What if a load gets delayed until the following day?

Discussion in 'Freight Broker Forum' started by Dino soar, Aug 20, 2020.

  1. JimmyTwoTimes

    JimmyTwoTimes Medium Load Member

    325
    767
    Aug 23, 2019
    0
    Potentially, but would you say the majority of your loads have significant detention time or layovers/TONUS? Realistically probably not.

    I wholeheartedly agree that it would be better for everyone if shippers and receivers loaded and unloaded drivers quickly, were flexible about late arrivals, and were more compassionate and understanding of the challenges of being a truck driver. I know that the current detention pay, layovers, etc is less profitable to a trucking company than loaded miles are, and its a hassle for everyone when there are delays.

    And again, I don't think there is anything wrong with documenting your expectations as a carrier, but if those expectations deviate widely from what is considered the norm in the industry (or the terms your competitors are willing to accept) it may cost you loads from time to time.
     
  2. Truckers Report Jobs

    Trucking Jobs in 30 seconds

    Every month 400 people find a job with the help of TruckersReport.

  3. Ruthless

    Ruthless Road Train Member

    8,293
    80,465
    Aug 28, 2010
    The City.
    0

    Well I would say on a much more base level, that if these terms are laid out and a broker, shipper or receiver balks at it, That intimates to me that they expected In all likelihood for that situation to occur; And that while they anticipate the carriers time being used above and beyond what it would take to transport a shipment in a reasonable amount of time, they don’t wanna pay for it. If it won’t likely to be an issue, why would anyone hesitate at those terms? I mean, as a broker maybe you feel the terms that were listed earlier are above industry standard, they seem pretty fair/low to me as a carrier? That may be geographical, or different for another reason.

    I don’t believe I am known for being soft on rates, but I feel like it should go both ways. If someone does not do their part, they should be paying the other parties involved for the waste of time and effort. Whether it be a shipper, a receiver, a broker, or a carrier.
     
  4. JimmyTwoTimes

    JimmyTwoTimes Medium Load Member

    325
    767
    Aug 23, 2019
    0
    I see where you are coming from, and I can see how that logic makes sense.

    To kind of paint you a picture from my end of the business, imagine you are a broker and have a customer that you handle loads for. They contractually only allow you to bill for $50 an hour detention, $250 for TONUs, $200 for layovers, and $50 + miles for each extra stop. You've run many loads for this customer, accessorial charges happen occasionally but aren't particularly common. It's a profitable customer, they are usually very easy to work with, and their prerequisite for hauling for them is agreeing to the terms above.

    You have two carriers with similar service levels, both have clean MC#s, and their rate to the truck is similar. One is willing to accept the accessorial rates listed above, and one has laid out in advance that they expect to be paid more.

    While I wouldn't hold anything against either carrier, can you see why I would be more willing to send the load to the first carrier?
     
  5. Michael H

    Michael H Medium Load Member

    466
    1,021
    Nov 3, 2015
    Arizona
    0
    I see your logic, but you get what you pay for. Someone with clear expectations is a true professional you know there won't be any issues with on their end. They will deliver the load on time, and won't bother you every ten minutes. Their equipment is maintained and legal.

    The other guy is a crap shoot. May be a great operator. Might be 10 of them, each with 3 ID's, living in the truck with a hole cut out the bottom of the floor. The load might make it, it might not. Who knows how many delays you'll have, or problems, or breakdowns, etc.

    Sometimes, peace of mind is worth more than gold.
     
    User666 Thanks this.
  6. User666

    User666 Medium Load Member

    346
    887
    Sep 22, 2020
    Northeast Ohio
    0
    Multinational conglomerates, 3PLS and extremely large brokerages agree to my accessorial policy on a reoccurring basis so I know they're acceptable and not outrageous. I see posts here regularly complaining of sitting for hours (sometimes days!) for free. I guess they're the, "industry standard" carriers. Well, if that's the case I have no desire to be "standard". Just like I don't strive to be average.

    I've no doubt my policy is the reason I lose some loads but frankly, I could care less. Ruthless is spot on about the brokers who cry about the accessorials are the ones who know there's going to be issues. I know from experience it's because they're problem loads and broker wants it handled for free or their customer wants it done for nothing. Sorry, I get paid for everything I do. That even includes tracking and tarping. Seems tons of carriers are more than willing to do that for free as well. That's insane. It's an incredible valuable service these guys are giving away for nothing. Not very wise business IMO. You got a fire that needs to be put out, I'm your man but you're going to pay for it.

    I lost a run today from a broker who sent me one of his contracts with no payment terms on it. Seriously?! Who does that?! So I asked him to sign my Addendum which has payment terms as well as late fees (and other items) if not paid on time. His brokerage had current DTP of 32. Doesn't sound bad but that 32 is in all actuality about 35-45 DTP because most small carriers aren't setup to report to the credit agencies like Trans Union. So all those single truck carriers he slow pays never even gets recorded. I bet you he would have slow paid me too.

    Seems to me that many brokers don't seem to understand the carrier is giving them a free 30 loan with each movement. Many of us use lines of credit or even credit cards to handle expenses in between accounts payable. So if an invoice isn't paid by the broker within the contracted 30 days then the carrier has to pay fees to his bank for carrying that balance over into another billing period. Why should the carrier bear the operating expenses of the brokerage? I pay all my expenses on time, every time. Why can't the brokerage? It's all these little issues that add up to what can cause slow death by a million paper cuts. It all adds up and counts for something. I do my best to not pay anyone's expenses other than my own.

    I give top notch service and treat broker's customers as my own. I communicate well and follow through with all promises. Of course, this means nothing to the broker only looking for the cheapest truck that gives his services away for free. Those are the ones I'm losing and to that I say, "don't let the door hit you where the good Lord split you!" Every broker I've ever worked with has called me again for repeat runs. This is what it's all about to me. We're all here to make money and it's a big pie. As long as I get what I need I don't care about the rest.
     
  • Truckers Report Jobs

    Trucking Jobs in 30 seconds

    Every month 400 people find a job with the help of TruckersReport.