All industries are currently facing challenges with their logistics and the supply chain. Challenges that include overwhelming demand, tight capacity, rising freight rates, and shortages in materials, products, labor, and drivers. However, industries facing high flatbed demand, like construction and manufacturing, are seeing more difficulty than others. 

These industries have been dealing with capacity challenges throughout the pandemic as they have remained in high-demand. As it continues to rise, the needs for their supplies have increased, creating a surge of flatbed demand that’s weighing on the supply chain. Let’s take a deeper look into these challenges and present some considerations for how those in the industry can overcome them. 

FLATBED DEMAND VS. VAN AND REEFER

Finding truck capacity of any type is proving to be difficult. Flatbed capacity seems even more challenging because of the continued demand in construction and manufacturing. As a result, flatbed spot rates are reaching new highs and convincing more shippers to look for solutions. 

According to DAT, the flatbed load-to-truck ratio is up 169.3 percent year-over-year (YOY) from June 2020 to June 2021. In comparison, reefer’s load-to-truck ratio is up 111.7 percent YOY. Van load-to-truck ratio is up 57.8 percent YOY. 

The monthly national average flatbed spot rates have risen for eight consecutive months, reaching $3.15 per mile in June. There’s not looking to be any fall soon, as the industries pushing the flatbed demand are cranking it into the next gear. 

FACING DISRUPTION AFTER DISRUPTION

The return to normal may be farther away than you think. With demand, there are still projects waiting in the wings until materials can be properly sourced and shipped. And demand already has construction projects beyond their pre-pandemic heights. Just look at the Associated Builders and Contractors’ Confidence Index, which is now positive for sales, profit, and staffing level expectations for the next six months. 

Covid-19 Hit First..

When the pandemic hit, people had found they had nothing to do while staying home. And so, we saw a rapid uptick in those wanting to buy a new house or remodel. Demand quickly exceeded supply. Supply shortages and delays have put pressure on contractors as the demand rose despite a lack of supply.

..Then There was the Texas Freeze..

In February and March 2021, Texas saw their lowest temperatures in years and were not prepared for the intense weather conditions that they experienced. Many manufacturing plants in the area had to shut down, which created more disruption in the supply chain. 

..Then the Suez Canal Blockage..

The ship that blocked the Suez Canal for several days caused severe delays in the imports of many products needed. This created many shipping bottlenecks that we’re still experiencing the aftermath of today. 

..Now the Wildfires.

Currently, the raging wildfires on the west coast are causing further disruption and delays to an already stressed supply chain.

Issues such as these are causing supply chain disruption after disruption, resulting in increased costs and delays. Many companies rely on materials that come from delayed or now-unavailable, global manufacturers. This has shifted companies to search for regionally based suppliers, creating higher demand on smaller supply chains. After over a year of continuous supply chain disruptions, there’s been an industry-wide realization that building resilience into supply chains is vital. 

RISING FUEL PRICES

One of the areas affecting logistics cost are the continuing rise in the costs of fuel. The latest Energy Information Administration data shows the national average diesel price is at $3.34 per gallon, a $.05 increase from one month ago. Regional diesel prices range from $3.08 in the gulf coast states to $3.48 in the central Atlantic region. California diesel prices are averaging $4.19 per gallon.

SHORTAGES AND DELAYS

Lumber shortages continue to be a significant problem nationwide. Both steel and electrical supplies have faced steep price increases in the past year. According to the U.S. Census Bureau’s Small Business Pulse Survey, 59.7 percent of respondents reported domestic supplier delays which is a huge jump over the national average of 36.3 percent. These aren’t domestic only issues as 19.1 percent of respondents are also dealing with foreign supplier delays. 

MATERIALS THAT HAVE BEEN EXPERIENCING SHORTAGES

• Timber
• Steel
• Roof tiles
• Cement
• Electrical components
• Paints and sealants
• Plaster and plasterboard
• Concrete
• PIR insulation
• Bricks and blocks
• Aggregates
• PE and PP plastics
• Screws
• Plumbing items

THE RAW MATERIAL SHORTAGE

There is currently a global shortage of raw materials. This comes from factory slowdowns and, in some instances, factory closures due to many reasons. The shortage of raw materials continues to put a strain on the production of products, like insulation, paints and adhesives, and packaging.

THE LABOR & DRIVER SHORTAGE

Another cause of rising costs and delays is the shortage of labor and drivers. Labor rates have skyrocketed in recent months. This is due to the high labor demand and trades raising their rates because of the overwhelming amount of work. The big challenge these industries face is finding qualified labor to perform work, whether that be driving a truck to deliver materials and products, painting a house, or installing plumbing. In logistics, driving a flatbed truck, especially one hauling an oversized load, requires a different skill set than your typical van trailer trucking.

