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Load Boards & Supply Chain Constriction

Every carrier relies on what are called ‘load boards’ (sometimes called freight boards) which is an online marketplace where carriers, certain shippers and brokers can post and search for loads in order to keep freight moving. However due to the economic forces we’re witnessing, these rate boards are accelerating a critical trend that could cause severe ramifications to shippers and carriers alike.

What the industry is seeing is the continual rise in rates due to a high demand for shipping goods constricted by a limited number of carriers able to fulfill the demand. If for whatever reason a carrier is unable to get to a shipment, then the shipper will need to pay more to entice a carrier to pick their shipment up. This in turn creates a vicious cycle of rates ‘never going down’ and in some cases, have caused rates to double from what they were a year ago.

On the one hand, it’s great to see how valuable carriers have become. However the rate boards are creating a ‘free for all’ mentality in an effort to get the best rate on any given shipment. It is understandable why carriers behave this way, but in the end everyone will get hurt. Carriers will be hurt because these rate boards are causing logistics providers to be perceived as a commodity service, with no intrinsic value. Shippers are forced to pay higher prices (sometimes double!) to guarantee a shipment, which erases their margins and makes it difficult for them to create more products in the long run. Finally, this situation hurts the customer, who is forced to wait for shipments to arrive, creating artificial delays and their dissatisfaction with everyone involved.

So how is this problem solved? The answer lies in shipment optimization. Many if not most of the shipments on these rate boards are marked as ‘full truckload’ when in truth they’re actually ‘partial truckload.’ This is an industry-created problem, one that carriers can work together to solve. Many carriers have proven ready and willing to optimize shipments since it can be done in every company’s best interest. As we become more effective in optimizing shipments, we’ll manage to create a win-win situation for every member of the supply chain. 

Here at Zip Xpress, we understand the importance of collaboration. Our goal is to create a win-win solution for every member of the supply chain while ensuring that every shipment arrives undamaged and on time. We’re here to create a more sustainable supply chain and we need the help of other carriers in order to do it. Together we can create a better supply chain and present solutions to our customers during a time when they need it most. If shippers would like to see these solutions for themselves, start today with Zip Xpress!

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Optimized Shipments & Carrier Collaboration

The driver shortage is one of the critical factors carriers face today. Many licensed CDL drivers are nearing retirement and there are not enough replacement drivers as of yet. By the age of 21 when individuals can train for their CDL, many of them have already ‘started’ their career and likely wouldn’t consider truck driving as a replacement. This has been one of the great ongoing struggles these past few years and it’s difficult to tell just how short of drivers the sector is experiencing. Yet shipping prices continue to rise as truckloads are being filled at a record pace. Customers want their shipments to continue, but there are only so many drivers available to deliver them. Reform will have to come to alleviate the driver situation, but for the time being, there is a short-term solution available to carriers who are willing to collaborate with other carriers in search of a win-win proposition.

This solution lies in shipment optimization. One of the startling trends we’ve seen in our 20 years in operation is the number of shipments where a customer orders a ‘full truckload’ but the shipment takes up only a small portion of the trailer. Now the reason this occurs is understandable. Customers want to ensure their products don’t get damaged or they want to secure their place with a carrier and get the product to the customer. However, we are reaching a point where shipments are becoming very expensive and the race to secure space within a trailer is tightening faster than ever. A willingness to have shipments optimized will help ease the congestion everyone is facing before customers begin to see their orders delayed.

It has been our experience that optimization like this is very easy to implement among carriers. Every logistics company in the sector understands the driver shortage and many are willing to work together in a collaborative effort of optimizing shipments. It’s rare that a carrier will turn down satisfying a customer, even if that customer is another logistics company. Everyone is working hard to ensure deliveries are made on time, but the more we can bring awareness to optimizing shipments, the easier it will be to get through the capacity crunch we’re facing and bring a win-win for everyone involved in the supply chain.

