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Happy Holidays<br />
BestNow<br />
The official publication of BestTransport, the leader in transportation management<br />
BestTransport.com<br />
DECEMBER 2018<br />
Game<br />
plan<br />
The secret to winning<br />
on the bottom line is<br />
start-to-finish strategy.<br />
Best can deliver it.
PORT OF ENTRY ASK REO: LESS-THAN TRUCKLOAD<br />
The rest of<br />
the LTL story<br />
It’s up to you to help carriers<br />
and dock crews do their job correctly.<br />
A good start to doing this<br />
is knowing how to measure your<br />
density. The formula is length<br />
times height times width, or l x<br />
h x w. Take the total inches from<br />
that calculation and divide it by<br />
1,728 to get the total cubic feet.<br />
Then divide the weight by the<br />
cubic feet to get the pounds per<br />
cubic foot. Voila! Density.<br />
Here’s an example: Say your<br />
shipment is 42 inches long,<br />
48 inches high and 48 inches<br />
wide. That’s 42 x 48 x 48, which<br />
equals 96,768 inches. Divide this<br />
by 1,728 and you get 56 cubic<br />
feet. So if the freight weighs 500<br />
pounds, you divide that amount<br />
by 56 cubic feet and get your<br />
density – 8.9 pounds per cubic<br />
foot. Simple! Use this for your<br />
bill of lading along with your<br />
description, measurements, exact<br />
weight at departure and exact<br />
pounds per cubic feet.<br />
Density minimum charge:<br />
Do you know it? It can increase<br />
your charges up to 211 percent.<br />
Second of two parts<br />
Know your density minimum<br />
of cubic capacity?<br />
The answers to such<br />
seemingly obscure questions<br />
could be a bottom-line key.<br />
Cubic capacity: How about<br />
this one? Know it? Taking up<br />
300 cubic feet could set you back<br />
hundreds of dollars for the shipment<br />
taking up that space.<br />
LTL is changing quickly. Best-<br />
Transport wants to ensure you<br />
are in front of the change and<br />
are proactive in guarding against<br />
increased cost.<br />
Carriers are smart, and they’re<br />
looking out for their companies.<br />
You need to look out for yours.<br />
It’s up to you<br />
to help carriers<br />
and dock crews<br />
do their jobs<br />
correctly. That<br />
means you need<br />
to know how to<br />
measure your<br />
density.<br />
And we can help. Carriers have<br />
new dimensional equipment that<br />
measures by lasers the exact size<br />
of the freight they are handling.<br />
Forklifts can weigh the equipment.<br />
When there are errors in<br />
the reported weight, there are<br />
charges for you. The same goes<br />
for tariff rules. Miss the mark<br />
and you’ll be charged.<br />
We can help. BestTransport<br />
goes beyond the Best software<br />
in the country. Our Professional<br />
Services Group can help you<br />
get the best bang for your every<br />
freight dollar, processing loads<br />
from dock to dock. Our work in<br />
helping you never stops. We ask<br />
constantly how we can do it better.<br />
We review report after report<br />
on rates, lanes, carriers, service<br />
and rules to find every available<br />
advantage.<br />
We never leave you with questions.<br />
Instead, we get answers.<br />
2 best now
OPEN TOP<br />
Freight<br />
fretting<br />
Motor carriers<br />
haul most of the<br />
freight in America,<br />
and they are in a<br />
state of crisis over<br />
capacity. It’s a fact<br />
shippers should<br />
notice and for<br />
which they should<br />
account.<br />
The report is less than sanguine.<br />
Carrier capacity is at<br />
a crisis point, and it’s not<br />
lessening anytime soon, not<br />
based on the widely anticipated<br />
freight forecast released last<br />
month by the American Trucking<br />
Associations.<br />
The trucking trade group<br />
whose forecasts are considered<br />
a bellwether for the industry<br />
predicts that truck tonnage will<br />
hit 16 billion tons this year and<br />
balloon by more than 35 percent<br />
to 21.7 billion tons in 2029.<br />
Truck volumes are projected to<br />
grow 2.3 percent annually from<br />
next year to 2024.<br />
Trucking’s current woes are<br />
expected to linger. Those include<br />
the driver shortage, e-commerce<br />
expansion, regulatory squeezes<br />
and a booming economy.<br />
“[T]his is the tightest truckload<br />
market in this century — maybe<br />
in a generation — and it’s only<br />
going to get worse,” John Schulz,<br />
a veteran trucking correspondent<br />
for Logisitics Management, told<br />
the magazine.<br />