HIGH PRICES KEEP HEADING HIGHER

The Associated General Contractors of America (AGC) released a survey recently showing 93 percent of more than 1,400 respondents reported higher costs for materials, parts, and supplies. Construction material prices have increased so much in 2021 that the AGC issued a rare Construction Inflation Alert. This hasn’t taken since place 2008, citing a 12.8 percent jump of input costs for projects since the pandemic began. While that number is notable, some materials have risen even more. Lumber and plywood jumped 62 percent and steel recorded a 20 percent rise since April 2020. Diesel fuel, the lifeblood of the heavy equipment and transportation haulers needed to build major projects, has surged 114 percent. Even when materials are ready to be shipped, the transportation market is trying to play catch up. As mentioned earlier, there is currently more demand than there are trucks available. 

Rising costs and supply chain disruptions have pushed more hardships on the construction and manufacturing industries, slowing down their projects and business progress. Data found that more than three-fourths of construction firms have indicated projects are being postponed or canceled due to unavailable materials or cost overruns. 

POSSIBLE SOLUTIONS

Experts are estimating that the high demand in these industries and flatbed demand may continue through 2022. Not to mention, who knows what other possible disruptions we may see soon. Hurricane season is upon us and could cause some more delays. 

It’s never too late to find ways to improve your supply chain and keep costs budgeted. Here are some suggested solutions to facing this difficult time we’re in.

LOOK FOR ALTERNATIVE ITEMS

It might be worth checking into other materials to offer your customers. Many other companies are doing what they can to keep their projects moving forward and communicating this with their customers. For example, with rising lumber costs, you may find redwood or cedar to be more affordable alternatives. They may also be much easier to get your hands on. 

INTEGRATE TECHNOLOGY

Integrating technology has become a necessity for all stakeholders to maintain real-time communication and visibility. Gain total visibility and trust from your stakeholders with logistics technology like a transportation management system (TMS). A TMS can help you with routing decisions by matching your freight with the best carriers, lanes, rates, and transit service. 

Having a best-in-class TMS also provides you with data-driven insight to better manage disruptions and budget your logistics spend. By using data analytics, you’ll be able to recognize which carriers are most likely to have capacity and have a full view of your transportation management and what’s happening across all markets. 

CONSIDER NEW OPTIONS

When possible, see if you can use van options for your transportation, considering the load-to-truck ratio shows less demand and lower freight rates. You may also be able to consider other modes, if possible, but any oversized freight must be hauledwith a flatbed trailer. 

PLAN IN ADVANCE

Many other companies are stocking up on available supplies or finding other ways to look far ahead. Consider doing the same. Stock up on what materials you use most often for your projects. Do keep in mind that the more you stock up on, reduces the overall supply, increases demand, and thus pushes prices higher. Don’t go overboard and hoard ALL of it but do try to keep some stock in supply. Try planning your projects far enough out, correlating with the longer lead times we’re experiencing. If the material you need says it will take nine to ten months, then plan your project around that time frame.

BUILD A STRONG NETWORK OF CARRIER RELATIONSHIPS

Due to the over-demand of freight, load boards don’t move shipments the way they once did. Strong relationships will get you the coverage you need, better pricing options, and often better service. If building a large enough network for you seems daunting, you can always partner with a third-party logistics company (3PL), whose main role is their relationships among shippers and carriers. Here at Trinity Logistics, we have over 70,000 qualified carrier relationships to help haul your freight. 

BUILD A RESILIENT SUPPLY CHAIN

At a time when your costs are a critical issue, reimagining your supply chain could be a way to build resilience and reduce costly disruptions before they happen. Now is the perfect time for companies to build resilience into their operations to be better prepared for future disruption we may see.

Opportunities to do so range from reevaluating your business models and building efficient industrial supply chains, to building new and more regional manufacturing and distribution facilities to help with the vulnerabilities the pandemic brought to light. You could put in place more flexible sourcing and distribution strategies, including shifting your suppliers closer to home.

WORK WITH A QUALITY 3PL, LIKE TRINITY

We do more than arrange your freight. Consider us your logistics consultants. As logistics experts, we keep a close eye on the market, keeping you educated so we can help you plan and forecast. 

No matter the market, you can use your Trinity relationship and discuss your current and upcoming projects, even if they are in the planning stages. This helps us give you things to look out for to keep your transportation aspect of business more stable and reliable. When markets fluctuate, having a solid relationship with experts such as Trinity will prove to be your largest asset. 

Should issues arise, we at Trinity, work until they are resolved through and communicated. In the logistics industry, things will happen, and bad news doesn’t get better with time. We stay upfront with any challenges, and we bring solutions. When given the chance to prove our communication and service, we make sure to set the bar high. 

If you’re ready for a reliable provider to help you with your shipping needs and logistics management through People-Centric Freight Solutions®, then request your first quote to get started.

Author: Paul Nelson

Trinity Logistics is proud to announce our earned recognition on Inbound Logistics’ Top 100 Third-Party Logistics Provider list for 2021. Hundreds of companies submitted their credentials to Inbound Logistics to be considered, not only making the challenge for their selection team difficult but truly showcasing Trinity’s growing brand of People-Centric Freight Solutions® among our shipper and carrier audiences. 

