards automation to address long-term labor shortages. In addition to technological advancements, a large portion of logistics and production industry companies are looking to increase environmental standards and reduce their footprint through smarter tech.

3: Demand Fluctuations and Seasonality

On top of supply chain complexity and the labor crunch, regular seasonal fluctuations in demand can impact capacity. Many consumer preferences, especially for food items, change seasonally; thus, demand fluctuates. Additionally, non-seasonal occurrences such as oncoming storms or hot weather can also impact demand for items such as bread, eggs, or ice cream.

These changes in demand pose additional challenges for manufacturers since they need to predict expected demand and adjust manufacturing and shipping to meet these desires. Proper demand forecasting involves carefully monitoring inventory levels and using industry forecasting reports and software, such as consumer or market reports.

But the most essential tool for aptly managing demand changes is flexibility. Flexible production processes and an adaptive supply chain means companies are more able to increase or reduce production to meet changing tastes, and it means that they’ll be able to provide the desired products faster than their competitors, gaining market share and building customer loyalty.

In addition to a proactive manufacturing arm, a good food supply chain also requires adaptive and efficient trucking. Without the trucks and drivers to move desired items to retailers, it doesn’t matter how adaptive your manufacturing capacities are; the items still won’t arrive at their destination on time. To meet end demand, you need a strong connection with a 3PL provider who has the capacity to respond to your needs and find reliable truckers to transport your goods.

In a Challenging Industry, It’s All About Who You Know

Food supply chain professionals facing these challenges often struggle to succeed. Finding the right 3PL specialized in food manufacturing can make all the difference. Entourage Freight Solutions (EFS) is here to support your needs. Its expert team of logistics professionals can minimize complexity, improve reliability, and help you grow sustainably.

Addressing Key Challenges

With the right provider, you can simplify complex food supply chains through technology that makes your shipments traceable and live. Utilize your provider’s deep expertise to solve problems in real time and ensure that your deliveries arrive on time .

A 3PL partner can also address labor shortages and strikes by tapping into their deep network of carriers. If your usual carrier does not have the capacity to transport, be assured that a 3PL like EFS can connect you with a network of other carriers capable of meeting your specific needs. This can even include last-minute and expedited shipments. If something happens to your initial carrier and they miss a pickup or have a breakdown, EFS can help you find a solution that delivers your goods on time and in top condition .

A 3PL provider like EFS can also support you with their suite of technologies for planning shipments and meeting demand. Its vast network of reliable carriers means that, no matter the demand or shipping speed, it’ll be able to match you with a dependable carrier that can meet your needs. Use EFS to ensure reliable capacity in a dynamic industry.

Accessing Additional Services

Working with a strong 3PL provider like EFS is about more than just avoiding the biggest slowdowns in logistics; it’s about enhancing the quality of your shipping and improving the end result. Experts at a 3PL can help with kitting, quick-freezing, packing, and more.

At EFS, their food manufacturing team can offer pre-shipment services that ensure the quality of your items. They can individually quick-freeze products to ensure food arrives in the best condition without affecting quality. They can also kit products into individual components according to your specifications to ensure clients can easily assemble and enjoy your products.

For all your products, EFS offers tracking and tracing services throughout the food manufacturing process to ensure that food remains fresh and uncontaminated. This tracing also creates an unchangeable record that will prove your diligence and protect consumers from any issues.

Use EFS For Easier Food Manufacturing Logistics

The food manufacturing supply chain may be complex, but shipping your goods can be easy with a 3PL partner like EFS. Complexity in the supply chain, labor shortages, and demand fluctuations are all food manufacturing challenges that EFS can help you address. Whether you need expedited shipping, kitting, or more reliable capacity, EFS can help you build a reliable, scalable food supply chain. Contact Entourage Freight Solutions today for a quote.

The Fast Lane for the Long Haul: The Advantages of Using Expedited Trucking for Long Distance Shipments

adam@the-robinson-agency.com — Fri, 09 Jun 2023 18:14:26 GMT

Expedited long-haul shipping could be best for your business

In today’s world, customers expect that goods will always be available and on shelves. During the COVID-19 pandemic, the supply chain struggled to keep up with these expectations, and many items were persistently out of stock, but that hasn’t changed customers’ appetite for on-demand things. In recent years, long-haul, expedited shipping has grown to fill that need for omnipresent availability by offering a faster, more secure way of getting items to the customer. The growth of expedited long-haul shipping provides new opportunities for delivering perishable items more effectively to stores. Expedited long-haul shipping can also address several other risks, including theft, spoilage, and delays.

A Changing Industry Demands Innovation

Customers are increasingly coming to expect fully stocked shelves year-round. As shippers and retailers work to meet those expectations , they search for ever-faster means of transportation while refusing to sacrifice reliability. Many shippers and retailers are turning to expedited long-haul shipments to meet growing customer demands for constant availability.

While expedited shipping has been an option for a while, it has historically been for the last leg of a shipment’s journey. As the demand for timely deliveries grows, long-haul, expedited shipping is becoming more common, and 3PLs are increasingly offering more expedited long-haul options.

The Fast Lane for the Long Haul: 3 Reasons to Choose Expedited Trucking for Your High-Stakes Long-Haul Shipment

Long-haul, expedited shipping could make all the difference when your success depends on delivering goods in a timely, efficient manner. Here are three reasons why expedited shipping may be the right choice for your business needs.

Minimized Risk of Delay

Typically, long-haul shipments make multiple stops and transfers. Each leg of the journey increases the risk of impediments such as traffic, weather, missed appointments, and more that threaten to delay your shipment. When you book expedited shipping, the truck and driver are allocated just for your shipment, reducing the delays caused by all those transfers and stops.

Minimizing delays is especially important for perishable food shipments . The clock for your perishable items is ticking as soon as those foods are picked or leave the production facility, and time is of the essence. Expedited trucking could mean the difference between a shipment delivered on time and one that gets spoiled.

Enhanced Security

Another benefit to expedited shipping is enhanced cargo security throughout the entire journey. Each time a regular long-haul truck stops to pick up or drop off cargo, there are additional opportunities for cargo theft. Food and beverages are among the most stolen cargo in the U.S., so reducing opportunities for theft can save you hundreds of thousands of dollars in lost shipments.

For perishable items, additional stops also mean refrigerated reefers are exposed to outdoor temperatures and can spoil more quickly. Longer transit times also mean more opportunities for equipment, such as reefers, to break, causing issues in maintaining proper temperature regulation. In these cases, expedited long-haul shipping means more temperature security and a lower risk that your goods will spoil.

Long-Term Cost-Effectiveness

Although expedited trucking for long-haul distances may involve higher costs than standard shipping options, the benefits outweigh the expenses for time-sensitive shipments. While it may cost more to ship your goods with expedited trucking, it still costs less than the money you stand to lose if your shipment spoils, is contaminated, or is stolen. It’s just smarter business. Faster delivery across long distances can also prevent production disruptions, minimize inventory holding costs, and avoid penalties for missed deadlines.

Additionally, partnering with expedited trucking companies can pay dividends in customer satisfaction, trust, and loyalty. The ability to meet customer demands promptly and ensure that desired items are on the shelf often leads to increased customer satisfaction and repeat business, which is priceless.

Make the Smart Business Choice: Use Expedited Long-Haul Shipping to Meet Urgent Needs

In some cases, partnering with expedited trucking companies just makes sense from a business point of view. Expedited long-haul shipping can help you get desired goods on shelves faster, minimize the risk of spoilage, delay, and theft, and build consumer trust and loyalty. Ready to get started? Contact Entourage Freight Solutions today .

The Impact of Expedited Trucking on Food Safety

adam@the-robinson-agency.com — Fri, 02 Jun 2023 18:22:35 GMT

Why Expedited Trucking is a Must for Food Safety | EFS Blog

When you’re transporting perishable food items, speed is essential. Delayed shipments can cause potential contamination and spoilage, cutting into your profits. For food items, consider working with an experienced perishable foods freight forwarder and using expedited shipping to ensure your products arrive on time and in top condition.

Traditional Trucking Comes with a High Risk

If you’re shipping food, traditional speed trucking poses several significant risks that can affect your bottom line. Inadequate temperature control, longer transit times, and increased handling are some of the biggest risks, though by no means the only ones.

Whether you’re shipping produce, meat, or frozen food, all foods need to be properly temperature controlled to ensure safe handling. While any food shipping will include a refrigerated reefer or a similar temperature control such as insulated packaging with dry ice, the longer your items are in transit, the more opportunity there is for temperature control failure. For reefers, the most common issue is equipment breakdown. The longer the reefer is on the road, the higher the chance something will happen. Packaging like dry ice has its own shelf life and too long a transit time will lead the dry ice to evaporate and with it, temperature control of the products.

Longer transit times also pose issues of their own. Perishable food items are on a timer from the moment they are picked or processed, so it’s vital they arrive at the destination as quickly as possible to avoid spoilage. Using traditional trucking can significantly delay transit times and cause issues with food spoilage.

Another component is that for non-expedited LTL shipments, products will often have increased handling compared to expedited shipping. An LTL shipment contains loads from multiple shippers in each truck. Each stop the trucker makes means that the container will be opened (affecting temperature control) and packages will be moved around to remove the correct item. Not only does this increase the potential for spoilage, but it also increases contamination risk.

Expedited Trucking Provides a Smarter Route for Food Shippers

Expedited trucking offers a smarter, more efficient option for shipping perishable foods. In addition to quicker arrival times, expedited shipping helps minimize handling and contamination opportunities and maintains the right temperatures to prevent spoilage.

Minimize Handling and Contamination

Expedited shipping can not only speed up the transit time but can also cut down on the handling and potential contamination of your products. Each time the truck stops to deliver goods, the driver must open the container to remove the delivered items. Especially in hot weather, repeatedly opening the container can affect temperature control and render refrigeration less effective, causing increased spoilage.

Maintain Optimal Temperature

In addition to opening the container less, expedited shipping will help maintain optimal temperature by getting the shipment to the destination faster. This helps for several reasons. First, it reduces the time the shipment is in transit and thus, reduces the chances of equipment failure or adverse conditions, such as extremely hot weather, affecting the reefer’s ability to keep the shipment cool. Second, for shipments using dry ice and insulation to keep frozen items cold, timing is vital to ensuring that the dry ice remains viable. Even in optimal conditions, the dry ice will eventually evaporate, making timely delivery all the more important.

Reduced Transit Times

Finally, expedited shipping does just what it says on the tin and offers shorter transit times . For perishable items, shorter shipping times can make all the difference. Even with the best conditions, perishable items will still spoil — and fairly quickly — unless they are delivered in a timely manner. A spoiled shipment isn’t valuable to anyone. While expedited shipping may be more expensive when selecting a carrier, it’s well worth it to have your shipment delivered in good condition.

Entourage Freight Solutions is the Partner for Smart, Expedited Shipping

When you’re shipping perishable food items, food safety and maintaining item quality are at the top of your list. Expedited shipping is the way to ensure that your products reach their recipient quickly and safely while observing all food safety handling laws.

To help you find the best expedited shipping options for your needs , there’s Entourage Freight Solutions, a third-party logistics provider (3PL) that specializes in express shipping. They have a wide and dependable network for finding the optimal capacity for your needs and their expedited expertise means you’ll get the best service and support. Contact Entourage Freight Solutions today to get your quote.

Helping Grower-Shippers Grow: How the Right Freight Broker Can Transform Your Fresh Produce Logistics

adam@the-robinson-agency.com — Tue, 23 May 2023 18:22:47 GMT

Freight Brokers Optimize Fresh Produce Logistics

Shipping fresh produce adds additional logistics concerns that can affect your success. Partnering with a reliable freight broker can help ensure that your shipment arrives safely and in good condition. From ensuring optimal transportation conditions for perishable goods to providing a vast network of specialized carriers, the right broker can streamline operations, enhance efficiency, and open doors to new opportunities. Discover how a trusted freight broker's expertise, industry knowledge, and commitment to exceptional service can transform the logistics landscape for grower-shippers.

Scaling Fresh Produce Logistics is Easier Said than Done

Shipping fresh produce comes with its own set of unique challenges. Produce is perishable and begins to degrade almost as soon as it is picked, so the race is on to deliver that produce to the store and into customer’s hands before it goes bad. The art of shipping fresh produce hinges on several cornerstones: controlling temperatures, accessing real-time data, and observing regulations.

Maintaining Temperatures

Maintaining the proper temperature is essential to upholding the quality of produce. The best temperature for traveling produce varies according to the produce type but ranges from around 32 to 60 degrees Fahrenheit. Typically, produce will need to be transported in refrigerated “reefer” trucks to maintain the ideal temperature. As expected, reefer containers are less available than regular containers and are even more difficult to obtain in times of container shortages.

Each produce item has its own observed shelf life and must be delivered within that time frame. Expedited shipping can help shippers meet these deadlines by prioritizing and efficiently delivering shipments. While expedited shipping includes additional costs, ensuring produce arrives on time and in prime condition can be worth it.

Real-time Data

Real-time data insights enable grower-shippers to accurately plan capacity, forecast demand, and plan optimal routes. Working with a 3rd party logistics provider (3PL) will enable you to keep comprehensive, updated data on your shipment and ensure that your produce travels quickly and efficiently to its final destination.

Another reason to use real-time data in your supply chain is an FDA ruling that requires companies that process, pack, or transport food to keep Key Data Elements (KDEs) on Critical Tracking Events (CTEs) and to provide that information to the FDA within 24 hours.

Observing Regulations

Speaking of regulations, the existing rules for safe food handling also impact grower-shippers and play a key role in logistics.

Since produce is perishable, it is regulated by proper food handling rules from the Food & Drug Administration (FDA). Some of the rules laid out by the Food Modernization Safety Act (FSMA) are:

Vehicles must be cleaned before fresh produce is loaded to prevent contamination.
Produce must be kept at a safe temperature throughout the entire trip.
Carriers must be adequately trained in handling and transporting perishable items.
Carriers must have documentation of their compliance with all these laws.

Ensuring that your shipments observe all these rules and uphold food safety standards is essential.

To Grow in Challenging Environments, Grower Shippers Need Reliable Transportation

As we’ve seen, shipping produce can be complicated, and having the right partner can improve efficiency and efficacy. Partnering with a reliable freight broker can help you optimize logistics, quickly solve problems, and access new opportunities.

A Vast Carrier Network Ensures Reliable Capacity

Since produce is so perishable, you must have the trucks and equipment you need precisely when you need it. The extensive, flexible carrier network provided by your freight broker helps you get the trucks and people power you need when you need it. Their robust AI-powered systems can even help you predict your equipment needs and plan ahead.

Capacity is Good; Expert Capacity is Great

It’s not just about having access to the capacity you need when you need it; it’s also about working with a partner that understands the intricacies of food safety regulation and can help ensure temperature control for fresh produce. You want to ensure that your freight broker partner can prioritize your needs and expertly implement your shipping when push comes to shove.

With Transportation Secured, Grower Shippers Can Focus on Performance

It can be difficult for smaller companies to access real-time data, analyze optimal routes, and ensure prompt delivery all at once. That’s where a great freight broker can complement your needs. Instead of recreating the wheel from scratch, use a freight broker partnership to fill in your tech needs. Shippers can ensure maximum visibility and communication over high-stakes, perishable produce shipments by partnering with a tech-enabled freight brokerage.

Improve Your Fresh Produce Logistics with a Freight Broker Partner

Scaling fresh produce logistics can be challenging, but with the right freight broker, you can optimize your shipments and improve your overall supply chain. When shipping fresh produce, prioritize temperature control and food safety regulations by working with a freight broker who’s familiar with transporting perishable produce. You can utilize your freight broker partner’s technologies to attain real-time data, optimize routes, and ensure the timely delivery of perishable products. Contact Entourage Freight Solutions today for the best freight broker in the produce-shipping business.

In a High-Stakes Logistics Environment, Shippers Choose Managed Transportation

adam@the-robinson-agency.com — Wed, 10 May 2023 18:06:49 GMT

How Managed Transportation Services Help You Achieve Smart Logistics

In an increasingly complex world, companies are turning more and more to third-party logistics (3PL) companies to help them manage their shipments. Managed transportation services (MTS) are a growing field of 3PL providers who facilitate freight logistics for companies that must deliver goods to retailers and consumers. They could be the right solution for your business.

MTS is especially valuable for less-than-truckload (LTL) shipments. Whereas full truckload (FTL) shipments involve one full container where all goods are going to the same location, LTL shipments are more complicated. A single truck can hold shipments from multiple companies, each going to different locations. With so many items and destinations, finding the right truck to deliver your specific goods as quickly and efficiently as possible becomes more complicated, and that’s where MTS providers can step in.

MTS providers help you navigate the decisions, costs, and logistics of LTL shipping. They often have decades of experience and the ability to predict and adapt to incoming market trends. Outsourcing transportation services to an MTS provider can have tangible benefits for your business. When providers manage your logistics, they can help with sourcing & procurement, freight carrier optimization, planning & execution, and freight audit & pay. Professional logistics service providers can help improve operational efficiencies, lower costs, and make communication between stakeholders more efficient.

Managed Transportation Sees Significant Growth in a Volatile Moment for Shippers

In recent years, the MTS market has grown significantly. In 2022, the global MTS market was estimated to be worth $11.7 billion . That value is projected to more than double and surpass $28 billion by 2027.

When we consider the factors, this growth comes as no surprise. The coronavirus pandemic has significantly impacted logistics operations globally and nationally. A morass of issues plagued global supply chains for a full three years, and the current, ongoing impacts — inflation and the threat of recession — continue to impact business decisions. Since these factors affect the cost and complexity of logistics operations, an increasing number of companies are turning to MTS providers to manage intricacies and reduce costs.

The growth of MTS has also happened in lockstep with increasing consumer demand for expedited shipping . A significant portion of consumers expect expedited and often free shipping, and businesses are struggling to keep up with these expectations. To gain that competitive advantage offered by expedited shipping, MTS providers can often be the easiest, most effective way to implement expedited shipping for your business.

How Does Managed Transportation Work?

With client expectations of fast, economical shipping, using an MTS provider is the easiest way to deliver goods where and when needed. MTS providers can help simplify the vast field of LTL logistics and make shipping to clients easier. MTS providers offer a range of services that can help you every step of the way. We’ve broken down their offerings into three easy steps.

1. Procure

Changing trends in customer buying habits are impacting how companies sell and deliver their products. For companies shipping LTL, it’s important to know that you’re selecting the fastest, most economical option to satisfy both your needs and your clients’. It can be challenging to wade through all the carrier options, but that’s where MTS providers come in.

When you’re ready to ship, one of the most time-consuming tasks is approaching different shippers and requesting quotes for timing and price. If you haven’t worked with specific shippers in the past, it can be difficult to determine exactly how reliable they are or whether their prices are fair. The whole process is manual and exhausting. But it doesn’t have to be that way.

MTS providers are leveraging a growing suite of technologies to quickly analyze carrier capacity and determine the best fit for each shipment. With the power of these technologies behind them and their general industry know-how, you can be sure that MTS providers are finding the best options far faster than anyone could before.

2. Plan

The benefits of MTS providers don’t stop at selecting a carrier. Their technologies are becoming increasingly adept at optimizing efficiency, planning loads, and improving route & equipment usage.

MTS providers can help you optimize the efficiency of your shipments through consolidation and real-time analytics. LTL shipments are, by definition, smaller than a full truckload. This means the truck will stop at multiple destinations before delivering your package, which can increase transit time. However, MTS providers utilize smart technologies to help match your shipments with other shipments going to similar destinations. This reduces transit times and gets your load there faster.

3. Perform

From traffic delays to missed pick-up appointments, there’s a lot that can go wrong with shipment and delivery. Once your carrier is selected and the load is on its way, MTS providers can help you monitor your shipment’s progress, address any problems, and manage invoicing and claims. With the right MTS provider who gives strong visibility en route, you don’t have to wait and worry about these issues. MTS providers can help you track packages from pick-up all the way to delivery. They can also make invoicing carriers and submitting claims easy if anything goes wrong.

Even when everything goes perfectly, paying shippers can be time-consuming and costly. Just as MTS providers can help you ensure you’re getting the best bang for your buck, they can also make it easier to pay the various providers you’re using through an integrated payment platform. With an MTS provider, they can invoice and bill all in one place, making it simpler for you to pay different providers and keep all your accounts in one place.

3 Reasons Shippers Choose Managed Transportation

All the smartest companies are using 3PLs. In 2017, a study found that 90% of Fortune 500 companies utilized third-party logistics services that helped them manage transportation. This was an increase from the 46% of those surveyed in 2001 who said they used 3PLs.

MTS providers bring companies a whole lot of value. While the specific reasons you choose to use an MTS provider may be unique to your company’s needs, there are several leading reasons to use an MTS provider. Three of the biggest reasons our clients use Entourage Freight Solutions (EFS) are for streamlined capacity, optimized claims management, and access to comprehensive analytics.

1. Streamlined Capacity On-Demand

As mentioned above, MTS providers offer a significant benefit: the technology to accurately match your shipment with the best route and carrier for the job. Entourage Freight Solutions has a state-of-the-art freight matching system that maximizes profitability and enhances the coordination of deliveries, pickups, and beyond.

EFS also offers other streamlining benefits that stem from relationship building. On the carrier side, EFS builds longstanding relationships with carriers and keeps track of the best providers for different needs. Their efforts in building these relationships and the total volumes that they handle can translate into better rates and service for you. Their knowledge of different carriers can also help you avoid less reputable carriers or those that have frequent problems.

Enhanced efficiency doesn’t just come from good route and carrier selection. Working with EFS can help improve efficiency at the warehouse. As a single company, you may not be moving enough products from a specific warehouse to command priority, but EFS works with hundreds of companies and has built reputable connections with major warehouses. EFS cultivates these relationships with the warehouses in their network, establishing contacts and goodwill. This cachet can go a long way toward booking timely pickup appointments, fixing problems, and getting quick responses when needed. When you need an immediate pickup or have an issue with a warehouse, EFS can use its longstanding connections with warehouses to address the problem and find solutions quickly.

2. Optimized Claims Management

Even with the best carriers, a shipment can sometimes go wrong. When that happens, Entourage Freight Solutions can help you wade through the claims process. Instead of worrying about the quality of customer service at the shipper or warehouse where the problem occurred, you only need to be secure in the knowledge that EFS has top-notch customer service. EFS’s customer service representatives will answer the phones 24/7 and intervene immediately when something seems amiss. They’ll also help you file claims and will follow up on each claim to ensure it is resolved.

Claims management is another place where the strong relationships EFS builds are essential. Existing relationships with carriers and warehouses help EFS know exactly who to speak with and how to negotiate an optimal outcome—no more hours spent waiting on endless hold music!

3. The Analytics Advantage

Perhaps the most significant benefit of using an MTS provider like Entourage Freight Solutions is accessing the pure power of their analytics capacity. EFS uses state-of-the-art technology to match loads to carriers, optimize routes, and track shipments throughout the journey. All this data, backed by smart, proactive EFS experts, helps you make the most intelligent business decisions using the best insights.

Managed Transportation Services with Entourage Freight Solutions is the Smart Way to Meet Logistics Goals

More and more businesses are turning to MTS providers to help them achieve their shipping goals. Entourage Freight Solutions can help companies find the best carriers, access better prices, manage invoicing and claims, and deliver timely shipments. With EFS, be assured that your shipments are taking the smartest routes with the best carriers and that you’ll receive fast, comprehensive help to resolve any issues that arise. Contact Entourage Freight Solutions today to get started with smarter shipping and logistics.

How Expedited Trucking Can Help Food Manufacturers Meet Tight Deadlines

adam@the-robinson-agency.com — Tue, 02 May 2023 12:12:40 GMT

Expedited Trucking: Meeting Tight Deadlines for Food Manufacturers

The food manufacturing industry faces the relentless challenges of tight deadlines and perishable goods. Yet expedited trucking serves as the optimal solution for food transportation, addressing these issues head-on.

With its dedicated network, expedited trucking ensures rapid delivery while adapting to diverse needs like same-day, overnight, and weekend services. Effortlessly managing fluctuating demands, it seamlessly aligns with manufacturers' requirements in a post-COVID world. This article demonstrates how.

The Unique Challenges Faced by Food Manufacturers

A recent FourKites and FSA survey revealed how key logistics challenges in food manufacturing, including labor management, transportation capacity, and supply-demand planning disruptions, necessitate industry adaptation.

Managing a Complex Supply Chain

Food manufacturers face a complex supply chain, with 49% of survey respondents citing labor and talent management as their top concern. Contingency plans, crucial in minimizing disruptions from raw material sourcing to product distribution, mitigate the impact of natural disasters, labor strikes, and transportation delays.

Meeting Tight Deadlines for Fresh Produce and Raw Ingredients

The survey reveals that 39% encounter transportation capacity challenges, emphasizing the need for reliable shipping. Swift and efficient delivery is vital for food manufacturers handling perishable items, ensuring quality despite long distances and unpredictable weather.

Adapting to Changing Consumer Demands and Market Conditions

Finally, the survey shows 35% of respondents grapple with supply-demand planning disruptions, highlighting the significance of agile strategies. Food manufacturers must adapt to evolving consumer tastes, market conditions, and regulatory and economic shifts to maintain a competitive edge.

Empathetic and Efficient Shipping: The Key to Successful Food Manufacturing

Expedited trucking is the cornerstone of successful food manufacturing, ensuring timely delivery while preserving the quality of perishable products.

The significance of each shipment is undeniable, as delays or damage can jeopardize reputation and profitability. By proactively utilizing weather forecasts, alternative routes, and backup trucks, food manufacturers overcome challenges posed by poor weather, traffic, and mechanical issues, securing on-time, pristine deliveries and driving business success.

Thus, partnering with an experienced, reliable expedited trucking service with food shipment expertise is essential, delivering punctual shipments, competitive pricing, and outstanding customer service that aligns with the critical nature of every shipment.

The Role of Expedited Trucking in a Post-COVID World

The food industry faced significant upheaval during COVID-19 as manufacturers navigated evolving consumer demands, supply chain disruptions, and labor shortages. With many of these challenges persisting, expedited trucking is a crucial ally for food manufacturers.

Expedited trucking adapts to market trends like home cooking, health consciousness, and sustainability, providing food manufacturers with speedy, dependable transportation for perishable goods to address shifting demands promptly.

Expedited trucking's role in a post-COVID world is paramount, ensuring timely delivery of quality ingredients and supporting uninterrupted production to meet customer needs. For example, daily fresh vegetable deliveries to frozen meal producers and prompt shipment of ethically-sourced meat to grocery stores exemplify this vital contribution.

The Changing Landscape of Food Ingredients and Distribution

The food industry's significant transformations emphasize health and sustainability, with the pandemic accelerating trends and creating challenges. Expedited trucking is critical in this environment, allowing manufacturers to adapt by promptly delivering fresh produce and ingredients.

Expedited Trucking: The Solution for Adapting to Shifting Ingredient Demands

Rising consumer interest in health and sustainability drives demand for specialty ingredients like organic produce and ethically-sourced meat. To stay relevant, food manufacturers must adapt, relying on expedited trucking for fast, reliable access to these ingredients during high demand. By utilizing expedited trucking, manufacturers ensure they have the necessary ingredients to cater to health-conscious and environmentally-aware consumers.

Timely Deliveries: The Foundation for Successful Value-Added Distributors

The rise of value-added distributors, who process, package, and brand raw ingredients, diversifies food options. Timely deliveries are crucial for their success. Expedited trucking ensures these distributors meet deadlines and maintain competitiveness. Adapting to the evolving food landscape, food manufacturers and value-added distributors effectively leverage expedited trucking to meet tight deadlines and deliver quality products to consumers in a post-COVID world.

Partner with the Right Expedited Trucking Solution for Your Food Manufacturing Needs

Don't let time constraints hold you back. In the new normal, post-pandemic era, expedited trucking solutions can be your perfect partner to meet the numerous pain points plaguing the food manufacturing industry and supply chain.

In this environment, Entourage Freight Solutions is your perfect partner to meet tight deadlines and deliver fresh, quality ingredients by understanding the unique challenges of the food industry. So reach out to us today and experience the benefits of collaborating with a shipping partner that genuinely addresses your needs and contributes to your success.

Selecting the Perfect Expedited Trucking Company for Your Business

adam@the-robinson-agency.com — Tue, 18 Apr 2023 16:10:13 GMT

How to Choose the Right Expedited Trucking Company for Your Business

In the past few years, e-commerce has escalated significantly while the global supply chain has tried to catch up. It has forced shippers to turn to expedited shipping in substantially increasing numbers. Data from a 2021 Ware2Go consumer survey showed that following the start of the pandemic, 33% of consumers have higher expectations for fast shipping, 40% have higher expectations for free shipping, and 42% expect a two-day shipping option for every online purchase.

Faster delivery service is no longer a luxury — it’s a necessity. Two-day, next-day, and same-day deliveries have become more common, putting pressure on shippers to execute flawlessly. Using a 3PL provider experienced in expedited truck delivery helps shippers gain a competitive advantage in a crowded transportation landscape.

Not all expedited trucking providers are created equal. In addition to exploring expedited shipping in this blog, we will also look at tips to help you find a reliable expedited trucking provider.

Why Expedited Trucking?

The disruptions in the supply chain over the past few years have left standard shipping in a precarious situation — where exceptions frequently delay deliveries. Shippers are finding the best way to overcome these disruptions is to depend more on expedited trucking: quickly moving freight to its destination. With supply chain uncertainty, the rise of e-commerce , and changing consumer expectations, the expedited route is fast becoming the shipping method of choice.

Guaranteed delivery times undoubtedly put pressure on shippers to keep high-stakes shipments on schedule. Shipping perishables naturally goes hand-in-hand with expedited shipping because delays can lead to spoilage and rejected loads. Shipments with a high theft risk are also strong candidates for expedited shipping.

As Expedited Trucking Booms, Shippers Look to Find the Right Expedited Trucking Service for Their Business

Shippers have much to be concerned about — from driver shortages and rising fuel prices to an increasingly unpredictable economy and a marked increase in competition. It’s a lot to deal with while maintaining steady profits. Shippers must look for every advantage, and one of those advantages is expedited shipping. Finding the right expedited trucking partner has become crucial to shippers that want to improve their bottom line. Let’s look at some tips to help you find the right partner.

Be Diligent with Details

To find an expedited shipping partner, a shipper must first delve into the details of how that company handles its business. Does it get products to their destination on time and free of damage? Is it able to handle last-minute requests? Are its rates too high? How satisfied are its customers? What services does it offer, and will those services fit your requirements? There needs to be more than a cursory look into these questions. Due diligence in checking out a potential partner is imperative to finding the right one to suit your needs. For instance, it might be worth looking into how wide a network they have to ensure they can handle your concerns and that the network can help your company when unavoidable situations arise.

