Goodbye FedEx (again)

Dynamite 1

Moderator
Staff member
Fleet Owner
The team did $1.56 all miles high month, $1.49 all miles low month. 3 months in a row over $20k. When I was running that truck I did from $1.62/high to $1.41/low. That's not much different.

How does that compare to the flat rate system they started in July ? The new flat rate system is different is it not ? Don't they now pay a fixed rate for DH plus FSC ?
 

usafk9

Veteran Expediter
I believe he is talking about the flat rate, T. Not every loaded mile is the same. There are several accessorials that can impact the loaded rate.
 

Mailer

Veteran Expediter
Owner/Operator
I've read the comments on here and wonder to myself why everyone complains, let's face it, it's all about the money and how much can be made by all of us including owners. If you were in the owners shoes you would do the same thing, just remember load 1, landstar, FedEx and all the big company's broker their loads out to make the most amount of money possible and if that means brokering it out to another company how can you fault them for that. I've notice on these eo forums there are a lot of greedy people telling others there is no money to be made in this line of work but in truth there is good money to be made because if there wasn't you wouldn't be doing it...

LOL, yah, my partners and I are making the killings on the flat rate. We think it's time for us to say goodbye, too.

We're are taking our cargo plane elsewhere:)

http://www.myindiapictures.com/pictures/up1/2012/04/funny-overloaded-old-airplane1.jpg
 

Dynamite 1

Moderator
Staff member
Fleet Owner
I believe he is talking about the flat rate, T. Not every loaded mile is the same. There are several accessorials that can impact the loaded rate.

I knew that, I just thought the flat rate they offered a couple of years ago and the one they started in July of this year were different. The old one I thought paid all miles at the same rate plus FSC and extras and the new one in July paid a flat rate for loaded plus FSC and extras and a different rate for DH plus FSC. That was what I was questioning. There is a big impact on the all miles rate between the two flat rate programs if there is a difference like I thought.
 

jjoerger

Veteran Expediter
Owner/Operator
US Army
You are correct. But the old flat rate had a dedicated dispatcher that would run the wheels off the truck. I was making 6 cents more a mile but not getting any miles.
 
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usafk9

Veteran Expediter
Right you are, T. And yes, Jim, there was a dedicated. Now there are fleet specialists who are starting to show their value quickly.
 

Daffyduck528

Expert Expediter
How does that compare to the flat rate system they started in July ? The new flat rate system is different is it not ? Don't they now pay a fixed rate for DH plus FSC ?

The team ran the flat rate from July to early sept. We ran percentage when we drove that same truck from May 2013-June 2014. I never did the original flat rate so I can't comment on it.

And as mentioned before the accessorial pay drastically made up for what I thought was going to be a terrible flat rate system with different rates for run pay and dh. I now embrace the flat rate. It's a lot better than most of us feared. And they have been running the wheels off my truck. 17,000ish miles a month.
 

jelliott

Veteran Expediter
Motor Carrier Executive
US Army
I've read the comments on here and wonder to myself why everyone complains, let's face it, it's all about the money and how much can be made by all of us including owners. If you were in the owners shoes you would do the same thing, just remember load 1, landstar, FedEx and all the big company's broker their loads out to make the most amount of money possible and if that means brokering it out to another company how can you fault them for that. I've notice on these eo forums there are a lot of greedy people telling others there is no money to be made in this line of work but in truth there is good money to be made because if there wasn't you wouldn't be doing it...

Yes and no. Yes, all the large providers broker out for a number of reasons. Providing coverage for customers ranks right up there. Often times we as a carrier might not have a vehicle close or the right size vehicle is not available. Yes, it is a business center for the company as well as the other divisions. I think the other carriers are all fine doing this.

Where I personally disagree is how brokerage is often handled. Carriers often "optimize" a shipment. They will look at what they can make brokering vs using a vehicle leased on to them to run a load. They will broker a load to another carrier while their units in the area sit. Our system is structured completely differently. Our brokerage division only sees a load AFTER the asset divisions have determined and tried to cover with our fleet. I think while less profitable on an individual shipment at times, a carrier should be committed to its fleet first. Brokering might be better money short term but the health of your fleet is directly tied to the success of the company long term. In my humble opinion of course.

With that I will say welcome to the family Jim!
 
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davekc

Senior Moderator
Staff member
Fleet Owner
Based on this thread I guess it is safe to assume the "Purple pom-poms and promise" are history?
 

Turtle

Administrator
Staff member
Retired Expediter
Based on this thread I guess it is safe to assume the "Purple pom-poms and promise" are history?

a97311_g196_6-kick-assa_zps2dc6be9f.jpg
 

Moot

Veteran Expediter
Owner/Operator
I think while less profitable on an individual shipment at times, a carrier should be committed to its fleet first. Brokering might be better money short term but the health of your fleet is directly tied to the success of the company long term.
You'll never become the CEO of a growing and respected trucking company with a philosophy like that.
 

westmicher

Veteran Expediter
They will look at what they can make brokering vs using a vehicle leased on to them to run a load. They will broker a load to another carrier while their units in the area sit.... Brokering might be better money short term but the health of your fleet is directly tied to the success of the company long term.
Prior to Load One, I was with another company located in southwest Michigan that frequently left us sitting while they brokered loads off their cross dock in Laredo... which I personally witnessed many times simply by waiting at the cross dock and seeing who picked up the loads I knew would have fit on our truck. Sitting in Laredo in 110+ degree heat for a week while several loads left on CHEAP trucks I asked why... "Brokerage is another profit center and they care more about that bottom line..."

I knew we had the wrong "partner" then!
 

ATeam

Senior Member
Retired Expediter
Based on this thread I guess it is safe to assume the "Purple pom-poms and promise" are history?

I never liked the pom-poms comments. It suggests a false cheer-leading, cheer-leading without a basis in fact; but the people making the pom-poms comments never have to defend any facts of their own. They just toss out the pom-poms insult and enjoy the show.
 
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davekc

Senior Moderator
Staff member
Fleet Owner
I never liked the pom-poms comments. It suggests a false cheer-leading, cheer-leading without a basis in fact; but the people making the pom-poms comments never have to defend any facts of their own. They just toss out the pom-poms insult and enjoy the show.

Diane and I were often accused of being the pom-poms type when we ran with FedEx Custom Critical, I think mostly because our success with that carrier challenged the comfort zone of the pom-pom insult slingers. That may have been because of a natural disposition to tear down successful people, or it may have been because those tossing out the pom-pom insults had an ax to grind against FedEx and did not like to see visible success stories originating out of that carrier.

Either way, the pom-pom insult is no more valid than false cheer-leading. Neither are based on facts.

.

No, I would say they were pretty valid. A select few chose to but themselves on a plane above others at times while defending a carrier that wasn't working in the operators best interest when they did at one time. Those facts that were presented over time have come to fruition just as was predicted by many. More posts than I care to count just on that subject and they are still going. Nothing more complicated than that. When you have people making considerable financial investments, I think it was good then as it is now that people see the whole picture, and not one through "rose colored glasses".
 

Moot

Veteran Expediter
Owner/Operator
Was laser treatment effective in the removal of your FedEx tattoo?
 
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