“This year’s theme for our annual ‘3PL edition was 3PLs Have Your Back.’ After a year of hardships and disruptions, our audience continues to express increased interest in how 3PLs can help them improve their service, manage costs, and hone execution,” states Felecia Stratton, Editor of Inbound Logistics. “Outsourcing supply chain, logistics, and transportation solutions to a trusted partner have never been more important. The selected Top 100 3PLs exhibited trusted relationships with their partners, providing great service and solutions to the logistics industry.” 

“We are honored to be included as a 2021 Top 100 3PL Provider by Inbound Logistics!” says Sarah Ruffcorn, President of Trinity Logistics. “This has been one of the most challenging years we’ve experienced as an industry, and we are incredibly proud of the way our Team responded. They showed daily determination and resilience, serving our shipper and carrier customers.”

Here at Trinity, we consistently strive to be our best by offering our audiences customized logistics solutions through our People-Centric approach. We are honored to receive this recognition as we continue positively representing our company’s legacy by providing excellent service to the logistics industry.

A frequently asked question among new Agents is, “How much money can I make as an Independent Freight Agent?” The good news is the earning potential for talented Freight Agents is truly unlimited. You have your own book of business, manage your own time and ultimately, control your own salary. 

It’s important to say working as an Independent Freight Agent is not an easy task. Many factors contribute to your business’s success and your income. The most important factor is how much effort you are willing to put in to build and grow your business. Other factors include your level of experience, gross revenues from your book of business, the profitability of those customers, your business structure, and the support and technology offered to you by your freight broker. 

How Does an Independent Freight Agent Get Paid?

You might be wondering; how does an Independent Freight Agent get paid? Independent Freight Agents are contract workers paid through commissions via 1099 from their licensed freight broker, based on the gross margin or net revenue they produce. 

Your commission rate will depend on the freight broker with whom you work. Industry standards range from around 50 to 70 percent of gross margins paid to you. Maintaining proper insurance coverage, covering back-office operating expenses, supporting necessary technology to run your business and providing administrative support to your agency all covered by the percentage of the gross margin retained by the freight broker.

What’s the Average Salary for an Independent Freight Agent?

It’s nearly impossible to give concrete numbers on exactly how much annual revenue you should expect. This figure depends on several factors such as your experience, the size of your book of business (your customers), and the amount of time and grit you are willing to devote to the success of your business. 

It’s estimated that Freight Agents newer to the industry earn an average of $30,000 to $50,000 per year in commissions. However, some more experienced Freight Agents have been known to earn anywhere from $100,000 to $400,000 or more per year. Ultimately, determining your business plan and how much effort you are willing to put into your business will decide how much earning potential you have. 

Let’s look at a scenario example for more insight into an Independent Freight Agent’s pay.

Let’s say we have an Independent Freight Agent generating two million annually in gross sales with an average margin per shipment of 15 percent. This would yield that Freight Agent an annual income of $180,000, assuming a 60 percent commission rate with their freight broker. Comparing to the most recent published median U.S. household income of $74,580, you can see how being an Independent Freight Agent can be quite a lucrative career!  

Don’t Forget About Your Other Benefits

Money certainly holds a big value, but we know it isn’t everything. Working as an Independent Freight Agent has many other benefits outside of pay. The biggest benefit may be flexibility. Since it’s your own business, you can work from home and choose how successful you’d like to be.

Not to mention the help your freight broker offers you. By working as an Independent Freight Agent, you don’t have to worry about operating costs, licensing fees, insurance, or anything else that you would otherwise need as a freight broker. Of course, every freight broker is different in what they offer you, so make sure you do your research before signing up to partner with any company.

Do I Have to Work with a Freight Broker?

Yes, this is an absolute requirement as an Independent Freight Agent. As an independent contractor, you are not licensed to be held liable for the transportation of any shipment. Therefore you need to work with a freight broker. They are registered and licensed through the FMCSA to arrange transportation and be held liable should any problem arises. 

Make It Easier to be Successful

In any business, your success or failure correlates to your skills, planning, resources, and hard work. Make sure you have the support and technology you need to make it easier to be successful. 

By becoming an Authorized Agent with Trinity Logistics, you can gain more time to focus on your customers and generate more revenue, while we take care of everything else. We have best-in-class technology available for you, your customers, and carriers, and a whole Team ready to serve you and your growing business. 

To learn more about how Trinity Logistics’s Authorized Agent Program:

Call at 800-846-3400 x1908, 

Email [email protected], or

Author: Holly Cooper

Interruptions to the cold chain create problems such as spoilage, changes in the appearance, taste, or smell of a product, growth of harmful bacteria, or lost potency. Preventing any interruption of the cold chain is one of the main responsibilities of a logistics manager. Let’s look at some of the significant cold chain challenges you may have to face, and how you can keep issues at bay.