Shippers who account for the<br />
challenges carriers face now and<br />
well into the future have the<br />
best chance of winning on the<br />
bottom line, says Reo Hatfield,<br />
BestTransport’s chief operating<br />
executive. “That’s where we<br />
come in,” he said, “Contact us<br />
today, and we’ll see to it you get<br />
through this.”<br />
december 2018 3
MAIN FRAME<br />
Plan your work<br />
Work your plan<br />
As any good football team knows, the key to winnng<br />
is developing an effective, comprehensive strategy<br />
Paul brown, the football coaching legend<br />
who racked up titles while transforming the<br />
game in the process, knew well planning’s<br />
connection to winning. “Leave as little to<br />
chance as possible,” he advised. “Preparation is the<br />
key to success.” His record spoke volumes in support<br />
of him: He guided the Cleveland Browns to seven<br />
league championships in 10 seasons and first-place<br />
conference finishes every season from 1946 to 1955.<br />
His impact still is felt today. His innovations include<br />
everything from use of the 40-yard dash to evaluate<br />
players to the creation of the passing pocket to<br />
filming practice and games for players and coaches<br />
to study.<br />
Beyond the game, Brown’s cerebral approach carries<br />
widespread implications. Shipping similarly is<br />
about preparation as much as it is freight or bills of<br />
lading. Those who leave nothing to chance have the<br />
4 best now
FIFTH WHEEL<br />
Mandate<br />
impact<br />
still felt<br />
in freight<br />
best chance of winning on the<br />
bottom line. That’s always been<br />
true, but never more so than<br />
today when the challenges are<br />
exponential, from goverment<br />
regulation to yawning gaps between<br />
limited capacity and soaring<br />
demand to wild fluctuations<br />
in the market.<br />
There’s a reason it’s called<br />
transportation management,<br />
after all. Managing<br />
the processes<br />
from<br />
start to finish<br />
requires sharp<br />
planning, constant<br />
preparation<br />
and an<br />
understanding<br />
of the big<br />
picture. This<br />
is where BestTransport comes<br />
in. The company is more than a<br />
supplier of the industry’s leading<br />
transportation management<br />
system. The company is a strategic<br />
partner for its customers.<br />
Check it out<br />
To learn how BestTransport’s<br />
Professional Services<br />
Group can help you<br />
develop a comprehensive<br />
shipping strategy, email<br />
PSG@BestTransport.<br />
Building a plan<br />
It all begins with expertise,<br />
and BestTransport is brimming<br />
with it from all angles of the<br />
freight industry. And no less<br />
important is the company’s approach<br />
to the work.<br />
“We recognize and understand<br />
the value of partnerships,”<br />
said Scott Cummans, president<br />
and CEO of BestTransport. “We<br />
work not only on partnerships<br />
with our customers but also to<br />
develop those same relationships<br />
between them and their<br />
vendors. We are seeking a scenario<br />
in which everyone wins.”<br />
And the company’s depth of<br />
knowledge is an essential facet<br />
of the process.<br />
Best Chief<br />
Operating Executive<br />
Reo<br />
B. Hatfield,<br />
for example,<br />
brings four<br />
decades of experience<br />
in the<br />
trasportation<br />
industry and<br />
a depth of understanding virtually<br />
unrivaled.<br />
“The key to all of it is building<br />
a plan that allows everyone<br />
to succeed,” Hatfield said. “If<br />
we all understand and approach<br />
it that way, we can all realize a<br />
level of success we couldn’t otherwise.<br />
When shippers understand<br />
how carriers operate, and<br />
we understand that uniquely, it<br />
allows them to set up a plan that<br />
ensures a win for everybody.”<br />
And that is the real name of<br />
the game.<br />
much of the cloud associated<br />
with the federal mandate on<br />
truckers to install electronic logging<br />
devices has vanished, but<br />
there are remnants.<br />
Early adopters of electronic<br />
logs were permitted to continue<br />
using existing systems, known as<br />
automatic onboard recording devices,<br />
or AOBRDs, for two more<br />
years. Fleets that chose to take<br />
advantage of that option now face<br />
a deadline to make the switch to<br />
ELDs by the end of next year.<br />
The switch “will probably not<br />
be painless,” Clem Driscoll, president<br />
of research firm C.J. Driscoll<br />
& Associates, said last month at a<br />
