There is a lot of pent-up demand for goods and services, and it is going to take a while to satisfy that demand. The current transportation market will probably last until Q1, 2022.
• Regular freight volume to carrier preferred destinations • An understanding with a carrier that loads to non-preferred destinations will be handled as a tradeoff • Order lead time • Flexibility regarding pickup and delivery dates when possible • Specified rates within agreed-upon time parameters (monthly, seasonal, etc.) • Understanding that when spot market rates are substantially out of alignment
with contract rates then adjustments up or down as necessary will be made • Establishment of protocols regarding in-transit reporting, emergency or accident communication, delivery status, accounting and claims • Use of software dispatch and communications systems to create operational efficiencies • Establishment of performance standards and equipment requirements • Regular dialogue and meetings with carrier management to review mutual
expectations and performance and make necessary adjustments As I write this, I know that eventually equipment will become plentiful, rates will decline and the transportation world will return to normal. I also know that the stress shippers are experiencing today regarding finding transportation resources to move orders will probably be forgotten when that occurs. But I also know that the market will turn again and the stress will also return. My advice is to avoid the stress and damage to your business and convert at least part of your shipment volume to a relationship base.
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JULY | AUGUST 2021
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