Over the last 22 years Shain, owner of Greenmiles, has invested his time into acquiring and sharing a knowledge base for the trucking industry. Shain has directly mentored dozens of new owner-operators through the hurdles of becoming a new motor carrier and has indirectly helped thousands more through his interactions on social media. 

He is the proud founder of the Facebook mentorship group, “Raising the Trucking Bar”, which aims to help other drivers accomplish their goals and provide resources to help educate and inform new carriers operating in the United States. 

In partnership with Convoy, Shain has identified the main expenses and resources associated with becoming a new carrier. Read our six steps on How to Start a Trucking Company.

The Largest Expenses for a New Carrier

Trucking Insurance – $12,000-96,000 per Year/Truck 

The very first thing you should do (before starting a new authority) is to inquire about potential insurance expenses. These expenses can change drastically based on an individuals’ driving record, the business owner’s credit, the type of freight hauled, and driver equipment. For more information on filing your insurance with the FMCSA, click here. 

Note: If you plan to haul freight with Convoy, make sure RMIS is listed on your insurance as a certificate holder. RMIS (Registry Monitoring Insurance Services) provides continuous Certificate of Insurance (COI) monitoring on auto and cargo coverage, as well AM Best Ratings for insurance providers. 

International Registration Plan (IRP) – $1600-2500

The IRP is the national registration program that will distribute funds to the states you travel to. Although the IRP pricing will vary by state, the FMCSA provides a wonderful resource to register, file, pay, and manage IRP’s. 

Truck – $25,000–175,000

The price of the truck will vary dramatically, however, carriers should expect to have no less than $25,000 invested in a roadworthy truck. New carriers can utilize Convoy’s discounts on Penske and Ryder trucks by visiting Convoy’s TruckYeah Savings page.

For advice on finding the right truck (used or new), we also recommend you join the Facebook group, “Raising the Trucking Bar”. This group is run by the Greenmiles team of owner-operators, who specialize in educating and mentoring new owner-operators/carriers who join the industry.

The Smaller Expenses for a New Carrier

Operating Authority Cost – $300-500

There is a $300 FMCSA filing fee to get your MC/USDOT Numbers. New carriers can also pay a service to file for an authority to do it for you. Please note, the FMCSA does not refund filing fees, so make sure you have explored the expenses of your insurance prior to filing!

BOC-3– $0-25

As part of the New Motor Carrier Authority, you need a Processing Agent to file Form BOC-3. This form can only be filed by a processing agent. For a complete list of third-party processing agents, click here! 

Business Registration – $10–500

Before you begin your motor carrier registration, you need to register your business and receive an Employer Identification Number (EIN). The cost of business registration varies per state, but we recommend new businesses use the online IRS portal. 

Unified Carrier Registration (UCR) – $59 (minimum)

The UCR fees start at $59 for 0 to 2 vehicles and increase as more vehicles are added to your fleet. For a full list of the fees based on fleet size, click here. 

Federal Highway Tax (2290) – $550

The Heavy Vehicle Use Tax (HVUT) Form 2290 is a form the IRS requires you to pay annually if a vehicle operates on public highways at a weight equal to or exceeding 55,000 pounds. To learn more information about this tax, click here. If you are interested in having a third party pay for this, Greenmiles recommends Express Truck Tax! 

State Permits – $0-25

Some states require you to register with them separately. The best resource available with the FMCSA can be found here.

Drug Consortium – $100 per year

A consortium is needed until your business is able to run its own drug-testing program. Greenmiles recommends using Vlocity Group, as they provide quality service for their drivers on the road. 

Pre-Employment Drug Screen – $65-75 per test

The cost of the consortium does not include the cost of the physical drug test. Your carrier should plan on having each driver tested prior to driving. Carriers can contact their consortium for more information about scheduling a test.

Additional Discretionary Expenses in Trucking

Trailer – $0-80,000

The price of the trailer varies depending on the type of freight you will be hauling and the year of the trailer. If you wish to utilize Convoy’s discounts on Penske, Ryder, and Great Dane trailers, visit Convoy’s TruckYeah Savings page! 

Carriers can always choose to haul Power Only freight if they wish to avoid purchasing or renting trailers. For more information on Convoy’s Power only loads program.