REGULATIONS

Regulations for the cold chain are ever-changing and complex, which is why they are one of the major challenges faced today. If your cold chain is worldwide, it can be more complicated as there is no one entity to regulate on a global scale. Each region has its own regulations, compliance mandates, and enforcement agencies. Some examples of these are:

U.S. Food and Drug Administration (FDA)

In the U.S., the federal regulatory agency for food and pharmaceuticals is the FDA. 

Most cold chain food regulations come from the FDA’s Food Safety Modernization Act (FSMA) of 2017. This regulation covers the cleanliness and function of equipment, protocols set in place for transportation, employee training on the proper handling of food in cold chains, and records of all FSMA compliance.

When it comes to pharmaceutical products, many regulations affect the cold chain. Some of those include:

• 21 CFR 203.32
  • Addresses the need for maintaining drugs under stable conditions and meeting manufacturer’s specifications.
  • 21 CFR 211.150
    • Provides guidance on the written procedures for managing expirations and a reliable system for identifying the distribution of drug samples in the event of a recall.
  • 21 CFR 203.36
    • Outlines the responsibilities of manufacturers and authorized distributors.
  • 21 CFR 205.50
    • Minimum requirements for storage and handling of prescription drugs and maintenance of distribution records

Canadian Food and Drugs Act

In Canada, the regulatory authority is the Government of Canada. The Canadian Food and Drugs Act was passed in 1920 and revised in 1985. It regards the production, import, export, and transport across provinces for food, drugs, and cosmetics including products like soap and toothpaste. It ensures products are safe, ingredients disclosed, and drugs are effective. 

International Conference on Harmonization of Technical Requirements for Registration of Pharmaceuticals for Human Use (ICH)

Many other countries, refer to ICH guidelines gathering data on a product’s safety and efficacy to establish a cold chain strategy. ICH brings together many regulatory authorities to discuss data and establish those guidelines. Gathered data is used to consider the duration of temperature excursions that can occur across distribution channels. 

Regulations can be complex and demanding at times, but they all have the same goals of retaining the safety, quality, transparency, and efficacy of cold chain commodities. The biggest key to keeping compliance with cold chain regulations is increasing end-to-end visibility in your cold chain. Keeping proper documentation of data throughout your supply chain can seem difficult but modern technology like a transportation management system (TMS), can simplify this cold chain challenge. Current technology applications like GPS tracking, ELD data, Internet of Things (IoT), and a TMS can give you advanced analytics and reporting that would otherwise be comprised of manual processes. Not only does technology offer you savings in time but of human error as many processes become automated. 

SUSTAINABILITY

Another significant cold chain challenge is the increasing spotlight on sustainability. The distribution and transportation of temperature-controlled products have shown to be major causes of greenhouse gas emissions. In comparison to other supply chain transportation, cold chain transport consumes 20 percent more fuel than other heavy vehicle types due to the refrigeration equipment. The biggest issue facing sustainability is the high-power consumption or combustion of fossil fuels necessary to power the cold chain’s cooling systems. 

There are also growing issues and increasing regulations on refrigerant gases used in cooling systems like hydrofluorocarbons (HFCs) as they are responsible for high greenhouse gas emissions. In 2015, the European Union set strict limits on the production and sale of high global warming potential HFC refrigerants. In the U.S., the Manufacturing Act of 2019 was passed which established a timeline of phasing down the use of HFCs by 2036. 

Because of the increasing pressure of sustainability and its regulations enacted on the cold chain, many large food and pharmaceutical companies have plans in place to reduce their carbon emissions. In 2015, more than 150 businesses in the U.S. signed the Business Act on Climate Pledge which launched for private sector businesses to express their support on international action on climate change. Also, in 2015, the Paris Agreement was created, signed by 195 countries at the United Nations climate change summit. This agreement aims to reduce greenhouse gas emissions to prevent the planet from warming by more than 2 degrees Celsius. 

Being sustainable in the cold chain is also something you can be recognized for now with awards such as the Supply & Demand Chain Executive Green Supply Chain Award or the Council of Supply Chain Management Professionals’ Supply Chain Sustainability Award. Some ways to consider in adding sustainability to your cold chain is improving your cold chain management to reduce waste and your carbon footprint or considering alternative transportation modes like intermodal versus truckload when shipping your products. While you’re working on improving sustainability in your cold chain, make sure the providers you work with are equally interested in sustainability as well. Here at Trinity, we are proud of our sustainability efforts and to be recognized as a SDCE Green Supply Chain Award winner and as a Food Logistics’ Top Green Provider. 

TEMPERATURE VARIANCES

Shipping temperature-sensitive items? Check out our Temperature Shipping Guide for temperature suggestions?

It’s one of the biggest and most common cold chain challenges: maintaining the required temperature of the product throughout the entire supply chain. Any temperature that is higher than the set temperature can affect a product’s quality. Not all products that get exposed to a temperature past their threshold will spoil right away, as it depends on how steep and frequent the exposure was. Once a product has begun to thaw, it is considered contaminated. Depending on the product and temperature, that window of time can be very short. There are many times during cold chain in which a product can be exposed to a temperature variance: during unloading and loading of the product, from poor packaging, handling, or broken equipment.