Here at Zip Xpress, we understand the importance of optimizing shipments. Our entire business model has been built around this philosophy, on reducing the empty space of our trailers. Our customers are delighted that we have found such methods and time and time again we’ve worked with carriers who feel the same way we do. These methods are our custom carrier solutions and we’re doing everything we can to ensure our customers’ shipments arrive on time and undamaged. To see for yourself, start today with Zip Xpress!

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The Driver Shortage: Delaying Delivery

It is no secret that there is a national driver shortage for carriers. The reasons are numerous, but this week we’re going to focus on a situation that occurs far too often in the logistics industry with all carriers. What occurs damages driver morale and has caused many to abandon cross-country routes since they’re not treated humanely, let alone with the respect they deserve.

What is this phenomenon? What occurs is drivers often travel 2,000 – 3,000 miles in order to ensure a successful delivery. The driver has even made it to the final destination at the specified time directed by the customer, but upon arrival that same customer informs the driver that it will require an additional wait of 2-3 hours (sometimes overnight!) before the trailer can be unloaded into the warehouse. There have even been instances where drivers have been told that THEY need to hire a crew to unload the trailer. Whatever the reasons may be for these delays, whether employee shortages or miscommunication within the company, what these companies fail to understand is that these drivers have nowhere to go. It’s not as if they can take their truck and drive off to get a meal or use a restroom. They have a responsibility to ensure the delivery is made and are being treated poorly just for doing their job. They’re forced to remain with the shipment and can’t return to their families. No other professional would be treated this way, why is this seen as acceptable to treat drivers this way?

Such delays not only hurt morale for the drivers, but can be disastrous with sensitive shipments, particularly food. If the warehouse manager orders a driver to open the trailer but waits 2-3 hours before unloading the shipment, that food won’t be kept at the optimal temperature. As a result the shipment will be refused by the warehouse manager, creating an unnecessary dispute between the shipper, the customer and the carrier on who is responsible for the shipment and any fees incurred. 

It is vital that companies communicate their warehouse situations to all the members of the supply chain in order to prevent such hostile working conditions. When we remember that these drivers are people too and have families they wish to go home to, prioritizing unloading shipments becomes a lot easier. Also remembering that they’ve worked hard, traveling vast distances to ensure a successful shipment can go a long way in creating cooperation.

Here at Zip Xpress, we understand the importance of drivers and their contributions to the logistics industry as well as the supply chain. We work hard to ensure that every member of our supply chain is communicated with and find the solutions that work with everyone. We care deeply for our drivers, which is why we do everything we can to help them in ensuring a successful delivery and thus, satisfy our customers. If you want to see for yourself, start today with Zip Xpress!

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Finding The Right Carrier For Your Supply Chain

One of the most important partnerships a manufacturer can make is which carrier they are to trust with their valuable freight. We’ve expressed the importance of establishing these relationships, but one of the critical questions that will inevitably arise is: how do we find the right carrier? This is a very important question and one that shouldn’t be left to chance especially since manufacturers cannot rely on brokerages to find the right shipping partner for them.

Culture Match

Finding the right supply chain partner involves speaking with carriers and ensuring there is a culture match between the two organizations. If your company is focused on efficiency and cost savings, then you’ll likely select with a carrier that exhibits these traits. Whereas if you have specialized freight that needs more service dedication, you’ll likely select a carrier that focuses on relationships and customer satisfaction. Obviously you want a carrier that exhibits all of these qualities, but the best option is to schedule consultations, speak with and learn about the carriers who will be handling your freight. When you find a carrier that understands your company’s needs and you relate well with them, then you have likely found a relationship that will help your business flourish.

Constant Focus on Improvement

Obviously culture isn’t a foolproof determinant of a great business relationship, however when a carrier and manufacturer are both focused on improvement, as well as finding the right people, processes and methods of getting your shipment to its destination on time and undamaged, then you have a carrier that will help your business grow in many ways. The constant focus on improvement means that your supply chain partner will help solve your problems and take your needs into consideration. They can help you expand and provide you with options during times of uncertainty. When you provide trust to your carrier, you will find that combined both companies will have a dynamic and incredible relationship that will strengthen with time.