Consider your Timeline

Carriers handle expedited shipping in different ways. It is, therefore, important to have a 3PL provider that can work with you on your timeline and has the experience and networking skills to determine which carrier can most handle that timeline. With different types of expedited shipping incurring different costs, it is essential to remember what is in your best interest logistically and financially. For example, you do not want a provider to always select a carrier that does the more expensive same-day or next-day delivery when a two-day delivery will do. Of course you want your shipments to be dispatched quickly, but you don’t want to be in a rush to choose who will do that shipping.

Prioritize Technology

Over the last few years, technology has significantly impacted expedited delivery. Partnering with a company that is keeping up with and using the latest technology is vital to your shipments reaching their destinations as quickly and efficiently as possible.

Recent tracking technology innovations are a perfect example of why you need a tech-savvy partner. With the latest tracking technology, carrier companies can quickly determine the locations of their trucks and keep everyone in the chain apprised of expected arrival times. The driver can also be advised of potential concerns on the road ahead and make appropriate route changes to avoid delays or missing the scheduled arrival time of the expedited delivery. Streamlining communication can speed up decision-making, helping shippers avoid potential setbacks.

But there are other ways in which technology can help shippers. By partnering with a company with the right user-friendly software platform, a shipper can use a larger pool of data to gain insight into which routes might be the quickest or which might help them avoid damage during the journey.

Trust the Experts

Whether you are entering the world of expedited shipping or trying to find a way to expand your business using it, you can always benefit from having an expert working on your behalf. That’s where a 3PL partner comes in handy. The staff on a reliable 3PL has the knowledge and connections to take the difficulties out of finding the most suitable carrier. They know which companies are dependable and can suit your specific needs. For instance, if you have perishables with a small window of freshness, they can find an expedited trucking firm that focuses on fast refrigerated shipping.

3PL providers often also have experience in other areas that can prove to be quite helpful for a shipper. They can offer everything from booking to invoicing with systems that integrate with your organization’s system. They can be licensed in pharmaceutical warehousing and distribution. In markets where oversized and overweight hauls are required, your 3PL provider can help with route planning, permit pulling, and other tasks.

Capacity is Key

The most crucial factor in expedited shipping is speed — how fast can you get it there? But capacity cannot be ignored. You must have sufficient physical space, assets, and personnel to carry, store, or deliver goods to retailers and consumers who want them as soon as possible. Without the capacity, there can be no shipping, expedited or otherwise. And capacity is a crucial concern, particularly in these times of labor shortages and economic volatility. That’s why having a 3PL partner that can handle many different types of shipments gives you a keen advantage over the competition. 3PLs have the bandwidth to make all different types of transportation available — full-load, LTL, cargo van, refrigerated (reefer) , or flatbed. They also can store and inventory all of your products at their warehouse.

Entourage Freight Solutions Has the Power to Help You Stay on Track With Expedited Shipping

Customer expectations have risen in recent years. They want products in their hands as soon as possible — this has become the norm, prompting many shippers to seek a competitive advantage through expedited shipping. The good news is shippers can turn to a 3PL provider that has experience in expedited truck delivery to help them through this busy and sometimes complicated landscape.

A 3PL not only can help pair a shipment with a carrier, but it can provide quite a few additional services that can ease the burdens of a shipper. To find the right 3PL, you need to consider several factors. Your 3PL must have a carrier that can stay on point with all the details of a shipment and have expert staff prepared for all potential situations. Also, a 3PL should have state-of-the-art technology that makes your shipment’s journey as easy as possible and should have the capacity to help you efficiently alter course when necessary.

Shippers can navigate that course quickly and effectively with a one-stop 3PL partner like Entourage Freight Solutions . Entourage Freight Solutions has an extensive background and expertise in logistics, especially in a foodservice world that is almost always dealing with time-sensitive shipments. Its unmatched service and extreme attention to detail are perfect for a shipper with expedited shipping needs. Using the latest cloud-based, GPS-enabled technologies, EFS platforms can track drivers regardless of their location and reroute shipments when an obstacle arises. So, to get on the right track with expedited shipping, request a quote today.

The Benefits of Expedited Shipping for Time-Sensitive Shipments

adam@the-robinson-agency.com — Tue, 04 Apr 2023 16:52:39 GMT

The Benefits of Expedited Shipping for Time-Sensitive Shipments

The shipping industry has been quite dynamic over the past few years. Not only have shippers had to deal with greater demand, but they have also had to adjust to consumers who want their products delivered faster in a transportation market that is jam-packed with competitors. Shippers use all their options to keep up with their rivals and remain competitive. One of those options is expedited freight shipping.

While the greatest benefit to offering expedited shipping services is that quick delivery ensures their freight arrives on time and satisfies customers, expedited shipping has other benefits. Entourage Freight Solutions , a third-party logistics company, is dedicated to extending its traceability and instant access to capacity through expedited freight shipping services.

In this blog, we will cover what expedited freight shipping is, the factors that influenced the rise of expedited shipping, and three reasons why shippers are going with expedited shipping services for time-sensitive shipments .

What is Expedited Freight Shipping?

Expedited freight shipping is a shipping service faster than standard shipping at an additional cost. It allows customers to receive goods in a shorter amount of time than the standard delivery time. In addition to offering expedited shipping to help decrease the time between purchasing and receiving any type of item, many companies also use this shipping form to send perishable or time-sensitive goods.

Time-sensitive goods are items with a short shelf life — like produce, plants, flowers, prescription drugs, or medical supplies — or materials that are needed in a timely fashion — such as important documents for transactions, items for a quickly approaching event, or replacement parts for a manufacturer’s equipment. Delivery for expedited freight shipping usually takes between one and three days.

Why Expedited Shipping Services?

Much of the world has become accustomed to having things delivered faster in these last few years. Even with products that are not time-sensitive, consumers crave them to be delivered as soon as possible. This has forced the hand of shippers, who are turning to expedited shipping services more often these days. Let’s look at three reasons why shippers must use expedited delivery.

Customers Demand Faster Speeds

There has always been a focus on getting the product to the customer when they want it. But those timeframes of “wanting it” have changed recently. Companies have learned that being slow to deliver goods will cost them sales. A study analyzing e-commerce sites bears that out, with longer wait times leading to more abandoned carts. In the study, 7% of sites’ carts were abandoned when the estimated delivery time was three days or less from when the order was placed. That percentage continued to rise for each increase in estimated delivery time, reaching nearly 40% being abandoned when the estimated delivery time hit eight days. Same-day, next-day, and two-day delivery have become the expected wait times for many of today’s consumers.

Maintain Lean Inventory Levels

One of the areas where businesses are looking to limit costs is warehousing. Expedited shipping can help businesses limit the number of products it stores within their facilities and maintain the agility needed to operate without excess product. This lean inventory management eliminates waste when handling materials and managing labor and time. Having the product in the right place to be shipped quickly reduces the chances of supply chain delays.

E-commerce Operations Demand Flexible Logistics

While consumers are starting to return to brick-and-mortar stores in the last year, e-commerce remains a significant player in retail sales. “After the coronavirus pandemic pushed consumers to shop more online, e-commerce sales have continued to grow in recent years,” Tatiana Walk-Morris wrote on the Retail Dive website. “A March 2021 Adobe report found that the shoppers spent $844 billion since March 2020.” That same article said that e-commerce sales totaled $1.09 trillion last year and reached their “highest quarter ever” at $332.2 billion in the fourth quarter of 2022, according to Comscore’s State of Digital Commerce report. Whether or not those e-commerce sales are time-sensitive, many are transported via expedited shipping. That means more pressure is put on shippers to be flexible in turning shipments around quickly.

Three Reasons Shippers Choose Expedited Shipping Services for Time-Sensitive Shipments

Regarding time-sensitive shipments, expedited shipping is often the necessary way to go. Shippers know these products can’t languish around in warehouses, so they seek out the services of a 3PL that deals with expedited shipping to help them efficiently and quickly get the job done. Let’s look at three reasons expedited shipping services can be a game-saver.

Capacity On-Demand for Faster Shipments

When needing to ship things quickly, one of the concerns for shippers is finding a partner with reliable capacity . With on-demand delivery, the window from when an order is placed to when that order is sent out needs to be as short as possible. So having a 3PL partner is crucial to finding a qualified transporter for your shipment and one that suits your capacity and can satisfy the quick turnover of on-demand requests. With the emergence of e-commerce, the customer’s expectations have changed to “how fast can I get the product?” and “where and when can it be delivered?” That means shippers need to be versatile. A 3PL can help locate the type of truck that will work for your particular shipment, whether it’s a drop trailer, full truckload, LTL, or another type.

Expert Transportation for High-Stakes Shipments

When dealing with a time-sensitive product, you usually need expedited shipping. But you don’t want just any expedited carrier; you want one with considerable experience and extensive knowledge. That’s where the right 3PL can come in handy. The 3PL will have a staff trained in refrigerated perishable transportation and access to various drivers with proven performance records. They can find the carrier that best suits your situation and cargo needs. Food and beverages, plants, flowers, animals, pharmaceuticals, and other temperature-sensitive loads can be efficiently managed and protected with specialized handling services. Quality 3PLs, like Entourage Freight Solutions , also offer constant visibility through real-time-enabled GPS tracking and logging among their services.

As New Markets Grow, Expedited Shipping Remains Tried and True

Likely, expedited shipping will always be a part of the supply chain world. Someone will always need their product shipped extremely fast, whether because it is time-sensitive or just because they want it as soon as possible. As new markets emerge at the intersection of e-commerce and reefer logistics, shippers are looking for reliable means of quickly transporting goods to increasingly impatient customers.

One of those new markets is meal kit services. A meal kit service is when a business sends pre-portioned and sometimes partially-prepared food ingredients to customers at their chosen destination. Usually a subscription service, it allows someone to make fresh, homemade meals without the bother of planning and having to go out and buy the ingredients.

The meal kits market was valued at $8.74 billion in 2022 and is expected to reach nearly $20 billion by 2029 with a compound annual growth rate of 12.01% over the forecast period, according to a Global Prepared Meal Delivery Industry Market Analysis on the BrandEssence website. It is a delivery that involves food, making it a perfect customer for expedited delivery.

Turn to EFS to Put You on the Right Track for Expedited Shipping

These days expedited shipping is the hot item or the fashionable choice in the supply chain world. But it is an essential part of shipping time-sensitive products. With it, many food and beverage industry shipments would make it to their destination on time and possibly become spoiled or unusable. With such great demand from customers for faster delivery, an emphasis on companies having lean inventory levels, and the need to remain flexible in logistics operations, there is a lot expected of shippers that use expedited delivery. When those expectations seem overwhelming, shippers can turn to a 3PL provider to help them.

Entourage Freight Solutions , a one-stop 3PL provider specializing in food service, can assist you in finding the carriers that suit your requirements. The rise in food service subscriptions, meal kits, and same-day delivery for goods has led EFS to emphasize traceability and instant access to capacity through expedited shipment services. With an expert staff and up-to-date resources, EFS can help you all the way from tracking down a carrier to building up customer satisfaction among retailers, their end-users, and other stakeholders. To move into the fast lane of expedited shipping services, it’s time to join EFS by visiting our website .

The Different Types of Refrigerated Trucks: What Fits Your Needs?

Fri, 24 Mar 2023 16:42:21 GMT

What Type of Refrigerated Truck is the Right Fit for What You Need?

After the manic period during the pandemic that left shippers struggling to keep up with customer orders, shipping rates are slowly returning to what they were before the pandemic.

According to DAT Freight & Analytics, the rates for all types of trucks have returned to about the level they were in 2018 after reaching staggering heights in 2021. For instance, the data shows that reefer rates topped out at $3.20 in December 2021 and have steadily dropped to $2.02 at the end of February 2023. Experts say freight rates will likely remain in that area for at least the first half of the year.

With the prices dipping, shippers can optimize operations and more closely consider their strategic options. They can improve efficiency by choosing the right reefer transport for their operations rather than hastily choosing a carrier based primarily on limited capacity. This blog explores the meaning of reefer freight shipping, the different types of refrigerated trucks, and ways to increase reefer performance efficiency.

What is Reefer Freight Shipping?

Refrigerated shipping is a method of freight transportation that uses temperature-controlled modes of transport for foods and products that require tightly monitored environments to maintain optimal quality and keep them safe to consume. Here is a list of some items that reefer freight shipping:

Perishable food : Meat, seafood, poultry, dairy products, eggs, fruits, and vegetables must be refrigerated. Refrigerated trucking is vital in helping reduce load rejection due to spoilage. Technology advancements have greatly improved shippers’ and their supply chain partners’ ability to track, trace, and continuously monitor perishable food shipments to maintain quality and freshness throughout the journey.
Certain beverages: Beer, wine, spirits, and many other non-alcoholic beverages are sensitive to temperature fluctuations and must be refrigerated during transport and warehousing.
Pharmaceuticals: Most pharmaceuticals have strict temperature ranges shippers must adhere to. A temperature excursion could alter the chemical stability of medications and vaccines, resulting in lower efficacy or even life-threatening consequences if consumed. Some products may also need technology to regulate air moisture.
Electronics: While temperature ranges when shipping electronics aren’t as stringent as those for consumable products, there are specific thresholds they need to stay within to arrive in good working condition. Electronics should generally be kept at room temperature — between 50 and 75 degrees Fahrenheit — to keep casings from overheating and batteries from melting. Bigger equipment, such as computers, should be shipped and preserved at 72 degrees. Electronics should not be shipped in extremely low temperatures either because the batteries can freeze and the casings can crack. There is also a concern over moisture that, if not regulated, could damage the electronics.
Flowers: Flowers fall into a unique category; too cold during storage a duin that they cannot be refrigerated since the petals will be damaged yet they can wilt or rot if left in an uncontrolled atmosphere. That means a temperature-controlled truck is an ideal option for transporting flowers.
Cosmetics: Colder temperatures can help the active ingredients of certain products, especially skin care products, last longer and allow the product to be better effective.
Fine art and antiques: Extreme temperatures can cause paintings to crack. Generally, art should be transported and stored between 65 and 75 degrees. Also, severe temperatures can cause the materials in antique furniture to warp.

The demand for these products is growing even greater with businesses wanting on-demand access. The market size in 2019 was 3.1 million 20-foot equivalent units (TEU) and is predicted to reach 7 million TEUs by 2030 , an 8% compound annual growth rate, according to a reefer container market research report.

Different Types of Refrigerated Trucks

Products that are being shipped are not all in need of the exact same temperature control or climate control. That’s why there are different types of refrigerated trucks to handle different situations. With the booming market to meet current needs, it’s vital that shippers know precisely which reefer freight truck will best suit the product. Here are four types of reefers:

Full-Freezer Van

A full-freezer van allows for the most significant freezing of all types of refrigerated trucks. It has the thickest heat-resistant doors and sidewalls. The thicker walls are able to lessen how much the inside of the cargo area heats up due to the sun’s rays on the metal exterior.

Semi-Freezer Van

These freezer vans have more advanced insulation than chiller conversion or insulation vans, about 75 millimeters thick, and have a higher refrigeration capacity than chiller vans. They can transport frozen foods and other items that must stay below freezing and also have quick-defrost measures that mean there is no need for a defrost heater.

Chiller Conversion Van

A chiller conversion van is an insulated van with a refrigeration unit attached. It is able to keep heat out effectively while pumping in cool air to keep temperatures low. A chiller conversion van can transport many perishable products that do not require below-zero storage temperatures. Florists and companies shipping nonfrozen foods and beverages are able to use chiller conversion vans.

Insulation Van

While insulation vans do not have a refrigeration system, they can still keep products cool for as long as possible by keeping the heat out and the cold in. With 50-millimeter plastic foam insulation that cuts off potential heat and air entryways after the cargo is sealed, insulation vans are ideal for transporting cool long-lived products.

Boosting Reefer Performance with On-Demand Reefer Capacity

The increase in on-demand delivery because of the emergence of e-commerce has caused an escalation in on-demand reefer freight capacity. With many items going directly to the customer and the rise in expedited delivery , there is more pressure on all forms of shipping, including refrigerated freight. Here are some strategies to bolster reefer shipping efficiency and performance.

Procuring the Correct Mode of Transportation

With products that need to be moved in refrigerated transportation, time is essential to make sure the goods stay fresh. That means choosing a suitable mode of transportation is of utmost importance to get the product delivered safely and quickly to maintain that freshness, no matter how far the distance. Finding the van that will make sure your product stays at the right temperature is a must with the other consideration being the cost of that type of van. With the help of an experienced frozen LTL freight carrier, the entire process can be made easier.

Assuring Equipment Stays Clean and Well-Maintained

To make deliveries that maintain the product’s freshness, you need to have vehicles that are dependable and have very little chance of breaking down during the journey. With a well-maintained and clean vehicle, you can strikingly reduce the chances of something going wrong while also protecting perishable goods against contamination and thawing.

Being Prepared Before Loading

Freight must be already frozen or cooled to the appropriate temperature before loading and the reefer truck’s job is to maintain the temperature of the product during transport. So when the product is loaded, the truck must already be at the right temperature that the product needs to be at. The truck must then be able to maintain adequate temperature control when hauling the freight.

Knowing the Right Temperature Balance

It is important to keep in mind that the products have a temperature range. While it might be obvious that products that need to stay frozen cannot thaw, it is also important to remember that some products cannot be frozen. That is why you must know the temperature range the product needs to be in and be vigilant that it stays within that range by using monitor and tracking systems.

Exploring Routes for Faster Transportation Times

Delays during the transportation of a product might mean it will spoil and be of no use, which will put a dent in your bottom line. By exploring your options on the routes that the transport can take or by choosing a reliable partner that has more alternative ways of getting a shipment there faster, you are limiting the chances of an on-time delay and increasing the window of time you have to get the product there while it is still fresh.

Working With Reefer-Specialty Partners

One of the benefits of working with a partner that had knowledge in reefer freight specialties is that they can make sure the transport can handle the specific load you have and know what is needed for that particular shipment, whether it is frozen foods, produce, medical supplies, or vaccines. They can find the pertinent service for each unique shipment.

Properly Loading the Truck

This strategy may be overlooked, but it can be extremely helpful in keeping your product as fresh as possible while speeding up the unloading process. The order that shipments will be put on and taken off the truck and the way that the product is placed inside the truck can make a difference.

Entourage Freight Solutions Can Help You Find the Right Reefer Fit

Rates for shipping reefer freight are dropping and returning to what they were before the pandemic. That gives shippers the option to search for the best deal, not just for the price but for the ability and efficiency of the reefer transport company. The information in this article has helped you understand reefer shipping better and has provided you with some ways to raise your efficiency. One of the key ways to do that is to work with a dedicated third-party logistics company. Entourage Freight Solutions , a one-stop third-party logistics solutions service that specializes in foodservice, has an expert team to guide you through the world of refrigerated freight. With more than 7,500 carriers in its network, EFS can help you get freight on the road faster and more efficiently. Take a look at the many services EFS has to offer on our website . You can also request a quote on the website today.

Temperature Control for Perishable Goods: The Advantages of Reefer Trucking

adam@the-robinson-agency.com — Tue, 14 Mar 2023 16:35:05 GMT

What Are the Advantages of Using Reefer Trucking for Perishable Goods?

The global refrigerated transport market is growing bigger almost by the day. In 2022, the global market size reached $17.8 billion, and growth is forecasted to continue. IMARC Group predicts the market will reach $24.3 billion by 2028. That would be a compound annual growth rate of 5.31% from 2023 to 2028.

The market’s growth, combined with other factors, has put shippers under increasing pressure to provide available access to refrigerated transport. This challenge has left shippers trying to find ways to cope. One of those ways can be partnering with a tech-enabled reefer logistics provider. This blog will delve into reefer freight and its challenges. We will also discuss three advantages of using a 3PL to handle reefer freight and look into what the future could hold for the business.

What is Reefer Freight?

Before the 1930s, any form of refrigerated shipping depended on ice and salt. But in 1938, African-American inventor Frederick McKinley Jones created the first mobile refrigeration unit for trucks. That was the real start of refrigerated trucking, also known as “reefer” trucking. Reefer freight is a shipping method that specializes in the transportation of products that require a stable temperature to stay fresh . This also includes controlling humidity and sufficient airflow. Today, there are about half a million refrigerated trailers in use.

Reefer trucking is not limited to perishable foods such as meats, produce, and dairy products. Here is a list of items that often need the use of reefer trucking:

Foods
Beverages
Flowers
Pharmaceuticals
Blood
Personal care products
Fine art or antiques
Temperature-sensitive equipment.

From this list, it’s easy to see the importance of reefer trucking because many of those items are essentials we use in our daily lives.

What are the challenges of reefer freight?

Reefer freight deals with the challenges that the shipping world faces these days as well as some special concerns that make refrigerated transportation an even bigger mountain to climb. Let’s take a look at some areas affecting reefer freight.

Temperature assessment and maintenance

Regarding reefer freight, keeping the shipment at the correct temperature is the greatest challenge. The greatest dangers to loss of temperature come when there are poor loading and unloading practices or when the shipment sits in the loading dock too long. Analysts in the industry estimate that almost a third of the refrigerated cargo loaded onto refrigerated vehicles is at the wrong temperature at the time of loading. There is also the concern that the reefer unit will be set at the wrong temperature or have a problem working during the journey, which compromises the temperature for a period of time. With any of these slip-ups, the product’s temperature can exceed the food tolerance level and can lead to the load being rejected by the receiver, which will likely negatively affect both a company’s bottom line and its reputation.

These concerns can be counteracted with monitoring and maintenance . Today’s technology means many refrigeration units have hundreds of alarm codes and most shipments have monitors that regularly check the temperature and send out real-time alerts if there is a problem. It’s also a plus to have someone consistently looking at possible breakdown areas — fluid leaks, compromised belts and hoses, damaged air chutes, condenser problems, flawed calibration, sensor malfunctions, and damaged door seals. Regular maintenance checks can often take care of those problems before they put any of the reefer or product in jeopardy.

Operator error can also be a big concern when it comes to reefer trucking. All drivers should have training in how to handle the reefer unit. If a driver is inexperienced, they could set the unit to the wrong mode. If they are not familiar with a reefer’s alarm codes, they won’t respond correctly when an alarm is triggered. They should also make a visual inspection of the load before traveling.

Driver shortages

The growing demand in e-commerce and the ongoing driver shortage have created a double whammy for shippers. The task of finding capacity for all of the loads has become more difficult for a business that has been facing a driver shortage for more than a decade. Based on an estimate by American Trucking Associations’ Chief Economist Bob Costello said the shortage could more than double and surpass 160,000 in 2030 . With the long hours, tough conditions, and time away from home that drivers have to deal with, the industry is having trouble attracting employees. In a bid to try to entice new drivers, some companies are considering pay increases along with other perks such as weekend driving pay increases, performance bonuses, and rewards programs.

Difficulty maintaining visibility over volatile operations

You name it, reefer shippers are being hit with it — climbing costs, rising volume, driver shortages, and a supply chain that is volatile. All of this is while dealing with labor-intensive operations that need constant monitoring of a product that can come with high costs if it is spoiled. Keeping visibility becomes of prime concern, which becomes difficult when trying to overcome all of the hurdles that come with an unsettled market. When your shipment has to deal with all of these concerns, it shows the importance of having state-of-the-art technology that can offer real-time status updates and shipment locations.

Three Advantages of Reefer Freight From an Expert-Driven 3PL

With such a complex world as reefer freight, you need to have someone with experience and knowledge. A partnership with a reliable reefer-first 3PL can give you just what you need. They can take some of the pressure off your company and provide you with the expertise you need. Let’s take a look at three ways in which a reefer-first 3PL can help you step up your game.

Temperature control from transportation experts

Being able to maintain the ideal temperature control on a shipment from start to finish is the No. 1 priority when it comes to reefer shipping. An experienced reefer 3PL, like Entourage Freight Solutions , can make sure every angle is covered with up-to-date technology that enables real-time tracking of the temperature of the shipment that is available at all times throughout the entire journey.

“We will give you transparency and visibility into what is happening with that freight at any time,” said Cody Magrum, director of sales at Entourage Freight Solutions. “I know the difference between 34 degrees versus 34 degrees continuous (continuous means it stays that temperature the entire time) and we have checked with the truck that we STAY at 34, not get up to 40 and go back to 34.”

Optimized access to reefer freight capacity

Capacity is probably the second biggest concern in reefer freight. With a reliable 3PL partner taking the reins, capacity can be optimized because the 3PL gives you a competitive advantage with buyer power. A successful 3PL represents many customers and larger amounts of freight volume, which means it can better negotiate an advantageous freight rate for you. Along with that, carriers will be more willing to go a step further to make sure the capacity of the 3PL’s clients is also taken care of to keep a beneficial relationship blossoming. Also, good 3PLs have built up many relationships along the way that can make it easier to find a carrier for your capacity because they can quickly link up with a carrier if time is of the essence for one of your shipments.

High-Stakes Shipping Requires High Visibility

When you have a 3PL that can take excellent care of the temperature control and capacity, you next want to look for one that can provide the same type of visibility . Not only regularly alerting you as to the current temperature of the shipment, but also informing you on where the shipment is and how long until it will reach the destination.

“We know the nuances of perishable transportation,” said Magrum, Entourage Freight Solutions’ director of sales. “We have problem-solving skills” and can take things off the customers’ hands. “We can set the appointments if that is what you prefer. If a truck has a 3 a.m. delivery, you will get an update at 1 a.m. to let you know they are tracking at time. When it checks in, you’ll get an update. We are always proactive in our communications so you know at all times what is going on.”

The Future of Reefer Freight

Certainly one of the things that will be a part of reefer freight in the future is what impact will it make on sustainability . Let’s take a look at the issues that shippers and other parts of the supply chain will be facing:

Food waste mitigation: While it’s impossible to get rid of all food waste, there are ways to improve. At the top of the list is keeping containers at the right temperature to avoid spoiling. Superior cold-chain equipment and more dedicated monitoring can both be vital to curtail waste.
Complex food supply chains: With the supply chain in reefer freight expected to continue growing, the weight of successfully navigating food supply chains gets even more crucial. Communication throughout the entire chain is the way to overcome that complexity and make sure all shipments are reaching their destinations on time.
Reducing the carbon footprint: From working with newer, less-harmful types of refrigerant to cutting down on greenhouse gas emissions with variable speed drives for compressors, there are many new ways popping up to reduce CO2 in refer freight.
Technology: The digitalizing of companies and the continuing advancements in technology will push reefer freight to greater heights. Technology continues to map each step of the shipping process more accurately and it provides even more precise monitoring of shipments. Those are just two of the many ways that tech takes it to the next level.

Don’t worry, Entourage Freight Solutions Can Help You Keep Up

Shippers are under increasing pressure from many sides to keep up with this hectic time in reefer freight. They must deal with three challenges that are heightened by greater volume — temperature assessment, driver shortages, and visibility. This is where a reefer-first 3PL can help handle some of the burdens and relieve some headaches. Entourage Freight Solutions , an expert in navigating reefer freight, can be your perfect partner. EFS has an experienced and highly knowledgeable team that is ready to help shippers get reefer freight on the road faster while offering a competitive rate and the ability to trace every shipment’s movement in real-time from the beginning through to the delivery. If you need that helping hand, check out our website and request a quote today.

Evaluating Freezer Or Reefer Truck Delivery Services

adam@the-robinson-agency.com — Tue, 28 Feb 2023 16:08:47 GMT

Freezer Or Reefer Truck Delivery Services: A Shipper’s Guide to Evaluating

The world of logistics and transportation can be complex. With the help of freezer or reefer truck delivery services, businesses have a reliable way to transport their specialized freight.

A freezer or reefer truck delivery service is exactly what it sounds like – a refrigerated vehicle for transporting perishable items such as food, pharmaceuticals, and other temperature-sensitive products. These types of frozen or reefer truckin g deliveries require extra precautions to ensure the product remains in optimal condition during transit.

In this article, we will discuss what types of freight need freezer or reefer truck delivery Services, how to choose a qualified service provider, and why Entourage Freight Solutions is the perfect logistics partner for your freezer or reefer truck delivery needs.

What is Frozen or Reefer Truck Delivery Service?

Freezer or reefer truck delivery service is a type of delivery service that uses refrigerated freight shipping trucks to transport goods that need to be kept at a specific temperature. These trucks have cooling and heating systems, allowing them to maintain the desired temperature for whatever product is transported. This type of frozen or reefer truck delivery service is often used by food distributors, pharmaceutical companies, and medical suppliers who need to keep their products at a certain temperature to remain safe and effective. With this service, businesses can ensure that their products arrive on time and in perfect condition no matter how far they travel.

What Types of Freight need Freezer or Reefer Truck Delivery Services?

Refrigerated freight transportation is an essential service for many businesses that need to deliver food, medical supplies, and other temperature-sensitive products. Freezer or reefer truck delivery services provide a reliable way to keep these items safe and secure during transit times. Various types of freight require specialized temperatures for them to remain safe and usable upon arrival. Here are all the different types of goods that necessitate freezer or reefer truck delivery services.

Refrigerated freight transportation is necessary for many types of food and medical supplies. Most perishables such as produce, seafood, dairy, frozen foods, and pharmaceuticals require temperature-controlled delivery services to ensure the quality of the product.
Temperature-sensitive products that need timely delivery are best handled by freezer or reefer trucks. These refrigerated trucks can maintain a consistent temperature to keep items in optimal condition throughout the delivery process.
Many types of freight have specific temperature requirements that must be met to remain safe and usable upon arrival. These include:
Dairy products – must remain chilled between 36°F (2°C) to 44°F (7°C).
Produce – needs temperatures ranging from 33°F (1°C) to 45°F (7°C).
Frozen foods – should be kept below 32°F (-0 °C).
Pharmaceuticals – must stay between 39–68 °F (4–20 °C).

Freezer or reefer truck delivery services provide an efficient way for businesses to transport refrigerated goods safely and securely, so they arrive at their destination in perfect condition. The drivers are well-trained in handling these types of shipments with care and expertise, ensuring all items remain in good condition during transit times no matter how long it takes for them to reach their final destination.

Finding a reliable freezer or reefer truck delivery service for your goods is essential to guarantee safe and timely transport. When choosing a provider, it’s important to consider factors such as their reputation, communication channels, experience in the industry, insurance coverage, and temperature control options available. You should also inquire about any maintenance schedules they have in place.

