This has been an unparalleled yr for the logistics trade. Thanks to a mixture of surging consumerism and persevering with pandemic-related stressors — together with gear delays and the continuing driver scarcity — carriers have struggled to scale up and meet the calls for of the market. With capability severely strained all through 2021, shippers had been confronted with fierce competitors, supply delays and traditionally elevated charges.

Shippers have discovered that lots of their previous enterprise practices don’t maintain up beneath the intense strain of at this time’s market situations and shopper expectations. Many have opted to automate varied totally different duties, together with spot transactions, with a view to improve effectivity and enhance customer support.

“With the current market conditions, the utilization of spot tendering is higher than normal,” IntelliTrans’ President Ken Sherman mentioned. “With the amount of volume in the market right now, it is really tough to handle spot transactions with a manual process. If you’re handling it manually, you’re going to respond slower and the bid you want to accept may be gone.”

IntelliTrans gives two totally different automated spot bidding choices, permitting shippers to alter their methods as wanted with a view to transfer masses as rapidly and effectively as doable whereas nonetheless securing a aggressive fee.

With the corporate’s most hands-off possibility, shippers can present a spread of reference charges for a load and allow automation acceptance. This possibility additionally permits shippers to immediately settle for aggressive bids from carriers they’re already doing enterprise with. Shippers have the choice to tie these charges to common market indices, setting gives in relation to present spot market or contract averages.

IntelliTrans additionally boasts a hard and fast fee providing. With this feature, the primary service that accepts the load for the predetermined fee will win the load. If a hard and fast fee bid will not be being accepted, the IntelliTrans platform permits shippers to choose into surge charges with a view to transfer the load.

Ultimately, using digital instruments — like these provided by IntelliTrans — to handle spot transactions drives down each transportation and labor prices. Companies can guarantee they’re getting the perfect charges doable for a specific load with out expending the manpower required to handle these kinds of transactions manually. During instances of surging volumes, these instruments allow corporations to remain aggressive with out including further staff to handle demand.

“We’re in an unusual time. This market has been sustained, and carriers may not be able to accept contracted loads. In some places we’re seeing maybe four to five times more freight than average hit the spot market,” Sherman mentioned. “If you hire people to manage this process and the market cools off, what do you do with those people? Leveraging technology allows you to scale up and scale down much more efficiently.”

Hiring expertise is an costly and time-consuming proposition, and the method of reallocating or shedding staff when the market inevitably shifts is dangerous for morale. Even if corporations do increase with a view to accommodate a quantity surge, individuals are merely not as fast as computer systems. That means essentially the most aggressive bids will seemingly be missed altogether, claimed by extra tech-savvy opponents.

“The spot market rates we are seeing right now can range from a $500 to $1,000 difference between bids,” Sherman mentioned. “So if you don’t accept the lowest rate as soon as it comes in, you may end up spending an extra $500.”

Integration is one other benefit of utilizing an automated resolution. IntelliTrans consists of its TMS and spot choices throughout the identical platform that homes its visibility, freight pay and stock administration options. This simplicity cuts down on alternatives for error, will increase productiveness, and reduces distribution, transportation, and warehousing prices.

Click right here to study extra about how IntelliTrans will help your organization mitigate monetary dangers in at this time’s market.