Loading and Unloading

As your product moves through the cold chain, it can get exposed to temperatures outside its set temp. Whenever loading and unloading your product, handling should be as quick as possible. Preventing prolonged exposure to temperature changes prevents having problems with quality. 

Poor packaging or handling

There are many different ways to package your cold chain freight so it can keep its cool. If it’s not done right or in mind of your transit time, your goods can spoil before arrival. When handled poorly, they can become damaged, causing lost product.

Equipment problems

One way the cold chain can be interrupted is when your equipment breaks down. Refrigeration equipment can malfunction due to damage, inadequate maintenance, or losing power. 

In cold storage, doors becoming damaged are one of the common challenges they face. When cold storage doors become damaged, they can’t maintain their specified temperatures.

Due to inadequate maintenance, there can be a buildup of condensation in coolers and freezers, causing slippery surfaces and unsafe conditions for workers, as well as a spoiled product. Another maintenance challenge is handling the growth of mold or mildew, which can happen with poorly maintained temperatures. Should this happen, the freezer will need to be cleaned thoroughly and inspected for any problems. 

Transportation Breaks Down

Vehicles can break down at any time. Any hold-up in your cold chain shipment could mean more than just a time delay, it can mean a spoiled product. Make sure you’re working with a qualified carrier who inspects their truck or other modes of freight before the journey begins.

Keeping track of the temperature throughout your cold chain is another way to combat having your products exposed to changes in temperature. Temperature monitoring systems are quickly replacing any manual processes of collecting temperature information, saving time, and preventing spoiled products. This also allows cold chain managers insight into their problem areas and being able to fix them.

Some of these temperature monitoring systems are RFID or wireless sensor network, thermal imaging, and temperature loggers. RFID or other wireless sensor networks are the most common in the cold chain. These sensors capture the location and temperature, communicating the information back to a database and allowing parameters like an estimated shelf life to be calculated. You’ll often find these in warehousing and cold storage. Thermal imaging is exactly what you think it is; imaging that is taken showing the different temperatures of everything in the photo. Thermal imaging uses a sensor to convert the radiation given off at different temperatures into a visible light picture. This is also often used in warehousing and cold storage. Lastly, temperature loggers are another type of sensor placed next to cargo in transportation. They can be set to record as frequently as every second, minute, or hour. Once removed, they can be plugged into a computer so the temperature data can be transferred and analyzed.

TEMPERATURE-CONTROLLED SHIPPING CAPACITY 

Another significant cold chain challenge is available capacity. Capacity is always a challenge for any industry, but even more so for the cold chain, especially right now. With freight in high demand across all industries and capacity slim, drivers can pick and choose what shipments they want to take based on (already) high rates. Reefer trailers are already limited with the increased demand on cold chain, but when rates for moving other high-demand commodities such as lumber or retail keep increasing, those drivers can choose to utilize their reefer trailer as a dry van to haul should those rates be better paying, further reducing cold chain capacity. Cold storage warehousing is seeing the strain as well because of the growing freight demand. More storage space is needed in the supply chain and new buildings are being built, but those currently in production or needing their building supplies (which are also in high demand), puts yet another strain on shipping capacity until that demand has decreased. With the cold chain demand increasing and available equipment and drivers doing quite the opposite, can the logistics sector keep up? Read more in our current whitepaper.

DON’T LET THE COLD CHAIN SCARE YOU

There is a lot of juggling to do when managing the cold chain. If even one ball is dropped, it can affect the whole cold chain. You can prepare as best as you can for these cold chain challenges, but sometimes it’s nice to know you have backup when you need it most.

Luckily here at Trinity, we’re experts in complex situations. In fact, I would say it’s our specialty. We’ve seen every possible problem there could be and are happy to help. By working with Trinity, you can gain access to the data you need to improve your performance and output, find equipment and capacity when you’re finding it difficult, and work with someone who understands current regulations, no matter the region or type of commodity you work with. We’re here to have your back regardless of what cold chain challenge comes your way.

Not ready to request a quote? Subscribe to our YouTube channel and watch our latest State of the Industry and Freight Market Update videos to stay on top of what’s going on in cold chain. 

Author: Christine Morris

The Trinity Foundation held its 11^th annual Heart and Sole 5K this past Easter weekend.  Since its inception in 2010, the Heart and Sole 5K has benefited cardiac rehabilitation efforts for our local hospital, TidalHealth. Prior to this year’s event, we were presented with an opportunity to help the 1-year grandson of one of Trinity’s team members. 

Dawson Lankford, the son of Steve and Jessica, and grandson of Burnie Lankford, was diagnosed with Leukemia in late 2020. He’s undergone several procedures, such as a bone marrow biopsy, a spinal tap, and several blood transfusions. Dawson also started chemotherapy just two days after being diagnosed. Both Steve and Jessica were out of work for the first week that Dawson was in the hospital. Now, Steve is back to work while Jessica stays with their son. 