When choosing a freezer or reefer truck delivery service, there are several important factors to consider to ensure the safe and reliable transportation of your goods. Here are some things to look out for:

Reputation : Research the company’s reputation online by reading reviews from previous customers. This will give you an idea of their reliability and customer service standards.
Communication : Make sure that the company has clear lines of communication so that you can contact them quickly if any issues arise during transit. Ask questions about how they will handle problems such as delays or damaged goods.
Experience : Look into how long they have been in business and ask whether they have experience with delivering specific types of products. Companies with more years of experience tend to be better prepared for unexpected circumstances on the road.
Insurance Coverage : Ensure that the company provides adequate insurance coverage for your shipment in case anything goes wrong during transit, such as theft, fire damage or product spoilage caused by temperature-related issues.
Temperature Control Options : Investigate what kind of temperature control options the company offers and make sure it is suitable for your needs. For example, does it offer adjustable temperature settings? Does it provide heat insulation or cooling systems? Are there backup generators available in case something goes wrong?
Maintenance Schedule : Find out if the trucks undergo regular maintenance checks to ensure equipment is working properly before setting off on journeys; this helps reduce potential risks while on the route, such as breakdowns due to mechanical failure, which could cause delays in delivery timescales

Choose a Trusted Reefer or Freezer Truck Delivery Service Logistics Partner

Freezer or reefer truck delivery services are essential for businesses transporting temperature-sensitive items. When selecting a service provider, it is important to choose someone experienced and qualified.

Entourage Freight Solutions is a trusted partner for these types of deliveries, offering reliable and cost-effective solutions that ensure the safe and timely transportation of your products. With their expertise and commitment to customer satisfaction, you can trust that your goods will arrive on time and in perfect condition. Learn more about our reefer or freezer truck delivery services or contact us to learn more.

The Ultimate List of Food Trade Shows for Logistics, Freight & Supply Chain Professionals

RSHanline (Nick Terry) — Tue, 14 Feb 2023 16:40:42 GMT

Food Trade Shows for Logistics, Freight & Supply Chain Professionals

It takes the right ingredients to make a great meal. The same holds true for food logistics and supply chain shows. If it all goes to plan for you at a food trade show, you can gather up all the right fixings to help you feast on a great 2023. Attending these conferences is a great opportunity for shippers of food, dairy, deli, bakery, and frozen goods to learn about the latest industry developments, network with other professionals, and gain valuable insights into food logistics best practices. So it’s time to offer a tantalizing list of the important trade shows that will be going on around the country this year. We will look at two different groups — the shows that Entourage Freight Solutions are scheduled to attend and then the other notable food logistics and supply chain shows that shippers should know about.

Shows Entourage Freight Solutions is Attending

It would be hard to find anyone more expert at knowing which food trade shows to attend than the folks at Entourage Freight Solutions. Since starting out as a produce company in 2011, EFS has become one of the leading third-party logistics companies in the world with expertise in navigating refrigerated freight. So let’s take a look at the shows the people in the know are going to:

American Frozen Food Institute (AFFI) Conference , Feb. 25-28, 2023, San Diego — The AFFI Conference, which draws thousands of attendees and more than 500 companies, is one of the largest events in the food industry. Shippers, manufacturers, retailers, and other industry professionals are all there. This food trade show is the launching pad for the year. Attendees can plan out and lock down the entire chain of what they need to do for the upcoming year. The average attendee will sch 20-plus private meetings to help lock down details for their entire year. They can also learn from industry experts, see the latest products, and participate in discussions about the industry's most pressing topics. https://affi.org/affi-con/
The Southeast Produce Council’s Southern Exposure , May 2-4, 2003, Orlando, Florida — Southern Exposure, an annual meeting for the produce industry, is having a theme based on a famous sci-fi television show, so you can expect this food trade show to be out of this world. At Southern Exposure, you get a chance to see the best products and services the produce industry has to offer from hundreds of exhibitors. Among the attendees are buyers, agricultural leaders, and product innovators. Shippers have the opportunity to meet with growers and retailers, attend educational sessions, and network. It is a great event to get up to speed on the latest trends in the fresh produce industry. https://seproducecouncil.com/events-networking/southern-exposure/
Food Shippers of America’s 67th Annual Conference , March 5-7, 2023, Palm Desert, Calif. — The Food Shippers of America (FSA) is the premier association for food and beverage shippers and provides a forum for members to exchange ideas and best practices. FSA also hosts this annual conference, which is a great opportunity for food and beverage shippers to learn about the latest industry developments and network with fellow shippers. There’s also a “Golf Grab and Go Breakfast” and a “Supply Chain Afternoon Tea.” https://www.foodshippers.org/
North America Seafood Expo , March 12-14, 2023, Boston — This is North America’s largest seafood trade exposition. With exhibiting suppliers from 50 countries under one roof, this exposition provides North America’s seafood buyers with a one-stop shop to access everything seafood in a face-to-face environment, including sampling and sourcing products. Attendees can also meet with current or new suppliers and network with industry colleagues. A new product showcase is planned, as well as the Seafood Excellence Awards ceremony. https://www.seafoodexpo.com/north-america/
The National Restaurant Association Show , May 20-23, 2023, Chicago — The National Restaurant Association Show is the largest gathering of foodservice professionals in the Western Hemisphere. It has more resources, information, and connection opportunities than any other industry event. It’s a great opportunity for shippers to meet restaurant operators, manufacturers, and other industry professionals. They can also learn about the latest trends, garner critical industry insights, find out about new technologies, and attend educational sessions. https://www.nationalrestaurantshow.com/
International Dairy Deli Bakery Association show , June 4-6, 2023, Anaheim, Calif. — As the leading trade organization for the dairy, deli, bakery, and foodservice industry, the International Dairy Deli Bakery Association (IDDBA) puts on an annual show specific to those industries. This food trade show is an excellent opportunity for shippers to learn about the latest industry developments, meet with retailers and manufacturers, and network with industry professionals. It allows the companies in these industries who off their brands and what they have to offer. Hundreds of exhibitors are already listed as attending this middle-of-the-year event. https://www.iddba.org/
International Fresh Produce Association’s Global Produce & Floral Show , Oct. 19-21, 2023, Anaheim, Calif. — This is the premier event for the produce and floral industries. The show, put on every year by the International Fresh Produce Association, provides inspiration with the latest trends and allows you to make lasting connections with everyone in the global produce and floral supply chains. There will be plenty of exhibit booths, including many in which companies will be launching products. There will even be a high-traffic display area, called the Fresh Ideas Showcase, that is open to attendees before, during, and after show hours to highlight your new product or service at the Anaheim Convention Center. https://www.freshproduce.com/events/

Other Notable Shows That Food & Beverage Shippers Should Know About

The world of food logistics and supply chain shows doesn’t just end with the above list. There are plenty of other events throughout the year to consider. Maybe some are at a venue near you or they are on a weekend that suits your schedule.

GCCA European Cold Chain Conference , March 20-22, 2023, Barcelona Spain — The Global Cold Chain Alliance (GCCA) will host its 26th annual conference at the InterContinental Hotel in Barcelona. Over 150 cold chain professionals representing temperature-controlled third-party logistics, warehousing, transportation, technology, equipment, distribution, and construction are expected to attend. There will be educational programming to provide attendees with a better understanding of market trends, industry challenges/opportunities, and business solutions.
International Foodservice Distributors Association Expo , Sept. 10-13, 2023, Fort Worth, Texas — More than 150 exhibitors are expected to be at this event at the Fort Worth Convention Center. There will be workshop sessions, innovation labs, an executive leadership summit, and the Truck Driver Hall of Fame dinner. https://www.ifdaonline.org/events/distribution-solutions-conference/expo
Cumulus 2023 , Sept. 11-13, 2023, Las Vegas — This food trade show is expected to have 250 world-class speakers and 500 agtech and foodtech startups over the three days at the Paris Las Vegas Hotel. There will be industry leaders, innovators, and investors in a showcase that will include technologies creating and supporting the sustainable future of food. https://cumul.us/#subscribe
GFSI Conference , April 24-27, 2023, Atlanta — Put on by the Global Food Safety Initiative, this show is an industry who’s who that brings together the global food safety community to reaffirm the continuous commitment to addressing the challenges we face today. There will be plenary sessions, speaker presentations, and tech talks at the Westin Peachtree Plaza in Atlanta.
Viva Fresh Expo , March 30 through April 1, 2023, Grapevine, Texas — Held at the Gaylord Texan Resort northwest of Dallas, this is the largest fresh produce trade show in the Southwest. It features exhibits from growers, shippers, distributors, packers, commodity boards, and industry suppliers while also bringing together the fresh produce industry. A golf tournament kicks off the event on the first day. www.vivafreshexpo.com
Seafood Expo Global, April 25-27, 2023, Barcelona, Spain — Almost 30,000 buyers, suppliers, and other seafood professionals from more than 150 countries are scheduled to be at the world’s largest seafood trade show. The expo will host more than 20 educational sessions that will discuss the most important and timely issues. There will also be chances for attendees to meet face-to-face with suppliers from around the world. www.seafoodexpo.com
Food Tech Summit & Expo , Sept. 27-28, 2023, Mexico City — The latest developments in food tech will be the focus of the 14th edition of this show to be held at the Citibanamex Center. For logistics, freight , and supply chain professionals in the food and beverage industry in Mexico and Latin America, this is a must-attend event. It features more than 35 free conferences and food innovation workshops along with a large exhibition floor. https://expo.thefoodtech.com/
Refrigerated Foods Association , Feb. 28-March 1, 2023, Kiawah Island S.C. — The 42nd annual installment of this show will cover current trends in chilled foods, food safety information, and the newest packaging and equipment options.
ProMat, March 20-23, 2023, Chicago — Over 150 educational supply chain seminars, including deep discussions on food logistics, are scheduled.
SIAL America, March 28-30, Las Vegas — This event features food and beverage information for companies, importers, distributors, retailers, and wholesalers alike.

EFS Can Show You the Way in Logistics World

It appears like 2023 will be a busy season for food logistics and supply chain professionals. With all of these food trade shows to attend, you can learn plenty about the industry. It can all be overwhelming but remember you can always turn to experts like Entourage Freight Solutions . With one-stop third-party logistics solutions for foodservice and more, EFS is one of the leaders in the industry. Using a cloud-based platform and increased visibility, the EFS team can provide the best service possible at an affordable rate. To request a quote , visit our website.

Shipping Freight Rates: Spot or Contract?

RSHanline (Nick Terry) — Wed, 01 Feb 2023 17:12:14 GMT

Shipping Freight Rates: Spot or Contract?

Shipping rates usually fall into two different categories: spot rates and contract rates. A spot rate is a one-time rate offered by a transportation provider to move a shipper’s product from one point to another. A contract rate is a longer-term commitment between a shipper and carrier in which the details are fixed over a period of time for multiple shipments.

Both have substantial reasons to choose them and can suit your specific shipping concerns. Let’s look at both, discussing the pros and cons of each to help determine which is the right type for you. By the end of this blog, you will better understand freight rates and how to make the best decision for your shipping needs.

Spot rates

As its name implies, this freight rate is for when the deal needs to be done on the spot or relatively soon to get the shipment where it needs to go. A spot rate is often the last-minute option when shipping a product that needs to be quickly delivered. Spot rates can apply to almost every kind of truck shipping — full truckload, less-than-truckload (LTL), dry van, flatbed, and reefer trucks . Because of the volatility of spot rates, shippers use them much less commonly than contract rates.

Spot rates are usually limited to a short period and can be affected by fluctuations in the market. They are often more expensive than contract rates because supply and demand drive the rate. With higher demand comes a higher price. If the demand is lower, then the price will drop. Other factors, such as fuel prices, can also affect spot rates. For owner-operators and carriers, spot freight rates often help fill up their capacity when they are between contracts or when they have trailer space during backhauls. There are some whose business exclusively deals with spot rates. The shippers who use spot rates are quite often the ones with inconsistent shipping patterns and irregular lanes. They cannot use contract rates because their shipments routinely don’t head to the same destinations, and the other particulars involving their shipment are not always consistent.

Pros

Immediacy: When you get a random order that needs to be shipped on an atypical lane or at an unusual time, a spot rate is the best way to go because shippers and carriers can make deals right away.
Flexibility: There are plenty of options when searching for a spot rate, from the type of vehicle to the price to the shipment’s route .
No long-term deal: Spot rates are for one load only, which keeps you from being locked into an agreement over time.
Free to negotiate: While time limitations may put you in a bind, you still can deal on a case-by-case basis for just about every other factor. And, if the demand drops over time, you might even save money because you’re not locked into a contract rate.

Cons

Higher rates: In all likelihood, you will have to pay higher rates because it’s a one-time deal to fill an immediate need--unlike contract rates that usually have a reduced rate because they factor in consistent, recurring volume.
Volatility: If the economy or other factors shift quickly, you would have to pay higher spot rates each time because there are no price guarantees.
Accountability and security: With spot rates, there can often be the possibility that you don’t know the transportation partner well or at all. So trusting them with a shipment assumes more risk than dealing with a partner you would regularly use if it were a contract rate. Plus, it is much harder to build a rapport that can lead to bigger things.
Forecasting is impossible: All businesses have budget plans, but when you don’t know the shipment price in advance, it is difficult to forecast what will be spent on the shipping part of your budget.
Time spent negotiating: With each spot rate, there will have to be a negotiation . That means shippers might spend quite a bit of time making each deal.

Contract rates

While a spot rate is seen as the immediate need option that can involve uncertainties, a contract rate is the opposite. With a contract rate comes a fixed price and volume guarantee for a specific lane over a set period of time. It is usually done yearly but can last for half or a quarter of the year. Contract rates comprise most of the truck shipping industry rates and are based on an estimated shipping volume at a specific per-mile rate. They are nonbinding and negotiated in a bidding process. After you have agreed upon a rate, it allows you to better forecast and budget for shipping costs.

Contract rates are split into two sections:

Line-haul rates are the basic costs for a shipment to be transported from Point A to Point B.
Accessorial rates, meanwhile, help compensate for higher prices if the haul is more costly for the carrier. A typical example of these rates is the fuel surcharge rate. If the fuel rates rise on the Department of Energy’s index for nationwide diesel prices, then this type of rate is likely to be charged.

Pros

Predictable cost: With the price locked in, you will not get bit by rates that might have huge increases down the road. Also, contract rates allow you to more accurately assess the costs for budget concerns.
Availability: By going the contract rate route, a company has availability for all loads. There is no need to spend time and resources trying to track down a partner for each and every shipment. It assures priority access to capacity during high-demand periods.
Familiar, stable partner: The longer and more often your company works with a specific partner, the better they will get to know you, your processes, and your facilities. That usually equates to higher service levels from them to keep the relationship going. It’s almost always easier to mitigate problems when you already know the partner well.
Damage control: With a partner you have worked with regularly, you will know they are dependable, and there is likely to be a reduced number of damages over choosing multiple carriers using spot rates.

Cons

Less flexibility: When using a contract rate, you are sticking with one company and following all the stipulations in the contract. If your situation changes in specific ways, the carrier might not offer the agreed-upon rate.
Change in the market: If a significant market fluctuation results in lower rates, you will not be able to take advantage of it due to existing contract terms.
Spikes in volume: It could become problematic for your service provider to meet your needs if volume suddenly increases significantly.
Dependence on volume consistency: If your capacity is different each month, rates for some of your shipments might fall outside the terms of your deal, and you would have to depend on spot shipments to cover the extra loads.
Lane concerns: If your company’s shipments do not regularly use the same shipping lanes, there might not be able to commit volume to a contract rate for a specific lane.

Determining the Best Option for Your Business

Both spot rates and contract rates have benefits and risks. The decision on which one to choose should best suit your business. If you have relatively consistent factors in your production, such as the volume and timing of your loads and the lanes, then contract rates will most often be your answer. If your company has many factors that fluctuate, be it timing, volume, or distribution lanes, then spot rates are likely the way to go. You can weigh the pros and cons mentioned above to help you make that choice.

You also have to decide what factor matters most for you. Is it price or reliability, or service? From there, you can decide on spot rates, contract rates, or even both if you have some shipments that suit one rate type and certain loads that fit the other.

EFS Could Be Your Perfect Partner

With spot rates and contract rates, the shipper has two varied options. Each has viable reasons to choose that particular one for some or all of your shipment needs — reliability, flexibility, cost, etc. Knowing these rates and deciding which one to use adds another layer of complexity to your logistics department. If the burden becomes too great for your logistics team or you want to have your employees working on other concerns, you have a way out with Entourage Freight Solutions . As a third-party logistics solutions company specializing in foodservice, EFS can help you overcome issues with an extensive background and unmatched service. To get more detail on how we can assist your company and request a quote , check out our website today.

Reefer Freight Rates: Historical Average, How to Benchmark, Most Expensive Lanes, How Are They Calculated

adam@the-robinson-agency.com — Thu, 19 Jan 2023 17:26:19 GMT

Reefer Freight Rates: Historical Average, How to Benchmark, Most Expensive Lanes, How Are They Calculated

To transport perishables or other temperature-controlled freight, you need to use a refrigerated truck, also known as a reefer. Because the equipment for moving reefer freight, which can be transported in full truckload and less-than-truckload vehicles, is more costly to run and maintain, the rates to transport reefer freight are often higher than transporting dry goods. There are also fewer reefer trucks on the road than dry vans during a time when there is greater demand for truckload freight . While many factors determine the reefer freight rate, it is usually based on a cost-per-mile basis. For example, if the trip is going to be 400 miles and the cost per mile is $2.75, the freight charge would be $1,100. The per-mile rates differ for specific areas in the U.S., with rates usually being higher in the Midwest.

Reefer freight rates can affect the price and availability of perishable goods. If the reefer freight rate is high, the cost of the perishable at your local grocery might be higher. It can also result in fewer choices on market shelves because some companies that handle perishable products can be priced out of the market.

This blog explains reefer freight rates (both historically and in the present), reviews how to benchmark current rates, examines what makes some lanes expensive, and discusses the factors that help determine these rates. Ultimately, shippers will understand the complete process and what they need to know to negotiate more effectively with carriers.

Historical Average of Reefer Freight Rates

One thing you can say about reefer freight rates is that they have never been static. Because of so many determining factors, they are always fluctuations . But as of late, they have generally been inching up ever higher. In the three years prior to the COVID-19 pandemic, the reefer freight rate ranged from $1.80 to $2.61 per mile. After a dip down during the first couple of months of the pandemic, the rates have typically been rising over the past two and a half years.

Because many goods that come in reefer trucks or trailers are necessities, companies will still pay to have them shipped regardless of cost. During the first year of the pandemic, people were concerned about the availability of many items and began to stock up in case of emergency. That occasionally left some store shelves empty — and the demand for reefer transport to restock those shelves heightened. While reefer rates have leveled off somewhat, they are still rising in areas where there are still supply chain concerns and capacity is tight.

While we have been going through some extraordinary times over the past three years, the perspective of not only recent times but also looking back further is crucial to have any insight into predicting future rates. Shippers need to accurately forecast demand and rates to sustain cash flow and determine viable shipping costs. Carriers must also be able to predict rates and demand to make intelligent decisions about buying or leasing equipment.

Behind the success of e-commerce , the market is still moving ahead. This means accurately estimating what rates will be like in the days ahead is even more vital. To do that, you need data and the kind of technology that assimilates that data and puts it into perspective. For freight managers to better predict reefer rates, the use of artificial intelligence-guided systems and machine learning processes are crucial in computing past ratios of reefer-to-dry van rates for significant lanes to help look into what the future might hold in store. The volatility of the market will always impact reefer freight rates, but being fully invested accurately predicting them will provide you with an excellent chance to stay ahead of them and keep your costs in line.

Benchmarking reefer freight rates

When trying to benchmark reefer freight rates, there are several things to consider because there can be wide variations in terms. If you want to be in a position to confidently secure the best contract, comparing current rates to the historical average and other market indicators is the first step. Once you have that knowledge in hand, you can then go about navigating the negotiations. You’ll need to shop around. Even though there are fewer reefer options than dry vans, there are still many reefer freight rate offers available. Make sure you also have all the information on your shipment — weight, dimension, distance, lane it will travel, and the deadline for arrival — because that information will help determine what cost the companies can offer you. It might be beneficial and save you some money if you are flexible in your pickup dates, but only if that doesn’t risk the product getting spoiled or damaged.

Most importantly, you must ensure ensure you get a deal that satisfies you. If that is not the case, then further negotiation or a search of the competition for a new candidate would be in order. If the deal is to your satisfaction, you will want to have your product ready at pickup time and correctly packaged and prepared for shipping. Idle time usually results in increased costs, so anything you can do to avoid waiting is greatly beneficial.

What Makes Some Reefer Loads More Expensive?

There are quite a few factors that can contribute to higher costs in reefer freight rates. Let’s take a look at five of them:

Length of journey

How far a shipment needs to be transported is always a major determining factor, but that is even more of a concern in reefer rates. With reefer loads, the product is not only temperature-sensitive but is customarily time-sensitive as well. A greater distance means it will take more time. And when the product has a time window for freshness, the window for that product to get on the shelves is reduced the farther it needs to travel. That means the carrier will usually charge more for the security and speed that it will arrive in time.

Weight

The issue with weight in reefer freight rates is twofold. The more weight there is in the shipment, the more it will cost. But there is also the question of density, which can often add cost to a shipment because of how much space the product takes up in the trailers. Weight and density do not always correlate. For example, a product like Romaine lettuce can weigh less than an avocado but can take up twice the space. If you are shipping Romaine lettuce, that can mean less room for the other products in your shipment. If your products need more space because of density concerns, it will cost more.

Fuel prices

The fuel price is easily one of the most significant cost factors in all shipping. The weight of a shipment impacts fuel costs because more weight means more strain on the truck to pull the load and more fuel being used to draw that truck forward. Fuel prices are also one of the most talked about subjects in shipping because the per-gallon prices have hit new heights in recent years. With fuel prices varying from state to state and region to region, the lane your shipment travels will determine the fuel cost.

Regulations

Produce and other perishable goods are often subject to state, local, and regional regulations that do not impact other products shipped across state lines. Some produce and perishable items may only cross the state lines with 0an inspection certificate. There are other regulations as well. For example, the Food Safety Modernization Act requires monitoring and maintaining temperatures for certain freight. Many reefer units have telematics that let carriers and shippers monitor and control temperatures. With the added equipment comes added cost. Also, regulations on emissions and other pollutants are often changing, and the cost of equipment to maintain those regulations also affects the bottom line.

Produce Season

Without a doubt, one of the major influences on reefer freight rates is the produce season. When fresh produce is ready for picking, it’s ready for shipping — which means it’s time for higher costs. In areas known for agriculture (the Midwest, California’s Central Valley, etc.), fresh produce is gathered in volume, and the demand for reefer shipping goes up, as do the rates in the shipping lanes from those places.

Factors That Determine Reefer Freight Rates

As we have mentioned before, there are quite a few factors that determine freight rates. Let’s go over a quick run-down of what can alter the reefer rates:

Type and volume : Everything from the dimensions to the weight to the density is all figured in when determining reefer freight rates. Also, something like how much refrigeration at a specific temperature a particular product needs can impact costs.
Distance and mode: As mentioned above, distance is one of the top factors in figuring out a reefer rate, but the transportation mode used to move the product can also affect the rate. There are reefer trucks with trailers attached and the more maneuverable refrigerated vans and insulated vans.
Additional services or handling: Make sure the partner you are negotiating with identifies any special add-on services before you complete the deal. In some cases, the refrigeration unit must always remain on because the product can spoil if it gets warm and is then cooled again.

EFS Can Help You Tackle Reefer Freight Rates

When it comes to reefer freight rates, it’s important to know the past and the present. Looking at how the rates have changed historically can help possibly predict the future of those rates. This blog has also looked at how to benchmark current rates, laid out factors that help determine these rates, and presented things you need to be aware of when negotiating these rates. It can be hard to fathom all of the ins and outs of reefer freight rates but don’t worry because Entourage Freight Solutions (EFS) can help you steer through those depths. EFS is an expert in navigating refrigerated freight with a superior team designed to help shippers get freight on the road faster, at a competitive rate, and then trace that movement from its inception through delivery. Check out our numerous ways to ship and request a quote today at our website.

Truckload Trends to Watch for in 2023

adam@the-robinson-agency.com — Thu, 05 Jan 2023 09:14:38 GMT

Delving Into the Truckload Market Trends for 2023

Like the trucks that are the industry’s flagship, the truckload freight business is constantly moving. Trucking has been through some up-and-down times over the past three years but has managed to keep rolling along. It will undoubtedly do the same in 2023, no matter what hazards the new year will throw at the industry. That means staying ahead of the curve is so much more important these days.

This article aims to help you do that with a look at some truckload market trends that will likely shape the next 12 months. We will look at the increasing demand, the changes in consumer preferences, the continuing emergence of automation, and the impact of regulations on the business.

Growing Demand for Truckload Freight

According to most numbers, consumers are spending more, and an ever-growing portion of those sales is coming through e-commerce. According to the U.S. Department of Commerce numbers, consumer spending has increased slightly in each of the last three recorded months. Of that spending, e-commerce will account for 20.4% of global retail sales by the end of 2022, up from only 10% five years ago, a recent industry report stated. Both spending and e-commerce sales affect trucking because all those purchased items will need to get to their destinations, and with e-commerce, there are many more unique destinations these days. More items and more destinations mean more truckloads will be needed, and improvements in the e-commerce industry will lead to progress and continue the truckload market trend of growing demand.

But with news of increasing numbers in consumer spending and e-commerce, it is crucial to remember the U.S. economy has been turbulent over the past few years, which could carry over to 2023. Two words that no one wants to hear — inflation and recession — are still a part of many conversations involving the economy.

Another factor that could influence the trucking industry over the next year is the semi-truck shortage in the U.S. During the pandemic, the supply chain was severely affected, which meant the delivery of some things was delayed--sometimes for many months. One of the casualties of that slowdown was the semi-truck manufacturing industry, which could not keep up with the demand for replacement trucks. As a result, older semis that generally would have been replaced over the past two years were forced to continue hitting the blacktop. This pushing of older trucks to endure more increased the likelihood of breakdowns or the need to be retired altogether. With an increasing demand for more trucks to keep up with the rise in products to be shipped, this will remain a pressing issue until the supply of new semis can get back up to speed.

Impact of Shifting Consumer Preferences

One of the most significant changes in consumer preferences has come from the shift to online websites from brick-and-mortar stores. People no longer come to get the product; they want it brought to them. This expectation has changed the dynamic of trucking. E-commerce companies have built warehouses and fulfillment centers in urban areas. Also, intraregional and last-mile truck trips are on the increase.

In tandem with the rise of e-commerce came the demand for faster delivery. Retailers began promising faster shipments which put more pressure on a trucking industry already facing handicaps such as a driver shortage, lower retention rates, and hours-of-service regulations. Truckers have found ways to adapt to these demands. Many are replacing interregional or national hauls with shorter pickup-and-deliver jobs in smaller regions that provide ample home time. Intraregional and last-mile truck trips helped decrease the overall average trip length by 37% from 2000 to 2018, according to an American Transportation Research Institute report, and is one of the truckload market trends that has continued.

The e-commerce boom has presented another unique way the trucking industry has adapted. Drivers must be 21 or older to complete cross-state trips, but in the newly created world of more plentiful local e-commerce deliveries, younger drivers can step up and seize those short-trip job opportunities.

These trends of shorter deliveries and faster times are not going away and will likely become even more acute. So, in the upcoming year and more distant future, the trucking industry must continue adapting to survive as best it can.

How Automation is Affecting Truckload Freight

Automation might be one of the most talked about truckload market trends in 2023. With one Artificial Intelligence (AI) firm planning to introduce its self-driving trucks to highways in the coming year and many others from coast to coast setting their sights on doing the same, it’s fast becoming a popular subject for debate. While many of these self-driving trials still have a safety driver onboard, it’s clear that these vehicles will be a driving force one day.

With these self-driving trucks, the aim is to heighten driver safety and supply chain reliability. Long-haul driving has often been a concern; as drivers get fatigued, the chances of an accident rise with each mile driven on the lengthy journeys on American highways.

Self-driving trucks do not need to stop for mandatory rest periods and drive nearly around the clock. They also use less fuel than human-driven vehicles, producing cash savings and greater environmental sustainability over extended periods. We are still far removed from these vehicles making more than an experimental impact, but they certainly are a truckload market trend that is highly likely to take off in the future. Even the trucks driven by humans benefit from technology that improves functionality and efficiency, as is the tracking and reporting of where shipments are in their journey.

But trucks aren’t the only area of the industry that feels the effects of automation. Fully automated warehouses use automated logistics to carry out all operations, from receiving shipments to processing orders and dispatching goods. These facilities have minimal intervention by operators.

In addition, automated software has made operations throughout the offices of many trucking companies more streamlined and efficient. Data analytics have become a vital tool across the industry in helping show patterns as well as providing forecasts. More and more businesses each year are joining the fold. It’s exceedingly likely that 2023 will continue that trend with technology and automation making more landmark advancements in all areas of trucking.

The Impact of Regulations on Truckload Freight

Regulations will also see changes that affect the trucking industry in 2023. The biggest one is the end of the hours-of-service exemption. Because of the pandemic, truckers hauling relief loads received an exemption from some of the hours-of-service regulations under a federal emergency declaration. After about two and a half years, that has come to an end. What that means is truckers can only drive a maximum of 11 hours after ten consecutive hours off duty, and they cannot drive after 60-70 hours on duty in seven or eight consecutive days. The Federal Motor Carrier Safety Administration (FMCSA) did issue a three-month waiver extension for commercial learner’s permit (CLP) holders seeking to take a skills test for a commercial driver’s license (CDL) and for states administering CDL skills tests until Feb. 28, 2023.

Other possible regulatory changes could have impacts as well:

You can expect amendments to federal safety regulations to ensure the safe introduction of trucks equipped with automated driving systems (ADS). The proposed changes in operations, inspections, repairs, and maintenance regulations aim to put safety and security first while promoting innovation and recognizing the difference between human operators and ADS.
The FMCSA is also looking into potential updates to the regulations for electronic logging devices (ELDs), which automatically record driving time and hours-of-service records. Among the changes under consideration are applying the rules to pre-2000 engines and actions that would allow removing an ELD from FMCSA’s list of certified devices.
For years, Congress has emphasized the importance of research into collision avoidance technology for trucks and at the forefront of that is automatic emergency braking. While it has yet to reach the mandatory stage, it is likely to have a more significant impact in the future.
Another regulatory concern still in the research and development stage is the possible use of data and resources to identify unfit drivers and take them off the roads. It is possible that in the future, a driver’s fitness to operate will be determined by inspection data and other sources of information. A review of this is expected in January 2023.
Changes to broker-freight forwarder financial responsibility requirements and truck speed limiters are also on the docket of subjects being pursued.

Let EFS Help Keep You Up With the Trends

The world of trucking is ever-changing, and 2023 should be no exception with truckload market trends such as:

Greater demand.
Consumer preferences are constantly transitioning.
Automated technology continues to break barriers.
The possibility of regulation changes.

