Freight logistics experts are often the same person or company as the freight broker

Third Party Logistics

Third party logistics are the large number of details, which have to be managed in order to guarantee shipments arrive safely and on time. Freight logistics experts are often the same person or company as the freight broker. Brokers have to be licensed, have received proper training in several specific areas and must have extensive knowledge in the freight industry.

Part of this knowledge is in the planning of routes to maximize efficiency. It does not matter if the trucks are going the long haul or traveling a dedicated lane within a metropolitan area, saving fuel and time are critical issues which must be taken in consideration when plotting out in a route. On long routes, it is important to have a full load on the way back to save on the costs of drivers, fuel, and maintenance. Deadhead waste, drivers, fuel, and maintenance.

The management of dedicated lanes can be complicated. When LTL loads are destined
outside the carrier's service area, the loads are usually taken to central hubs where they are offloaded, then loaded onto another carrier's rig. This is known as interlining. This increases the opportunity for lost units, time, and money. It is the responsibility of the Freight brokers to negotiate all the steps to guarantee the loads are delivered as contracted.

Shipper and carrier should have warehouse and freight bill audits conducted by a freight broker or logistics expert whenever a load end up in third party warehouses. This will insure the shipper make accurate payments on a timely manner, making it easier for a carrier to offer reduced rates. Tracking loads online is another option offered by freight brokers, which saves money by knowing exactly where a load is at all times.


 

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