by logisticsplus | Apr 5, 2017 | News
WP$E Radio continues to air short Logistics Plus interview audio clips as part of its business programming. WP$E AM 1450/FM 107.1 is a commercially licensed radio station serving Erie County, Pennsylvania. In addition to providing a one-stop source for global and financial news, WP$E also airs ongoing commentaries from regional business leaders.
Here are some recent WP$E interview audio clips from Jim Berlin, founder and CEO of Logistics Plus (click the icons below to listen to the audio replays).
Logistics Plus website and logistics comments
The more we grow the more we see non-U.S. shipments
People don’t think about it, but everything moves
This is our field of expertise – we know how to do this
More and more companies want to outsource functions
Strong enough to swim with the sharks
by logisticsplus | Mar 24, 2017 | News
Nick Hastreiter over at The Future of Everything recently posed the question “How will logistics change in the future?” to a number of successful logistics business leaders. Logistics Plus founder and CEO, Jim Berlin, was included in the article. Jim’s contribution, and the complete article, can be found on the The Future of Everything website by clicking the image below.
by logisticsplus | Mar 22, 2017 | News
Logistics Plus and Erie Metropolitan Transit Authority Work Out Parking Lot Deal
EMTA to use Logistics Plus Sassafras parking lot in exchange for new lighting, lot maintenance.
ERIE, PA (March 22, 2017) – Logistics Plus Inc., a leading worldwide provider of transportation, logistics and supply chain solutions, recently agreed to a temporary parking lot arrangement with the Erie Metropolitan Transit Authority (EMTA). EMTA will use the far end of the Logistics Plus lot just off of Sassafras Street and 14th Street (behind the Rapid Transit Building, west of Union Station) for parking for the next two years while it renovates its own parking garage. In return, EMTA will provide updated lighting and pavement, and will arrange for plowing services for all Union Station lots during the winter months.
“EMTA will have about 75 cars there (in the Sassafras parking lot) daily. In return for us letting them use that previously unused space, they will light the yard better, pave it, and plow it,” said Jim Berlin, founder and CEO for Logistics Plus. “It’s a fair deal and a win-win for both parties. Plus, I like the idea of having more ‘life’ here around the Union Station area.”
“I appreciate Jim working with us on this arrangement – it’s a good exchange,” said Michael Tann, executive director for EMTA. “The Sassafras lot is located in the heart of Erie and is only a few blocks from the EMTA offices. It’s great when local businesses and agencies work together to support projects that will ultimately improve the greater Erie community.”
About Erie Metropolitan Transit Authority
Erie Metropolitan Transit Authority (EMTA) is the region’s public transportation provider in Erie, Pennsylvania. EMTA currently operates 28 fixed routes through Erie County; including Albion, Cranesville, Elk Creek, Erie, Fairview, Girard, Harborcreek, Lake City, Lawrence Park, McKean, Millcreek, North East, Summit, Union City, Waterford, Washington, and Wayne townships. In order to provide reliable service to as many as possible in Erie County, these fixed routes operate an average of over 20 hours and over 5,500 miles each day Monday through Sunday. More information at: http://www.ride-the-e.com/fixed-route/
About Logistics Plus Inc.
Logistics Plus Inc. provides freight transportation, warehousing, global logistics, and supply chain management solutions through a worldwide network of talented and caring professionals. Founded in Erie, PA by local entrepreneur, Jim Berlin, 20 years ago, Logistics Plus is a fast-growing and award-winning transportation and logistics company. With a strong passion for excellence, its 400+ employees put the “Plus” in logistics by doing the big things properly, and the countless little things, that together ensure complete customer satisfaction and success.
The Logistics Plus® network includes offices located in Erie, PA; Alma, AR; Little Rock, AR; Los Angeles, CA; Riverside, CA; San Francisco, CA; Visalia, CA; Atlanta, GA; Chicago, IL; Detroit, MI; Kansas City, MO; Charlotte, NC; Lexington, NC; Buffalo, NY; Cleveland, OH; Charleston, SC; Greenville, SC; Nashville, TN; Dallas, TX; Fort Worth, TX; Houston, TX; Laredo, TX; Madison, WI; Bahrain; Belgium; Canada; Chile; China; Colombia; Egypt; France; Germany; India; Indonesia; Kazakhstan; Kenya; Libya; Mexico; Poland; Saudi Arabia; South Sudan; Turkey; UAE; and Uganda; with additional agents around the world. For more information, visit www.logisticsplus.com or follow @LogisticsPlus on Twitter.