It’s not hard to see that the upcoming year will be busy for every stage of the trucking industry. So busy that it might be helpful to have a partner to help you through these hectic times. Whether it be freight management, full truckload concerns, or anything in between, Entourage Freight Solutions can be just the ticket to help you reach the nth degree in ’23. Head to the EFS website for a freight quote request today.

A Guide to Truckload RFPs

adam@the-robinson-agency.com — Tue, 20 Dec 2022 16:02:38 GMT

A Guide to Truckload RFPs

When choosing a carrier for freight, most shippers don’t just arbitrarily plant their finger down on one name from a phone-book-type list of many carriers. The shipper needs to make an informed decision. To do that, shippers turn to a truckload request for proposal (RFP) — a document that provides the information necessary to make a knowledgeable choice.

This blog offers a detailed overview of the truckload RFP process, explains the different types of truckload RFPs, and gives tips on how shippers can negotiate for the best possible rate. Additionally, we share a checklist of items to include in your RFP package and a timeline for the RFP process.

Advantages of Using Truckload RFP

On the surface, a truckload RFP is a document that helps ensure the shipping process runs smoothly according to your specific requirements. But an RFP provides several additional advantages. Here is a list of some of the perks of the RFP process:

More carriers are available: It used to take a great deal of time to make a genuine effort to go through the RFP process. Depending on how much time you took vetting, it could limit the number of carriers to bid on your loads. Now, software platforms can enable easy access to many more pre-vetted carriers.
Greater safeguards against rate fluctuation : With shortened bidding cycles, shippers can get more accurate pricing from the carriers without having to worry about an awkward conversation later on that would involve a price increase.
Better volume alignment: Projections on freight volumes can be much more accurate over three months rather than a year. Shippers then have a better grasp of volume accuracy, and carriers are more willing to commit equipment and drivers.
Flexibility for changes in the industry: Adjusting to changes like seasonality, regional volume shifts, or emerging transportation lanes requires a higher degree of nimbleness. Nowadays, it’s not very hard for a shipper to design RFP bids to accommodate those changes in very little time.
Easing budget concerns: With RFPs, the rates are agreed upon when the deal is made and can be immediately figured into budgets. From the financial end, it means the budgets will more accurately reflect the actual total cost, and the chances are fewer of a strikingly different “how much more?” total when the shipment is made.

Preparing for a Truckload RFP

Before putting forth a truckload RFP, you must prepare all the information about your company and your shipment. Here are some essentials in the preparation:

Make a list of requirements. Because RFP vetting can be time-consuming, it is vital to have a list of mandatory requirements to qualify or disqualify bidders quickly. For instance, is a specific license or certification needed? Safety records and claims rates are two other areas where you should spell out expectations. Your RFP should clearly define all operational, functional, service-level, technical, and financial requirements.
Establish vehicle parameters. Another way to ensure that your RFP attracts suitable bidders is to ensure that the vehicles the carriers use will work with your shipments. This approach can also be a way of negotiating prices because some carriers have percentage cost changes depending on the load size and the truck.
Secure delivery dates. Truckload RFPs need to have delivery dates so that it is clear to both sides when shipments need to be delivered and the consequences if they do not reach their destination on time.

Understanding the Bidding Process

The bidding process includes preparation for sending out bids, receiving responses, comparing offers to the proposal, and negotiating the deal.

Preparation

When getting ready for the bidding process for truckload RFPs, you should have the following information prepared:

Lanes you are requesting to be quoted.
The length of time the bid will last.
The bid’s start date.
The shipment volume in the specified lane(s). In other words, the number of moves that will need to be performed in a given period.

While many companies go through the bid process during the last quarter of a fiscal year, there is no exact time period when you can entertain bids. Some companies will put out bids multiple times a year.

The number of companies you wish to send bids to is solely your decision. If you are seeking the least expensive option and are not trying to build and nurture a long-term relationship , you should have as many participants as possible. If service and partnership are important, consider including a shorter list of bidders. Remember, a larger number of bidders means more time spent reviewing the bids.

Gathering Responses

Have a firm deadline on when the bidding ends, but remember to give the bidders enough time to contemplate their responses. The less time they have to analyze and provide a quote, the greater chance there can be mistakes that can lead to future issues and unforeseen costs. Also, ensure enough time between the response deadline and the shipment execution date. Adequate time is needed for both sides to plan and implement the assets.

Comparing Bids

When evaluating the bids , it’s prudent to consider more than just a price comparison. The lowest bidder might not be the right fit or is less reliable than the ones with slightly higher bids. Taking time to research the bidders’ track records, asking for references, and requesting to see examples of their work can be very helpful in deciding.

Negotiating With Carriers

It’s important to know that the truckload RFP response is not a proposal, not a binding agreement. You can accept it as is or use it as a starting point for negotiations to refine deadlines and other details. Remember to document changes and include them in the final contract.

Making the Final Decision

With all details finalized, you can make your choice. Making the correct choice could lead to a mutually beneficial partnership that can last. Here are some insights into the thought process you should have when coming up with that final decision.

Assessing Carrier Capabilities

It’s an excellent idea to ask questions to help you understand a provider’s business capabilities. What will they do to meet your requirements, and what is their scalability as your company grows? Inquiries about their business history, coverage area, network size, and relevant certifications are always pertinent. Include payment and billing terms, deadlines, and length of commitments in your questioning.

Examining Financials

One way to determine if a bidder is reliable is to look into their financial backing. If the support is strong, a bidder will likely be in business for a long time. You don’t have to be worried that the bidder could leave you hanging at a crucial time. However, you should expect that many carriers won’t answer questions about finances due to privacy restrictions.

Choosing the Best Carrier

This is when you compile all of those qualities you have researched — from the price of the bid to services offered to their safety record to the financial state of the bidder — and give them good thought before making your decision. It’s impossible to overemphasize that this is a decision you shouldn’t rush through.

Truckload RFP Can be Just What You Need; So Can EFS

Despite a process that some find complex, truckload RFP can help shippers plan their shipments over a much more extended period. It also lets them not only find the best prices but allows them to have some stability and reliability in their supply chain.

The operational steps — preparing your requirements, putting out a bid, receiving offers, carefully vetting the successful candidate, and then negotiating the final deal — must be adhered to closely to assure a worthy partner.

Another worthy partner can be Entourage Freight Solutions , a one-stop, third-party logistics solutions provider. EFS specializes in serving the foodservice industry through various shipping options — drop trailer, full truckload, LTL, refrigerated, freight management, etc. Visit us and request a quote today.

A Shipper’s Guide for Food Logistics

adam@the-robinson-agency.com — Sat, 10 Dec 2022 08:16:44 GMT

A Shipper’s Guide for Food Logistics

While all shipped products are important, food ranks high on the list of priorities because, simply, people have to eat. With many foods requiring temperature- and climate-controlled environments throughout the supply chain journey, shipping of this precious cargo comes with greater responsibility and increased logistical concerns to ensure on-time, in-full deliveries with no product degedation.

This comprehensive guide examines food logistics, the types of food supply chains, and current industry trends. It also covers what services are available for food shippers and how an expert partner in food and beverage logistics can help them succeed.

What is Food Logistics?

Food logistics is how food products get from Point A to Point B. Three main areas are involved in food logistics : transportation , storage, and distribution. Not only must the logistics concerns of all three be figured in, as is the case with all shipped items, but there is the added need to make sure all three can handle and are prepared for items that must be climate controlled and free of any cross-contamination. All areas must be prepared to handle these special circumstances, from the vehicles transporting the food to workers handling the shipments in climate-controlled storage warehouses. Breakdowns and improper handling put food at risk, increasing the possibility of food waste and spoilage. Not only will there be cost losses because of claims sought, but a spoiled product can negatively impact a company’s customer service and reputation.

Types of Food Supply Chains in Food Logistics

The food supply chain can be complex, with multiple stages that shippers must monitor closely.

Production: This is the farm part of the farm-to-the-table. It is the food source, either grown or developed with guidelines in mind. Laws are also in place to ensure quality, appearance, and food safety.
Handling and storage: This stage comes before transporting the product. Potatoes provide a perfect example of how each product has a particular process: Some potatoes must be washed before being packaged for transportation, but others need to go straight into bags to start their journey. The type of food and its end destination decide the approach to handling and storage .
Processing and packaging: Again, food safety is a concern here. The products must meet all food safety requirements before heading to packaging. After receiving the OK, the product is wrapped up and ready to move on.
Distribution: After the product has been through the other stages, shipping takes over. The product must now make its way to its destination, which is quite often to markets.

Now that we know the stages that make up the supply chain, let’s look at their types and characteristics.

Continuous flow: This is the most traditional supply chain type. It is ideal for food manufacturers who produce food products that don’t vary often. It offers stability within high-demand production. The manufacturing process, by design, generates a regular cadence of product and information flow and provides a continuous-replenishment system that ensures high service levels and low inventory levels at customers’ facilities. This type is suited for mature industries with slight variations in customer demand.
Fast chain: The flexibility of this type works well with products that are changed out frequently. Think of trendy products with short life cycles. Manufacturers working with products with a shorter life cycle will benefit from the fast chain. Companies that adopt this type focus on shortening the time from idea to market.
Efficient: In competitive markets, the efficient model is the go-to of all the supply chains. It represents an end goal at the premium level of competition in the marketplace.
Agile: The agile type of supply chain management is most effective when a business deals in specialty items. This type, which sometimes allows increased movement, is ideal for companies that make products under unique customer specifications. It is mainly used in industries characterized by unpredictable demand. Managers focus on designing processes capable of the smallest possible batches to ensure agility.
Flexible: As the name implies, this supply chain type is best suited for industries characterized by high demand peaks followed by extended periods of low demand. There is a high adaptability with the capability to reconfigure processes to meet specific customer needs or solve customer problems. This model’s success depends on management ensuring ample flexibility with an emphasis on rapid response capability .
Custom configured: This is a combination of the agile and continuous flow types. The processes before the product configuration are managed under the continuous-flow type, while later processes operate as an agile supply chain. It is ideal for products with multiple and potentially unlimited product configurations. There is a high correlation between asset cost and total cost. The configurations are usually accomplished during the assembly process, where different product parts get assembled according to a customer’s specifications.

Trends in Food Logistics

There have been many factors in recent years that have affected the food supply chain and food logistics. Factors like COVID, the Great Resignation, and even natural disasters have changed the evolution of food shipping. Many of those factors have created food logistics trends that we can look at here.

Disruptions, Shortages Provoke Food Fraud

The chaos that COVID heaped upon us included some concerning issues for the food and beverage industry. The one-thing-leading-to-another timeline of problems began with shortages of raw materials, products, and labor. That caused an increase in food fraud as people started using the disruption and shortages to make counterfeit or low-quality products. A lack of food inspectors compounds the problem. There has been an exodus due to multiple reasons — retirement, illness, or resignation — that gap is not being filled because there are not enough college-age people to take their places. The lack of inspections is heightening food fraud concerns. This trend is one that the industry must keep a close eye on to maintain a safe, quality product for consumers.

Changes in Eating Patterns Raise Focus on Temperature-Controlled

The severe decrease in eating out during the pandemic forced food and beverage businesses to scramble to satisfy changing customer behavior. At-home options and ready-to-eat meals gained significantly greater shares. Also, the consumers’ interest in healthy, minimally processed foods, which require temperature control , continues to be high, and interest in cold-chain food items is rising. These movements will continue to affect the food industry. For instance, more businesses are offering safe cold storage and transportation to capitalize on the movements.

Last-Mile Delivery, Nearshoring & Omnichannel Take Hold

Before COVID, a customary logistics plan sufficed for shipment deliveries. But disruptions in recent years have changed that by increasing the need for flexibility and options like fast delivery. Smaller distributors that handle “last-mile delivery” have appeared, and hybrid-routing procedures are available to meet the demand for more last-minute deliveries. Another practice created by supply chain disruptions is nearshoring or reshoring, which means sourcing supplies closer to the business and customers. Purchasing resources that are closer to home means more control over supply. Like in retail, e-commerce fulfillment in the food industry has risen significantly. The omnichannel approach integrates all the different shopping and shipping methods and is now an integral part of shopping for almost every consumer. To succeed in today’s marketplace, the food industry must step up its direct-to-consumer efforts.

Technology Becomes a Much More Significant Factor

One of the critical areas that food and beverage businesses should focus on is technology. By embracing the latest technology — like analytics, automation, and artificial intelligence — companies can overcome some of the significant challenges in the industry. Analytics can help make more informed decisions. Automation and AI can help overcome labor shortages by leveraging data to better plan routes and cut down on time and resources.

Transportation Services to Support Food Shippers

Many concerns come with moving food shipments, but the No. 1 priority is ensuring the products arrive unspoiled and fresh. So let’s look at what needs to happen to keep those products in the ideal state to prevent food waste and spoilage.

Temp-Controlled for the Entire Journey

Having the correct reefer truck or container while the product is on the move is essential. But there is more to it than just that. To keep the cold chain intact for the complete trip, it’s also imperative that the product remains temperature controlled during any idle or storage time. If refrigerated food is left out too long on a loading dock, temperatures can rise enough for bacteria to grow. Even if that food gets returned to a refrigerated environment, that won’t stop the process of bacteria growth.

Frozen Freight

With more people opting to dine at home rather than at restaurants, the demand for frozen freight options and refrigerated services remains high. A suitable mode of transportation — which can include air, rail, and local transportation providers — is critical to getting frozen goods delivered safely, no matter how far the distance. To make sure food stays unspoiled, here are some things to remember:

Keep the equipment well maintained.
Pre-cool the freight before loading.
Make sure that goods requiring only refrigeration do not get freezer burned.
Plan the load configuration so items can be taken off in an order that benefits keeping certain foods at the right temperature.
Optimize the route to come up with faster transportation times.

Reefer Trucking

Reefer — which is short for refrigerated — trucks or trailers have a built-in cooling system to ensure the cargo stays at the right temperature throughout the journey. A refrigerated trailer can usually keep freight at temperatures ranging from chilled to frozen. This is critical for sensitive cargo shipments or when the outside temperatures could result in a ruined load.

Expedited Shipping

Even the best-laid plans of any shipper can sometimes go astray. That’s when expedited shipping can prove crucial. A fast and reliable expedited delivery service can help you meet tight deadlines by performing those short-distance rush deliveries that are quickly becoming more and more common.

Technology Considerations

Food logistics has undoubtedly been one of the many groups that have benefited from all of the incredible technological advances in recent years. One advancement that has emerged is real-time visibility and tracking, which gives companies and customers live updates on the location and status of their shipments. Technology has also led to improvements in temp logging, which uses an electronic device that stores temperature measurements and saves the data for analysis.

How a Food & Beverage Logistics Company Can Help Food Shippers

There are many ways a food and beverage company can make life easier for food shippers . With an extensive background and expertise in foodservice logistics, Entourage Freight Solutions can help you navigate the world of refrigerated freight. Using expert knowledge, keen attention to detail, and a network of more than 7,500 carriers, Entourage Freight Solutions provides customers with a host of services that can make their lives easier. Let’s take a look at some of those services:

FoodService : The Entourage Freight Solutions team is well-versed in the various regulations affecting the movement of finished food items, fresh produce, and alcohol. EFS can provide just-in-time coverage, multi-pick shipments, flexible shipping options, and reefer and bulk goods transport to ensure your supply chain runs efficiently.
Food manufacturing: Your team can leverage Entourage Freight Solutions’ manufacturing supply chain solutions built on vast networks of dry van and refrigerated carriers to accommodate virtually any need. Top-quality services offered by the food manufacturing team include:
Kitting of products to ensure assembly to your unique specifications.
Individual quick-freezing processes to ensure the product reaches customers at the right temperature without posing an added safety risk.
Tracking and tracing all goods throughout the food manufacturing process alleviates concerns..
Grower and shipper: Entourage Freight Solutions offers an assortment of ready-to-roll trucks and services to help grower-shippers get their products to retailers or manufacturers on time. This includes all forms of fresh produce and finished, pre-packed goods that require refrigerated transportation.
Retail: With the emergence of e-commerce, the retail world has significantly evolved. Combine that rise with brick-and-mortar sales that remain strong and you see why having a dedicated partner for retail goods transport like Entourage Freight Solutions is a must to keep up with the busy retail world. Entourage Freight Solutions offers a comprehensive lineup of retail distribution and delivery services. Our experience in foodservice and perishables allows us to integrate your new products into our delivery areas seamlessly.

Entourage Freight Solutions Can Help Make Sure Your Journey is Not Spoiled

The logistics of shipping food products bring with it a whole different level of responsibility. From the journey’s start to finish, temperature control must be foremost in mind, making life much more complicated and stressful for food logistics managers. One way to relieve that stress is to work with a 3PL specializing in food logistics. Entourage Freight Solutions brings years of experience handling produce and transporting foodservice ingredients and finished products. With an expert staff and cloud-based automated technology, EFS can help make sure you have an unspoiled experience. To find out more, visit our website and request a quote today.

Live Loading & Unloading vs. Drop Trailer Loads: Pros & Cons

adam@the-robinson-agency.com — Thu, 17 Nov 2022 08:03:05 GMT

According to one DOT report , detention time costs truck drivers more than $1 billion per year. Shippers aren’t off the hook either. Driver wait time costs organizations $63.71 per hour on average, according to the same DOT report. The bottom line is that making truckers wait to load or unload a trailer is expensive.

Unfortunately, the reality at most facilities is that there will be some detention time. A warehouse could be down a few employees, or the yard might be busier than usual.

In addition, certain methods of loading and unloading a trailer take longer than others. The nature of live load trucking is that it will often take longer than drop trailer loading.

In this article, we’ll explain what each type of loading entails, and why shippers may want to consider one over the other.

What is a Live Load?

A live load is a type of shipment in which a driver waits while a shipment is unloaded. The trucker backs up to the warehouse doors, and then waits while warehouse workers load the contents of the trailer.

A similar concept is a live unload. This occurs when a driver drops off a shipment after hauling it from an origin point. Similar to live loading, the driver must wait at a warehouse while the truck is unloaded.

A commonality between live loads and live unloads is that in both situations, the driver spends time waiting at a facility. While it’s generally assumed that loading will begin immediately after the trucker arrives, this is not always the case. The timeframe for loading or unloading generally ranges from 30 minutes to a few hours. The amount of time spent at a facility depends on factors that are outside of the drivers control, like how busy the yard is, how many workers are on duty, and what the cargo is. Palletized shipments, for example, can be moved relatively quickly while other types of cargo can take a long time to load.

Yard mishaps and other delays can cause added stress for drivers. Truckers typically aren’t paid for the first two hours spent waiting to load or unload. In addition, delays can cause a driver to be late to their next scheduled pickup .

What is a Drop Trailer Load?

An alternative to live loads is a drop load. Instead of waiting for the contents of a trailer to be loaded or unloaded, a driver drops a trailer off at a warehouse and picks up a new one . This type of loading is also called drop load, or drop and hook.

Drop trailer pick up times don’t have to be scheduled in advance. Once a trucker arrives at a facility, the freight has already been loaded into a trailer. All that’s left is for the driver to hook the trailer up to the truck and drive to the next location.

Dropping a load considerably reduces wait times versus live loads for the driver. There is no waiting for a trailer to be loaded or unloaded like there would be in live load trucking.

Another perk of drop loads is that they are often no touch. This means that the driver does not do any of the loading or unloading. While live loads can potentially be no touch as well, almost all drop trailer loads are no touch.

Overview of Live and Drop Trailer Loads

There are a few obvious differences between live loads or unloads, and drop and hook. The main one is that, with live loads (or live unloads), the same trailer is used at multiple stops . It gets emptied and refilled at each facility.

Drop trailers on the other hand, are pre-loaded. The entire trailer (not just the contents inside of it) is switched out at each stop on a haul.

Some truckers might look at these two loading options and assume that one is easier or more efficient. But that isn’t as clear cut as it may seem at first. Both live and drop trailer loads have pros and cons. We’ll outline some of the main advantages and drawbacks of each next.

Pros and Cons of Using Drop Trailer Loads

Most drivers would probably tell you that drop trailers are preferable versus live loads. Dropping a load won’t remove all of a driver’s woes on the road, but they do offer several benefits , both to truckers and to shippers. Below, we’ll list some of the advantages of drop trailer loads, and a few of their drawbacks.

Pros:

Efficiency - The biggest benefit of drop trailer loads is that they are usually efficient. The driver can show up at a facility, drop off a load, and immediately get back on the road with a new trailer . By not having to wait for hours at a facility, truckers can spend more time driving, which maximizes their earning potential.

Convenience - Not only is there less wasted time for drivers, but drop trailer loads make it easier for shipping yards to manage the schedule, and operate with less labor.

Flexibility - Unlike with live loads, drivers don’t have to keep as regimented a schedule. They can arrive, drop off a load, and hook up the new trailer without having to wait on a yard crew to load or unload the cargo. And if a driver is running late, they can still pick up a trailer without having to schedule a new appointment time.

Cons:

Misplaced trailers - If everything goes right with a drop trailer, truckers can get in and out of a facility quickly. But everything does not always go right. If a trailer is misplaced or mislabeled, it can take a long time to locate it. Other times, a trailer could be stuck behind other equipment and there won’t necessarily be anyone available to help.

Maintenance issues - A trailer could have a flat tire or misaligned wheels, and require maintenance before it can be hauled. Or it may be loaded above the 34,000 tandem axle weight limit, and the trucker won’t find out until he hits the first weigh station. At that point, he needs to turn around and return part of the load. Both of these can cause delays (and in the latter scenario, a potentially unhappy customer.)

Drop Trailers Can Become Live Loads - Most of the time in drop trailer shipping, a pre-loaded trailer is prepared and waiting to be picked up. But sometimes a trailer won’t be ready when a trucker arrives. When that happens, the driver will need to wait for a time slot to load a trailer.

Pros and Cons of Using Live Loading and Unloading

Pros:

Better equipment - Sooner or later, truckers who haul drop trailer loads will get stuck with a trailer that’s seen better days. Worn out trailers could have tires that lose air easily or electrical problems leading to faulty brake lights. Dealing with maintenance issues adds time and inconvenience to a haul. With live loads, truckers always use the same trailer which reduces the risk of unforeseen maintenance issues.

Less skill - Live loads have less of a learning curve than drop trailer loads. In drop and hook loading, drivers must learn to line up their fifth wheel plate with a trailer’s kingpin. Live loads, on the other hand, don’t require any additional skills outside of operating the truck.

More control - With live loads, truckers use the same trailer for an entire haul. This is especially important when it comes to weight limits. With live loads, truckers usually have more control over how much weight they carry, making it easier to avoid overloading a truck.

Cons:

Longer wait times - There’s a high probability of at least some driver detention in live loads. Drivers have to wait for a trailer to be loaded or unloaded, which can take a long time if a yard crew is especially busy or if there aren’t enough workers.

Rigid schedules - Truckers must schedule a live load or unload in advance. If the warehouse is running behind schedule, it could make a driver late for their next appointment .

Lower pay - Most facilities won’t pay for the first two hours that a driver spends waiting to load or unload. This eats into their hours of service, reducing the number of miles they can legally cover each day. Long detention periods also make it harder to make it to future appointments on time.

Maximize Effectiveness and Profitability With Drop Trailer Loading

The trucking market may be stabilizing, but drivers are still under pressure to make their deliveries as efficiently as possible. Long detention times are one of the biggest sources of driver unhappiness. It can motivate truckers to seek new employment, in turn making life more difficult for their employers and for shippers alike.

Drop and hook can eliminate some of these woes. It is usually efficient and makes the most of a driver’s time. Shippers can reap the benefits of drop trailer loading, but in order to do so, they have to understand how the market works. To find out how drop and hook can improve your profitability, contact Entourage Freight Solutions today .

Why you Should Trust your Broker when Truck Market Rates Start to Fluctuate

adam@the-robinson-agency.com — Mon, 07 Nov 2022 16:23:31 GMT

Why you Should Trust your Broker when Truck Market Rates Start to Fluctuate

As the logistics industry heads into November, North American consumers generally start thinking about end-of-the-year sales and holiday shopping for Thanksgiving (U.S.) and Christmas. Shippers expect to see higher load volumes during peak shipping season, which lasts from mid-August to the end of the year. Truck market rates and carrier density fluctuate all year round due to the seasonality of commodities, particularly in the fresh produce industry. For example, when the harvest for Mexican grapes begins in Mid-May and through June, reefer carriers generally flock to the growing regions along the U.S.-Mexican borderlands of Nogales, AZ, and Laredo, TX. Electronic companies might see volume increases of cross-border shipments into the U.S., Canada, and Mexico due to retail shopping events like Black Friday and El Buen Fin (The Good Weekend). Depending on the shipper and their geographic location, market fluctuations might offer certain advantages as a gluttony of trucks in a particular region might infer that truck rates will fall due to increased capacity and the less likelihood that a truck will fall off the load and accept a higher tender elsewhere.

Freight brokers typically have a good pulse on truck market rates, and when they hint to their shipping partners about rate increases, it’s probably because the lane’s they operate are no longer profitable enough to continue servicing at the current rate. Rate increases occur due to a number of factors, but especially during peak shipping season and through the holidays as carriers typically demand higher rates for their service. If you work with a 3PL partner, it’s an important aspect of the shipper-provider relationship to trust their advice when it comes to truck market rate fluctuations; their opinions are guided by data analytics and knowledge about carrier capacity in a specific market. This article will detail some of the ways that freight brokers communicate with shippers about market forces that are important to maintain continual supply chains.

Why do Shippers Depend on Freight Brokers for Better Data on Freight Lanes and Rates?

One of the added benefits of partnering with a modern freight brokerage is that they utilize technologies that help shippers extrapolate real-time industry data about their shipping lanes. In logistics, there are many factors that can cause freight rates to increase without warning, such as weather events, scarce truck capacity, seasonality, or black swan events like the global pandemic.These externalities can cause the spot rate market to spike on certain lanes. Companies like Entourage , for example, offer a tech stack that includes SONAR, a logistics data analytic tool that provides customers with more accurate price forecasts, lane scorecards, and API-connection to large batches of market data. This information provides brokers with more accurate contract rate pricing and can help forecast rate volatility in carrier networks before they occur. Entourage also incorporates software that automatically screens qualified carriers that might be outside of their network. In the event carrier capacity might be tight, like around Thanksgiving when most carriers want to be home with their families, Entourage can guarantee quality trucks that are vetted to meet industrial standards of safety and responsibility.

What sort of Data do Brokers Measure on Lanes and Trucking Freight Rates?

One of the metrics that modern 3PLs keep tabs on are things like the Outbound Tender Volume Index (OTVI), a data analytics tool that tracks the offers received by carriers for outbound loads. This tool provides a good barometer on available carrier capacity, which helps companies understand load to truck ratios in a specific region of the country. Why is this important? Brokers can utilize this data to communicate with their shipping partners about market demands. Entourage also utilizes SONAR’s Outbound Tender Rejection Index, or OTRI, which tracks regional, national, and statewide data on the percentage of loads that are rejected by carriers. Carriers usually decline loads due to low rates, so this analytics tool is helpful to understand where the current market rate is at any given moment.

Of course, the best data that experienced 3PLs have is with their own knowledge of the logistics industry and the market forces that they have come to expect and learn from each year. This is especially helpful with spot loads, as brokers tend to have the advantage over asset-based carriers because they can reach into their large carrier network to find available capacity when most asset-based companies struggle during peak shipping season. Companies like Entourage use technologies that connect directly to their TMS, giving them the ability to instantly check their carrier network for trucks that run specific lanes. This added assurance that can be specifically helpful going into Q4.

What Data do Brokers Provide Shippers Regarding Freight Market Rates?

Shipping managers may only communicate with a single broker within a larger modern 3PL, but behind that face is a team of individuals who have a goal to simply provide the service level needed to continue the business partnership. Outside the dinosaur-era “cradle to grave” brokerages that usually consist of a single broker and the trucks they are aware of, modern brokerages have entire pricing departments that have skilled people who literally only do one thing: they help shippers get the rates they need to run their lanes. Pricing teams are also crucial during seasonal RFP events that can quantify short-term and long-term rates on a whole range of lanes if necessary. Beyond the pricing team there is a capacity team who are constantly calling and building relationships with the dispatchers and owners of trucking companies to make sure dedicated capacity exists when their customers need it most. The carrier team is the most important part of any brokerage, period. It’s the trucks that haul the loads. When looking for a 3PL partner, it’s important to look for transportation providers that offer a range of services .

Companies like Entourage, for example, have dedicated capacity for FTL/LTL, specialized, intermodal, and refrigerated transport. Their carrier and pricing team offer nationwide coverage, ensuring that your supply chains run smoothly year round .

Experienced brokers also provide certain advantages to shippers because they have developed long-lasting relationships with their shipping and carrier partners. This translates to the likelihood that your company will benefit from their industry knowledge that they have already developed lanes and competitive pricing rates on the lanes that you run, to ensure steady capacity year round. For example, when a Mexican food company ships daily loads that cross at Lared, TX on to their destination in Chicago, IL, a company like Entourage, who specializes in hauling food-grade materials, has already developed a backhaul lane for a customer in Chicago who ships to Mexico. This opportunity provides Entourage to create what the industry calls a “closed loop” where they can arrange dedicated northbound and southbound shipments with a single carrier, providing dedicated capacity year round no matter what the freight market is like year round.

Count on Entourage to Deliver When you Need it Most

Making sure your supply chain runs smoothly is the top priority of all global shippers. And that’s why thousands of companies each day depend on entourage to streamline their transportation and provide steady capacity no matter what the truck market conditions look like. Entourage combines cutting-edge technology and a dedicated team of logistics experts to make sure your shipments are taken care of year round. Using the latest cloud-based technologies and GPS tracking available, Entourage provides shippers with round-the-clock visibility and real-time market conditions to make sure your loads deliver when they should. Trust Entourage for round the clock coverage on your next shipment. Contact Entourage today!

Peak Shipping Seasons: How a 3PL Navigates Shippers for Any Season

adam@the-robinson-agency.com — Thu, 27 Oct 2022 07:35:57 GMT

Peak Shipping Seasons: How a 3PL Navigates Shippers for Any Season

Shipping freight typically follows a predictable pattern. Depending on the season, different business verticals sometimes have ebbs and flow. This means that at certain times of the year, truck capacity might be readily available in certain areas of the US, or it might not be. When trucks are in high demand, shippers often have a harder time finding capacity for their loads.

This is a particular challenge in the food industry. Most products have a relatively short shelf life , and any excursion outside of their required temperature can lead to spoiled deliveries or costly recalls. Working with the wrong carrier can directly impact a business’s health.

Fortunately, foodservice providers don’t have to maneuver through a busy period alone. They can enlist the help of a freight broker to handle the peak season challenges for them.

What is the Peak Season Shipping Period?

