TK

[blizzard2014]

True John. Also, a lot of the policies from one of the larger commercial carriers are only written for a five hundred mile radius. The insurance company told me that the mileage radius is only a problem if the trucks gets into a really expensive accident. Also, some insurance policies list a UPS mailbox center with a PMB number on them as the carriers physical address. If that company has a truck that gets into a big accident, the insurance company can refuse to pay because the carrier doesn't actually have a physical address at that location.

These are just a few things that an insurance agent was telling me a few months back. Also, I have seen some of the companies on Sylectus that have lower insurance levels on safer web. A lot lower than their partner carriers require them to have to move freight for them. I never knew how rinky dink I was until I started looking into all of the things that can go wrong if you're not properly insured.

Also, how does it work if a multi-carrier cargo van gets into an accident? Who pays for the freight claim? Does the carrier pay for the freight claim, or does the individual driver pay for the damage to the freight? It seems like it would be a pretty complicated matter. It probably hasn't come into play much because you don't really see cargo vans getting into huge wrecks like the bigger trucks. But that is what happens when shippers and brokers want their freight moved for substandard rates.

 

[Murraycroexp]

So there are only 14 trucks in TX!.....LOL

Yes have to be very careful, a lot of those vans and sprinters are duplicates from shared carriers.

14?!?! No. Just because there are 14 listed on Sylectus doesn't make it 14. Between the carriers that don't update their trucks and the fact that Sylectus isn't the only way to cover a Laredo load. Every time I've been to Laredo (or McAllen) there have been at least 50-150 vans, Sprinters & cubes scattered between the border, truck stops and distribution facilities. But the most non-DH trucks I've seen posted on Sylectus while I was there was 51 non-DH trucks.

 

[blizzard2014]

We are also still getting a lot of calls from drivers with log-ins booking loads from their trucks too...

Same shananagins... A lot of freight takers that contribute nothing in return to the network aside from depressing the rates.

There are still a lot of single cargo van drivers with log-ins to Sylectus. All you have to do is lie and tell them that you have 10 trucks and you are allowed onto the system. I know of an owner of a multi-carrier company that drives a van and runs his dispatch operations while delivering loads. I think Sylectus needs to crack down on this. Maybe they need to send a representative out to inspect the carriers office location and truck count. The system should be fair. But the bad apples will always figure out a way to get around any sort of rules.

 

[turritrans]

14?!?! No. Just because there are 14 listed on Sylectus doesn't make it 14. Between the carriers that don't update their trucks and the fact that Sylectus isn't the only way to cover a Laredo load. Every time I've been to Laredo (or McAllen) there have been at least 50-150 vans, Sprinters & cubes scattered between the border, truck stops and distribution facilities. But the most non-DH trucks I've seen posted on Sylectus while I was there was 51 non-DH trucks.

Ok...15....LOL

No buddy, I was being sarcastic

 

[turritrans]

There are still a lot of single cargo van drivers with log-ins to Sylectus. All you have to do is lie and tell them that you have 10 trucks and you are allowed onto the system. I know of an owner of a multi-carrier company that drives a van and runs his dispatch operations while delivering loads. I think Sylectus needs to crack down on this. Maybe they need to send a representative out to inspect the carriers office location and truck count. The system should be fair. But the bad apples will always figure out a way to get around any sort of rules.

I couldn't agree more!

 

[Murraycroexp]

It is sad that a 90.9 CPM bid doesn't keep a load on the ground for an expedite. What is the average car price? Average profit margin on autos? I used to be tool most carriers ended up with about a 10% net margin. Wonder what a 3PL markup is on a bid? They have payroll and insurance too, but how much freight goes air freight after the carrier's bid is marked up 20-50%.
It reminds me of a load I took to Cazenovia and the shipper (in SE Michigan) still had their quote and invoice lying on the desk. We were "negotiated down" $11 on the load and it turns out that was so the broker could mark up our rate 100%. As in, 50% profit. Maybe the $450 they made off the load was going to help pay for their new hot tub in the employee lounge.

 

[Murraycroexp]

I couldn't agree more!

Or, "they" could have been associated with Sylectus LONG before the truck minimum requirement. Careful. Not all super-small carriers are freight-w-h-o-r-e-s. Nor do they bid 50 or 60 CPM on loads. Nor so they carry less than $1M loan and $100K cargo. Heck, some of them even LOVE the industry and look forward to the eventual health and wealth of ALL legitimate carriers.

 

[blizzard2014]

Or, "they" could have been associated with Sylectus LONG before the truck minimum requirement. Careful. Not all super-small carriers are freight-w-h-o-r-e-s. Nor do they bid 50 or 60 CPM on loads. Nor so they carry less than $1M loan and $100K cargo. Heck, some of them even LOVE the industry and look forward to the eventual health and wealth of ALL legitimate carriers.

You just said that you bid a load for 90 CPM and couldn't keep it off of a plane. Do you think a larger carrier could bid that low on a load and pay their bills. lol. What would you have paid one of your drivers if you got that load for 90 CPM?

 

[Murraycroexp]

Yes, they can when paying their driver a % of that money. Their driver sitting in Laredo for 5 days does nothing for them.