Maintenance Fund – $0-25,000

Trucks break down. A smart business owner plans for these expenses by setting aside savings for rainy days. If your truck has warranty coverage, Shain recommends saving 10-15 cents per mile. If you do not have a warranty, Shain recommends having enough funds saved to cover a catastrophic engine failure.

Fuel – $100-7,500

Depending on payment terms, new carriers could expect to run six weeks before the first load pays out. Thankfully, Digital Freight Networks like Convoy provide Fuel Card programs and Free Quickpay on loads!

The post Haul Star Pro Tips: The Expenses of Starting a Trucking Company appeared first on Convoy.

To encourage best practices within Convoy’s digital freight network, we asked six of our Haul Stars how they prefer to find and book loads with Convoy.

Step 1: Find the Right Load with “Search” 

“Convoy is the ideal partner to book a first load with. On my first shipment with Convoy, I was signed up in a matter of minutes and booked a return load trip from Florida to Georgia when I had no other options. The best advice I can offer to a new driver with Convoy is to customize the search results to find the most relevant loads. In order to find roundtrips to the places I want to pick and deliver to near home, I’ll search for “current location” and add a search radius of 50 miles and expand to 100 miles depending on the number of loads available. Once I find and book a load I’m interested in, I’ll submit another search result picking or dropping near that location, and so on until my truck is booked out a week in advance.’” – Robert Key, Owner of Bizzyb Transport, LLC

Step 2: Gauge the Market Rates 

“The best part about working with Convoy is knowing exactly how much your bid was lost by if another carrier wins a bid. I use Convoy to gauge the market and understand where other carriers are accepting lower rates than my fleet. For example, if I’m losing bids by higher amounts, let’s say $600, I know my fleet is shooting way too high for where the market is at that moment. But if I’m losing bids by $50-$100, then I know I’m close to where the market is and can use that insight to book a similar load. The best-case scenario is when I win a bid even though my bid was not the lowest bid in the market. Convoy makes sure to reward higher-performing carriers in this way, so it’s important to perform well and correct any mistakes that may implicate your carrier scorecard.” – Josh Rickards, Rickards Transportation LLC 

Step 3: Do Your Research with Facility Insights

“The progress Convoy has made in providing transparency to carriers and removing the guessing games is unbeatable in the industry. In the past few years, carriers have only been able to see the general metros a load is picking up or delivering to. With Convoy, you can see the exact address and facility information. They provide insights into shipper cancelation rates, average facility dwell times, facility experiences, and a list of previous driver reviews to give carriers all the information they need to book back-to-back loads or go to an area they are less familiar with. Our fleet tends to stick to booking loads with less than two hours of waiting time and high driver reviews. All these little minor details play a huge role when deciding which load is best for our fleet’s hours of service.” – Inderjit Gill, GSG Logistics LLC

Step 4: Save Empty Miles with Automated and Suggested Reloads

“On Convoy’s loadboard I’m able to pair loads together to save time and reduce empty miles for my fleet. Convoy’s algorithms combine loads that have small cancelation rates and wait times so carriers can complete more loads within their hours of service. This basically provides the ability to plan my fleet’s routes out a few days in advance. As a dispatcher, this saves me a significant amount of time hunting for loads to fill my driver’s schedules. I can free up more time with less hassle by combining and booking multiple loads at once.” – Isaac Wilke, Starlight Transportation LLC  

Step 5: Enable Notifications & Find Dedicated Lanes

“It’s extremely helpful when Convoy is able to tell me if we will or will not be getting freight on the local lanes our fleet is interested in. This is why Convoy’s “Request a Load” feature and Dedication program is the first thing we check every day. With Requests, carriers should enable notifications to make sure they are the first to accept or submit bids on the lanes they are interested in. This is the key to getting a competitive advantage in the marketplace, especially if carriers run locally or are on the road. More importantly, if you can book a dedicated load with Convoy, you should take it. Right now I would say about 20% of our shipments with Convoy are dedicated to us, but I’d like the opportunity to have more of our business dedicated. Drivers want to be able to book their shipments a week in advance, so these dedicated loads can play a huge part in maintaining consistency for a fleet. When Convoy has the volume, we don’t spend a lot of time looking for freight because of these features, and we can focus solely on driving.” – Eliza Cruz, Owner of Beep Beep Trucking

For carriers new to Convoy, sign up here. 
Already hauling with Convoy? Open the Convoy app and bid on dedicated freight today.