Peak shipping season refers to the period of time when shipping orders and load volumes increase for shippers.. It’s when there’s more inventory to transport and store, which in turn can lead to equipment shortages and other bottlenecks in a company’s supply chain.

Shippers all have different seasonalities. For example, the produce industry’s peak season differs from retailers who generally ship more before the holidays. In this article, we’ll explain the four peak shipping seasons, including how long each season lasts and which business verticals see an increase in volume during peak season. We’ll also explain how to manage freight more optimally, no matter which season it occurs.

What is Peak Season Shipping vs. Black Swan Events?

First, it might be helpful to explain what a peak season is not . Peak shipping season is different from a black swan event. In fact, the two differ in some pretty significant ways.

Black Swan Events Are Unpredictable

A black swan event refers to when an unprecedented and unpredictable event occurs that often has far reaching consequences . It could be thought of as an incident who’s likelihood is low, but who’s impact is high. Some examples of a global black swan event include the 2008 financial crash or the current Covid-19 pandemic. A positive example of a black swan event could include the invention of the internet or the smartphone, which led to an acceleration of e-commerce, creating a surge in need for more parcel shipping and last mile deliveries.

Black swan events can also happen locally. For example, a hurricane, port labor strike, or an unexpected factory shutdown could all be considered black swan events that can disrupt shipping networks and cause a burden for companies.

Peak Seasons Are Known Ahead of Time

Peak seasons are not black swan events. That’s because They are not unexpected events, but rather seasonal changes that shippers can anticipate. Shippers and carriers alike know when peak season will occur and how long it will last, and they usually plan ahead of time to prepare themselves.

A 3PL Can Help Shippers Navigate Peak Season

The upside of using a third party logistics provider is that they can help shippers manage their peak season each year. Freight brokerages, another common term for 3PL, generally have a national network of vetted carriers that they can call on, no matter how tight the capacity might be. Experienced 3PLs can often anticipate seasonality of freight by developing the right carriers and planning ahead for when peak shipping season hits.

What are the Major Peak Season Shipping Periods to Know?

Just as there are four seasons in a calendar year, there are also four distinct periods in freight shipping.. These are often referred to as the “four seasons of freight.” They tend to mirror the weather and the holidays that occur within that quarter.

The Quiet Season

The quiet season generally takes place from the beginning of January until the end of March. It’s marked by cold weather and slow freight patterns. The quiet season might involve loads that require reverse logistics, often called returns, as it comes on the heels of gift-giving season. We have all experienced needing to return something to a store. That store has to have some mechanism to process those returns, and during the beginning of any year, returns surge in volume.

Significantly, the quiet season is also the time when truckload contracts begin to ramp up as contracts expire. During this time, shippers will submit requests for proposal (RFPs), and carriers respond with a bid detailing their prices and service levels on various lanes for the year or quarter.

Freight brokerages, such as Entourage Freight Solutions, use carrier market analytics going into RFP season to prepare negotiations with carriers around data vs anecdotes, to ensure the pricing is sound and fair for both parties. Having data on carrier rates and performance puts brokers in a position to negotiate optimal contract rates for their shipper clients.

Produce Season

Once the quiet season concludes, the period that follows is called the produce season. This is the time when major agricultural regions in the US and Mexico have their harvest and ship their commodities around the country. Freight volumes start to pick up, and carriers tend to gravitate towards growing regions to maximize their profit margins. In other words, truck capacity generally tightens up.

The produce shipping season typically lasts from April through July. During this period, rates begin to rise and it may become harder to find a carrier to work with. Other shippers who are not moving produce may be surprised to find that some carriers are only willing to haul produce in this season because the rates are generally higher.

Produce season is a particularly busy time for companies like Entourage Freight Solutions . Brokerages and 3PLs specializing in transporting food items quickly and safely will see an increase in demand to manage higher freight volumes for shipper customers. Brokerages track shelf life and temperature continuously, and follow guidelines laid out by the Food Safety Modernization Act .

Once a shipment gets outside of its temperature range, it could be destroyed in a matter of minutes. That’s why it's important to work with companies that provide continuous temperature monitoring and frequent operational updates to ensure your perishable commodities arrive on time. From the time a pickup is tendered until it arrives at its destination, it’s important that shippers receive updates on their load status. Safety, visibility, and proactive communication are important for any shipment, but for expedited produce, they are essential .

Peak Season

As the produce shipping season winds down, it is replaced with what the industry calls peak shipping season. That’s the time when retail companies get inventory in place for a buying spree from consumers. Annual holidays and shopping events during back to school season, Halloween, Thanksgiving, Black Friday, and Christmas precipitate a wave of sales. important to have enough stock available to meet demand. Most of this inventory is shipped between August and October. During peak shipping season, freight volumes and rates tend to hit their maximum.

Holiday Peak Shipping Season

The year concludes with the holiday peak season, which overlaps with a lot of the freight shipped during peak shipping season. Fom November through December, consumers buy gifts for friends and family, while shippers rush to complete orders to complete their business year and the new year begins. . Carriers are also busy moving loads and handling last minute orders and returns. It’s also a time when drivers and other employees often request time off, which sometimes leads to capacity issues during the holidays.

How a 3PL Helps Shippers Navigate any Peak Season

Three quarters of the year are a hectic time for carriers. And the calmest time of the year is usually consumed with business planning. Shippers who move temperature-controlled food products have more transportation requirements than other shippers. But executing a transportation management strategy, or even getting the attention of a carrier in this environment can sometimes be challenging.. Fortunately, shippers can outsource transportation to a reliable third party logistics provider, or 3PL, that can help them navigate the somewhat chaotic capacity issues that face the U.S. freight market.

Help Manage By Exception

Most shipping exceptions, i.e. deviations from the norm, like incorrect labels, damaged freight, or vehicle breakdowns, are confined to a single order or batch of orders, but they can still bullwhip back through other processes and cause an inordinate amount of failure. A freight broker can handle these hiccups, so that shippers don’t have to pause the work day to tend to a mishap.

Help Find Capacity

Trucking capacity often gets tight during peak and produce seasons. A 3PL provides access to a large network of vetted carriers , and uses data to find optimized shipping routes. Plus, they offer a large volume of business, which makes them attractive to carriers and provides more leverage than most individual companies have.

Turn a Shipper into a Shipper of Choice

A shipper of choice is a company that carriers want to work with because of the value provided by the partnership. Shippers of choice are flexible, reliable, and easy to work with. By working with a 3PL, companies can gain preferred shipper status by proxy. Additionally, a 3PL can handle the planning and communication that go into becoming a shipper of choice.

Leverage Technology

Most freight brokers today use a transportation management system or other visibility tools, such as real-time tracking devices for temperature logging and other platforms that utilize GPS and telematics to know where the freight is in-transit at any time. Entourage Freight Solutions utilizes IoT-enabled tracking to monitor temperature, status and location of goods, and automatically push that information back to shippers.

Offer Dedicated Freight Services

Dedicated transportation means a carrier has agreed to haul loads for a set rate over a specific period of time. A dedicated transportation arrangement comes with numerous benefits to shippers, like dedicated capacity and better quality tracking. Freight brokerages like Entourage will negotiate dedicated freight services on behalf of their shipper clients.

Partner With Entourage Freight Solutions to Navigate Peak Season Challenges

There are no easy seasons in freight transportation. No matter what vertical a shipper is in, they are impacted by the ebb and flow of other businesses vying for capacity. Truck capacity is a limited resource. Finding space during a busy shipping period can sometimes be challenging, especially for large companies.. It’s even tougher for expedited, temperature-controlled shipments.

Working with a 3PL like Entourage Freight Solutions can mitigate many of these difficulties. Entourage provides dedicated transport solutions to make sure that shippers have capacity year round, no matter what shipping season it is. All shippers have to do is focus on their business. Reach out to Entourage Freight Solutions today and check ‘handle peak season’ off your to do list.

The Steps to Find a Good Freight Broker

adam@the-robinson-agency.com — Thu, 13 Oct 2022 17:54:26 GMT

The Steps to Find a Good Freight Broker

Businesses that ship freight must contend with a lot of moving parts. Occasional late deliveries or damaged shipments are inevitable. At the same time, miscommunications and delays can amount to a sizable cost to a business. This is especially true when shipping food or beverage, or temperature controlled commodities. When businesses grow, these shippers might not have the time or resources to handle all their transportation. But delivering products on time is critical to a company’s success. Growing businesses often depend on freight brokers and third party logistics partners to help manage their supply chain. In North America, there are thousands of logistics companies, but what factors make a company good, and why should shippers use them? This article takes a look at what makes up a good freight broker, and offers tips for shippers in selecting a provider to take care of their transportation.

What is the Role of a Modern Day Freight Broker?

Shippers know that a freight broker acts as an intermediary between them and the carriers. Their primary role is to build a dense carrier network and relationship that offers dependable service year round. Brokers sources and guarantees capacity from a network of reliable carriers and then manages the operations required to fulfill the shipper’s supply chain. Freight brokers also handle the communication between the shipper and the carrier, and ensure that the load gets picked up on time and arrives when it should at the final destination

Shippers like working with freight brokers because it eliminates the need to manage their own transportation. Instead of hunting for their own capacity, vetting carriers, negotiating for rates, tracking the freight, and planning or optimizing routes , companies can outsource those tasks to a transportation provider who handles their entire logistics.

Freight brokers use their industry experience to improve delivery times, optimize a transportation strategy, and prevent damage to freight. They can usually offer better rates because they handle large volumes of freight from multiple shippers, and pass the savings on to their customers.

What does a “Good Freight Broker” Provide for Shippers?

3PLs and the freight brokers who work for them offer a large incentive for shippers due to their ability to source capacity from a large network of carriers. Unfortunately, companies are sometimes wary of using brokers because they assume the service is more expensive than using an asset-based company. This perspective is not necessarily true, however, because sometimes relying on a single carrier can backfire and become more expensive in the long run, especially when the provider lacks capacity, or if and when their rates increase.

This bias might cause shippers to miss out on lost opportunities to optimize their freight network. An over reliance on one transportation procurement strategy potentially causes companies to miss out on transportation providers who offer a better price and service. It can also leave organizations vulnerable to downturns and economic shocks . Over time, these costs can add up. Here’s a few reasons why shippers should consider freight brokers for their next loads.

Optimizes transportation

A freight broker’s sole job is to manage transportation. They maintain a network of vetted carriers and spend their work days finding optimal schedules and routes for shipper clients.

Cut costs

Freight brokers help shippers cut their transportation costs. By creating a large network of carriers, they can build shipping capacity on shipping lanes advantageous for their customers and provide the most competitive rates on a shipper’s behalf.

Handles Traffic Management

When a shipper books their own loads, they must negotiate contracts, monitor transportation and track and trace their carrier to ensure that the truck arrives on time.. These operational tasks can become overwhelming, especially for carriers with high volume freight, and that’s why most companies use 3PLs and their broker partners to help manage their freight.

Maintain Carrier Information

Shippers who manage their own freight are not just responsible for securing their loads. They also have to keep up with a carrier’s regulatory compliance and licensing. In contrast, 3PLs employ the manpower and technology needed to monitor compliance on a shipper’s behalf and streamline this process so it’s not a concern.

Provides Different Transportation Modes

Does a shipment need to be transported via dry van or bulk shipping? What about cold chain requirements? Should the load be moved via LTL? The benefit of using a freight broker is that some of them specialize in various types of transportation, making it easy to ship single pallets, partials, or full truck loads.

The Seven Steps to Select a Good Freight Broker

Look at FMCSA Data - The first step towards finding a reputable freight broker should be to check FMCSA data . A reputable brokerage will have a license from the FMCSA - this ensures the brokerage has been verified, and takes safety and professionalism seriously. Licensure can change over time, so it's important to check back in periodically.

Check Insurance and Broker Bonds - It’s equally important to make sure a freight broker is bonded and insured. This is what protects shippers in the event that cargo gets lost or damaged during transportation. Brokers who operate without insurance can even incur criminal or civil penalties in certain cases. If a freight broker has not maintained their insurance and other documentation, that will eventually catch up to them, and by extension, to their customers. It adds risk and damages a shipper’s reputation.

Look For Adequate Experience - Try to work with a freight brokerage company that has been in operation for at least three years. That’s the amount of time it takes to gain experience and develop a large network of industry contacts needed to build out an adequate carrier pool. As an added bonus, experienced freight brokers will have more industry relationships and customer feedback to draw from. If the brokerage company is newer, find out if the owner has experience working for a different freight broker.

See if a Broker is Easy to Work With - How easy or difficult is it to tender loads to a broker? If it takes a long time to get a load assigned to a carrier, that spells deadweight and wasted time for a business. Another thing to consider is the tendering process. Do shippers send loads to a broker via a platform? How much time is required on the phone? The whole point of working with a freight broker is to make transportation easier.

Find Out if a Broker Offers Multi-Modal Transportation - Most brokerages will procure transportation via truck. But some also offer intermodal, or even multi-modal options. A brokerage that offers full truckload, LTL, middle mile, and intermodal transportation will have the flexibility to move freight in a way that does not compromise it. It’s also useful if capacity in a particular mode is limited at a given time.

Look at the Metrics - Data doesn’t lie. A prospective brokerage’s credit score reveals how well they manage money and, by extension, their business. A low score (or a lot of debt) suggests a broker may make late payments to carriers or is otherwise irresponsible. Brokerages should also be open about how long it takes to pay their carriers. 25 - 30 days is typical across the industry - more than that isn’t a good sign.

Read Reviews - Reviews from both shippers and carriers provide perspective on a freight broker’s professionalism. If a brokerage has mostly five star ratings, it indicates that they have overcome obstacles to provide value to their clients. More than a few one star ratings, on the other hand, is a red flag.

Is a Freight Brokerage Right for Your Freight?

There’s no one industry that requires a freight broker’s services more than others. Each vertical and company operates differently, and has different needs. The biggest indicator that it might be time to find a broker is that a company has started to wonder if having a transportation partner would help operations or improve the bottom line.

Shippers turn to freight brokers to reduce transportation costs and time spent procuring transportation. They may struggle with their current transportation strategy, but lack the bandwidth to configure a new one. Some shippers turn to a freight broker when nothing is wrong at all, but they want to further optimize transportation all the same. By taking shipping operations off the table, freight brokers provide an essential service to shippers. Shippers look for brokerages that have a solid framework, like Entourage Freight Solutions. Entourage has both the technology and the logistics network to help customers move freight promptly, in the right lanes, and with the right equipment. Entourage specializes in hauling food and beverage, temperature controlled commodities, and with expedited shipping. Give Entourage Freight Solutions a call today to take transportation needs off the table, and ensure consistent on-time delivery.

The 5 Causes of Port Congestion & An Update on the Chassis Shortage

adam@the-robinson-agency.com — Tue, 13 Sep 2022 16:18:05 GMT

The 5 Causes of Port Congestion & Chassis Shortages

Anyone involved in shipping, transportation, or logistics knows about the nightmare at domestic and international ports, distribution centers, and warehouses. From ongoing concerns over port delays and bottlenecks to issues with drivers, containers, and chassis shortages, shippers have a lot to contend with today. And problems with supply chain logistics lead to even more issues down the line with meeting customer demands and maintaining high on-time, in-full performance rates.

According to Statista research , 80% of the world’s cargo is transported by ocean. While this mode is costly, it would be much more expensive to move the volume and type of cargo in ocean freight any other way. And In many cases, modes such as truck or air are simply not logistically possible due to weight, size, content, and other regulatory requirements and factors.

Most prominent ports are down to a 5-day or less delay, with only a few of the busiest still seeing delays above five days, and even those are improving. According to GoComet port congestion monitoring, most ports overseas register three days or less for delays. In the UK, Felixtowe averages nine days of delays; in the U.S., Savannah averages nearly two weeks, with New York (eight days) and Los Angeles (ten days) performing a bit better.

These port loading and unloading delays and container backlogs had primarily improved compared to months ago when ships were waiting outside ports for days or weeks and containers were piling up for months at the dock waiting to be transported to distribution centers and other facilities. However, dissolving backlogs and lowering delay and dwell time to pre-pandemic levels remains in flux.

Several factors, such as consumer demands, market and product schedules, oversized and overweight l imitations, and the U.S. and international holidays, can cause temporary increases in delays. Delays at ports often include backlogs with truck and rail distribution ad poor access to chassis and capacity as containers linger at the docks and port warehouses for long periods. This can contribute to additional delays even once ships are unloaded, as highlighted by early September delay stats from Hapag-Lloyd :

Charleston, SC – average 8.1 days
Chicago, IL - average 9.1 days
Dallas, TX – average 14.2 days
Detroit, MI – average 6.3 days
Houston, TX – average 7.6 days
Kansa City, MO – average 12.4 days
Long Beach, CA – average 18.7 days
Los Angeles, CA – average 10.9 days
Memphis, TN – average 11.6 days
MMR rail New York – average 6.3 days
New York, NY - average 7.8 days
Norfolk, VA – average 9.6 days
Savannah, GA – average 10.3 days

Shippers, especially those dealing with cold expedited freight and other sensitive loads, must be ready to account for these factors and adjust accordingly. Care and attention are needed to reduce the impact of port congestion and overcome the effects of container chassis shortages, driver shortages, and other ocean freight-related issues and concerns.

Port congestion and Recovery Then and Now

The American Farm Bureau Federation reported on August 8, 2022, how the last few years have seen the US economy struggling to overcome a steady stream of severe and disruptive supply chain disruptions. “This variation has challenged production and inventories in every facet of the economy. [This was most] easily observed at the ports, where the dramatic changes in consumer behavior were observed in seemingly mile-high stacks of containers and vessels waiting to be unloaded. Observers hoped that port congestion previously had peaked at the beginning of 2022 and appeared to finally be easing in May and early June.”

While overall things have improved, there has been an uptick in delays in key shipping lanes and ports, which has some worried that a relapse of long delays may lie ahead for the end of the year peak season crunch. A June 2022 Reuters report noted that rising shipping costs, longer transit times, and higher uncertainty should be expected as the "new normal" for the shipping industry for the foreseeable future. Long-term contracts, open availability for spot contracts, and improved collaboration and communication with shippers, carriers, and drivers will be critical to riding whatever waves of disruption lie ahead for the end of 2022 and the start of 2023.

5 Factors of Port Congestion

Navigating the uncertainty of port congestion and improving express shipping and delivery success rates comes down to how well shippers understand and respond to the following five factors.

1. Chassis Shortages ad Port Delays

The current chassis shortages plaguing ports across the US offer a prime example of how one issue can quickly snowball into an industry-wide concern. Starting with delays in parts and material access and manufacturing, fewer new chassis and pieces of equipment entered the supply chain. This made it harder to keep up with demand and manage the logistics of moving chassis from one port to another. Add to that other delays with port labor and driver shortages, existing delays, and financial impacts. The chassis shortage has quickly become one of the dominating issues shippers must deal with regularly.

2. Balancing Port Driver Shortages and New Drivers

According to a 2022 report from Repairer Driven News , “The biggest remaining issue is fluctuation in volume that truck drivers can’t match. On top of that, there’s congestion at many terminals, with an average time of 86 minutes to get trucks through and 26% of the transactions taking two hours or longer. “ The concern is that adding more drivers into the network might not be the best or only answer. Yes, more drivers are needed, but flooding the supply chain with too many drivers could simply add more drivers and vehicles to the already long queue lines. Balance is critical and is an ongoing process for logistics managers.

3. Chip and Other Shortages Impacting Port Logistics

Port shortages also tie back to the impact technology and manufacturing delays and shortfalls have on the economy. The worldwide chip shortage and other concerns over the lack of materials and components for vehicles and machinery continue to plague the industry. These shortages continue to impact the auto industry, equipment manufacturers, and transportation service providers. Estimates indicate that there are as many as 80,000 fewer trucks on the road now, further putting pressure on available drivers. The lack of vehicles capable of handling supply chain demands further exacerbates delays and logistical issues.

4. High Consumer Demands Increase Imports

Pandemic concerns and shifts in consumer focus and spending led to a dramatic e-commerce spike, which caused a considerable import surge. They flooded ports with even more cargo containers and ships. In turn, this caused even more delays, and the effects remain clear today as another crunch looms as the holiday season and the end-year peak season approaches. Shippers and transportation providers are struggling to overcome port congestion and equipment shortages.

5. Freight Inland Distribution Delays Impact Shipping

The delays are not stopping once the containers come off the ship and continue well into the inland distribution, mainly due to chassis shortages and other distribution concerns. As noted by Green Worldwide Shipping :

“The cause of the chassis shortage is twofold; retaliatory tariffs on goods from China in 2020 temporarily stunted the primary source of chassis equipment to the U.S… combined with an overall increase in street dwell for import deliveries has significantly reduced the available supply chassis.”

The longer it takes to move containers off the docks and cargo out of warehouses, the longer the delays in final delivery.

These disruptions and delays are well on the path to improvement compared to months ago. Delays are down to days or weeks from weeks or months in many cases. Overcoming backlogs and lowering dwell times to pre-pandemic levels remains an ongoing issue. Working with a skilled and experienced freight broker is a great way to improve port logistics and inland distribution processes.

Why a Freight Broker is Poised to Help for Inland Distribution- Call Entourage Freight Services Today

Working with a freight broker can make cargo shipping, distribution, and logistics much more manageable. They can also unlock many shipper benefits that improve delivery success rates. Whether you carry freight or need to ship it, it is easy to miss the mark and struggle to get things done correctly. Miscommunications, delays, and freight damages lead to poor overall performance and low customer satisfaction. The easiest way to overcome disruptions, uncertainties, and other port or inland challenges is to work with a skilled and experienced freight broker.

In July 2022, Transport Topics touched on how fragmented the carrier market is, noting that 90% of all U.S. carriers have five trucks or fewer, and 66% are owner-operators with a single truck. Shippers work with select carriers for only about 20% of their lanes. “They need about 80% of their lanes covered by brokers because not all freight is created equal,” said Pat Nolan, the VP of North American surface transportation for C.H. Robinson Worldwide. “In all those lanes where freight is less dense, less frequent, and less predictable, few of the big carriers position trucks there. So, shippers need to tap into the 90% of carriers who have five trucks or less.”

A freight broker optimizes the transportation process, making all of this more manageable and accessible.

These experts facilitate communication between the shipper and the carrier, manage pick-ups, drops off, and load timelines, address delays, and pass along information and updates as needed. When goods are done with loading and drayage and are ready to go to the inland destination, they need a broker with the specialized skills and training, insight, and the best tech stack to help broker the process. Contact Entourage Freight Services to learn more about overcoming port disruptions, container and chassis shortages, driver concerns, and logistical obstacles to improve port and inland distribution today!

How to Calculate Fill Rates & The Role of OTIF for Improvement

adam@the-robinson-agency.com — Sat, 03 Sep 2022 18:41:12 GMT

How to Calculate Fill Rates & The Role of OTIF for Improvement

There are many measures of success in logistics and supply chain, but one of the most important factors for shippers is on-time-in-full, or OTIF. This industry metric is used like a report card to analyze whether loads that get delivered are accurate according to the right quantity of the load and on-time when its supposed to get there.

OTIF’s are usually tied to company performance and consumer satisfaction, but questions remain about how to quantify this benchmark.

This article will explore the importance of OTIF’s in the logistics industry. It will describe what in-full or fill rates are, how to record them, and how they relate to overall freight performance.

Consumer demand for short delivery windows is shaping today’s logistics industry making it crucial for shippers and transportation providers to obtain high OTIF scores.. Companies must be able to deliver timely and accurate shipments. Read on to learn how fill rates contribute to healthy OTIF scores, and how you can bolster yours.

What Is Fill Rate, and How Do You Calculate It?

A fill rate is a measure of order fulfillment that’s often used to forecast inventory needs . It’s defined as the percentage of customer orders you can meet immediately with available stock.

A high fill rate means a higher ability to fulfill sales without backorders, lost sales, or stockouts. In contrast, a low fill rate could suggest there’s not enough stock on hand, or that it lacks organization.

Types of Fill Rates

Order Fill Rate

Order fill rate is the percentage of orders that have been completely fulfilled without running out of inventory.

Warehouse Fill Rate

The warehouse fill rate is similar to the order fill rate, but applied specifically to warehouse efficiency. It measures the proportion of orders that a warehouse is able to fulfill out of the total number of customer orders.

Line Fill Rate

Line fill rate is the percentage of individual lines in an order that are fulfilled, versus the total order.

Case Fill Rate

The case fill rate refers to the initial number of product cases that are shipped, out of the total number of cases ordered.

Vendor Fill Rate

Finally, the vendor fill rate assesses how many vendors have completed order shipments as a percentage of all vendors.

How is Fill Rate Calculated?

To determine the fill rate formula, divide the number of orders that have been shipped by the total number of orders received. Multiply that number by 100, and you’ve got your fill rate. Here’s the calculation, in equation format:

Fill Rate = (Shipped Orders/Total Number of Orders) x 100

For example, if you were to receive 100 orders, and fulfill 85 of them, the calculation would look like this:

(85/100) x 100 = 85%

In that situation, you would have an 85% fill rate.

Why Calculate Fill Rates?

Fill rates provide insights into your inventory management process that could go unnoticed initially through a manual audit. And a low fill rate can point to areas for improvement in your supply chain. There are a few factors that affect fill rate. Long lead times from a supplier, for example, can lower it.

Fill rates can also tell you whether stock is ordered at appropriate intervals and accurately, known as “reorder points” in the logistics industry. If workers are required to recount, repack, or wait for items to be ready, order fulfillment will be delayed and the fill rate will decrease.

What is Considered a Good Fill Rate?

Ideally, you want your fill rate to be as close to 100% as possible. A lower number indicates inefficiencies leading to stockouts, backorders, or lost sales. But beware of a fill rate above 100%, which suggests that orders are too frequent for the volume of sales.

Order Fill Rate Vs. Volume Fill Rate

There are two ways of assessing fill rates . Remember our fill rate formula above? Companies can calculate it using orders or using volumes. Let’s start with the order fill rate. For this calculation, it doesn’t matter if an order consists of one unit or twenty. Each order is counted as one unit, and the fill rate is calculated based on,the number of orders placed.

Then there’s the volume fill rate whichis calculated using the number of units in each order. For instance, say Customer A orders one unit, and Customer B orders 20 units, and your company has 10 units in stock. In that situation, you might send one unit to Customer A, but hold off on Customer B’s order until more inventory comes in. In this situation, you would have filled 50% of your customer’s orders. But you would only ship one out of 21 units, bringing your volume fill rate to a dismal 4.7%.

Which Fill Rate Should I Choose?

Either order fill rate or volume fill rate can provide important insights. The order fill rate tells companies how many customers they are sending orders to over time, while the volume fill rate summarizes how closely inventory levels match customer demand.

How To Increase Order Fill Rates

Order fill rates can be improved by forecasting customer demand, recalculating reorder points, or by using technology, like a warehouse management system to track inventory. (Or by hiring a vendor who has these capabilities.)

The Role of Fill Rates for OTIF

A fill rate makes one half of the OTIF, or On Time In Full metric.

What Is OTIF?

OTIF measures a supplier’s ability to deliver precise orders, within an agreed upon timeframe. It was developed by Walmart in 2017 to evaluate supplier performance. Ultimately, OTIF is considered a measure of success - whether a supplier delivers a correct order, to the correct location, at the correct time. Shippers want to improve their OTIF performance and how these metrics will improve their supply chain .

How Is OTIF Calculated?

At first glance, OTIF calculations would seem pretty simple. “On time” refers to on time delivery, and “in full” means the number of delivered units matches the number of ordered units. However, there is no single measurement for it, and most companies calculate OTIF in slightly different ways.

The Benefits of Improved, Proactive Fill Rate Calculations

The benefits of tracking fill rates are myriad - historical data can help track service levels, improve performance and relationships, and lower costs.

KPI Service Calculations and Formulas

There are a few KPIs related to fill rate that are important to know. We’ll outline each one here:

Delivery in Full: This is the percentage of shipped orders out of the total number of orders.
Delivery on Quality: The number of non-compliant products out of the total number of products ordered.
Delivery on Time: The number of products delivered on time out of the total number of products ordered.

Taken together, these metrics can be used to create an OTIF calculation.

Service Level Measures in Supply Chain

The next decision to make is how to measure these metrics . Usually, the “right” answer will differ from one company to the next.

Partial Credit: If a company ships 95% of an order, will that count as a 95% success rate, or is it one incorrect delivery?
On Time Delivery: Sometimes there are reasons to change a delivery date that have nothing to do with service levels. For that reason, some businesses use an adjusted date of delivery in addition to an original date.
What Constitutes a Unit: Most companies supply products at a range of prices. But what do you do if a few higher end items are late in a delivery, but the lower end items are not? Standardizing a unit of measure can help account for these differences.
When to Calculate On Time Delivery: Should you count orders once they have shipped, or once they have arrived at the customer’s location, damage-free?

Improve OTIF with the Right Partner

OTIF is a heavyweight metric in the shipping world. If you’re looking to improve OTIF compliance, boosting fill rates is going to be an important first step. It’s critical to partner with a company who understands what this entails. Contact Entourage Freight Solutions to find out how you can improve your fill rate today.

How to Increase OTIF Performance

adam@the-robinson-agency.com — Fri, 29 Jul 2022 08:03:53 GMT

How to Increase OTIF Performance

On-time, in-full delivery services have become a standard by which retailers grade a supplier's ability to make deliveries on time, at the indented location, and with a full as requested load. Keeping track of OTIF performance rates is a primary concern for shippers as successful on-time delivery significantly impacts industry reputation and customer perspective. Poor on-time delivery can be a devastating blow to a shipper’s reputation. The better the OTIF rate, the better a company's reputation is among brokers, shippers, and customers. Retailers are paying more attention to on-time, in-full services and rates to encourage reliable delivery and ensure that carriers and 3PLs hit requested delivery dates and promised benefits.

On-time delivery success rates are essential for all shippers, especially those dealing with produce, perishables, and other specialty cargo. According to a report from McKinsey & Co , The US food retail industry loses an estimated $15–20 billion in sales every year because items are out of stock, not delivered on time, lost or damaged, or otherwise unsaleable after delivery. That is a lot of lost revenue, which comes down to poor OTIF performance and delivery tracking logistics. Shippers across all industries, particularly those dealing with sensitive, hazardous, and delicate cargo, must be able to promise reliable delivery performance and OTIF delivery for all loads.

The Importance of OTIF Delivery

On-time delivery helps to ship management and team members measure supply chain efficiency in real-time in industry-specific settings. This KPI allows companies to see at a glance how closely they are coming to meeting their goals regarding promised delivery times and conditions. Slight misses are expected, but customers expect reliable and safe delivery of their orders. Understanding OTIF and why it matters is critical to improving shipping services across the supply chain.