conference in Atlanta.<br />
Driven by the ELD mandate,<br />
revenues in trucking telematics<br />
have swelled to $1.1 billion, double<br />
their total since 2015, Driscoll<br />
said. In fact, keeping pace with<br />
demand became a problem leading<br />
up to the requirement kicking<br />
in, according to Driscoll.<br />
One of the big issues will be<br />
in ensuring that the changeover<br />
from AOBRDs to ELDs is carried<br />
off without a hitch, and that<br />
could be a significant challenge.<br />
That does not apply only to carriers,<br />
but to those in the telematics<br />
sector, too. Many of the companies<br />
that have emerged since<br />
the ELD mandate was announced<br />
have failed.<br />
december 2018 5
BACK HAUL PARTING THOUGHTS<br />
BY VINCE CIROLI<br />
'99 to now:<br />
Looking back<br />
More than 20 years ago, when<br />
Rick Frio and I founded Best-<br />
Transport, we believed that shippers<br />
and carriers needed to have<br />
a strong working relationship,<br />
not an adversarial one.<br />
To that end of having mutual respect, we set up<br />
two user interfaces (UI), called BestShippers and<br />
Best Carriers, and together these two UI’s made up<br />
the platform upon which the software sits along with<br />
other modules created over time.<br />
Looking in from the outside, people called us a<br />
SaaS TMS, or a Software as Service Transportation<br />
Management System.<br />
While that was, and is, a quick way to describe us,<br />
we rejected the description as not being correct or<br />
whole.<br />
We have always believed the proper way to describe<br />
BestTransport is a Management System for Transportation.<br />
The software we developed at the start of<br />
BestTransport, and even today, is designed to give<br />
transportation and other managers, the tools and the<br />
help necessary to conduct business and control cost.<br />
The original design was brought about, and even<br />
today continues to evolve, from our working closely<br />
with transportation professionals. In the very beginning,<br />
we had nearly 300 years of in-the-trenches<br />
shipper and carrier experience helping develop our<br />
software and services offering.<br />
We realized from Day One that our software was<br />
just a tool. While our tool took many manual processes<br />
and automated them and saved personnel dollars,<br />
it also produced data – information, if you will – critical<br />
to managing transportation departments to better<br />
financial outcomes.<br />
So our “system” really did not replace personnel. It<br />
redefined the job descriptions in the transportation<br />
department from doing tasks to managing information<br />
and data at a professional level.<br />
As mentioned, professional transportation managers<br />
were critical in our software design. They also<br />
became critical in achieving expected outcomes for<br />
shippers deploying our system.<br />
Today, we call these individuals our Professional<br />
Services Group (PSG). As most of our customers will<br />
tell you, the PSG is our secret sauce in gaining positive<br />
outcomes and helping customers tackle specific<br />
problems and issues, which software alone cannot do.<br />
As many of our longtime customers will tell you, we<br />
started out as an ethinktank.com doing business as<br />
BestTransport.com. The idea was to develop software<br />
and services in a think tank environment that helped<br />
transportation managers solve everyday transportation<br />
problems.<br />
That initial mission has not changed much over<br />
the past 20 years, and we believe now it might be<br />
even more critical as the transportation space evolves<br />
more quickly and dynamically than ever.<br />
To give you an example of this, I’m writing an article<br />
discussing how dynamic time and lane management<br />
is critical in controlling transportation costs going<br />
forward and how to potentially manage time for<br />
better financial outcomes.<br />
I even discuss a new way to look at lane management<br />
that can lower cost for carriers and reduce cost<br />
for shippers as well, an idea 20 years in the making,<br />
if you will.<br />
While much has changed from 1999 to 2019,<br />
much has not. That includes how to solve problems<br />
and issues.<br />
6 best now<br />
J. Scott Cummans<br />
President and CEO<br />
Reo B. Hatfield<br />
Chief Operating Executive<br />
Deborah (Chesnick) Llaneza<br />
Vice President, Professional Services Group<br />
1103 SCHROCK ROAD, SUITE 100, Columbus, OH 43085 | (614) 888-2378 | BestTransport.com