 

[Murraycroexp]

And, of course, their customer rates are FAR higher than that. I would imagine it helps balance the ones they have to just get the truck out of a hole b

 

[blizzard2014]

We are also still getting a lot of calls from drivers with log-ins booking loads from their trucks too... A few carriers are small outfits that work out of the truck that provide good service, no issue there if the owner is also driving. I am concerned about the carriers that cheat hiring dispatchers and having 24 dispatch by allowing unqualified drivers book their own loads.

Same shananagins... A lot of freight takers that contribute nothing in return to the network aside from depressing the rates.

How can you get good service out of an owner who is on the road? What happens if you have some hot loads out on some of his trucks and the guy gets into an accident. Who will take over the phone lines if an owner in a truck becomes incapacitated? That is where having a centralized, well staffed office, with proper protocols in place to deal with any type of situation is the best way to go. I couldn't imagine having to pull over every few minutes to deal with drivers calling in asking for directions, or missing customer check calls because there is no cell service available. That model doesn't really seem all that great in my book.

 

[blizzard2014]

And, of course, their customer rates are FAR higher than that. I would imagine it helps balance the ones they have to just get the truck out of a hole b

Those are rates I wouldn't be proud of posting about on an online forum. I've had some pretty lowball loads, but nothing I would ever want to broadcast on EO. That's one of the main reasons I got away from the cargo vans is because I refuse to be a part of the problem. I can make a living running vans, that is if I could live with myself knowing that paying the drivers .85 CPM is ripping them off to say the least. Or you can pay the drivers 90-95-1.05 per mile and work for free. Things need to change with the cargo van rates.

 

[Murraycroexp]

Heck no!!! No one likes those rates. No one!! But poll the dispatchers for the top 10 carriers and ask them what their TRUE number one criteria is for covering loads when there are 5-10 bids that give the correct service to the customer. We do NOT get 75-90% of the loads we bid on. Why? Bidding too high. And I'm fine with that. Sometimes it works, though, and I'm rolling.

 

[Murraycroexp]

I'd bet the SAME dispatch office that wants $1.00-$1.35 for their vans will immediately JUMP on a bid and broker a load for 75-85 CPM.
And they will receive praise and bonuses for brokering at that margin. It's the market. The market is run by humans.

 

[jelliott]

It is the shippers who are pushing the rate down, or is it the carrier that cuts his cost base by having no infrastructure and cutting his costs by running improper and basically illegal insurance coverage and then bids below legitimate carriers? Easy answer, it ain't the shippers!

 

[turritrans]

Or, "they" could have been associated with Sylectus LONG before the truck minimum requirement. Careful. Not all super-small carriers are freight-w-h-o-r-e-s. Nor do they bid 50 or 60 CPM on loads. Nor so they carry less than $1M loan and $100K cargo. Heck, some of them even LOVE the industry and look forward to the eventual health and wealth of ALL legitimate carriers.

I have been a member for a long time and have worked with GPS411/Sylectus in one way shape or form when they were a young company . Chances are if they were on board before many of the requirements were put in place, they are a decent carrier. We work with just about all the carriers on the network (that provide service). There are many small companies that the owner is also the driver and they do a good job and we love those companies! We all started out as a small company and like to support solid young companies that provide good service. That being said, still doesn't change my original response that there is more they need to do to better qualify the newer companies coming aboard.

 

[turritrans]

How can you get good service out of an owner who is on the road? What happens if you have some hot loads out on some of his trucks and the guy gets into an accident. Who will take over the phone lines if an owner in a truck becomes incapacitated? That is where having a centralized, well staffed office, with proper protocols in place to deal with any type of situation is the best way to go. I couldn't imagine having to pull over every few minutes to deal with drivers calling in asking for directions, or missing customer check calls because there is no cell service available. That model doesn't really seem all that great in my book.

There are two companies that I can think of, one is a husband and wife team from TX, one is a single driver from IL that are one truck outfits. If there was a breakdown I have full confidence they could make a few calls and recover with no issue. I agree, 95% of the time it does not work out very well.

 

[Murraycroexp]

I have been a member for a long time and have worked with GPS411/Sylectus in one way shape or form when they were a young company . Chances are if they were on board before many of the requirements were put in place, they are a decent carrier. We work with just about all the carriers on the network (that provide service). There are many small companies that the owner is also the driver and they do a good job and we love those companies! We all started out as a small company and like to support solid young companies that provide good service. That being said, still doesn't change my original response that there is more they need to do to better qualify the newer companies coming aboard.

Agreed 100%. Did I meet you at any of the GPS411/Sylectus or TEANA conferences over the last 8 years? I admit I may have had a beer in my hand and no hair on the top of my head.

 

[jelliott]

I have been a member for a long time and have worked with GPS411/Sylectus in one way shape or form when they were a young company . Chances are if they were on board before many of the requirements were put in place, they are a decent carrier. We work with just about all the carriers on the network (that provide service). There are many small companies that the owner is also the driver and they do a good job and we love those companies! We all started out as a small company and like to support solid young companies that provide good service. That being said, still doesn't change my original response that there is more they need to do to better qualify the newer companies coming aboard.

The "qualifications" (I use that term VERY loosely) have certainly changed.

 

[turritrans]

Agreed 100%. Did I meet you at any of the GPS411/Sylectus or TEANA conferences over the last 8 years? I admit I may have had a beer in my hand and no hair on the top of my head.

A bald guy with a beer just about covers 9 out of 10 people at the conference (including myself)...LOL

You going next week?