Archive for August, 2009

Customer Expectations

Wednesday, August 26th, 2009

What are customer looking for in a quality transportation carrier? I have worked for trucking companies and shipping companies and these are some of the things I think they are looking for when moving their freight.

1. Exceed customer expectations. Go above and beyond from what they expect. Let them know when the truck is loaded, empty or has a problem.
2. Quality customer service. Be proactive with problems and meet your customer’s needs. .
3. First impressions are always important. Everything can go wrong with the load, but if you are honest, upfront and keep your customer informed can earn your customers respect. Remember most other trucking companies lie to them.

I could think of others, but I think these three are the most important.

for more information on freight moving, contact Jose at
jose@momentumtransport.com

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Too litte freight, Too many trucks

Monday, August 24th, 2009

In the second half of 2009 many trucking companies are shedding excess capacity in many ways. They are doing so by decreasing fleets, selling trucks and trailers, and some smaller trucking companies are just shutting their door. With shortage of trucks on the road means increased profitability for shippers. There are too many trucks on the road competing for same freight, which means bargain basement pricing.

Shippers that are on a daily basis are asking their transportation service providers to renegotiate rates. Many are forecasting that the trucking industry will not see relief until about December 2010. Until then shippers will enjoy the lowest rates in decades for truckload service. Many shippers are currently sending requests for proposals and trying to lock in rates for the next few years.

Driver Shortage

Friday, August 21st, 2009

The trucking industry is currently facing a driver shortage. Since 2005 the shortage of commercial freight drivers has been falling. At the moment the industry is short about 20,000 drivers reports the American Trucking Association. Along with the freight index unchanged from May to June. Freight transportation in the US has stalled and it is at its lowest levels since 1997 the U.S. Department of Transportation reports. Commercial drivers transport 75 percent of domestic goods in the United States. This shortage will have some effects, such as delays in the arrival of goods, increase in freight rates and in turn increase in cost of domestic goods.

for more information on freight moving, contact Jose at
jose@momentumtransport.com

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Break Even Point

Monday, August 17th, 2009

Find your Break Even Point:
To effectively run your truck one should find the Break Even Point. Knowing this information well can help you make a informed decision when booking freight. Knowing your Break Even Point will help you keep your trucking company running in the black.
Here is some helpful information, so you can determine your Break Even Point;
1. Fixed Cost – These are expenses that are always recurring, such as; truck payments, office expenses, any salaries, insurances and taxes. Add all your annual figures and divide by 365 (the number days in a year).
2. Consistent Variable costs – These are expenses that occur when the truck is rolling, such as; tires, maintenance, repairs and truck washes. You can use figures from last month. Total these cost then divide them by miles driven and this will give you cost per mile.
3. Specific Costs – These are expenses that occur on a load by load basis, such as; fuel, tolls, lumpers, etc. This will be single dollar value

Equipment Specifications

Friday, August 14th, 2009

I frequently get calls on quoting equipment for heavy haul movements. I am finding that on a regular basis that some of the shipping companies do not have the proper dimensions on their equipment. This can make very hard to give a proper quote and order permits for the freight movement. So before I give a quote to a customer, I get the make and model of the equipment. Whether it be a combine, cold planer, crawler loader or harvester, I have found the best place to dimensions is the Rithcie Brothers specifications site. Here is a direct link for the sight www.ritchiespecs.com.

for more information on freight moving, contact Jose at
jose@momentumtransport.com

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Due Diligence

Wednesday, August 12th, 2009

Due diligence as defined by Websters Dictionary:1 : the care that a reasonable person exercises under the circumstances to avoid harm to other persons or their property.

Remember, you are only as good as your last load. Always handle your due diligence when transporting a load. Shipping companies like when you are on top of your game. You can do this by call your drivers or having your drivers call in when loaded. Check call your drivers on a daily basis to ensure that they are running on time and in some cases in the right direction. Update your customers on estimated delivery times. Be proactive and let your customer know when there is a problem. There is nothing worse than a customer informing you that there is a problem.

for more information on freight moving, contact Jose at
jose@momentumtransport.com

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Jason’s Law

Monday, August 10th, 2009

Jason’s Law
Jason Rivenburg was a truck driver that was senselessly killed.
This is a possible legislation regarding truck driver’s safety and security. According to Rep. Paul Tonko; Jason’s Law would create 6 pilot programs to make available $120 million ($20 million each year) available to local government and private companies to address the shortage of truck parking on the national highway system. The grants would provide for several initiatives.

Construction of safety rest areas that include parting for commercial motor vehicles
–Constructing commercial motor vehicle parking facilities next to commercial truck stops and travel plazas
–Opening existing facilities for commercial motor vehicle parking, including inspection and weigh stations and park-and-ride facilities
–Promoting the availability of publicly or privately provided commercial motor vehicle parking on the National Highway System
–Constructing turnouts along the National Highway System for commercial motor vehicles
–Making capital improvements to public commercial motor vehicle parking facilities currently closed on a seasonal basis
–Improving the geometric design of interchanges on the National Highway System to improve access to commercial motor vehicle parking facilities
Priority would be given to grant applicants that can demonstrate a severe shortage of commercial motor vehicle parking, who have consulted with affected government agencies, community groups, and private companies, and demonstrate that the projects would have positive effects on highway safety, traffic congestion, or air quality.
Once introduced, the bill will be referred to the House Transportation and Infrastructure Committee

Modes of Transportation

Wednesday, August 5th, 2009

In today’s world “global logistics” is a must to understand. Three factors that can determine the mode of transportation that best fits your freight shipping needs are cost of transportation; perish ability, and value-to volume ratio. Once you have found the factor that works for you the next step is to pick a means of transportation. One way to transport your goods is by ocean shipping. Ocean shipping can be a great way to ship large amounts of products overseas with routes that are scheduled on a regular basis. This type of transportation is idea for heavier, bulky types of products instead of perishable products. Air freight can be seen as a better way to ship products of high value to far places in a fraction of the time. Costs for this type of service is more expensive then other means of transportation, but can save time in getting that much need product to its buyer. Next, there is trucking that can be used for just about any product large or small with a cheaper price for service. Trucking can be idea for car transportation, heavy freight, and perishable’s. The main factors affecting the price of shipping products are the distances between both locations and what it is you are shipping.

These modes of transportation required experience and understanding of the global logistics paper work, customs, and economic efficiency of all the parties involved. Make sure when selecting a reliable Freight company that these basic issues are handled in a professional way.

Freight, Importance of a bill of lading

Monday, August 3rd, 2009

I recently had a customer shipping freight from the west coast to the east coast. The shipper did not have a bill of lading and the trucking company did not have an of his company bill of ladings. I explained to the customer that it is necessary for him to provide a bill of lading.

The bill of lading is a contract between the shipper and the trucking companyand the terms are binding in the court of law, they are also binding for the consignee. The bill of lading is moving document and does not function as proof of delivery.
Important information that should be on the bill of lading
1. Name of consignor
2. Name of consignee
3. Origin and destination
4. Number of packages
5. Description of freight
6. Weight and volume/measurements of freight

for more information on freight moving, contact Jose at
jose@momentumtransport.com

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