What Causes Poor Truckload Lead Times?
The causes of poor truckload lead times go back to inefficiencies within the supply chain. A significant pain point for shippers is the time consuming process of securing backup coverage, which contributes to poor lead times. When market volatility makes a carrier unable to accept a load at a contracted rate, the shipper begins to move through their routing guide.
Each step of the routing guide can take multiple hours of back-and-forth to see if the next carrier in the guide will accept the load. Each rejection and subsequent request for tender acceptance will cause additional hours of back-and-forth, and can lead the shipper to securing costly last minute spot coverage. Shippers can avoid this time-consuming back-and-forth and increase lead time by locking in automated real-time rates with guaranteed tender acceptance with Convoy through its integration with MercuryGate. Convoy, a digital freight network, has guaranteed tender acceptance allowing shippers to book instantly, improving their lead times so they can lock in real-time rates and avoid higher last minute spot prices.
Other factors that contribute to poor lead times are delays at the dock, poor packaging, inaccurate documents, and other influences. Granular, transparent operations data from Convoy can provide shippers with a more detailed view of their transportation logistics. This information can help shippers make smarter decisions and improve some of the leading causes of last minute freight booking.