Supply Chain Optimization

Don’t Expect LTL Savings

by Tom Moore on Sep 23, 2019 8:00:00 PM

Rob Estes, CEO, of Estes Express gave some disturbing stats:

Rob Estes, CEO, of Estes Express gave some disturbing stats:
  • Dwell time is up (this is disturbing – we are supposed to be carrier friendly) 
  • Trailers for each tractor have grown from 1.5 to 4
 
The only good thing seems to be that LTL is losing volume that is uneconomic or low margin:
  • Big shipments e.g.10,000 are going truck
  • Minimums are going to parcel
 
Maybe this, combined with supply = demand, is why LTL carriers are:
  • Pushing for rate increases – I hear from Jack Ampuja, the increase is  4.2%…
  • Adding dimensions to all their terminals to get accurate classification
  • Not waiving accessorial charges

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Topics: Supply Chain Load Building Optimization SaaS

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