Businesses serving a dynamic client base need a transportation partner who can keep up with their diverse shipping needs. Most shippers need to move freight via several modes to meet project deadlines and budget constraints, but managing relationships with multiple carriers takes time and effort. With the right 3PL, shippers can trust one partner to give them access to any mode they need, anytime they need it.
Without understanding what goes on behind the scenes, many shippers miss out on the value a 3PL’s carrier network can provide. Let’s pop the hood and take a close look at what makes up an asset-based 3PL, and why they’re good partners for small and mid-sized shippers.
Bridges to better transportation
The idea that third-party logistics providers are middlemen standing between a shipper and a carrier is misconception that, unfortunately, still permeates the freight industry. While fraud is still present, reputable 3PLs are working hard to improve the industry with transparency and honesty.
At quality 3PLs, teams of logistics professionals manage the aspects of transportation that shippers might not have the time or experience to easily handle:
- Using industry-specific training, historical records, and AI to anticipate market trends;
- Arranging specialized services like rigging for oversized loads, background checks for deliveries to secure facilities, police escorts, and appointment times for pickup and delivery;
- Facilitating communication between shippers, carriers, consignees, customs agents, and dock workers;
- Avoiding fraud by vetting carriers, then managing carrier relationships and negotiations.
3PLs act as bridges, rather than barriers, between shippers and a wider variety of carrier options.
Carrier networks under a microscope
Shippers looking for flexibility across modes and prices can benefit from an asset-based 3PL’s extensive carrier network.
As the name implies, 3PLs that are “asset-based” own a fleet of trucks with company drivers supporting operations in core regions. For example, Shaker’s fleet of 45 trucks and over 200 dry vans and trailers serves our customers throughout the Northeast, as well as in Texas and Florida. Beyond their own equipment and drivers, 3PLs build and maintain networks of partner carriers to provide shippers with additional capacity options across the country.
Dry van and reefer carriers are well suited to handling freight that doesn’t have any special transportation requirements, like paper or drums of non-hazardous liquid. Because dry vans and reefers are the most common equipment type on the road, shippers can spend hours trying to find the right fit for them. The dry vans and reefers in Shaker’s network are already vetted and have a proven track record of on-time performance and safe operations, giving shippers immediate access to quality options.
Not every carrier is equipped to handle every type of freight. Hazmat, oversized, or otherwise specialized shipments require carriers with the right expertise and equipment. 3PLs already have these carrier relationships in place and use their experience to match shippers’ freight profiles with carrier expertise, so shippers don’t have to pick a new carrier partner for every project they do.
For the big trade show your business attends each year, 3PLs can pull from their network of experienced event carriers. These carriers are accustomed to waiting in long lines outside of venues, being empty the day before a pickup, and having specific protective equipment in the truck for delicate freight.
If you need to ship raw materials in bulk to a plant for a large customer order, a versatile 3PL will have tanker containers on deck to move bulk amounts of gases, liquids, or solids. Chemical manufacturers can get access to nationwide coverage of hazmat certified tanker carriers. These carriers often have higher insurance and extra PPE on hand for deliveries to chemical plants.
For over dimensional shipments, whether regular or one-shots, flatbed carriers move freight that exceeds normal freight sizing limits, like industrial generators or long pieces of lumber. These carriers are experienced at driving alongside escort vehicles and working with rigging companies to load massive pieces onto the trailer.
Depending on how quickly a shipper needs to move something, 3PLs have a few different options for accelerated or leisurely shipping. Expedited ground and air carriers can move goods quickly to get raw materials to job sites or deliver important machinery for repair. On the other hand, intermodal and rail carriers are cost-effective options for moving freight that isn’t time definite. Finally, LTL carriers are used when a business only needs to move a few pallets of products at a time within a flexible delivery window.
With such an overwhelming number of options, it’s easier for shippers to hand off booking duties to an experienced 3PL who knows what carrier to use and when. For example, one of Shaker’s customers distributes and sells industrial machinery. This shipper regularly sends small orders to clients from their warehouse, attends several trade shows each year, and ships emergency equipment to multiple power plants located around the country. As a longtime trusted partner, Shaker moves all their LTL shipments, trade show transportation, and expedited loads.
It would take an exorbitant amount of time and resources for a shipper to manage all these moves without the support of a 3PL. Realistically, it takes a dedicated person or a whole team to safely and thoroughly find carriers across each mode and in the right locations, implement vetting practices to avoid fraud, negotiate rates to land within budget, build BOLs, and manage communications throughout this process.
Partnering with a 3PL allows shippers to focus on other aspects of their business and supply chain, and it also gives them access to a variety of modal options through a single point of contact. Shaker’s own network has coast to coast coverage across every mode, and a dedicated team eager to learn about your business and fulfill your transportation needs. Reach out to us today to expand your transportation network to new horizons.