While the “heart” in our event title has always referred to cardiac rehab efforts, this year that word has taken on a different meaning. Through the support received, we feel the heart of our community, the heart of our gracious sponsors, and the heart of those who have lifted up the Lankford family as they continue to win this fight. 

The 11^th annual Heart and Sole 5K had a wonderful turnout with 204 runners/walkers. In total, we were able to raise $55,175.25 to support Dawson and his family! It is also important to note that prior to the event, it was announced that Dawson was in remission and cancer-free! We are immensely grateful for the turnout of the event, the money that was raised, and support from our sponsors and community. 

Learn more about the Trinity Foundation and their efforts.

With multiple modes of transportation to choose from it can be a hard decision to find the right one for your shipping needs. The two most commonly used modes are truckload (TL) and less than truckload (LTL). They may seem similar, but they have some significant differences. Whether you have only used one mode and are thinking about expanding to another or maybe your business is growing and you are looking at a different shipping option, Trinity Logistics can help you find the best solution for your shipping needs.

TRUCKLOAD VS LTL: HANDLING AND TRANSIT TIME

Truckload: Shipments moving full truckload will be the only shipment on that trailer. Once the shipment is picked up at the shipper’s location the freight will not be moved off the trailer until it reaches the consignee. Transit time with this mode tends to be shorter and more controllable since the freight remains on the trailer and will only be handled by a single carrier.

LTL: This mode allows multiple shipments from different shippers to be on one trailer. The shipper is essentially sharing the trailer with other shippers. Freight will move through several different terminals and be taken on and off the trailer multiple times. Transit time will vary due to different factors such as weather, higher freight volume, or assessorials that may require more time at either the shipper or receiver (delivery appointments, liftgate, etc.)

TRUCKLOAD VS LTL: WEIGHT AND SIZE OF SHIPMENTS

Truckload: Shipments ranging from 24 to 30 pallets depending on trailer and pallet size. The weight of a truckload shipment can vary drastically between light shipments around 5,000 pounds to heavier capacity loads around 45,000 pounds.

LTL: Shipments that are 1-10 pallets and generally under 20,000 pounds. There are different rate options depending on the size of the shipment. If a shipment consists of 6 pallets and/or weighs over 5,000 pounds this may qualify for spot quoting, which can be more cost effective in some cases.

TRUCKLOAD VS LTL: COST PER SHIPMENT

Truckload: When shipping truckload, you have use of the full trailer, even if the freight does not take up the entire trailer space. The cost of shipping truckload completely depends on the market. Unless there is an arranged contract with a carrier, pricing can change and fluctuate with the market and capacity.

Rates on truckload vary on some constantly changing factors: shipment weight, fuel costs, different seasons, and lane. Trinity Logistics works with our carrier partners through phone, email, or digital freight matching applications to find the best rates for our customers.

LTL: Cost tends to be the biggest difference between LTL and Truckload. Unlike truckload, the cost per shipment has many different variables that determine the LTL rate. LTL shipping is regulated by the National Motor Freight Traffic Association (NMFTA), which classifies and assigns an NMFC (National Motor Freight Classification) code to different freight commodities. These codes greatly impact an LTL rate and they indicate the commodity’s density, liability, and ease of transport.

With LTL shipments the rate is determined by the origin and destination cities, states, and zip codes, the freight’s classification(s), number of pallets, pallet dimensions, and total weight. If any additional services (accessorials) are needed those will each have an additional fee added to the final rate. For example, if a shipment is delivering to a construction site (limited access delivery) and a liftgate is needed at the time of delivery a carrier would charge an additional fee for each service.

TRUCKLOAD VS LTL: REEFER AVAILABILITY

Truckload: Reefer trailers are fairly common and readily available. In general, modern temperature-controlled trailers can range from below zero to 70 degrees. Since it’s only your freight on the trailer, the shipment can move on the schedule and temperature you need. Besides temperature monitoring and rate differences, refrigerated shipments aren’t all that different from a dry truckload shipment.

LTL: Refrigerated LTL shipments are a bit different than dry LTL shipments. Most reefer LTL carriers run on strict schedules that are based on certain lanes and temperatures. For example, a refrigerated LTL carrier might pick up in Los Angeles on Thursdays and Fridays only, and may only run at 45-50 degrees. Multiple customers’ freight is shared on a single reefer LTL trailer with similar temperature ranges to maximize efficiencies for the carrier since a lot of carriers operate on appointment schedules that are set and routed a day or more in advance. This can make finding an available reefer LTL carrier difficult at times, especially on short notice. If you’re an LTL shipper who ships temperature-controlled freight and you have the potential to size up to truckload, this is a situation where it could be a great benefit for you to do so.

TRUCKLOAD VS LTL:  BENEFITS

Truckload

• Dedicated truck for only your freight
• Time sensitive and high value freight
• Less handling of freight

LTL

• Cost effective option for freight that does not require a full trailer
• Flexibility with shipping and delivery times
• More service options (residential delivery, inside pickup and/or delivery, liftgate etc.)

SO, WHICH MODE MAKES SENSE FOR ME?