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Media Contact:
Scott G. Frederick
Vice President, Marketing
Logistics Plus Inc.
(814) 240-6881
scott.frederick@logisticsplus.com
Click image below to download the Logistics Plus logo:
by logisticsplus | Mar 21, 2017 | News
If you’re new to LTL shipping, here’s a quick primer on the industry, its history, and some tips on how to get the most out of your LTL freight spend. The abbreviation “LTL” stands for “Less Than Truckload.” This refers to a shipment that does not require a full trailer to move. In practice, LTL shipments from multiple shippers are generally combined into a full (or near-full) trailer-load that will move in a pre-defined pickup and delivery network. An LTL shipment is first picked up by a “city driver” who makes his way from shipper to shipper until his trailer is full or his route is completed. Those shipments will be brought back to a local city terminal where they will be moved from the city operation to the “linehaul” (or highway) operation. A linehaul driver will then transport all of the shipments from the origin city to a final destination city (or first to an intermediary consolidation facility). Once at the destination terminal, shipments will be moved back into the city operation for final delivery. While that is an extremely simplified overview, it’s pretty much how it works in a nutshell.
Due to the high barrier to entry (building an LTL network takes significant capital investment), a relatively small number of LTL carriers dominate this segment of the transportation industry. In fact, according to SJ Consulting, the top 25 LTL carriers comprise over 90% of the industry. Recent industry consolidation continues to support larger, growing market shares for the biggest LTL carriers such as FedEx Freight, XPO, YRC Freight, Old Dominion, UPS Freight, Estes, and a number of regional players.
The History of LTL Shipping
The U.S. government started regulating the trucking industry in 1935 under the direction of the Interstate Commerce Commission (ICC). The Motor Carrier Act of 1935 required new truckers to seek a “certificate of public convenience and necessity” from the ICC. The act required motor carriers to file their rate tariffs with the ICC 30 days before they became effective. The tariff could then be subject to a challenge by another carrier or railroad which could lead to a suspension of the tariff until an investigation could be carried out. In 1948, the government allowed carriers to fix prices and allowed them to be exempt from any antitrust legislation. For the next 30 years competition was virtually extinguished as the ICC denied applications from new carriers. The industry began to change in the early 1970’s when new administrations implemented a number of acts to reduce price fixing and collective vendor pricing. The final part of the deregulation was the Motor Carrier Act of 1980 which resulted in intense price competition and lower profit margins for the industry; with thousands of new low-cost, non-union carriers entering the market. After 1980, average LTL rates would continue to fall while the number of LTL carriers doubled between 1980 and 1990.
Today, the $35 billion LTL industry remains an important, but small component of the $700 billion total U.S. freight transportation pie; but it is seen as a vital component for many shippers’ supply chains – particularly those based on just-in-time and continuous replenishment systems. The American Trucking Association (ATA) regularly publishes reports on the state of the trucking industry that includes some of these statistics.
Quick Tips for New LTL Shippers
If you’re new to LTL freight shipping and trying to develop a good approach to getting the most out of your freight spend, here are a few tips to get you started.
- Fill out your bill of lading correctly. A bill of lading (BOL) works as a receipt for the goods shipped, indicates contracted details between carrier and shipper, defines a consignee, and functions as a document of title. An accurate BOL informs the carrier how the shipment should be handled and billed. Be sure to place the correct NMFC item number and freight classification for your shipment on your BOL.
- Know your freight class. LTL shipments are based on a system of freight classifications (freight class). There are 18 different freight classes; lower classes represent dense freight that isn’t easily damaged and can be handled easily. Higher freight classes represent lighter, less dense freight that is fragile and difficult to move. Higher classes equate to higher rates. Incorrectly classifying your freight can lead to “re-classification” fees.
- Avoid unnecessary accessorial fees. Accessorial fees compensate carriers for additional services and equipment beyond their normal shipping procedures. Accessorial fees can be added if the shipper misrepresents a shipment’s freight classification, if a driver is turned away from a delivery or the consignee is not present, if the BOL is not filled out correctly, and in many other scenarios.
- Use pallets when possible. Pallets make shipments easier for carriers to move. Use pallets when pieces fit squarely within the pallet’s edges, height and width of a shipment are similar, and if the individual pieces in a load exceed 100 pounds. Also keep in mind that the weight of the pallet should be included in the weight you show on your BOL.