Here at Zip Xpress, we understand the importance of finding the right carrier for your business. We strive to provide great service for all of our customers because we know they value great service, sustainability and are in need of specialized freight handling. Customers who know our values are delighted to work with us and it’s why we’re able to maintain a 99% retention rate with manufacturers we’ve worked with. If you want to see all of this for yourself, start today with Zip Xpress!

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There Will Always Be Supply Chain Challenges

Many articles discuss labor shortages, tightening capacity, increasing prices, inclement weather and a host of other challenges companies need to overcome in order to get their shipments to the end customer. It is certain that some of these challenges are unique to our time, and it’s also apparent that companies want more consistency in how they conduct business. Challenges in shipping however are the norm, not the exception. The truth is that there have always been supply chain challenges and that we have always navigated these challenges through a mix of collaboration and innovation.

One of the methods in overcoming supply chain challenges lies in collaboration throughout the entire supply chain. When companies work together, they’re able to create solutions that work for all parties and keep the customer satisfied. Every member of the supply chain understands what is at stake and provides different skill sets, strengths and strategic insights which create remarkably innovative solutions. This innovation creates unique opportunities for businesses that may not have existed before and as a result will provide a competitive advantage in a field where everyone else only sees challenges.

One of the benefits of all the articles highlighting these challenges is that these challenges cannot be ignored any longer. As a result, many innovative individuals are coming forward to address these challenges and provide solutions in an environment where none were available before. This outpouring of ideas will allow business owners to test and implement the right tactics for their company and in time they will find the right strategy for their business. For every challenge out there, there is a solution. The question is how long will it take to find yours.

Here at Zip Xpress, we understand that there will always be supply chain challenges. This is nothing new in an industry that is always changing. It’s this dynamism that creates the opportunity for unique problem solving in how we get every shipment to the customer on time and undamaged. This problem solving attitude is applied to our customers through our custom carrier solutions which addresses every shipping challenge our customers may have. If you’re curious about how we can handle your shipping challenges, start today with Zip Xpress!

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Retaining Talent in Logistics

It is clear when listening to the news that many businesses are searching for talent. Companies have stepped up recruiting efforts, offering incredible incentives to bring on new talent and the logistics field is no exception. The industry has struggled for years with finding drivers, now the talent struggle has reached many other levels of the organization. Yet what’s not being discussed are methods for retaining the incredible talent you already have, especially in the logistics field. Turnover will always occur, but when you make talent retention a priority, you won’t need to focus on expensive incentives to entice workers to join your company. Here we share some of the methods we’ve had great success with when it comes to keeping talented employees.

Treat Everyone With Respect

This perhaps goes without saying, but there’s another saying: employees leave managers, not companies. Going out of your way to treat the people who remain with you (especially now) with respect and showing you care about their needs will go a long way in making them feel valued. Giving space for employees to tell you what they need will also yield valuable information that will help improve an organization. One area we placed our focus on was keeping our drivers in well maintained trucks, which resulted in us investing in maintenance schedules and routine repairs. Our drivers are happier as a result and treat our customers exceptionally well.

Host a Regular Check In With Employees

Due to increased shipments across the American Economy, there is a greater risk that all of a company’s current employees are working harder than ever and feeling the burden of carrying the company. This is true for manufacturers as well as carriers. Hosting a check in with current employees to see where they’re feeling stressed and what management can do to help will do wonders for morale. These employees will provide invaluable insights into how the company can prevent burnout with the current employee base. The last thing anyone wants is to see more employees leaving. The more we can help employees in-house, the better it is for everyone. Current employees may also bring referrals for new hires, which is a win-win for everyone.

Here at Zip Xpress, we understand the importance of retaining talent, especially in uncertain times. We strive to do our best in keeping our employees satisfied with their work and developing our talent from within. It’s a process we continue to refine, but the results speak for themselves. When employees are satisfied, they’re apt to treat our customers with the utmost respect, which creates satisfied customers. Everyone at Zip Xpress is willing to help, and we do our best to help everyone inside and out. To see for yourself, start today with Zip Xpress!

