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Customer Service Kuebix Transportation

Importance of Customer Service in Transportation Operations

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Good customer service is a must in any business that wants to not only survive but thrive within its industry. Oftentimes companies work with multiple different parties within their transportation operations. This can be everything from a parcel shipment provider like FedEx and UPS to a TMS provider like Kuebix to the carriers themselves. One of the benefits of working with a Managed Transportation partner like FreightWise is they are measuring the performance through technology across multiple carriers — therefore a managed transportation provider can help ensure you are getting the best customer service from your parcel, less-than-truckload (LTL), truckload, and technology partners.

Here are some key metrics to track in transportation and also when vetting new transportation provider solutions:

What to Be Mindful of when looking at Transportation Management System (TMS) technology and vendors:

  • Providing real-time tracking of shipments
  • Ease of use with technology
  • Proactively alerting customers of any delays
  • Solving issues quickly and effectively
  • Focusing on customer relationships
  • Improving operational efficiencies

Key Metrics to Track for Parcel, LTL, and Truckload Carrier Partners:

  • Percentage of missed versus on-time deliveries
  • Loading and unloading times
  • Truck turnaround times
  • Return processes efficiency

By providing good customer service in the logistics operation, such as the ability to track shipments and alert customers if their orders will be delayed, you will increase customer satisfaction. Tracking deliveries in real-time and communicating any issues which arise, alerts customers to problems and gives them time to make adjustments, such as finding an alternative source. Superior customer satisfaction and service sets your business apart from the competition and ensures customer loyalty.

Good customer service equates to a greater customer experience while they do business with your company. Poor customer service will drive people away from your brand. If a customer uses social media to inform others of your poor customer service, it can damage your brand’s reputation, which is hard to recover. However, an apology goes a long way. If something goes wrong, such as an order arrives late or a product is broken, quickly acknowledging the error and replacing the defective merchandise along with sending a sincere apology will deter any complaints and shows that your company cares for their customers. Showing you care through good customer service will do your business and your brand a world of good.

Showing respect, sending apologies, acknowledging errors and quickly fixing problems is what makes for good customer service. Improving efficiencies, such as in return processes and inbound shipments, will speed operations and deliveries to help you satisfy time-sensitive customers. Focuses externally on customers, putting their relationship first, helps to ensure customers will feel valued and want to continue working with your company.

In logistics operations, shippers establish KPIs to measure the performance of their carriers, such as the percentage of missed and on-time deliveries, loading and unloading times, truck turnaround times, etc. Using the performance data and actionable reports from a TMS, you can collaborate with carriers to identify how to address any issues that have arisen, especially issues that affect customer service. Focusing on improving your operations using KPI measurements and reporting keeps transport costs down, while increasing efficiencies, leading to greater customer service.

Since consumers today have heightened expectations about customer service, wanting their orders the same day and to know exactly when the order will arrive, businesses have to step up their game when it comes to improving customer service. Technology that gives visibility up and down the supply chain is the answer.

ELD Mandate Kuebix

Minimizing the Impact of the ELD Mandate

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On April 1st of this year, strict regulation of the electronic logging device (ELD) rule came into effect after a 3-month grace period. The mandate requires the use of an ELD to automatically record a truck’s driving time to more accurately record a driver’s hours of service (HoS). The Federal Motor Carrier Safety Administration states that the restricted HoS were put into place to combat an increased risk of crashes and chronic health conditions associated with lack of sleep. This mandate however, which is forcing immense changes for the industry, has been met with adversity.

Trucking companies are reporting that some truckers are even going so far as to leave the industry rather than use an ELD. In the past, many drivers were concerned about foul weather, accidents or long detention times because of the potential to miss their next delivery or a desire to return home. Now, any form of unexpected delay could put that driver over his HoS and force him to stop for the night. This eats steadily into productivity and profit margins for drivers being paid by the trip. With the new ELD mandate, there is no way for drivers to omit uncontrollable delays such as Acts of Nature from their logs which could put them over their HoS. In the past, a shipper might have taken a 5-6 hour run, made a delivery, picked up a new load and then returned home. Now, that same driver would have to secure overnight parking to avoid violating the 11-hour daily driving limit. These mandates serve to make the roads safer for all drivers but put additional pressure on an industry already strapped for capacity.

What else is causing the capacity crisis?

•     The economy is requiring more trucks on the road as both e-commerce and brick-and-mortar stores’ sales continue to be strong

•     Gen-Xers and Millennials are not filling trucking jobs vacated by Boomers at a fast-enough rate

•     Inbound deliveries are often late due to congestion in the yard or at the dock

•     Traffic, weather and accidents on the road result in wasted, otherwise productive, time

The ELD mandate has put a spotlight on the HoS issue for the entire industry. Already facing a capacity crisis, it is more important than ever that shippers maintain total control over their supply chains to ensure deliveries are made on time and any issues are dealt with as soon as they occur. There is very little an individual shipper can do to encourage younger entrants into the job market to become truckers and, of course, nothing should be done to depress the flow of goods within the marketplace. Therefore, a shipper’s only option to effectively combat the capacity crisis is to streamline their own supply chain processes.

What can shippers do to minimize the effects of the ELD mandate?

•     Reduce the number of inbound deliveries entering their facilities through consolidation

•     Speed-up driver turn-around in their yards with dock scheduling and order management tools

•     Communicate effectively on promise dates, notifications and issues as they arise

The ELD mandate is a new part of the shipping industry that will have a big impact on how freight is shipped. In order to comply with the regulations without being negatively impacted by HoS limitations, shippers should leverage the power of transportation technology to improve their operations. With the help of a TMS, a shipper can identify the optimal carriers for their freight and hold those carriers to a high standard of execution. In addition, a TMS can consolidate LTL freight into FTLs whenever possible. Time-slot appointments can be secured by leveraging a dock scheduling solution, reducing driver waiting times. These improvements and many others can reduce the number of trucks on the road, saving money and speeding-up yard flow. Once a more streamlined operation is established, shippers can rest assured that their drivers will be set up for success.

Learn more about Kuebix’s Dock Scheduler, Order and Route Optimizer, and other Premier Applications that help shippers become more efficient and minimize the impact of the ELD mandate.

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