LTL and Truckload both have their advantages. The best option for your freight depends on your needs, freight volume, budget, frequency, and deadlines.

Our Truckload and LTL experts can answer any additional questions you may have and help find the right mode for your shipping needs.

Author: Christine Morris

Finding and selecting a cold chain logistics provider can be a tough and lengthy process. You want to make sure you find the right one. The one who you can trust in understanding your freight’s regulations and has the quality of the transportation you need for your temperature-controlled freight. Here at Trinity, we consider ourselves uniquely qualified within the cold chain. We’ve worked with thousands of shippers with temperature-controlled products, making us well-versed in the requirements and regulations. 

Don’t just take our (written) word for it. Join us and our parent company, Burris Logistics, for an educational webinar to discuss our Fully Connected Cold Chain. In this webinar, you’ll hear from three experts in the industry: Mark Peterson and Mo Shearer of Trinity Logistics and Nick Falk of Burris Logistics. They’ll all speak to the intricacies you can experience in cold chain distribution and their personal stories of expertise with commodities like seafood, produce, and more.  

Find out why Burris Logistics has become a well-known cold storage provider and how they have further grown within the cold chain industry by finding support in other areas of logistics, such as freight management with Trinity Logistics. Learn from our panelists why cold chain logistics is often best left to the experts.

If you’re in the cold chain space and have any questions or concerns about your logistics, this is the webinar to attend. Don’t miss out on the chance to learn more about our people-centric and servant approach, together with Burris, straight from some of our top members of the company. 

Join us for “A Fully Connected Cold Chain”

February 2, 2021 at 1:00pm EST. 

The Distinguished Providers of the Year Award Program offers Trinity the chance to recognize top providers within all of their transportation modes, something that had not been done previously. Award winners are carriers within the Trinity network that continued to support our customers and provide exceptional service, even throughout a global pandemic. They are well known amongst the company as providers that Trinity could not have been successful without. Trinity Logistics thanks these carriers who have been an integral part of the day-to-day operations for their continued commitment and service to Trinity Logistics.

The categories and winners are:

Additional to the top providers recognized by mode, there was a separate category created, “The Trinity Titan Award”. This award was set to recognize very small operators within Trinity’s network who have regularly dedicated their capacity and demonstrated uncommon value, or “grit” as we like to call it, to Trinity during the specified year. This award is determined by a person of exceptional importance and reputation that stands out for greatness of achievement that reflects Trinity’s values. 

Those winners are:

“We are honored to recognize these Service Providers which were selected among Trinity’s deep book of relationship partners demonstrating consistent value to our Shipper Customers during a historically difficult year. When interviewed for feedback from the more than 70 nominations by our Operations teams across the country, each one of these Service Providers stood out within their core service offering among their peers,” said Bradley Palmer, Director of Carrier Development and Pricing at Trinity Logistics. “Distinctly, this is the first year Trinity Logistics has presented its “Trinity Titan” awards. After listening to stories from our teams about these small fleets, our Leadership was compelled to honor these partners that demonstrated grit throughout a challenging year.”

Each Distinguished Provider will be presented with a crystal award to commemorate their success and achievement with Trinity Logistics. 

“Trinity Logistics wants to thank our 2020 Distinguished Providers of the Year for being key to our continued success. We greatly value the essential delivery they provide our most important customers alongside our Operations Teams. We are truly honored to work with these Providers day in and day out,” said Sarah Ruffcorn, President of Trinity.

Trinity appreciates our contracted carriers with several other unique benefits and awards. As a select carrier Trinity offers a 1.5% QuickPay rate through TriumphPay.

To find out more about our great customer service and benefits to carriers,

Author: Christine Morris

Every year Trinity Logistics hosts a conference for their Authorized Agents. Part networking, part education, and with a little fun thrown in; this conference develops relationships within the Agent Network. They learn from one another and help each other grow, as well as hearing from industry experts.

Like everything else, 2020 changed this year’s conference. Due to the pandemic, the conference, which was planned to take place in New Orleans’s French Quarter, had to be cancelled. But Trinity never looks at situations with one lens. We’re always looking for creative ways to increase the level of success for our Agents. With this in mind,  We knew we had to find another way to get in front of our Agents, even if it couldn’t be our traditional conference.

“The relationships that our Corporate Team Members have with our Authorized Agents and that our Authorized Agents have with each other is what makes this company and our Agent Team so strong. After not being able to travel for the last 10 months and visit our Agent Offices as we usually do, having to cancel the conference, and the thought of not seeing some of our Agents this year wasn’t acceptable. We had to find another way,” said Trinity’s Director of Agent Services Jennifer Hoffman. 

With that in mind, the Agent Support Team came up with a plan to host our first ever Virtual Agent Conference. 

This approach to the Conference was a new project that had to be planned from scratch! We not only had to line up presenters and find great content but figure out the technology to put it all together.   