- It’s all about the net price. To determine your net LTL price, several factors come into play: origin and destination, weight, freight class, density, base rates, discounts, minimum charges, and accessorial fees. Oftentimes shippers focus on the amount of discount they are receiving, but discounts can be misleading because there are many different base rates upon which the discounts may apply. That’s why it is important to focus on only the net price, and not the discount.
- Work with a 3PL partner that has LTL expertise. A good 3PL partner with experience managing LTL services and carriers can help shippers properly classify their products, complete accurate bills of lading, avoid accessorial fees, negotiate great rates, and go-to-bat when issues arise. The freight experts at Logistics Plus have been managing LTL shipping for companies, large and small, for over 20 years. We’d love to help you manage your LTL shipping too!
by logisticsplus | Mar 16, 2017 | News
Logistics can be maddening at times, and the month of March is no exception. However, since March is the official month of madness, we thought we’d provide a few tips for shippers to consider to avoid some of the madness that often comes with freight transportation and logistics.
- Packaging your freight properly. Poorly packaged freight increases the risk that your shipments will get damaged; and many carriers are starting to decline damage claims when improper packaging is the culprit. Review your packaging processes – and enlist help if needed – to reduce your risk and avoid these unnecessary time and money costs.
- Inaccurately weighing your shipment. Some companies don’t have the proper equipment to accurately weigh shipments which leads to inaccurate weight estimates on your bill of lading (BOL). Most carriers now have certified scales at their terminals, and will re-weigh shipments and add on a fee to your invoice if the original estimate was inaccurate. Re-weighing fees add up quickly, so purchasing a proper, certified scale can save money in the long-run.
- Inaccurately classifying your freight. When it comes to LTL freight, shipping at a lower freight class will be less expensive than shipping at a higher freight class. If you don’t know the NMFC item number for your product – and place that item number on your BOL – you run the risk of a carrier re-classifying your shipment and adding on an additional fee. Freight class is an important factor in how LTL carriers determine their freight charges, so they spend a lot of time and effort on analyzing and re-classifying freight. So if you don’t know the proper freight class for your shipment, make sure you ask an expert ahead of time.
- Not knowing to whom you’re shipping. Shippers must know the consignee’s capability to receive a freight shipment. For example, if the consignee doesn’t have a receiving dock, then a lift-gate might be required for the carrier to effectively deliver your shipment. If you don’t specify this in advance, you run the risk of redelivery fees if the carrier must make an extra trip to provide the final delivery. The same fees might apply in cases where the consignee has only limited receiving times, in which case an advance appointment might be appropriate. So knowing where your freight is going, and assigning the proper services to your shipment in advance, are important factors in maximizing efficiency.
- Relying on a single carrier. Some shippers rely on only one (or a couple) carriers for all of their transportation needs. Relying on one carrier alone to handle all of your shipping can lead to sub-optimization and end up costing you more time and money. Generally speaking, regional carriers are faster and less costly on short-haul moves, while national carriers perform much better at long-haul and coast-to-coast deliveries. Working with multiple carriers – or a 3PL that has multiple carrier contracts – allows you to optimize your deliveries using the right carriers.
- Not inspecting freight upon delivery. Consignees should always inspect the freight they receive before they sign a carrier’s delivery receipt. Any damages or abnormalities should be noted on the delivery receipt. If a damage notation is omitted on the delivery receipt, it will be difficult to recover any costs with a damage claim. When in doubt, make a note on the delivery receipt that there are possible damages pending a more thorough inspection.
- Using incorrect shipping or receiving addresses. This remains one of the most common shipping mistakes. Inaccurate origin and destination address information can lead to missed pickups and delayed deliveries – often times with additional re-delivery or re-consignment fees. Even one wrong ZIP code can result in a time-consuming effort to track down a shipment. So take time to review your address information when completing a bill of lading – it will save many headaches down the road.
- Not using an experienced, reputable 3PL partner. Okay, this tip is admittedly a little self-serving. However, an experienced and reputable 3PL can help with you with many of the items above. They will also have the leverage to go-to-bat for you when things go wrong – and we know at some point, things always do. A good 3PL can alleviate much of the “madness” that goes into logistics. So enjoy the fun “madness” that comes with “March”; and leave the “madness” of logistics to a partner like Logistics Plus.