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Assessing Supply Chain Risk

Every manufacturer needs to assess their supply chain risk at some time or another. You need to understand where vulnerabilities lie, especially at a time when market forces are creating volatility. Performing risk assessment allows you to be prepared and take active measures to ensure your company will be less vulnerable in the long run against unforeseen circumstances. Supply chain risk assessment is vital in preventing complacency since many companies understandably place innate trust in their suppliers. However this can cause manufacturers to be ‘blindsided’ in the event something goes wrong.

Analyze Every Angle of the Supply Chain

Viewing risk from the perspective of only your suppliers creates a myopic view, which doesn’t allow you to understand how much the supplier factors into your total risk exposure. On the other hand, only viewing the supply chain from a holistic perspective makes it difficult to understand where the ‘real’ vulnerabilities lie.

Perform Risk Audits on Every Supplier

Chances are you have a few suppliers that are key to your business. If this year has shown us anything, it’s that even the largest supply chains are still vulnerable. Performing risk audits on your suppliers forces you to prepare and prevent complacency. Also keeping your files up to date keeps your company up to date on all of the factors in your supply chain, which lets you see potential risks and allows you to adjust ahead of time.

Perform an Assessment of Each Particular Risk

Performing assessments tied to particular risks allows you to ‘see’ the potential impacts to your operations. Modeling these crisis events can show what you have direct control over and how you can prepare in the event of a crisis. You can begin to take preventative measures which will allow you to adapt as circumstances change. Staying on top of these situations will help you in the long run. It’s also important to remember that this is an ongoing process, one that needs to be performed over and over since circumstances are always changing.

At Zip Xpress, we understand the importance of assessing supply chain risk. We work with all of our customers to asses their risk and help them with any vulnerabilities to keep their shipments moving. We help each customer through our custom carrier solutions, a process where we partner with each customer and treat their problems as our own. If you want to see these solutions for yourself with your business, start today with Zip Xpress!

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Keeping Drivers Hydrated

We have experienced many hot, humid summers across large stretches of the United States as of late, which are not only uncomfortable to drivers, but potentially dangerous. When drivers are suddenly exposed to such heat waves, their bodies may not be acclimated to the heat, which can cause sudden and unexpected dehydration effects. Here we offer a few tips on keeping drivers hydrated because their lives are more precious than any freight they are transporting.

Stay Hydrated, Even Before You Feel Thirsty

When it comes to water, our bodies are not the best at indicating whether we’re hydrated or not. When we feel dehydrated, the situation is much worse than that and many drivers may not drink enough water to replenish what has been lost. Keeping a fully stocked supply of water inside the truck is exceptionally helpful in making sure you have enough to drink, especially when on the road. Keeping watermelon or cucumber inside your cooler is also a helpful and refreshing treat. Drinking water ahead of time before exhibiting any symptoms of dehydration also helps make sure you won’t get dehydrated while driving, which helps keep drivers alert.

Avoid Caffeinated Beverages

Energy drinks and coffee are popular in order to stay alert, but the sugar and caffeine can cause dehydration. If you wish to stay alert, then you’ll need to consume an equivalent amount of water in order to remain hydrated on top of the recommended daily ounces of water (90 for women, 125 for men). Adding extra water or fruits/vegetables to counteract the sugar and caffeine is never a bad strategy.

Avoid Large Meals

Digesting large, calorie-dense meals causes the body’s temperature to rise, which can be hazardous inside a cab during a heatwave. Eating salads, leafy greens, fruits and vegetables will be easier on your stomach during hot days and replenish water in your system. While preparing these meals ahead of time will take a little more additional time, you will feel better and less likely to feel fatigue than you would if you had a larger meal.

If You Feel Any Symptoms of Dehydration – Pull Over

If at any point you feel dry mouth, nausea, headaches, confusion or dizziness, stop immediately and notify your company’s dispatcher. Your life is more important than any delivery so please treat it accordingly. Your carrier will work with the customer and they will also agree that your life is more important than the shipment. Schedules can always be revised so please be sure to get the rest you need.