A July 2022 article by SupplyChainBrain reinforced this trend, noting " The number of shoppers expecting same-day delivery nearly tripled in a year. While only 24% of shoppers placed same-day delivery orders in 2020, 68% say fast shipping was a deciding factor in their 2021 orders. To put this in perspective, in 2019, same-day delivery amounted to a $5.87 billion market in the US; by 2024, the market is estimated to be worth $15.6 billion. " Tracking, monitoring, and updating are the norm, not the exception. Despite market uncertainty and instability, OTIF services and reliable delivery performances are critical for continued recovery and growth.

How to Improve OTIF Delivery Services Performance

On-time, in-full services remain a critical focal point for many industries, but the consumer tech and grocery markets continue to top the list of those most concerned about the supply chain in 2022. That is according to a report highlighted by Logistics Management , where “ more than 30,000 company earnings calls across 12 industries from early 2018 to April of this year. In fact, the supply chain was mentioned as a concern in 22% of grocery earnings calls in 2018, 90% in 2020 and 100% in 2022. ” Knowing how to improve on-time delivery services and keep OTIF rates high can be challenging for shippers and transportation service providers.

The following tips can make the process of monitoring, maintaining, and perfecting OTIF delivery best practices easier from start to finish:

Know Retail Customer’s Delivery Requirements

One of the biggest obstacles to on-time delivery fulfillment is a simple lack of customized planning and preparation. Every delivery is different, as is every customer and drop-off. Providing reliable delivery performance depends on shippers knowing the unique factors impacting deliveries and their ability to meet the nuanced requirements of individual retail customers.

Improve Scheduling for Pickup and Drop-off

On-time delivery is different for various customers and industries, but it all comes down to proper planning and scheduling of pickups and drop-offs. Shippers who use real-time scheduling services and keep in touch with carriers and customers can offer the best on-time, in-full services. They can keep customers satisfied with personalized delivery specifications.

Improve Communications With Warehouse and Suppliers

Prioritizing delivery services and keeping OTIF performance rates as high as possible helps shippers maintain relationships with suppliers, warehouse personnel, and other team members. Quality communications and reliable contact points are essential to ensuring on-time delivery is the norm rather than the exception for regular loads and oversized and overweight freight .

Optimize Network Configuration and Chain of Command

Shipping service providers looking for ways to quickly and easily boost on-time in-full services should look at their current network setup. Optimizing the current tools and systems and improving existing chains of command can improve front and back office processes. This, in turn, allows more focus to go to quality services that enable reliable, on-time delivery.

Restructure Order and Shipping Volumes and Schedules

On-time delivery remains in high demand, thanks partly to the growing interest in e-commerce sales and shipping. Shippers who struggle to maintain OTIF performance regularly might need to consider restructuring some aspects of their network. Doing so can go a long way toward improving access to drop and hook , LTL, zone skipping, and other services.

Do Not Forget Lead Time Considerations for Shipping

One aspect of on-time delivery many shippers fail to consider when starting is the need for wiggle room with shipping schedules. Including enough lead time can help remove stress around rush orders and short turnaround. Building in a day or two of lead time reduces stress and makes it easier to provide reliable delivery performance.

Work With Preferred Carriers and Service Providers

Choosing the most suitable carrier and driver partners is critical to maintaining the highest level of quality and service for on-time delivery needs. Working with industry leaders and finding the right service provider for each load can affect every shipment. It can mean providing the best on-time, in-full services or missing specialty, hazardous, or chilled/cold delivery expectations.

Ensure the Supply Chain Can Support Shipment Loads

Sometimes the issues impacting a company's ability to provide on-time delivery are not with the company itself. Sometimes the market is too saturated or disruption too severe for any company to compensate. Keeping an eye on the entire supply chain network and current market trends makes monitoring OTIF performance averages easier for shippers and freight brokers .

Consider Consolidation Opportunities for LTL and TL

At times what worked for one load or customer might not be best for another. Some tweaks and adjustments might be necessary, such as consolidating shipments, diversifying LTL and TL load options, and improving on-time, in-full services. Perfecting on-time delivery is all about adjusting and responding to current trends and conditions when necessary.

Maintain Focus on Visibility and Real-Time Insights

Reliable delivery performance is the ultimate goal of all shipping service providers and has short and long-term impacts on companies of all sizes. Keeping up with retail trends and delivery demands with real-time insights and visibility improves shipping performance from start to finish. On-time delivery rates increase the more insight shippers have into the network.

Implement Automated and Tech-Back Solutions

The final thing express shipping providers can do to quickly and easily improve their success rates for on-time delivery is to embrace modern supply chain technology. Machine learning, automation, and advanced tools and software can drastically improve end-to-end performance within the supply chain. These steps also dramatically improve OTIF performance and keep deliveries on track.

Regardless of the trends seen and what current freight and trucking market demands are like, the need for fast, reliable, and timely delivery is here to stay. If anything, the demand will likely keep growing for the foreseeable future. Between 2020 and 2021, same-day delivery demand increased significantly in the United States. This was more often the case for orders shipped by web-only merchants and less frequent for store-based retailers. According to surveys compiled by Statista , “24 percent of US online shoppers opted for same-day delivery for purchases from pure online merchants in 2020. As of February 2021, the percentage increased to 36 percent. " For this reason, if nothing else, shippers must prepare and be ready to focus on OTIF performance now and for the years to come.

Secure On-Time In-Full Services With Insights From Industry Leaders

Close and careful monitoring of OTIF performance rates remains a dominating concern for shippers as the successfulness of on-time delivery significantly impacts every aspect of growth and success. The better the OTIF rate, the greater the odds are that a shipping company can make good on promised delivery services and deadlines. Retailers are paying more attention to on-time, in-full services and rates to maintain a competitive advantage and to keep customer satisfaction levels as high as possible. Contact Entourage Freight Solutions today to learn more and to secure the OTIF rating you need with reliable delivery performance monitoring.

Shipping Challenges That Lead to Poor On-Time in Full Delivery (OTIF) in Supply Chain

adam@the-robinson-agency.com — Thu, 14 Jul 2022 17:22:24 GMT

Shipping Challenges That Lead to Poor On-Time in Full Delivery (OTIF) in Supply Chain

Shipping challenges and disruptions have always been part of shipping and transportation. Things go wrong, and issues arise despite the best plans. The need for fast and reliable on-time in-full delivery (OTIF) remains higher than ever. Understanding the OTIF definition in logistics is equally important.

Shippers and transportation service providers should strive for on-time in full delivery as a standard. Thankfully, the trend is catching on, but many providers are still not fully embracing the OTIF shift. As highlighted by Zippa , “ Supply chains provide higher company growth through a wider selection of customized, reliable, sustainable, and delivered as rapidly as possible products. These factors play a key role in growth, and here's how much demand rose from each factor: wider selection (71%), customized (76%), reliable (73%), sustainable (69%), and rapid delivery (76%). The most common Key Performance Indicator (KPI) used for supply chain monitoring is the daily performance at 40%... [along with] cost reduction (35%), production service rate (29%), inventory turn (28%), and production time (27%). ” Therefore, keeping close tabs on real-time data reports, supply chain KPIs, and logistics will make it easier to avoid significant shipping delivery challenges and keep the OTIF delivery rate as high as possible. In addition, many shipper benefits come from securing successful OTIF delivery. For example, cold or frozen freight shippers need reefer trucking service providers to get products shipped on time and in full, as the product has a countdown clock to spoilage.

What Is an OTIF Rate, and Why Does it Matter?

The basic definition of on-time in-full delivery is the percentage of orders a shipping company fulfills that reach the final client on time, in good condition, and in the way the customer expected. A shipment delivered on time, with no damage, to the scheduled end customer can be considered a successful delivery and improve a company's OTIF delivery rate. And this applies whether it is LTL, TL, drop and hook shipping, or specialty delivery setup. OTIF metrics highlight the strength and weaknesses of a company and its ability to deliver on its promises and build trust with the customer. This is achieved by delivering according to the terms, despite shipping delivery challenges. Keeping up with real-time supply chain KPIs can help to measure OTIF rates and keep track of overall company performance from start to finish.

Why Do On-Time In-Full Delivery Rates Matter?

Careful monitoring of OTIF delivery rates can also improve customer service and overall company reputation and standing. For example, a 2022 review of the 2022 Bringg Barometer: State of Retail Delivery & Fulfillment" by the LogisticsManagement team noted that next-day delivery was the most prevalent delivery option offered by responders in 2021. A staggering 58% of surveyed retailers said they offered that shipping option, with 56% indicating they are keenly interested in trying to provide 30-minute deliveries by 2025. The report also found that 99% of respondents indicated they want to offer same-day delivery by 2025, whereas that figure currently stands at 35%. OTIF metrics often paint a picture of how a particular company looks regarding delivery service from both an internal industry perspective and an external customer perspective. This is critical for shippers dealing with specialty loads or oversized and overweight freight .

OTIF and Supply Chain KPIs Offer Unique Insights

OTIF rates can help shippers see how often they deliver on time based on their average lead time. While this approach might look good on paper, it is a very focused and internal view that might not highlight or pinpoint all potential shipping challenges, disruptions, and problems. It is a surface-level review of on-time, in-full delivery that does not consider options to optimize transportation services.

The other approach to measuring OTIF delivery success is how often customers report being satisfied and how many, claims and complaints there are for a given period. Utilizing supply chain KPIs can provide shippers with this insight and offer the most accurate measure of on-time delivery. The best industry results mean little if customers are unsatisfied with their delivery experience. This level of understanding is vital to specialty freight loads such as chilled and cold-controlled freight .

The Impact OTIF Delivery Rates Have on Future Deliveries

Tracking on-time, in-full delivery success rates is vital for shippers as it can directly impact future deliveries and shape customer interactions and relationships. For example, a five-day delivery timeline might be excellent from the shipper's point of view. Still, suppose the customer expected 2-3 days. In that case, this might not be considered OTIF in their eyes, which ultimately matters in terms of customer experience, satisfaction, and repeat business.

Reliable and data-backed OTIF metrics and up-to-date supply chain KPIs show shippers their strengths and weaknesses, so they know where to focus and what service aspects need some care and attention. It is easier to deal with shipping challenges and disruptions when armed with data and insights that relate directly to the issues at hand. Real-time data and metrics provide insight into how shippers working with a logistics provider can collaboratively strengthen expedited or express shipping efficiency.

Shipping Challenges That Cause Poor OTIF Rates

There are still numerous shipping delivery challenges and difficulties to overcome, and it looks like 2022 isn't the year for better outcomes, and 2023 might not be the year either. Inventory shortages, labor constraints, capacity difficulties, technology integrations, soaring delivery rates, rising driver wages, fuel costs, and volatile markets are all expected to continue. As a result, setting and monitoring OTIF metrics is essential, as fines for late or damaged goods can quickly add up, and the cost of losing a customer can be devastating to a smaller shipper. In addition, the continued push for on-time, in-full delivery remains high, making it more critical than ever that shippers know what common challenges to look out for as they work to protect their OTIF delivery rates:

Lack of Automated Delivery Tools and Technology

The most significant cause of poor on-time in full delivery is the failure of shippers to embrace modern tools, software, and technology. Overcoming shipping challenges and disruptions is easier with the right tools easily accessible.

Failure to Properly Train and Onboard Team Members

Supply chain KPIs may highlight potential problem areas, but responding to transportation and freight problems is difficult without a solid team. Team members must be trained and appropriately onboarded to protect OTIF delivery rates.

Poor Availability of Carriers and Drivers

Another challenge for complete delivery maintenance and timely monitoring is the current shortage of drivers, containers, and general capacity. Poor tracking of supply chain KPIs makes it even harder to prepare and respond.

Improper Matching of Loads to Modes and Routes

One vital aspect of OTIF metrics is matching loads to drivers and fleet owners. Unfortunately, shipping delivery challenges continue to grow without a clear view of who can drive what loads and who is best qualified for specialty loads.

Inaccessibility of Real-Time Data and Stats

Many shippers today are accessing data through OTIF metrics and KPIs, but they lack the understanding or ability to take that data and apply it to their operations. This misuse of data can dramatically impact OTIF delivery rates.

Not Planning for Differences in Delivery Locations

Many shippers overlook the fluid and unique nature of on-time in full delivery fulfillment. Tracking supply chain KPIs is excellent, but many shippers fail to remember that every pickup and drop-off is different and may present unique challenges for trucking companies .

Failure to Properly Manage Scheduling Tools and Apps

Many typical shipping challenges and disruptions today tie into poor scheduling practices. Manual processes for logging and scheduling hinder proactive exception management caused by delivery changes impacting on-time in full delivery.

Poor Communication With Warehouse Management

Warehouse mismanagement and poor communication between managers and shippers can cause OTIF metrics to suffer. In addition, failure to monitor warehouse and supply chain KPIs makes it more difficult to complete orders, as there is no mechanism to improve processes and overall efficiency.

Weak Network Configuration and Data Collection

Another critical factor that plays into shippers failing to maintain a high on-time in full delivery success rate is a weak system for overall data sharing, analysis, and distribution. OTIF delivery rates will suffer when access to data remains constrained.

Changes to Delivery Schedules, Locations, Details

The final challenge that often lowers shippers' on-time in full delivery standing is their inability to adapt in real-time. When shipping delivery challenges arise, a failure to adjust, react to industry insights , or pivot quickly and accurately will lower delivery success rates.

Partner With Entourage Freight Solutions Today and Reach Your OTIF Goals

OTIF metrics, supply chain KPIs, and other data streams are often the first indication that shippers and managers get that something is wrong. When significant shipping delivery challenges arise, they often are preceded by changes in key metrics that could serve to alert potential issues or concerns.

Shipping challenges and disruptions happen. Shippers cannot avoid every interruption. However, with a reputable service provider mitigating difficulties on behalf of the shipper, disruptions can wane. By monitoring OTIF metrics regularly, shippers improve on time and in full delivery. Contact Entourage Freight Solutions today to learn how to avoid on-time in full delivery problems and overcome them to safeguard your OTIF delivery rate.

What Are the Shipper Benefits of On-Time and In-Full (OTIF) Delivery

adam@the-robinson-agency.com — Thu, 23 Jun 2022 19:14:21 GMT

What Are the Shipper Benefits of On-Time and In-Full (OTIF) Delivery

Businesses specializing ins supply chain logistics and shipping have their plates full right now, especially when it comes to consumer demands for freight delivery in full on time . The ongoing effort and pressure to create resilient supply chains and guarantee on-time, in-full shipment deliveries are made all the more challenging by a dramatically changing and fluctuating environment. Implementing dedicated freight solutions can help improve overall delivery success rates.

As highlighted by McKinsey & Company, most shippers agree that the lack of a clearly defined industry standard for OTIF would improve overall successful delivery rates actress multiple niche markets and industries. “ They noted that a standard definition would significantly reduce discrepancies and confusion and promote collaboration among trading partners. Collaboration would help partners resolve supply problems more efficiently and effectively—creating value for all supply-chain participants and consumers. ” Shippers must prioritize customer expectations and services if they hope to survive this period of recovery and readjustment. Customers have begun shifting to pre-pandemic thoughts and demands concerning shipping services and on-time in-full (OTIF) deliveries. Refrigerated trucking companies that fail to meet these demands will suffer from the effects of disappointed customers, lost sales, and lower profits.

Freight shipment and delivery in full and on time has become the gold standard for shippers today, especially in the highly competitive and volatile market. In May 2022, a SupplyChainBrain article noted, “ it’s no longer enough to know when your goods left the warehouse on the journey from A to B, or when they arrived. Shippers need total visibility of the flow of goods to make rapid and fluid operational decisions. Those that managed to achieve this over the past two years have been the ones that fared the best, reacting in near-real-time to disruptions. ” With rising demand for scalability and adaptability, shippers who can tack packages and ensure on time in full delivery stand the best chance of succeeding in the market today. The many benefits of OTIF delivery and shipping best practices can be summarized as follows:

Improved Brand Image and Industry Reputation

Perhaps the most significant benefit shippers can gain from reliable, on-time, in-full delivery is an improved brand image among customers. Likewise, their industry reputation will also improve when they are known for successful delivery in full on time. These situations make it easier for shipping companies to draw in new customers, retain their current base, and network with carriers and 3PLS more effectively. These benefits are some of the most direct and impactful from successfully achieving on-time, in-full delivery KPIs. Streamlining processes and making everything easier comes as a natural byproduct of OTIF processes and goes a long way to improve brand image and shipper reputation to achieve better outcomes .

Significantly Lower Risk of Returns and Refunds

Successful monitoring and delivery of on-time, in-full promises can help shippers lower the risk and frequency of returns. Express shipping and delivery services focus on getting customers what they want when they want. When things do not align with their needs, consumers wish for a refund or replacement as soon as possible. Logistics Management shows the frequency of returns has exploded in light of current market upheavals and rising demand for delivery in full on time. In 2020, the value of returns and overstocked goods was $643.9 billion, accounting for a staggering 3.1% of GDP, which would be much worse without high on-time in-full rates. Managing these risks to a more acceptable level greatly benefits OTIF delivery.

Better Carrier Relationships Across the Board

Another benefit that shipping companies can enjoy when on-time in full is the norm rather than the expectation for deliveries is improved relationships across the board. Shippers who can offer reliable delivery in full on time to their customers also have a better chance of forming positive relationships with carriers and other shippers. It is easy to see the connection between on-time, in-full delivery KPIs and overall improved industry relationships when OTIF delivery becomes the standard everyone is working towards achieving. And with improved carrier and freight broker relationships, shippers can more easily meet customer needs and market demands to maintain the highest level of OTIF delivery success.

Lower Transportation Costs and Related Fees

Shipping and transportation rates remain a significant concern for those offering transportation services. When companies can provide on-time, in-full deliveries and when they perfect their personalized customer options to ensure delivery in full on time, rates and fees significantly decrease. Without long delays, excessive idle time, and slow response to delays, cargo gets to where it needs to go while costs remain minimal. Less fuel, more full deliveries, and more productive drivers lead to lower costs. Improved cost/profit balance is another reason why on-time, in-full delivery has become a focal point for shippers today. Freight shipping services and OTIF delivery improve cost management, making expenses more manageable.

Improve Success With Consistent Performance

Consistency is crucial to maintaining a competitive advantage in today’s shipping markets. Reliable delivery in full and on time improves overall success for shippers and helps offset looming problems that threaten optimal performance with reefer trucking services. As highlighted by Transport Dive in March of 2022, the trucking industry is short by around 80,000 drivers. Coupled with the long-standing rate among long-haul truck drivers reaching nearly 90% for years, it is easy to see how on-time, in-full delivery impacts performance levels. Improved driver retention and services mean more consistent performance and reliability in the customer’s eyes. Consistent and reliable deliveries can quickly become the norm rather than the exception for companies.

Easier to Resolve On Time In Full Fine Disputes

Despite the best plans and predictive analysis, issues will still arise, and disputes over deliveries, fines, and refunds will occur. While on-time in-full success rates can significantly lower these instances, the ability to offer delivery in full on time will also help make claim resolutions easier. Many customers have stated they will continue to work with shippers, even after a bad experience, if the resolution or claims process is fair and straightforward. Customer retention and improved satisfaction are why shipping and logistics managers today must focus on on-time, in-full delivery KPIs and understand OTIF definitions and applications. Improved delivery success keeps customers loyal to their favorite shipping companies.

It Frees Management and Sales Teams to Focus on Customers

The final benefit for shippers who master on-time, in-full deliveries is that it frees team members and management to focus on more critical aspects of the business. As highlighted by Supply Chain 24/7, consumers expect products to be on the shelf. The U.S. food retail industry has an estimated loss of between $15–$20 billion in sales due to unavailable or unusable goods. This makes up 2%–3% of total sales each year in this niche market alone. Reliable delivery in full time streamlines processes within the supply chain and helps improve specialized shipping options such as drop and hook and rush delivery orders. The goal ultimately is to work towards enhanced end-to-end customer satisfaction and shipping services across the board.

Manage On-Time In-Full Delivery Metrics Effectively With Insight and Guidance From Industry Leaders

The benefits of OTIF delivery become apparent when statistical data is closely analyzed and considered across multiple shipping and market niches. Shipping companies that deliver on the promise of reliable, on-time, in-full deliveries can enjoy greater security, even during periods of market volatility. With the right industry partnership, insight, feedback, and support, shipping companies of all sizes can improve OTIF deliveries. It is possible to enjoy the benefits of high delivery rates, whether dealing with oversized and overweight freight , hazardous loads, refer goods, or dry van truckloads. A strong industry partnership can help improve shipping data collection and analysis and keep on-time in-full delivery KPIs and milestones in focus.

To master delivery in full and on time, shipping companies must maintain a high level of dedication and focus on keeping up with current market trends and changing consumer needs. The increasing pressure on domestic and global supply chains intensifies as ongoing recovery efforts continue. Consumers want reliable and affordable shipping and guaranteed on-time, in-full deliveries. This expectation has become the norm and the minimum standard for an exceptional service offering. A dramatically changing and fluctuating environment makes growth and recovery in the market all the more challenging. Contact Entourage Freight Solutions today to learn more about the benefits of OTIF that await.

What Is the OTIF Definition in Logistics & Why Are Shippers Focused on It?

adam@the-robinson-agency.com — Tue, 07 Jun 2022 16:49:36 GMT

What Is the OTIF Definition in Logistics & Why Are Shippers Focused on It?

To get to the bottom of the leading disruptions associated with COVID shutdowns and restrictions, shippers, carriers, brokers, and drivers must understand on-time in-full definition and its impact on supply chain logistics. The leading cause for the losses experienced by retailers and suppliers today is shortages in supply and the unavailability of a range of products- from toilet paper to food and drinks to medications.

Delays caused by poor driver services, loading and unloading issues, and lack of drop and hook access, among others, continue to plague modern supply chain logistics. Understanding the answer to what OTIF means and what current OTIF definitions entail is vital because if items are out of stock or otherwise unavailable and inaccessible, it hurts shippers, retailers, and customers alike. Some innovations have made it easier to understand OTIF meaning related to expedited freight shipping services.

What Is On-Time In-Full Delivery?

Understanding the intricacies of what is OTIF in the supply chain network and developing a unified OTIF definition seems obvious. But far too many shippers do not have a firm grasp on this critical metric. On-time in full delivery is a measurement of logistics or delivery performance within a supply chain logistics plan. It most often is presented as a percentage success rate. For example, achieving a 90% OTIF delivery success for orders to a particular customer, location, or load type is a common standard among shippers. The OTIF definition used, however, can significantly impact how these percentages end up calculated, especially when dealing with oversized and overweight freight and other specialty cargo logistics.

What Does OTIF Mean For Supply Chain Managers?

Looking at the various ways companies and network leaders can approach questions about OTIF meaning brings to light the importance of networking and transparency. Shipping and supply chain logistics companies are no longer confined to the 'walls' of their company or partner networks. It is a small, digital and global world, and the supply chain is no different. Brick and mortar shops are not dead, but they are far from the clear choice they were decades ago. Times change, and shippers and logistics managers who are unable or unwilling to adapt will ultimately struggle to keep up with the changing focus of consumers.

In an early 2022 article on OTIF definition, SupplyChainBrain noted that “ corporations have moved from vertically integrated to incorporating a horizontal network of global trading partners. This trading partner ecosystem typically represents more than 80% of the manufacturing, distribution, and logistics capacity of the products produced for the end consumer. ” Knowing what industry-specific OTIF definitions are references and answering the question of ‘what is OTIF for a specific shipment or industry' is vital to maintaining a competitive advantage in a highly volatile market and optimizing transportation.

OTIF meanings and definitions significantly impact key supply chain metrics, the Perfect Order Proficiency percentage. Shippers and customers alike will use this and other metrics to gauge the success of delivery and shipment services. Therefore, having a keen understanding of OTIF definitions makes continued growth and winning more attainable.

The Impact of OTIF definitions — Beyond Delivery Success

OTIF meaning for retailers and express shipping providers remains so impactful because successful on-time in-full delivery means that the product is on the shelf when it needs to be. This means delivery and availability for some products and goods when consumers are ready to buy. For others, a delivery arrives when and where the end customer requests.

Lost Revenue Offsets Successful Delivery

Lost revenues due to poor delivery and drop-offs could significantly impact profitability and substantially increase the operation and shipping costs. When working with one OTIF definition, it is essential that all involved trucking service providers stay on the same page and use the same metrics to answer the question — what does OTIF mean?

To see the importance of a good understanding of OTIF definition in general, shippers need only look at how losses and fees on one order can quickly add up if duplicated over multiple orders and customers on a monthly, weekly, or even daily basis. Unlocking the ultimate value of OTIF delivery is not easy for various reasons, including lack of visibility, poor network insight, a lack of collaboration, and insufficient automation.

supply chain complexity increases with the proliferation of new supply chain technology focused on tracking and monitoring cargo. What is OTIF? The answer can be challenging to answer with many factors to consider and consider.

Lack of Uniformity in OTIF meaning is a Breeding Ground for Disruptions and Complications.

When considering OTIF meaning in logistics, supply chain complexity and volatility must factor into goals and milestones. The pressures felt within the supply chain network continue to rise as customers demand a more comprehensive selection of products, a broader choice of shipping channels, and more promotional offers. Foodservice, reefer freight, and refrigerated transport significantly impact OTIF meaning and definition across nearly all industries. To overcome these disruptions and complications in today's industrial markets, freight management parties must take a new approach to on-time delivery markers.

Expectations and Demands Remain High as Always

According to Mckinsey & Company , “ with expectations of higher on-shelf availability and lower inventory costs, the pressure on delivery performance has intensified—as requires manufacturers, retailers, and carriers to work together to create efficient, reliable, and responsive supply chains. " This is possible with reliable, on-time, in-full cargo and freight delivery. So, figuring out what is OTIF and its parameters should be pretty straightforward, right? Unfortunately, it is not a clear answer as there currently is no standard definition for OTIF within any supply chain network or across multiple industries.

Different supply chain participants may set their guidelines and parameters. In addition, even if they use the same general metrics, they often are free to interpret them in significantly different ways. Not having a unified way to address the OTIF meaning dilemma can greatly intensify disruptions, miscommunications, and waste of food service resources.

When different parties approach the same topic or goal differently, it is hard to agree to even the most straightforward standard ground parameters. Does "on-time" mean delivery when the manufacturer first promised the goods or when the shipper said it would arrive? Does it mean within a narrow delivery window or a broader, more flexible estimated timeframe? Should "in-full" tell 100% of the order was delivered successfully, more than 85%, or another measurement? How do current reefer freight shipping quotes relate to OTIF success rates and guarantees? These are just some of the questions that arise and need answering because there is no clear way to summarize OTIF definition within the transportation industry.

Towards the end of 2021, Global Trade Magazine stated in a review of supply chain delivery metrics and OTIF meanings that “ over the course of 2021, a growing number of headlines have predicted or even called for the demise of 'Just-In-Time,' the system that evolved from Toyota's approach in the 1970s to minimize inventory and increasing efficiency. The underlying argument is that businesses would have fared much better during recent supply chain disruptions had their supply chains been less lean ." These points are well worth considering as their impact can be significant for short-term and long-term supply metrics.

Effective supply chain collaboration depends upon a precise, shared understanding of delivery-performance expectations. Today's diversity of approaches means partners waste time arguing over the figures rather than addressing the root causes of delivery issues. The importance of answering the question of 'what does OTIF mean’ has more far-reaching impacts than most realize.

Why a Standard OTIF Definition Matters

The chosen OTIF definition sets the tone for everything else involved within a company’s approach to shipping services and customer relations. Organizations today know the value of maintaining a customer-centric focus and the importance of end-customer services. Adjusting services and tailoring supply chain logistics and operations to serve customers better, meet shifting market demand, and improve on-time, in-full deliveries must remain a priority. This is especially true in the reefer trucking , climate-controlled, refrigerated transportation market.

However, achieving this means having goods available, streamlining communications and disruption responses, keeping customers informed of the progress of their orders, and ensuring a smooth and successful delivery experience. In the best of times, drawing in new customers is complex, and keeping them can be an even more significant challenge. With current market volatility and disruption levels, this difficulty only intensifies. Selection and adhering to a specific OTIF meaning becomes a challenge when customers frequently change focus and demand more from transportation service providers.

A standard OTIF definition makes it easier to address the industry’s supply delivery issues by providing benefits in several ways:

Creating a Common View and Approach For OTIF Meaning

While the question of ‘what is OTIF’ may seem straightforward, industry leaders have taken many approaches to find a workable answer. Many retailers and manufacturers currently calculate OTIF in different ways. That gap means that even when multiple supply chain participants come together to review data and discuss performance metrics, the same steps and methods will yield different results.

As highlighted by Forbes, “ in a world struggling to recover from COVID-19, intelligent technologies like IoT, machine learning, and AI are transforming supply chain logistics, and quality assurance for groundbreaking innovations… ” and a unified OTIF meaning universal delivery parameters only improve delivery success. IoT-based delivery tracking and scheduling metrics capture multiple critical parameters for delivery. It is all accomplished with real-time metrics and integrations, using machine learning and AI algorithms to automatically monitor shipments and alert team members of possible disruptions and exceptions. This is important with any load but is essential when dealing with t emperature-controlled freight.

With unbalanced OTIF definitions, retailers and manufacturers devote significant time to explaining and reconciling differences in reported data. Carriers are often caught in the middle, as retailers and manufacturers push them for improved performance based on inconsistent data and requirements. Something has to change for continued growth and success in the short-term and long-term.

Unravel the Intricacies of On-Time In-Full Delivery Parameters

The effort required to reach a consensus on a unified OTIF meaning and correct performance measurement and performance issues represents a common roadblock for shippers. Establishing and maintaining a standard for OTIF requirements will help ensure a more significant focus on collective effort to drive overall improvement for TL, LTL , and other specialty logistics.

A thorough method for establishing OTIF definitions will support supply chain performance and strengthen the consumer-focused approach in three ways, as highlighted by McKinsey & Company :

Aligning service expectations gives companies more confidence throughout the process of setting and committing to delivery parameters and customized services.
Improves delivery performance management, giving partners a common starting point and basis to gauge all performance targets against boost delivery performance.
A unified OTIF meaning will enable performance benchmarking while also improving the development of benchmarks in general for enhanced industry-wide comparisons.

The standardizing process of OTIF is essential so everyone speaks the same language and does not unintentionally give misinformation to customers, team members, food service freight brokers , or other delivery partners.

Reducing supply chain Complexity of OTIF Definitions

The absence of a standard definition and understanding of OTIF meanings complicates supply chain management for manufacturers and retailers. Establishing dedicated freight solutions and logistical planning remains critical for supply chain managers and shipping logistics team members. Because each retailer has a different purpose, shippers, suppliers, and manufacturers must meet various delivery standards and meet individual definitions and expectations for on-time, in-full delivery that can be vastly different. Even the significant retailers use other purposes, and their intentions keep evolving and changing. Hence, it only adds to the complexity and struggle of maximizing OTIF supply chain logistical planning and overall operations.

