Carrier Management Software for Better Shipping Control
Contrary to popular belief, volume does not fix every problem. Nor does that change when talking about things like Full Truckload versus Less Than Truckload shipping methods.
While full truckload (FTL) shipping is much cheaper and more efficient, it features its own shortcomings. As a matter of fact, there are a few FTL problems that all shippers experience at some point.
In this blog post, we are going to outline a few of these more common challenges associated with FTL shipping. Better yet, let's discuss how proactive shippers meet these issues head-on and resolve them quickly and efficiently.
So, get ready to take a few notes as we give you tips for navigating FTL shipping in the best way possible.
Create a Reliable List of FTL Carriers
As there remain nationwide ongoing issues with hiring qualified truck drivers, FTL shippers face surmounting challenges. Whether it's due to a shift in our culture, increasing age of current truck drivers, or difficulty in finding new recruits, it is a very real issue in the shipping industry.
However, there are still a massive amount of well-qualified and reputable FTL drivers out there. All you have to do is find them... and then make a list!
Finding an experienced carrier to work with, no matter the shipping mode, is always the logical first step. Carriers are the lifeblood of the shipping industry and with fewer and fewer drivers every year, we need to support and work with the reputable ones we already have in the field.
One piece of technology helping shippers find and hire the right FTL carriers is transportation management systems (TMS). Alternatively, there are also carrier management systems (CMS).
These programs are generally cloud-based, and they are built with multiple useful tools and apps. These tools allow shippers to search for carriers by custom criteria such as the location and shipping rates of potential FTL carriers.
Understand How FTL Rates are Created
Another common issue with FTL shipping is inconsistent or inflated shipping rates.
Supply and demand dictate pricing in most industries, and it's even more applicable with full truckload carriers. A little known fact is that FTL rates are not regulated by the NMFTA (National Motor Freight Traffic Association). And since that is the case, how is a shipper going to know whether the rates they are estimated are fair and accurate based on the market?
Shippers can simplify this common problem by using TMS platforms to research the FTL rates for carriers serving their region.
The TMS searches for rate estimates based on your location, load size, or other customized preferences. An important tip to remember is to use the TMS platform to book FTL carriers who offer shippers the best value... not necessarily the lowest rate.
Integrate Best Practices for FTL Shipping
Did you know that there is a proven list of best practices for FTL shipping?
In case you aren't up to speed, FTL best practices are a unique set of 'general rules' that shippers should follow. These rules help them ensure they receive the best service, timely delivery, and consistent FTL freight movement.
Here are three items that any shipper should consider as they look for, book, and depend on FTL carriers to move their freight to customers.
Establish Consistent FTL Schedules
Repeat business is a great thing in any business – but FTL carriers especially love consistent business. When they can count on your business frequently, they generally reward shippers with discounted or reduced shipping rates.
Integrate FTL Technology
Staying ahead of trends in FTL technology can be a time consuming and challenging task for a busy shipper. However, when new technology comes along, it's important to integrate it into your operations.
Having the latest technological platforms on-hand ensures that you stay ahead of the game. Additionally, when dealing with FTL carriers, you should strive to use the same communication and reporting tools that they utilize. This just keeps everything concise and streamlined.
Be Flexible When Scheduling
It's well understood that customers want and need your products as soon as possible. However, if you have some flexibility for routing your FTL shipments, you can save a tremendous amount of money.
This is simply something that you should discuss with your carrier. Once again, this flexibility is sometimes a perk given you receive from our first tip; establishing a consistent FTL schedule.
Final Thoughts
Another FTL shipping best practice is to work with a Modern 4PL partner like Redwood to help you integrate new technology, book the right carriers, and help navigate the common hurdles associated with full truckload shipping.
If you decide to go the FTL shipping route and would like to learn more about how Redwood's Modern 4PL approach can help you improve your FTL operations, give us a call today!
FAQs
What is FTL shipping and when should you use it?
FTL shipping, or full truckload shipping, is a freight method where one shipper’s cargo fills most or all of a trailer. It is a strong fit for large shipments that do not need to share space with other freight. Because the trailer is dedicated to one shipment, FTL is often more efficient than LTL for higher-volume moves.
How do you find reliable FTL carriers?
You find reliable FTL carriers by building a vetted carrier list and using transportation management systems (TMS) or carrier management systems (CMS) to search by criteria such as location, shipping rates, and service history. The article also emphasizes that strong carrier relationships matter, since experienced carriers are the foundation of consistent freight movement.
Why are FTL rates so hard to compare?
FTL rates are difficult to compare because they are not regulated by the NMFTA and are shaped by supply and demand. That means pricing can vary by region, load size, and carrier availability. Using a TMS helps shippers research market-based estimates so they can judge whether a quote reflects fair value.
How can a TMS help with FTL shipping?
A transportation management system helps with FTL shipping by searching carrier options and estimating rates based on your location, load size, and other custom preferences. It gives shippers a faster way to compare carriers and avoid relying on guesswork. It also supports better decision-making when capacity is tight or pricing looks inconsistent.
What are the best practices for managing FTL shipping?
The main FTL shipping best practices are to establish consistent schedules, integrate current technology, and stay flexible with routing when possible. Consistent business can help support better pricing, while shared communication and reporting tools keep operations streamlined. Flexibility on routing can also create meaningful cost savings.
Why does a consistent shipping schedule matter for FTL carriers?
A consistent shipping schedule matters because carriers value repeat business, and that reliability can lead to discounted or reduced shipping rates. Regular volume also makes it easier to plan capacity and build a stronger shipper-carrier relationship. In FTL shipping, consistency often creates more leverage than one-off spot moves.
How can flexibility in routing lower FTL shipping costs?
Flexibility in routing can lower FTL shipping costs by giving carriers more options to fit your freight into efficient lanes. If you can adjust timing or route plans, you may reduce transportation expense without changing the shipment itself. This works best when paired with a consistent schedule and open communication with the carrier.