After a lot of hard work and learning, the conference launched to an active and engaged Authorized Agent Team on December 3rd! We had speakers from the industry such as renowned transportation economist Noel Perry, TIA’s Vice President of Government Affairs Chris Burroughs, Trinity President Sarah Ruffcorn, other Trinity leaders, and even Platinum Level Agents who shared their stories and approach with other Agents. The conference was able to bring insight into today’s market, what to expect, and how to make the best of this ever-changing and growing industry. 

During the day agents interacted with one another, deepening relationships that were already in place and virtually meeting new people across three countries! There were celebrations throughout the conference as well. We awarded our annual Platinum Agent Awards, the highest honor for a Trinity Authorized Agent. This year was even more special because 2020 celebrated the 30th anniversary of Trinity’s Agent Division! 

While nothing replaces getting to see our Authorized Agents in person, this virtual approach allowed us to continue sharing the Guiding Values that make Trinity one of the best in the business. “I’m so proud that Trinity consistently looks for new and innovative ways to support our Agents,”…said Hoffman. 

If you would like to learn more about Trinity’s Agent program or how you can be a part of next year’s conference,

The economic and operational effects of COVID-19 on the trucking industry have been challenging and devastating. Many have warned the true storm for the trucking sector has yet to arrive, and the effects witnessed to date have been warning signs of what’s yet to come.

Not all operations have been equally affected, but tough times are on the horizon for some trucking companies. The early impacts of the pandemic were at ports, as containers shipped in from China were affected there first.

As lockdowns happened and with events canceled, companies that specialize in moving concert and trade show exhibit items were affected the most. Some fleets dedicated to hauling equipment for events have noted that economic hardship. Others in similar sectors have reported equal occurrences.

THE HARDEST-HIT SECTORS

The food industry has been especially hit hard. Many restaurants and bars have had to close, except for takeout outlets that have stayed afloat. This has left food-service trucks with dwindling sources of income. The International Foodservice Distributors Association predicts the industry will lose $24 billion during the last three months of 2020as the pandemic closes eateries, hotels, and schools.

Another group affected are those who service the automotive industry. Many manufacturers have enacted temporary shutdowns, which affects fleets in more than just their shipments. This limits their supply of new parts for trucks when they need repairs.

Those servicing some of the retail sectors may also struggle. Malls and retail stores are closing at an astounding rate worldwide, slashing demand for the transportation of various goods. While online shopping and delivery could offset the losses faced by trucking companies to a degree, it will take a while for the playing field to level.

THE SECTORS BENEFITING FROM THE PANDEMIC

Of course, fleets who haul sanitizer, toilet paper, groceries, and home office supplies are staying exceptionally busy. Some fleets are even adding more freight to their rosters to keep their trucks running, while others are expanding their operations to keep up with demand.

DAT Solutions has noted that urgent retail orders continue to drive up spot rates for reefer and van equipment. The company says nervous shoppers buy as much as they can for every trip, and retailers are relying more on spot market providers to restock shelves rapidly when other truckers face delays.

Now that a significant part of the world’s population is home, families are also cooking more often. This means that freight demand for grocery and food-related truckers will continue to soar, creating a new market trend many can capitalize on if they’re quick on the uptake.

As retail takes a downward turn, an increasing number of people are shopping online and relying on curbside pickups. Amazon has reportedly been so busy that it’s hired another 100,000 staff members to keep up, while Walmart has enlisted the help of another 150,000 employees.

PREPARING FOR THE UPCOMING RECESSION

While many experts are hailing these changes as a ‘new normal’, it’s important to remember that a recession is looming. If countries put in place secondary lockdowns as the second wave of COVID-19 hits, freight won’t be flowing at the same time. The trucking industry will eventually recover if this proves to be the case, but the time frame for this recovery will depend on how long the virus takes to peak, and how long the recession will last. 

WHAT TRUCKING COMPANIES CAN DO

What can fleets do to counteract the potential effects of a second wave? That will depend on the sectors they operate in. Trucking industry professionals have warned some companies may struggle to keep their drivers busy while others will be rushed off their feet in the face of an upswing in demand.

Those in the grocery and refrigerated goods sectors aren’t likely to feel the pinch, even once the recession has arrived. Those in the general freight space may have fewer tons, fewer route miles, and fewer loads to haul. It’s realistic to expect that some carriers will not survive.

In the meantime, trucking companies should work to keep their drivers busy in any way they can. They should remain financially prudent and cut costs where necessary without compromising on safety or service quality. On the other end of the pandemic, there will be many companies that will need to restock their supply chains and they’ll need partners to help them achieve this. 

If you’re a trucking company owner or associated professional, get out there, network, talk to your customers and determine what their needs will be once the outbreak has died down. Even if business is not booming right now, you need to find a way to keep drivers in the short term so that your company does not emerge with under-used equipment and a lack of drivers.

Keep your business alive and kicking and be prepared for a decline in business and revenues. We are sitting on the precipice of some major changes in both the world’s economy and the trucking sector. It will be possible to survive, but only with the right approach and strategic partnerships.

Guest Author: Lori Dodson