Shipping and delivery demands have repeatedly pushed supply chain changes in first and final mile delivery. The experts at SupplyChainDive pointed out that “i mproving supply chain performance — and finally hitting the tantalizing 90% OTIF — begins and ends with improving supplier relationships and performance. It’s the only way to truly account for changes in the supply chain that are as constant as they are guaranteed.” The challenge is finding a uniform way to report these improvements and OTIF rates. Results often vary greatly, depending on product type and what OTIF definition was used during any particular calculation or write summary within specific trucking companies .

Reducing Cost Impacts and Lost Opportunities

OTIF meaning and adherence also impact shippers and retailers' financial stability and profitability. Manufacturers must keep track of changing OTIF definitions because retailers impose financial penalties for noncompliance. This leads to a loss of profits and a decline in repeat and new customers.

Aside from immediate financial impacts from fees and surcharges, the loss of income from poor OTIF delivery rates can be devastating to produce and reefer transportation companies. When shippers try to answer the question of what does OTIF mean, it is vital that short-term and long-term financial effects are considered carefully and weighed seriously as factors affecting on-time in-full parameters for everything from produce shipping to other food and beverage freight considerations.

Disparate Definitions and Separate OTIF Meanings Cause Continued Confusion

The final issue that a lack of unified OTIF definitions brings is the level of confusion that permeates the network and impacts nearly every aspect of delivery services. Confusion surrounding OTIF meanings and guidelines leads to higher expenses for shippers, whether they come from fees required to compensate for missed delivery guarantees, lost cargo and customer-returned loads, or a decline in customer retention. To avoid those charges, manufacturers face the challenge of making improvements and innovations to boost overall OTIF supply chain logistics services and address ongoing issues with delivery drop-offs.

In early 2022, The OSJ released a report that in part stated, " since the World Health Organization’s (WHO) declaration of the COVID-19 pandemic, borders around the world have been deeply impacted, and Customs administrations, transport authorities, and the railway sector are doing their part to prevent and fight the spread of COVID-19 while trying to safeguard supply chain continuity.” This brings to light another aspect of the struggle shippers face when dealing with discrepancies and differences in OTIF definitions. It creates undue confusion among involved cold freight shipping partners .

Without proper guidance and insights, many shippers, retailers, manufacturers, and team members run around in circles trying to force approaches and processes that have not been vetted or are doomed to failure. This leads to extra complexity and an overall reduction in supply chain efficiency, which further hinders shippers and adds more uncertainty to the struggle to define OTIF meaning for full truckload drivers in the supply chain network.

Answering the Question of What Does OTIF Mean Through Effective Collaboration

Collaborative efforts with multiple industry experts across many modes and transportation specializations have given rise to a few potential breakthroughs in the debate over selecting a single, unified OTIF meaning. As highlighted by SupplyChain247, “ Requirements for [some] shipments have been made more stringent as well. CPG companies are having trouble keeping up, with compliance reported to have reached only 70% by August 2017. The accumulating fines show that the usual short-term measures and localized interventions have not been enough ." Progress has been made, but there is more work to reach a unified and more broadly accepted way to get a consensus on OTIF meanings today. Experts who have worked on the issue and see the effects of disparate guidelines suggest the following working OTIF definition:

Cargo delivered to the intended destination by the listed delivery date is calculated as a percentage of the ordered quantity. This definition would handle most real-world scenarios, including specialty deliveries involving drop-trailers , full and less than full trailers, intermodal , and rush orders, all in three basic steps.

Any over-delivered quantity or incorrect product shall be disregarded for or against the OTIF resting. In other words, delivering 500 items rather than the requested 400 will not negatively impact the on-time in-full rating.
Arrival at the destination facility counts as the arrival time for the OTIF designation. This is a change from many current modes that use actual unload or load check times, which often experience delays outside management’s control.
The requested delivery window should not penalize shippers for making delivery a little earlier. It is usually better to receive cargo a little early than a little late, especially with perishable goods , so a one-day early delivery should be allowed.

Find an All-Encompassing Method of Understanding OTIF Meanings and Improve Supply Chain Coordination With a Clear OTIF Definitions

While they might seem of little value at first glance, how OTIF definitions are established and maintained can significantly impact the supply chain with reefer and temperature-sensitive freight management and logistics. Today, choosing a uniform way to control OTIF meaning and to monitor, in real-time, delivery success rates often means rethinking the way OTIF supply chain deliveries are handled.

Shippers may have to combine multiple modes and shipping methods to secure OTIF ratings while juggling the seemingly ever-changing way companies and businesses approach OTIF definition and compliance. When dealing with reefer, produce, and frozen freight , the attention to detail from pick up to delivery are more important than ever.

Partnering with industry experts can save time, money, and resources through more effective management and logistical planning for expedited shipments. Having uniform and cohesive plans and procedures and a unified definition for on-time, in-full compliance rates simplifies the entire delivery process. With a clear focus and understanding of supply chain logistics, such as those unique industries like food and beverage , a rethinking of standard OTIF meanings, and a commitment to improvement across the network, shippers can improve on-time in total success rates and delivery term compliance.

Faster and more effective processes benefit the entire supply chain and logistics network. It is all possible with insight and guidance from industry experts. Contact Entourage Freight Solutions today to learn more about improving OTIF supply chain compliance within the foodservice industry through better freight management.

What Is Drop and Hook Transportation and Why Should Shippers Care?

adam@the-robinson-agency.com — Thu, 26 May 2022 17:59:06 GMT

What Is Drop and Hook Transportation and Why Should Shippers Care?

Reliable capacity and competitive transportation services remain the most significant factors customers consider when looking for transportation services. As a result, expedited freight shipping services continue to be in high demand. In addition, with domestic and global supply chains continuing to experience increasing instability across access to most industry markets, the need for drop and hook delivery is higher than ever. As MarketWatch highlighted in early 2022, “ the global Semi-Trailer market size is estimated to be worth USD 28250 million in 2022 and is forecast to a readjusted size of USD 33730 million by 2028 with a CAGR of 3.0%. ” With this potential growth, demand for innovative and customized delivery services increases as more drop and hook carriers look to make their mark. Trailer pools and trailer drop and hook trucking jobs make it easier for drivers to coordinate, manage, and streamline order pick up and delivery.

Understanding how to drop and hook a tractor trailer and making the most of available services and resources means meeting the needs of shippers and customers alike. The increasing pressure on shipping and transportation service providers shape the services offered and the current expectations from commercial and retail customers. Likewise, the capacity crunches and shortages that plague the supply chain network have created market conditions for meeting delivery needs with drop and hook trucking services.

Understanding Market Instability and Its Impact on Drop and Hook Carriers Transportation Services

Understanding how to drop and hook a tractor trailer and how to capitalize on this growing niche within fat and reliable shipping services, all involved parties must understand the state of the market today. Cargo shipping and transportation, in general, operate under one reliable fact- the market and consumer needs are constantly changing. The fluidity and scalability of trailer drop and hook trucking jobs make them a perfect match for transportation companies and customers alike. Optimizing transportation services to meet current demands and market needs positions shippers and carriers with a distinct competitive advantage.

Drop and hook truck driving jobs remain in high demand and have made a tremendous impact on the market and industry in response to ongoing bottlenecks, backlogs, and the need for fast and reliable load pickup and dropoff. According to The Maritime Executive report for 2022, over 140 containerships were idling off the shores of Shanghai and nearby Ningbo ports. More ships joined the floating queue to make berth and unload their cargo. So far, in 2022, container shipping costs have decreased by over 12 percent overall—however, in specific markets and industries where expenses and prices remain high or even increase. The best drop and hook companies are ready to work to diversify services and collaborate with shippers, carriers, brokers, retailers, and customers across the board.

What Is Drop and Hook Trucking?

A point of obvious concern with answering the question of how to drop and hook a tractor-trailer is how the overall process works and how companies can avoid delays. Drop hook transportation is made for a time when capacity access is unstable, markets are ever-changing, consumer demands are rising, and the industry works through massive backlogs and shipping delays. Drop and hook involves dropping off a full trailer with the end customers and then hooking the semi-cab to an available trailer that has been pre-loaded on-site and can be driven off the lot immediately. This approach can be applied to various cargo and freight types, including frozen freight and other in-demand products.

The true appeal of this drop and grab setup is it allows drivers to maximize capacity and minimize wait times between dropping off a load and securing their next one. In addition, many truckers enjoy the freedom and flexibility of trailer drop and hook trucking jobs because they focus on the driving aspect of their career rather than drawn-out loading and unloading protocols. Finally, drop and hook load transportation is especially appealing to drivers who work a limited set of time and therefore need to work in as many loads as possible while on the road.

Improving Logistics With Drop Hook Transportation

Knowing how to drop and hook a tractor trailer and take advantage of this innovative shipping method helps transportation companies maximize capacity while keeping drivers on the road with full loads. A 2020 article from TruckStop.com focused on current market trends and drop-and-hook trucking impacts. The article went on to talk about how everything from transporting raw materials, hazardous materials, oversized and overweight loads, and everyday goods and products can all be handled effectively and safely with trailer drop and hook trucking jobs.

The versatility that comes with drop and hooks trucking and driving services allows companies to understand how to drop and hook a tractor trailer and how to manage the following types of loads:

Loose Items- Products that do not require special packaging and combining are faster and easier to transport with drop hook shipping and transportation.
Warehouse Overstock Loads – Managing inventory flow is easier when a drop and hook carrier can access goods and move things around.
Empty Trailers – Repositioning and moving empty freight containers and trailers is vital to maintaining logistical flow and improves scalability and adaptability.
Hot Loads Capacity – Urgen loads and rush orders require specialized drivers and reliable access to safe and effective delivery services, which drop hook offers.
High Volume or Repeating Loads – Drop trucking companies commonly utilize hook transportation on repeat orders that typically stay the same.

The need for secure and reliable transportation and the increasing pressure on supply chain managers to clear out backlogs and bottlenecks means there is an ongoing need for trailer drop and hook trucking jobs.

What Benefits Come From Utilizing Drop Hook Deliveries?

The best drop and hook companies realize they are the backbone of the modern supply chain and that fast, safe, and reliable shipping keeps things moving. The benefits gained from decreasing backlogs and focusing on offering trailer drop and hook trucking jobs are profound. According to IBIS World’s review of the trucking industry in 2022, “t he market size, measured by revenue, of the Transportation and Warehousing industry is $1.4tr in 2022, [and the industry] is expected to increase 7.9% in 2022. Increased consumer spending means that more goods are bought and sold.” Drop and hook loads can provide a range of benefits, and there are many reasons why drop and hook truck driving jobs remain popular:

Drop and hook help drivers avoid the delay-riddled process of loading and unloading. It allows drivers to spend time on the road completing orders and earning more money.
Streamlining the process of completing and picking up orders enables drivers to maximize profits. Whether paid by the mile or load, drivers get more money quicker.
Easier scheduling comes with drop and hook loads and an easy scheduling process for drivers, carriers, and retailers alike. Drop and hook trucking offers this level of freedom.
Shipping load management, including access to talent pools and job boards. Overcoming disruptions is much easier in these cases.
Access to dedicated freight solutions and services that can be tailored to meet specific load or customer-driven needs and requirements.
Working with the best drop and hook companies to access drop and hook truck driving jobs improves profitability. In addition, end-to-end shipping is more accessible and affordable.

What Challenges Come With Drop and Hook Processes?

Like most things in life, especially in supply chain logistics and management, some challenges and problems have to be overcome. Some issues trailer drop and hook trucking jobs may need to contend with include:

Trailers end up positioned in a challenging way for the driver to access for pickup.
A trailer is off-site, and the driver must get the trailer or wait for it to be delivered.
The needed trailer is stuck behind other trailers that must get moved and shuffled around.
A trailer assigned for a specialty load, such as perishable goods , is unsuited for that load.
Trailers are inaccessible for some reason, and a substitute must be found.
Issues arise with the hookup, and faulty components render the trailer unusable.
A trailer has not undergone proper cleaning and inspections before loading and hookup.
Some part of the trailer breaks down, meaning the entire load has to get shifted.
A trailer may experience some unknown issue that requires specialized repair servicing.

Even with the best planning and care, issues will arise when dealing with drop and hook loads. However, the process can be streamlined and improved with proper insight and planning and with a dedicated company specializing in drop and hook loads. Understanding how to drop and hook a tractor semi-trailer is easier with the right tools, platforms, insights, and guidance.

Reap the Rewards of Trailer Reposition and Drop and Hook

Despite ongoing recovery and stabilization, the unprecedented pressure and demand on current drivers and supply chain managers remain high. Today, many drivers struggle to find capacity and secure trailer access when they need it and struggle with long wait times and downtimes between loads. However, thanks to working with the right freight shipping partner, drop and hook carriers of all sizes discover the benefits of drop and hook load pickup.

Answering the question of how to drop and hook a tractor and how to maximize this in-demand shipping service opens the doors to increased profitability and a broader reach within the market. The benefits are numerous and impactful, and they can be yours. Contact Entourage Freight Solutions today to learn more about drop and hook trucking opportunities.

5 Things About Oversize & Overweight Freight You Didn’t Know

adam@the-robinson-agency.com — Thu, 05 May 2022 17:03:57 GMT

5 Things About Oversize & Overweight Freight You Didn’t Know

Of all the specialized methods and modes of shipping and transportation available today, overweight and oversize freight shipping make up some of the most technical and unique. Specialty loads that cannot ship in a standard truck are classified as oversized or overweight loads due to their overall size or weight. These loads can include raw products, construction supplies, machinery and equipment, and other heavy or bulky items. Shipping oversized loads, overweight containers, and pallets requires special care and handling throughout the entire process.

1. Oversized & Overweight Cargo Could Require Pilot Cars and More

Overweight and oversize load transport requires specialized vehicles and equipment to safely load, transport, and offload the cargo. While it makes sense that some loads cannot ship with a traditional cargo trailer or container—hazardous materials, for example—heavy and bulky cargo needs specialized care in transporting. Optimizing transportation and shipping oversized loads such as houses, large machinery, and so forth requires pilot cars, safety convoys, and other extraneous signs, vehicles, and services. Oversize freight shipping is a significant undertaking compared to standard cargo.

2. Oversized Freight Can Exceed Either Height or Width or Both

Though bulky and heavy cargo can easily exceed what is legally allowed to be transported by regular semis and trailers, this service is becoming more popular. Furthermore, experts predict the market growth for this segment will continue to grow. As noted by GlobeNewswire , “the Global Oversized Cargo Transportation Market stood at around $233 billion in 2018 and is projected to cross $315 billion by 2024 on account of increasing global trade.” Furthermore, the overall national system of Interstates and major U.S. highways are generally close to 12 feet wide. Meanwhile, the maximum permissible gross vehicle weight is 80,000. Even still, there are differing max heights for trucks and cargo. It’s not simply both situations but an either-or situation where either extreme may result in an oversized load. And the requirements for moving outside of the usual standards can vary widely. With more growth in oversize loads, operating under these restrictions, it becomes easier to see why overweight andoversize freight shipping and freight shipping partners are in such high demand today.

3. Planning for Transit of Oversized Loads May Require Escorts for Traffic Flow Disruption

In addition to the extra vehicle and pilot cars needed to accompany the freighter on its journey, these large and heavy loads can require specialized roadside services and government-authorized assistance. Extreme overweight and oversize freight shipping may require the closure of loads when large machinery and supplies are transported to building sites in populated areas. Likewise, overweight and oversize load transport services may need police escorts to ensure traffic lights, congestion, and other regular roadways factors do not complicate the process for trucking companies .

4. Heavy Hauls of 80K+ Pounds Require Permits Per State

In addition to these restrictions and special handling requirements for heavy and oversized freight, heavy haul loads that exceed 80K pounds total weight require individual permits to travel state roadways. Every state that the cargo will pass through will require that oversize load transport convoy to have special licenses and permits. This is to control disruption to normal traffic flow and help offset and reduce damage done to the roads from the heavy cargo and potential accidents and load damages. Oversize freight shipping convoys are very involved, so states want to know well in advance to ensure a better outcome.

5. Heavy Haul Expertise Means Knowing How to Speed the Planning Phase

When dealing with heavy haul cargo and specialized transportation services, planning is critical to the overall success of the shipment. Everyone involved in shipping oversized loads must understand and recognize the many variances and have an expert on hand to assist with every step of the planning and execution. Having the right shipping and delivery team in place from the start is key to avoiding shipment delays delayed, seized cargo, or impounded vehicles. Offering overweight andoversize freight shipping services mean planning and networking with local experts to ensure an uneventful delivery.

Streamline Oversize Freight Shipping With Entourage Freight Solutions’ Expertise

Much planning, coordinating, and organizing is needed to ensure overweight and oversize freight shipping plans go off without too many issues or delays. Working with industry experts is critical when dealing with a heavy haul and oversized freight transportation order. Make sure your next load is set up for success by contacting Entourage Freight Solutions today to see the difference expertise and professional guidance can make.

What Are Best in Class Chilled or Cold Expedited Freight Shipping Services?

adam@the-robinson-agency.com — Tue, 26 Apr 2022 15:08:11 GMT

What Are Best in Class Chilled or Cold Expedited Freight Shipping Services?

The freight management and supply chain operations continue to shift and change as demands grow, shortages continue, and customer needs evolve. As chilled freight, among other critical cargo lines, continues under increasing pressure, the industry struggles to respond. Part of the disruptions has led to a change in typical operational expectations for volume moving through ports of entry to the US. Optimizing chilled freight services can help improve overall logistical performance within reefer transportation and keep the supply chain moving.

What Freight Services Are Included With Refrigerated Shipping?

Reefer and chilled freight transportation require a specialized approach to services, shipping, and handling. Any plan for better management of refrigerated shipping must begin with a thorough understanding of what services and activities should happen around such freight. This involves taking the following steps for each frozen freight shipment to ensure optimal cold freight services:

Continuous temperature monitoring detects deviations from the required range and alerts when temperatures fall out of range.
Expedited time of arrival (ETA) for the shipment and automated alerts to ensure all drivers arrive on time every time for pickup or delivery.
Greater access to and use of chilled warehouses for consolidation or deconsolidation and the staging of loads for distribution.
Expert insight into refer services and protocols, including how to properly document temperature deviations and prevent reoccurrence.
Access to dedicated Full Truckload (FTL) reefer trailers for temperature-sensitive goods and insurance to cover any losses beyond the driver's control.

These essential chilled freight services can help management and team members better monitor and manage freight to have more effective freight solutions .

Where Can Chilled and Cold Expedited Shipping Services Make a Difference?

The food industry’s most pressing challenge is economic losses due to improper handling of frozen and chilled freight. Many different products require specialized chilled freight services during transportation, including the following:

Livestock
Flowers
Produce
Pharmaceuticals
Meat
Beverages
Cosmetics
Chemicals
High-value art or electronics
Frozen food

Finding available expedited, chilled shipping options and utilizing expedited delivery services makes the delivery of these reefer items much more accessible.

Services to Look for When Choosing an Expedited Chilled Shipping Provider

Choosing the best-suited chilled freight transportation partner is key to successfully delivering temperature-controlled freight . When comparing providers and looking at cold freight services, they should consider the following points carefully:

National & International Certification – Does the shipper know what they are doing?
Reefer Storage and Holding – Do they have the capacity to handle your cargo?
Pre-Inspection – Are they set to follow good practices before, during, and after transport?
Pre-Cooling Service – Will they ensure cargo is handled correctly at all shipping stages?
Real-Time Monitoring – Do they utilize updated technology to improve delivery success?
Automated Setting Adjustment – Will they be able to track temperatures in real-time?
Equipment and Tools – Can they safely handle perishable goods and cargo?
Vehicle Inspection/Maintenance – Will the trucks reliably get from Point A to B?

When trying to work out the logistics of transporting chilled freight, securing reliable chilled freight services remains a key concern in light of ongoing disruption and uncertainty within the supply chain network.

Benefits of Successful Chilled Freight Transportation

Many benefits can come from the effective and practical application and utilization of chilled freight services. According to JOC , Floridian ports have seen a massive shift of freight that would have previously been destined for the West Coast, including an influx of expedited chilled shipping and similar cargo. Partnering with a dedicated freight shipping partner means fast and easy access to experts who can help make managing reefer freight easier. Some of the benefits include:

Fewer loads that get lost or damaged due to delays and human errors.
Overall higher customer satisfaction and higher retention rates.
More on-time in-full deliveries with fewer delays and claims.
Much higher profits and lower costs for better cash flow management.
Higher rankings and overall better industry standing and reputation.
The solid competitive advantage with state-of-the-art services.
Improved growth and overall success now and in the future.

Partner With Entourage Freight Logistics Today to See the Difference the Right Reefer Logistics Company Can Make

For shipping service providers specializing in reefer transportation , understanding the temperature levels needed for different types of products calls for is a crucial aspect of chilled freight services. The right reefer logistics company can make all the difference in the world to complete chilled freight shipments. The right third-party partner can save shippers time and money, from saving on fuel and shipping costs to reducing claims and losses. Connect with an expert at Entourage Freight Solutions to start with proven cold freight services.

Temp Controlled LTL: 5 Ways a Freight Broker Optimizes Transportation

adam@the-robinson-agency.com — Tue, 19 Apr 2022 15:14:16 GMT

Temp Controlled LTL: 5 Ways a Freight Broker Optimizes Transportation

Companies specializing in LTL temperature-controlled freight transportation within the shipping industry experience significant pressure and strain daily. And it is much higher than other niche markets dealing with perishable goods . Temperature stable trucks and trailers, often referred to as reefer units, help ensure the correct temperature is maintained throughout the entire transportation process.

Climate-controlled LTL services ensure these vital products can safely and effectively move along shipping routes. According to Logistics Management , “ Given the significant demand and the current supply shortage, cold storage rental rates will continue to increase for frozen/refrigerated product companies that lease space at cold storage properties around the country. To maximize profit margins given this increasing occupancy expense, the industry’s cold storage tenants need to look at how they can hedge the price volatility that they are exposed to on the revenue and expense side .” Working with dedicated freight brokers can help LTL temp control carriers and transporters maximize their efficiency and optimize reefer transportation services.

What Is Temp Controlled LTL?

One of the reasons LTL temperature-controlled shipping is so critical for supply chain networks is the ability to accommodate many different goods and products. As highlighted by Redwood Logistics , “ the global reefer market is forecast to grow at a CAGR of 2.98 percent over the period 2014-2019, according to highlights of a newly published report on the current state of the reefer market. For those not 100% clear, reefer logistics refers to transporting goods that are perishable or require temperature-controlled containers to maintain safe usage. ” Temp-controlled LTL makes it easier to manage and coordinate temperature-sensitive freight with specialized and intelligently designed shipping schedules.

The use of custom containers and streamlined shipping modes also ensures that as little time as possible is spent in the elements. And innovations in technology, tracking, monitoring, and automation make it easier to ensure all goods remain at the right temperature. A professional freight broker can streamline the entire process by offering carriers five innovative and vital services to carriers.

1. Brokers Work With More LTL Temp Control Carriers to Source More Capacity

LTL temperature-controlled carriers can be challenging to find and network with at times, limiting the capacity of shippers at a given moment. Brokers can provide best practices to help companies maximize climate-controlled LTL loads and say yes to more reefer cargo.

2. Freight Brokers Can Answer “Is Expedited Freight Service Worth It” With Market Data Insights

LTL temperature-controlled freight transportation is profitable but expensive on the shipper’s end. A broker can help companies focus on specific goods and produce temp-controlled LTL shipping options to boost overall ROI and make the investment worthwhile.

3. Intermediaries Understand the Nuances Affecting Temperature-Sensitive Freight

When choosing LTL temp control carriers, shippers need to focus on critical details such as transportation speed, temperature stability, driver reliability, reefer delivery options, and more. Brokers make these LTL temperature-controlled trucking service decisions much easier overall.

4. They Use Technology to Connect With Other 3PLs and Network Partners, Speed Payment Processing, and More

LTL temperature-controlled freight shipment is all about speed and control, from start to finish. Overall, freight brokers can bring that to the shipping process and help temp-controlled LTL carriers be more efficient and impactful with collaborative partnerships and delivery services.

5. Brokers Have a Larger Buying Power Than Many Shippers

LTL temperature-controlled can be profitable when done right, but it takes careful planning and a solid financial basis to get started. Brokerage services can help temperature-controlled LTL carriers make every dollar work for them with good support and financial backing.

Choose Entourage Freight Solutions for Optimization in All Temp-Controlled Transportation

Many goods and a surprising number of products can quickly spoil or become damaged if they get too hot or too cold. LTL temperature-controlled transportation options are vital to the modern supply chain. Particularly in light of global disruptions, shortages, and shipping delays, reliable reefer transport is more critical and valuable than ever. Everything from vaccines to makeup to garden supplies can have surprisingly specific and narrow ranges for safe temperatures and must therefore be transported in a refrigerated and temperature-controlled system.

Those specializing in temp-controlled LTL transportation and distribution options serve an essential role in keeping the supply chain rolling during these stressful times of recovery and expansion. Contact Entourage Freight Solutions today to learn more about climate-controlled LTL and how the right services can make refrigeration transport easy and profitable.

Expedited or Express Shipping and Delivery Service 3PL: Why the Right Partner Makes All The Difference

adam@the-robinson-agency.com — Tue, 29 Mar 2022 18:43:47 GMT

Expedited or Express Shipping and Delivery Service 3PL: Why the Right Partner Makes All The Difference

Even with the best-laid plans and relentless attention to detail, issues can still arise with the shipping of perishable goods and other sensitive cargo. When orders get delayed or delivery deadlines get moved up, the need for fast and reliable expedited delivery services becomes all the more vital. Short-distance rush deliveries are becoming more and more common, especially as the increase in e-commerce shipping demand shows no signs of slowing down anytime soon.

Freight shippers and transportation service providers often require expedited shipping assistance to meet tight deadlines and to provide custom-tailored delivery options for their customers. While most shipping and delivery services focus on long-haul orders and loads, the real money lies in premium shipping services focused on same-day and overnight delivery. This is the value inherent in expedited shipping and delivery services for all types of temperature-controlled freight.

The Problems Inherent in Expedited Shipping and Delivery

As highlighted by Logistics Managemen t, the Pitney Bowes Parcel Index revealed a continuing trend focused on e-commerce and online expedited shipping and delivery demands. “ Due to a whole host of factors—including, most notably, the impact of the COVID-19 pandemic, more people staying at and working from home, among others—has led to a spate in e-commerce- based parcel shipping activity, which kicked off, in earnest, in March 2020, and has not subsequently abated since then. ” The Pitney Bowes Parcel Shipping Index also revealed some surprising data about shipping and transportation services and trends across 13 different countries and is based on the parcel shipping and delivery needs of more than 3.8 billion people each year.

For the 2020 calendar year, the report showed global parcel volumes hitting nearly 131.2 billion, or an estimated 4,160 parcels shipped per second. This was a 27% annual gain over the previous year in addition to parcel revenue, estimated at nearly $429.5 billion, showing a staggering 22% since 2019. This sudden spike in demand has challenged the shipping industry like never before. It has led to changes within the transportation market that will continue for years in the foodservice industry .

With so much potential for increased sales and improved customer experience, there are some key reasons why expedited delivery services are still so difficult for many shipping and trucking companies to manage successfully. These range from problems with workforce and equipment to simply logistical and managerial concerts. Some of the most common issues inhered in expedited shipping and delivery can include the following:

Issues With Documentation and Paperwork

One of the most significant obstacles for speedy produce shipping and temperature-sensitive cargo in the paper trails that are often involved. Today, many expedited delivery service providers have specialized cloud-based tracking and loading dashboards designed to manage paperwork and documentation. From order forms and load manifests to invoice copies and customs paperwork, everything drivers need for quick pick up and get on their way can be uploaded, managed, and accessed with expedited delivery apps and dashboards.

Limited Visibility Into Cargo Status and Condition

Another issue inherent with expedited shipping services is the limited visibility that often comes with these rush pickup and dropoff loads. When drivers pick up pallets and containers at a warehouse, distribution center (DC) hub, airport, or other holding location, there often is no time nor an easy way to inspect the load. Any damages or issues with the contents of the load are challenging to check for and document. An experienced expedited transport professional will know how to check shipments quickly and efficiently during loading and unloading.

Nonuniform Protocols and Shipping Processes

One issue that becomes abundantly clear to shippers dealing with urgent and rush orders is how processes and protocols can differ from one location to the next. Paperwork needed at one center might be useless elsewhere. And documentation required for one type of cargo will be completely different from another load manifest. Every customer, delivery location, holding facility, and shipping company can have slightly different transfer processes. Thankfully, working with expedited delivery service providers makes all of this easier to manage and negotiate.

Limited Driver Availability for Rush Loads

A big obstacle that shippers have to face when offering expedited freight services is the simple lack of available drivers who are skilled enough to handle the specialty loads that often come with rush-handling requirements. Driver shortages are impacting the shipping and transportation industry in general, and the impact of specialty and rush-delivery providers is even more devastating. Expedited shippers know how to handle these sorts of orders and make it easier with their carrier of choice and pre-vetted status and rankings in the industry today.

Poor Means of Communication or Collaboration

Expedited delivery services also come with concerns over lines of communication and the accuracy of data and information getting shared and distributed. Information issues are common without access to real-time data and value-driven decision-making processes. When dealing with urgent orders and tight delivery timelines, errors in miscommunication and simple understandings can be devastating. Thankfully, experienced rush shipping experts know how to respond and frequently communicate needs at all times.

Issues Dealing With Delays and Other Disruptions

The final big obstacle facing transportation service providers specializing in premium rush shipping service options is delays and disruptions. They will occur now and then, no matter how much planning and preparation happens, and a slight misstep in how issues resolve themselves can throw off the entire delivery process. Expedited freight transportation requires vital predictive planning and expert insights. This is possible with the right freight shipping partners , experienced shipping service providers, and third-party freight transporters.

3PL Expertise in Expedited Freight Services Is Essential to OTIF Deliveries.

Expedited freight shipping in today’s transportation market refers to the specialized method of shipping freight that focuses on both the speed and stability of the cargo that needs hauling. This method of short-distance freight transport focuses on ways to ensure goods arrive faster than regular transit times and helps shippers make good on their promise of on-time, in-full deliveries.