Here at Zip Xpress, we understand the hard work every driver performs, and since we’re based out of Michigan, we’re exposed to every type of weather imaginable. We want all drivers to be prepared, because we value their hard work and we know that they’re the face of a carrier. A driver has an immense responsibility, so the more we can do to keep them safe, the better they can do their job. To see this commitment to drivers for yourself, start today with Zip Xpress!

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Fixing a Broken Supply Chain

It is no secret that many industries have faced interrupted supply chains this year. With shortages across wide swathes of the American economy, companies are searching for ways to repair their broken supply chains and get their shipments to customers. A broken supply chain can cause irate customers and lost trust in a company’s reputation. Here we provide a carrier’s perspective on what can be done to fix a broken supply chain.

One of the methods in fixing this problem begins with proper logistical planning. While nobody could have predicted the events of the past two years, many companies don’t have proper supply chain management plans in place. Their solutions are often to search using brokers in the hopes of finding a great deal and their shipments are often “thrown in” with the rest. Instead what’s needed is a comprehensive supply chain management plan, especially due to the tightened capacity we’ve seen this year. It is natural for some companies to panic and seek out a full truckload for their shipments to secure their space, but more often than not, they don’t need a full truckload, which only exacerbates the capacity problem. It would be far better to partner with a carrier and build a shipment plan that is best for your organization, rather than hoping this will all blow over.

Supply chain risk management is becoming an increasingly valuable field, but risk management begins with identifying where you’re most vulnerable. An example of vulnerability in a supply chain could be sourcing a component or material from a single provider. If the supplier faces any challenges such as price fluctuations or being shut down for any reason, now your company is forced to scramble for a replacement. Developing your supply chain plan requires you to map out your entire logistical process, including distribution facilities and transportation hubs. This will not be easy, but seeing the vulnerabilities will allow you to develop contingency plans in the event something goes wrong.

The final key to fixing a broken supply chain is communication. Communicating with your suppliers as well as your customers keeps everyone apprised of the situation and allows for innovative solutions to rise to the surface. Communication prevents silos from forming across organizations, which cause vulnerabilities in the supply chain. When you partner with a carrier that understands your supply chain, you’ll find it far more resilient and less likely to be affected by outside forces.

Here at Zip Xpress, we understand the importance of fixing the supply chain. Nothing frustrates everyone more than supply chain disruptions, which is why we partner with all of our customers and assist them in overcoming their shipping challenges. We assist them in the form of our custom carrier solutions, which have been helping companies now for 20 years. To see how our custom carrier solutions can help you, start today with Zip Xpress!

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Keeping Your Supply Chain on Track

The peak season for 2021 is just around the corner and it’s vital for shippers to begin preparations in an effort to ensure there will not be an interruption in shipments. Shippers who don’t have an established plan for their supply chain may find themselves at the mercy of the spot market, where brokers will prey upon both shippers and carriers, exploiting the market conditions for their own gain. Our goal is to see shippers and carriers protected from these practices and ensure that shippers and carriers have a bountiful year.

The key to avoiding the spot market is to align your business with a trusted carrier that is experienced in handling your freight. This prevents shippers from being forced to compete for tightening capacity and allows both parties to develop a shipping plan that works for everyone. Collaboration is always rewarded in logistics since shippers are provided access to proven processes, systems, dedicated teams and experienced leadership that will provide the best solutions for any supply chain problem.

Another method in keeping your supply chain on track is collaborating with your carrier in regards to shipment schedules and methods of transportation. Your carrier will know their capabilities as well as their shipment schedule and will be more than willing to create a shipment plan that works for you. They’ll be able to provide you with options, a vital asset that may not always be available during peak season. Businesses that laid the foundation by collaborating with a carrier have seen a smoother process and are happier with the results.

Here at Zip Xpress, we understand the importance of preparing for the peak season. We specialize in handling unique freight, but we’re willing to work with any business that is in need of an efficient supply chain. We will provide you with the custom carrier solutions you need to make the right decision and create a better supply chain that will get you through any market conditions. To see for yourself, start today with Zip Xpress!