To speed up the shipping process, trucks carrying expedited goods rarely stop along the way and travel nonstop from pickup to the delivery destination. Inbound Logistics highlighted this trend in a Nov. 15, 2021, article: “ In today’s e-commerce-driven supply chains, speed is practically a given. Consumers want their orders fast, whether same-day, next-day, two-day, express, expedited, priority, or standard. That demand has accelerated even quicker during the pandemic, motivating shippers to find ways to optimize transportation to be fast and affordable. ” Because of this rush and nonstop line, expedited freight focuses on accommodating deliveries within 1-2 neighboring zones. With drivers having to drive with little to no stops once they begin, there is a limit to how far these expedited freight hauling services can reach.

Long-distance shipments do not work well with expedited shipping loads due to the sensitivity of the loads and the mode-specific method of transportation required. However, freight loads and cargo types can benefit from short-distance expedited delivery services, especially those classified as reefer transportation freight and other temperature-sensitive cargo types.

How a Rush Shipping Service Streamlines Everything

Securing rush shipping service from a third-party provider is often the easiest way to find reliable drivers. Having the dedicated pool of drivers to fall back on and the peace of mind that comes from knowing in advance where to turn when you need expedited delivery service is a welcomed change. Working with a 3PL is better, for several reasons.

1. Dedicated Expertise in Expedited Transportation

Expedited delivery services are easier to attain and manage when working with industry partners who have the tools and insights necessary to make deliveries on time, safely, and securely. Accessing dedicated freight solutions and expedited shipping services result in easier scheduling and more efficient transportation modes and services, all at an affordable price.

2. An Actual Person to Answer Urgent Requests

Unlike many standard shipping services, dedicated, expedited delivery providers connect shippers with genuine customer service representatives. Rather than waiting for emails and return calls or wasting time dealing with old and out-of-date data, urgent delivery customer service experts deal with real-time information and communications.

3. An Understanding of the Nuances Going Into Each Shipment Type

Every shipment has specialized handling and transportation needs, and qualified expedited delivery service experts know how to deal with these restrictions. Refer freight, food and beverages , animals and plants, pharmaceuticals, and other temperature-sensitive freight loads can be easily managed and protected with specialized handling services during shipment.

4. Someone That Knows the Differences in Air Terminal and Customs Requirements by Location

Every mode of transportation, whether air, sea, or land, has unique parameters and regulations for loading and unloading these kinds of loads. When dealing with expedited shipping and handling, expedited delivery service providers know what and what not to do. They can sail through customs and handle specific requirements more quickly and efficiently.

5. Able to Assist With Managing the Whole Process, Including Ground Transportation Between DCs/Warehouses

One of the biggest issues shippers face when managing the ins and outs of expedited delivery services is dealing with end-to-end processes. Organizing and coordinating between warehouses, distribution centers, freight centers, and transportation hubs present unique challenges that are easier to overcome and manage with the right rush shipping 3PL.

6. Access to a Pre-Qualified Driver Pool With a Proven Performance Record

For shippers not familiar with the processes involved with expedited delivery services, finding drivers who are both qualified and available for these specialized freight loads can be quite the challenge. Pulling from talent pools filled with professional drivers can help shippers match the right driver to the correct load for optimal performance and expedited shipment success.

7. Uses Technology to Manage by Exception

Implementing specialized expedited delivery services and rush shipping service options becomes second nature when the right approach applies to the issues at hand. The entire process can become more streamlined by managing by exception and allowing drivers to self-manage when possible. The whole process quickly becomes more streamlined. These 3PL providers provide the tools and technology necessary to improve freight management from start to finish.

8. Knows When to Outsource to Other Expert Providers, Including Other Expedited Service Providers When Necessary

The actual revelation shippers who offer expedited delivery services must realize is that outsourcing is necessary and often adventitious. Partnering with industry leaders and service providers allows team members to delegate better and manage productivity while reducing costs and improving processes throughout the trucking service industry.

9. Keeps an Eye on Total Costs to Ensure Accuracy of Invoicing and Payment Processing

At times, the costs associated with premium expedited delivery services can become a complex tangle of paperwork and invoices. Working with dedicated rush shipping providers and 3PL partners can help speed up payments, improve accuracy, and reduce payment errors. Providing optimized payment services for premium delivery helps keep customers satisfied.

10. Able to Handle Reconsignments and Transshipments of Expedited Freight

Re-consignment of expedited delivery service loads and sudden destination changes can easily be made on the fly. Transshipments and unexpected off-loads at intermediate destinations along the way can be overcome for expedited freight services with the proper freight handling protocols in place. 3PLs make it all easier, no matter what refrigerated cargo i s involved.

Streamline Express Shipping Management With Entourage Freight Solutions

The idea of expedited freight services has been around for many years. It has become a part of shippers’ everyday transportation planning solution to deal with the growing pressure of capacity constraints and driver shortages. The real question is this: Can shippers and transportation companies utilize premium, expedited shipping options to help sustain the supply chain through the current capacity crunch and other disruptions and obstacles predicted for the near future?

The importance of expedited delivery service primarily focuses on the intricacies of customer satisfaction. Today’s ultimate goal for trucking companies is finding customers and keeping them happy and engaged. At the same time, management logically wants to do all they can to reduce fees and maximize profits. Partnering with a skilled and experienced rush order shipping expert can make the difference for both short-and long-term business goals.

Partnering with a rush shipping service provider is a significant first step to future-proofing any fleet and continuing the expected trend of offering express delivery and shipping options. Contact Entourage Freight Solutions today to learn more, get started, and make expedited reefer shipments faster and easier.

Frozen Freight and Trucking Service Tips that Mean Better Outcomes

adam@the-robinson-agency.com — Thu, 10 Mar 2022 17:08:19 GMT

Frozen Freight and Trucking Service Tips that Mean Better Outcomes

Of the specialty refrigerated freight transportation services used today to keep store shelves stocked and the supply chain moving, reefer trucking and frozen freight services are among the most common. Keeping up with frozen freight demands requires specialized partnerships with freezer truck delivery serviceproviders and close attention to critical details. According to GlobeNewswire , ” the global refrigerated goods market is expected to grow from $47.54 billion in 2020 to $50.02 billion in 2021 at a compound annual growth rate (CAGR) of 5.2. ” With trends like this dominating the industry and many niche markets, it is no wonder that frozen freight companies are looking for ways to improve day-to-day processes and services to maximize profits and reduce overall costs.

1. Choose the Right Mode For Reefer Product Transportation

Frozen freight options and refrigerated freight shipper services continue to be in high demand, especially as more people dine at home rather than at restaurants. Choosing a suitable mode of transportation is critical to getting frozen goods delivered safely, no matter how far the distance. Partnering with experienced frozen LTL freight carriers can make the entire process easier. It is also essential to consider all other available transportation modes, such as air, rail, and local transportation providers.

2. Keep Equipment Clean and Well-Maintained

Market growth for general freight transportation continues to grow as the need to keep freight frozen remains a top priority for shippers. Along with reliable delivery is ensuring all cargo is safely maintained during transportation. Well-maintained and cleaned vehicles protect perishable goods against contamination, damages, thawing, and other issues. Professional frozen freight companies understand the importance of reliable and safe handling and shipping of reefer goods.

3. Pre-Cool the Freight Before Loading the Truck

One common misconception surrounding freezer truck delivery service is that reefer trucks actively cool and freeze the products they carry. The reality is that these trucks simply hold and maintain the cold temperature during transport. Freight must be already frozen or cooled to the appropriate temperature. Likewise, it is essential to ensure the trucks maintain adequate temperature control once the cargo is loaded when hauling frozen freight.

4. Avoid Freezing Injury to Goods That Need to Be Refrigerated Only

Frozen freight companies must have monitoring and tracking systems in place to keep tabs on the temperatures inside the containers and trucks at all times. While it is not good when frozen productsthaw, the opposite is just as bad as some products will ruin if they freeze. Professional frozen LTL freight carriers and trucking companies understand that balance and have the tools and equipment needed to maintain appropriate temperatures at all times.

5. Optimize the Route for Fater Transporation Times

Managing temperatures to a safe and appropriate range can be a delicate balance, especially during longer hauls with frozen freight cargo. Optimizing reefer transportation and shipping routes to avoid as many delays and disruptions as possible can save time and money. Managing freezer truck delivery services is all about finding the suitable carrier, the correct mode, and the right route for each specific order.

6. Prioritize Reefer-Specialty Vendors and Trucking Companies

Working with an experienced frozen LTL freight carrier is the fastest and easiest way to ship frozen and refrigerated freight. However, special considerations will still be necessary. A perfect carrier or route for frozen foods and meats might not be best for a more delicate load of medical supplies or vaccines. Frozen freight companies can find the right food and beverage shipping services for every unique shipment that a shipper has.

7. Plan the Load Configuration Properly.

Attention to detail and optimizing frozen freight routes to be as safe and fast as possible is crucial to finding the right freight shipping partner . It’s important to consider things like the order shipments that will be taken off the truck, the packagingused, and what sort of loading and unloading processes will be involved. Planning for these variations can help shoppers keep freight frozen no matter where it is going and what the local temperatures and conditions are outside.

Apply These Tips and Choose the Right Frozen Freight Companies to Streamline Your Supply Chain.

As the frozen and reefer freight transportation industry and markets continue to experience high levels of growth and continual rise in damnd, frozen freight companies continue to work to improve shipping services. Shipping frozen freight safely and efficiently requires specialized partnerships, tools, and equipment. Working with freezer truck delivery serviceproviders, such as Entourage Freight Solutions, will help protect your freight, so contact them today to get started.

A Refrigerated (Reefer) Transportation and Freight Best Practices Guide

adam@the-robinson-agency.com — Tue, 22 Feb 2022 15:45:52 GMT

A Refrigerated (Reefer) Transportation and Freight Best Practices Guide

Frozen trucking companies and trucker team members offer a wide range of freight solutions and services that prove to be valuable to the country’s supply chains day in and day out. There is always a need to get food. drinks, and medical supplies from Point A to Point B. And this is an even bigger necessity during economic downturns and times of market instability.

The market demand for reefer freight transportation has been steadily growing and most likely will continue for the foreseeable future. According to GlobeNewswire, “the global refrigerated goods market is expected to grow from $47.54 billion in 2020 to $50.02 billion in 2021 at a compound annual growth rate (CAGR) of 5.2%...The market is expected to reach $59.27 billion in 2025 at a CAGR of 4.3%.” The growth within the market is primarily thanks to the upheaval of normal company operations as businesses shifted focus and continue recovering from the COVID-19 impacts.

To compensate for shortages in the trucking lanes and increased pressure on the supply chain overall, the need for more reefer trucking companies grew exponentially and continues to do so today with cold freight transfers .

What Do Reefer Trucking Companies Do?

By transporting goods that require particular temperature considerations, refrigerated trucks allow the consumer to get access to fresh produce, meat, medicines, and other products that otherwise would be difficult to ship long distances. A large number of trucks that run supply chain routes across the country today are refrigerated trucks, commonly known as reefer trucks in the industry.

Reefer transportation companies haul freight needing specialized and, at times, very specific temperature-controlled transportation environments. Trailers used for refrigerated freight have a built-in cooling system to ensure cargo remains at the correct temperature throughout the entire transportation process. A refrigerated trailer can usually keep freight at lower temperatures ranging from chilled to frozen. This protection is especially critical sensitive cargo shipments or when the outside temperatures and environment would lead to a ruined load.

Concerning refrigerated freight companies, goods must be handled, stored, loaded, and unloaded correctly to ensure temperature levels are adequately maintained. Skilled and experienced drivers who know how to handle reefer goods are invaluable in maintaining smooth shipping lanes and successful deliveries all across the country. The need for reefer carriers in the USA remains high as this is an essential piece of the modern supply chain puzzle. Reefer trucking companies can handle a range of cargo that we use every single day, including:

Various drinks and beverages
Fresh fruit and vegetables
Chilled and frozen freight and goods
Meat, cheese, and other perishables
Various food items and condiments
Medical supplies, medicines, vaccines
Flowers, seeds, and plants
Some beauty and cosmetics
Live birds, livestock, and other animals
Misc. supplies and products

Reefers have always been a critical part of the supply chain, and now, more than ever, they are in high demand. Refrigerated freight companies are one of the niche markets that rebounded fastest and have seen the strongest post-pandemic recovery.

Common Challenges Experienced in Refrigerated Freight Companies

Like all things in shipping and transportation, especially during such high pressure and uncertainty, some obstacles can arise with reefer freight transportation services. Reefer transportation companies may have to contend with the following challenges:

Damaged Equipment

Trucking fleets in general must ensure breakdowns and vehicle problems are kept to a minimum. A single breakdown can cause massive issues all along the supply chain. Reefer truckers must be even more mindful as added issues can arise with the cooling system and related components that can become damaged.

Loss of Temperature Controls

During transport, temperatures must remain stable, no matter the weather conditions outside the truck. Frozen goods must not be allowed to thaw out. This task is impossible when controls break down and don’t respond to programming, which is a fairly common reefer truck issue — especially with older trucks.

Limited Drivers Skilled and Licensed

There has been a driver shortage plaguing the transportation industry for some time now. It is even more obvious for a frozen trucking company as even fewer drivers can operate, monitor, control, and carry temperature-sensitive cargo. When these drivers have no available capacity, there are not enough drivers to fill in the gaps.

Poor Traceability of Temperature in Transit

Another significant issue facing refrigerated truck transportation companies today is trouble with automated tracking, monitoring, and reporting. Being unable to tell what conditions are like inside the cargo containers while en route is a major issue for refrigerated freight . It is something that relies on automated digital tracking services.

Reasons to Outsource Procurement of Transportation Carriers That Haul Refrigerated Freight

Shippers who need to move temperature-sensitive cargo and know with some level of certainty that their cargo will arrive safely at the final destination need transportation carriers who specialize in reefer freight. These refrigerator trucking companies provide many great benefits and offer several reasons why shippers should consider this option for all special projects and unique reefer shipping needs.

Save time, money, resources. Partnering with refrigerated transport companies will give shippers the upper hand. In the long run, it will save them by making it easier to find the right carrier for every load.
Gain more flexibility and more scalability. When carrier collaboration is one less thing to worry about, shippers can quickly react to market changes. Shifts in customer demand are less jarring with vetted carriers.
Shipping niche-specific expertise. Another reason specialized carrier partnerships are beneficial is they allow for niche services. Shippers can address customer needs and secure capacity with a frozen trucking company.
It’s about who you know in the market. Working with carriers long-term can open doors to new partnerships and new customer bases. Knowing reliable carriers is critical to successful retail shipping.
Faster access to dense capacity. Connecting with reefer trucking companies makes it easier to maintain high capacity and density. Openings can be filled more easily, and trucks can be kept fuller at all times.
Access to high-quality equipment. Partnering with refrigerated freight carriers also helps lessen the pressure on most shippers. They can gain access to trucks and other equipment they otherwise couldn’t.
Much lower maintenance costs. Another reason why reefer carrier partnerships matter: they help lower maintenance and operational cost. Someone else can maintain and monitor the fleet day in and day out.

Shippers are under tremendous pressure to make good on promised deliveries and satisfy customers. Partnering with transportation carriers that haul refrigerated freight can make the entire process simpler and easier all around.

How to Assess the Viability and Value of Refrigerated Trucking Companies

In the refrigerated trucking business, the way cargo is handled and cared for is more critical than ever. Even the slightest temperature changes during shipping can harm overall shipping success, profits, and business reputation. The entire supply chain must be well-organized and efficient, and it all starts with reefer trucking service providers who offer top-notch services every time they pick up a load.

Reefer companies provide a valuable service that is also in high demand. A dedicated reefer carrier pool makes it easier for shippers to command better rates, increase customers’ service options, reduce deadhead miles, and provide exceptional services. Ensuring a current refrigerated company and carrier relationship is viable and valuable requires careful consideration of the following points.

Profit versus losses within the company based on quarterly and annual comparisons.
Short- and long-term goals along with KPIs and review points for freight metrics.
Reputation within the industry for services, skills, experience, and reliability.
Availability of drivers/carriers to fill needs and respond to urgent freight needs.
Experience within niche markets and proven success with specialty freight loads.
Relationships with growers and shippers and manufacturers across industries.
An on-time delivery success rate that is better than that of the competition.
The amount of damaged or ruined cargo due to reefer-related issues in transport.
Frequency of disruption and exception compared to successful delivery handoffs.
Average response speed and success of dealing with disruptions and issues.
Customer reviews and satisfaction with current refer transportation services.

Reefer trucking and transportation services can have a tremendous positive impact on shippers. However, shippers must work with reefer trucking companies that provide viable and valuable services, no matter what market shifts may come along. Finding the right trucking company and the right reefer carrier will ensure future growth and success for shippers within the refrigerated freight niche market.

Best Practices to Improve Your Use of Reefer Companies

Reefer trucks and drivers remain a vital piece of the modern post-pandemic supply chain. From local lanes to cross-country transportation, reefer service providers are in demand and shippers must find the right partners and use them properly to be successful. According to TruckStop.com , “because reefer trailers are more expensive to run and maintain, reefer load rates are generally higher than dry vans. But reefer freight rates can vary greatly depending on your location, the cargo you need to ship, and many other factors.”

When shippers pay premium rates for reliable services from a frozen trucking company, they need to ensure they are taking full advantage of those services. Here are some tips to make this easier for anyone dealing with food manufacturing, shipping, handling, or related services.

1. Know Your Temperature Requirements

To provide exceptional refrigerated transportation services, shippers must know the specific requirements of every load. Some cargo is frozen and must not be allowed to thaw. Some products have to be transported at a low temperature but not freeze. Temperature ranges and specifications are vital as an entire load can be ruined with a shift of temp as little as 5 degrees too high or too low during transport.

2. Ensure Freight and the Trailer Are Properly Cooled Before Loading

Some preemptive work is required when dealing with reefer freight. Experienced reefer carriers in the USA will know to cool trailers beforehand,so cargo doesn’t get too warm while the cooling system starts working. It is also vital to ensure the cargo itself is adequately chilled, so it will not get too warm or cause the trailer to warm up too much. Small steps like these are critical to successful cold reefer transportation.

3. Have a Plan to Load Trailers Quickly

The loading and unloading cargo can become a bit routine at times for shippers and carriers alike. However, it is more important than ever to have a specific plan for moving cargo when transporting temperature-sensitive shipments. Professional refrigerated truck carriers will know how to handle food service as quickly and safely as possible to protect against temperature fluctuations and related damages.

4. Consider All Influences on Transit and ETA

Even the best-laid plans can fail, and delays or disruptions occur during shipping. A good reefer company will have a backup plan and take possible disruptions into account ahead of time. Carriers must plan for weather events, predictable traffic congestion, unexpected shipping delays, and other issues to ensure the safe and successful delivery of all freight. The best reefer transportation experts will have this covered from the start.

5. Choose the Right Equipment for Loading and Staging

One of the biggest time and money wasters for shippers dealing with cold freight transport is trying to get the job done with the wrong equipment. Special considerations and tools are needed to move, secure, monitor, and document reefer freight. Trying to do all of this without the right tools and equipment is asking for major disruptions, excessive fees, expenses, risks, damages, and issues from start to finish.

6. Know Which Goods Can Be Commingled

Loading and packing reefer cargo can be a delicate process. Not only are there the consideration of final destination and route stops along the way to consider, but there is also the possibility of commingling goods. Freight that can be stored at similar temperatures and handled the same way can often be loaded together. This flexibility allows for more effective use of capacity space and better temperature management.

7. Ensure All Trailers Are Clean and Ready to Roll

A clean and sanitized trailer is essential for any shipment, especially for cold freight. Regular products can be brushed off and cleaned after unloading if needed. Produce and medical supplies, however, can be damaged and easily contaminated by a dirty trailer. Cleaning and sanitizing is something all the best transportation carriers that haul refrigerated freight will make sure is done for every single load that goes out.

8. Optimize the Route to Consider Additional Reefer Deliveries and Pickups

Route planning is a big part of successful supply chain logistics, but it is crucial for temperature-controlled freight transportation and shipping. Reefer freight must be flexible to allow for additional pickups, expedited shipments , and unforeseen disruptions en route. Route optimization and monitoring allow reefer shippers to better manage loads and maximize capacity and profits.

9. Integrate All Systems to Reduce Confusion and Improve Collaboration

Integration and collaboration go hand in hand with freight transportation services. When all platforms, systems, and digital tools can easily communicate and when all team members have on-demand access to data, every process can be vastly improved. With an integrated system and easy communications setups, shippers, carriers, brokers, vendors, 3PLs, and customers can all collaborate and stay on the same page.

10. Eliminate Uncertainty in Tracking Temperature With Automated Status Sharing

Improving the reliability of reefer freight trucking and transportation often comes down to enhancing automation and digitalization within the supply chain. The best-refrigerated truck carriers will understand that uncertainty leads to disruptions and that disruptions lead to delivery problems. Automated status notifications and data sharing options are a must-have for shippers today to protect profits and keep costs low.

11. Search Through FMCSA Data to Find Possible Partners

The Federal Motor Carrier Safety Administration (FMCSA) maintains a searchable database of active carriers that shippers can use to find partners for their reefer transportation needs. This data and related shipping and carrier portals can serve as a good starting point in searching for the right freight shipping partners . Like most things in shipping today, it is not an end-all solution but is a valuable tool shippers should use.

12. Leverage Load Boards to Find Additional Reefer Capacity

There are many options available for shippers looking to increase reefer capacity and find additional opportunities. Load boards are an excellent place for shippers to connect with skilled and experienced carriers. It is also a great place to start forming long-term relationships with carriers to give shippers the upper hand and a competitive advantage in tight markets and periods of market instability.

13. Remember to Continuously Network to Find More Reefer Drivers

Strong collaboration and partnerships with carriers skilled and experienced with reefer freight make it easier to shift focus and scale services as needed. Whether you need to be choosier with a carrier for a particular load or you need to increase carrier access quickly, a strong network is the best lifeline available. Improving your use of refrigerated trucking companies and professionals relies on intelligent networking from the start.

14. Enable Digital Freight Matching to Automate Reefer Procurement

Securing reliable capacity and having pre-vetted carries to call on, when necessary, will make it easier to meet changing customer needs and market demands. Digital freight matching services and automated load boards make it easier for shippers to find reefer companies who can help with transporting perishable goods . Reefer procurement is more accessible when automated processes and systems handle the mundane aspects.

15. Work With Brokers That Understand Reefer Standards and Qualities

Reefer transportation companies specialize in handling a wide range of cargo and freight that requires precise temperature-controlled transportation. Finding the right reefer company is critical to having a successful delivery. Whether a shipment is going across the state or the country, a skilled and experienced broker can make it easier to find carriers who meet quality parameters and industry standards.

Working with a dedicated frozen trucking company opens the door for a wide range of reefer-related transportation services. For the modern supply chain, reefer transportation options and services are invaluable to many critical markets, industries, and services. The demand for reefer freight transportation continues to grow and remains high as local, national, and global recovery continues. Shippers who can properly utilize the tools available to them and form strong and beneficial relationships with carriers can make a name for themselves in food and beverage and perishable goods shipping. Industry experts stand the best chance to enjoy continued growth and success in the year ahead.

Do It All by Partnering With Entourage for Access to More Reefer and Frozen Capacity Now

Using a load board, working with a freight broker, collaborating with reefer transportation companies, and finding third-party partners to collaborate with ensures you’re getting the best services, rates, and options for refrigerated shipping loads. Collaboration with experienced refrigerated freight companies is critical to maintaining access to reefer and frozen capacity.

With an innovative tech stack, up-to-date tools, and automation, you can easily compare refrigerated shipping rates, plan and schedule loads, and compare carrier availability. This approach makes finding reefer freight transportation services much easier, even for last-minute and rush shipping needs.

If you are looking for transportation carriers of refrigerated goods to help with all your reefer freight needs, contact Entourage Freight Solutions today to get started with reefer transportation as you have never experienced before.

Refrigerated (Reefer) Transportation & Trucking Companies: What Are the Characteristics of Best in Class?

adam@the-robinson-agency.com — Mon, 07 Feb 2022 20:33:47 GMT

Refrigerated (Reefer) Transportation & Trucking Companies: What Are the Characteristics of Best in Class?

Trucking reefer rates have always been among the more volatile transportation expenses that freight shipping partners must contend with. The type of cargo hauled and the destination of each shipment can influence these rates. Reefer fees often vary by the growing season in a given area. Reefer transportation and trucking companies set rates based on regions, such as where the shipment of products and goods originates and the location of the destination. As reported by Truckstop.com , reefer rates were averaging around $3 per mile in Spring 2021 at the national level, but those rates are always subject to change. They will also start to increase as the warmer months return to the country too, and it will be interesting to see what the year-over-year growth turns into by April 2022.

It is important to note that this rate can also greatly vary by region and that, in general, reefer rates are trending upward. Finding the best-in-class trucking companies can make it easier to secure the best reefer shipping services at the best possible price. The following characteristics can help you find the best trucking company today to handle your cargo with the highest degree of professional care and specification possible.

1. Absolute Transparency Throughout Shipping Services

Finding the best-in-class trucking companies that can provide optimized reefer services means looking past the basics such as on-time deliveries, fees rates, and driver safety. The best reefer trucking companies offer a transparent and inclusive view of all shipping services and processes from start to finish. The approach includes clarity about rates and reefer services that are available at any given time and insight into anticipated changes in freight rates and surcharges for reefer cargo.

2. Collaboration Through Real-Time Communications

Reefer transportation and trucking companies provide the best services when fast, reliable, and frequent communications are a priority. Utilizing collaborative platforms and dashboards and maintaining open lines of communication make it easier to plan, coordinate, and collaborate in real-time. Accurate communications make it easier to track shipments and deal with issues that may arise, which will help ensure completed deliveries and satisfied customers.

3. Traceability of Temperature-Sensitive and Specialty Freight

Perishable and refrigerated goods can include everything from perishable goods , food, and drinks to medical supplies to flowers. Each will require different packaging, loading, care, and handling requirements. Added to this complexity is the fact that each transport might also have very different needs as far as temperature regulations are concerned. Understanding which companies offer services applicable to the particular cargo that needs to be shipped will help ensure the success of any reefer cargo that gets loaded.

4. Reliable On-Time Pickup and Delivery of Goods

On-time pickup and delivery are critical services that any shipper must guarantee. There is little point in choosing a trucking company that cannot make good on their promise for on time in full delivery. Working with the best-in-class trucking companies will provide shippers with the guarantees they need to deliver reliable ETAs and delivery services. Team members who do not have to worry about missed pickups and late deliveries can focus on more critical services.

5. Enhanced Understanding of Trucking Rates and Fees

Understanding trends that affect trucking rates and fees and adjusting to those changes is an area where experienced reefer transportation and trucking companies must excel. As highlighted by Commercial Carrier Journal, reefer rates increased 4 cents in late August 2021, with more than 50 weeks above $2.40, and with a spring 2021 reference of around $3.00, shippers need to start planning for higher reefer rates in 2022 as well.

Planning for and accommodating these ever-changing rates are paramount to food services. Also, understanding the rate data is a crucial factor that any reputable trucking company will take into account.

6. Access to a Diverse Pool of Transportation Network Partners

Reliable shipping services rely heavily on shippers’ access to network partners and carriers who can handle specialty loads and complete reefer cargo deliveries. The ability to tap into talent pools and access pre-vetted carriers and drivers is paramount to providing exceptional reefers services. This helps keep services current, rates low, and logistics accurate across the board for all food and beverage cargo and other refrigerated products or goods.

7. Certifications in Moving Alcohol-Related Products and Reefer Liquids

Reefer trucks can carry a wide range of products, including a host of alcoholic beverages. However, shipping alcohol across state borders requires special permits. The ability to quickly and easily find trucking companies that have drivers certified to haul this sort of freight can help keep rates low and services high. Having truckers on hand to pick up these specialty loads can ensure they’re delivered as quickly and affordably as possible.

8. Compliant With All HOS Requirements and Regulations

Supply chain managers and logistics directors must work closely with their carriers or brokers to determine if any special Hours of Service requirements and regulatory guidelines apply. The best reefer transportation and trucking companies will coordinate specialty shipments with the necessary trailer or packaging arrangements to protect cargo and adhere to all safety protocols. They will also ensure all legal requirements are addressed and carried out appropriately.

9. Excellent Ratings and Certified Shipper of Choice Status

Business ratings and certifications are worth considering when looking for the best-in-class trucking companies to handle specialty temperature-controlled freight and shipments. The reputation of the company and its drivers, as well as their track record with similar loads and cargo, can help shippers narrow down the choice. Knowing you are working with the best of the best makes it easier overall to find shippers of choice who are available and who can be trusted with any cargo currently available.

10. Personalized Shipping Services Tailored to Specific Freight Loads

Specialization within the refer freight shipping service market applies to more than just cargo that has to stay chilled. Some cold-freight cargo must remain at a precise temperature to prevent ruining the product. Other products must not be allowed to freeze, and some must remain frozen during shipment. The best trucking companies will have the ability to tailor transport services to meet these needs in a much more personal and impactful manner than other shippers can.

11. Innovative and Up-to-Date Technology and Automation

Best-in-class trucking companies also know how to utilize technology and innovative tools to provide accurate and reliable shipping services. With goods that need to maintain a specific temperature, shippers and carriers must work collaboratively to monitor reefer trucks and control precise temperatures. This monitoring becomes much easier with the latest technology and automation already in place and operational without requiring a lot of additional expenses or onboarding to make it applicable.

12. Cloud-Based Data Collection, Analytics, and Sharing Capabilities

Data is king in the industry these days, and companies that make the most of available data and statistics are better poised to succeed. The best reefer transportation and trucking companies utilize real-time tracking and insight to monitor logistic planning and processes. Knowing when issues arise that might cause delays or other problems with cargo can make it easier to plan mitigation steps accordingly. Immediate access to reliable data and reports makes it easy to adjust and implement alternate plans.

13. Focus on Sustainability and Eco-Friendly Processes

Even if sustainability is not paramount for a shipping company, chances are their customers do care. According to a recent survey from Convoy , freight transport makes over 72 million metric tons of CO2 emissions, and empty trailers account for over 35% of total miles driven. Companies that do not take sustainability seriously are losing more and more of their customer base every year. Whether management believes in it or not, eco-friendly initiatives are a must in today’s competitive market.

Choose a Company That Aligns With All These Characteristics to Move Reefer Freight Efficiently

Finding available reliable trucker services can feel like an impossible task. On top of economic and general market uncertainties, the specific needs associated with reefer shipping can make it even more challenging to find reliable reefer transportation and trucking companies. Shippers must get affordable refrigerated freight shipping quotes and reliable services every time with the right freight transportation partner.

Also, shippers can find the right logistics carrier to transport all of their reefer freight with the right insight and guidance. With this handy list of characteristics to look for, the process of securing drivers to handle all of your refrigerated transportation needs is easier than ever. Finding the best-in-class trucking companies is easier than ever with the right partnership in place. Contact Entourage Freight Solutions today to get started.