The post Convoy Haul Stars Share Pro-Tips to Find and Book Loads appeared first on Convoy.

Joining the Industry:

Macey: How did you get involved in trucking, and what you were doing prior to driving?

Josh: I was marketing for a record label working with some of the biggest names in hip-hop before I got into driving. When they needed someone to drive over the road on music tours, I jumped on the opportunity. I was hauling equipment for the concerts and that’s where I started networking and building relationships in the music business. The schedule was crazy… I was driving over the road all day and then at night I was working with my clients to find concert promoters, venues, and book shows for the artists. Essentially I was running the music business and driving at the same time.

Eventually I got to a point where the industry was too chaotic and draining, but being on tour and driving was still something I really enjoyed. From that point on I made the decision to buy my own truck and run my own trucking business. Since then, my passion has been being on the open road and helping other people. Being able to focus on this industry full time has changed my career.

Advancements in Trucking:

Macey: Tell me about your favorite technology that has changed how you live on the road and haul freight.

Josh: I run freight in a 2020 Freightliner Cascadia. It’s a newer truck but essentially it has an electric APU. APU and the Diesel APUs have been around for a while, but now there is a system called ParkSmart and Optimize Idle. My truck has four batteries in the unit and I have four batteries on the catwalk that run the bunk heater and air conditioning condenser. The Epsar system has been around for a while, but it also burns a little bit of diesel and it essentially creates heat inside the cab. The neat part is I can run power inside the truck to watch TV, microwave, run the fridge and everything for about 8-10 hours. This system is integrated with Freightliner trucks and allows the truck to start up, run for two hours, and then shut off in order to charge the batteries. Because it does this seamlessly, I can be sleeping and the system will start the truck up, run at a higher idle, charge the batteries, and then shut off automatically. 

The other big advancements in tech have been providing better information in apps by collaborating with drivers, brokers, and customers while on the road. TruckerPath specifically has been my go-to for finding parking on the road. It’s pretty cool to be able to help others out by sharing information we can see and verify in real time.

Macey: There can be a lot of competition on the roads. Do you feel like truckers are genuinely trying to help each other out?

Josh: When it comes to booking loads there is definitely a lot of competition because it’s a different atmosphere. But out here on the road, I do feel there are still those out there (like myself) who look out for other drivers. If I see a driver pulled over with an issue on the road, I’ll stop to see if they are okay, and I know others will do the same for me. The same goes for helping others back into tight spots in parking lots. You’ll constantly see guys running out of their cab to help direct trailers to avoid tricky collisions with parked trailers.

Macey: Twenty years ago your uncle was in trucking and you were his passenger. How has the freight booking process changed?

Josh: You’ll hear stories of the old school drivers who had to pull over at truck stops and watch a TV with flashing loads, phone numbers, and vague load descriptions. Drivers back then had to call their dispatcher or the contacts listed on the TV to negotiate for the load over the phone. I wasn’t operating back then, but technology today has completely changed the game.

What I love about technology is being able to run a business on the road by using apps like Convoy to find and book loads. What’s interesting is Convoy was actually the first company to take a chance on me when I first started my authority. There are a lot of other companies out there that require 30, 60, or even 90 days of experience with an authority before you can sign up with them. With Convoy, I was signed up and booking loads within a few days. 

Finding Prefered Long Hauls:

Macey: Why do you prefer running long hauls?

Josh: I have different strategies, but I prefer longer hauls because I have three other trucks that are leased onto my authority. If you’ve heard the phrase “that’s trucking”, you probably understand that things always go wrong in this industry. With long hauls I can be on the road for four days and spend more of my time helping my drivers find loads.

When you book long haul shipments, you have to “play the game”. Seasonality determines which lanes and which rates will be most attractive for drivers and higher-paying. Right now, long haul rates are still pretty fair, but as they trend back down the key is to look for the lane that will position your truck for the next best load. If long haul is not an option, I look for the loads where I pick one day, and deliver the next. I’ll keep doing that over and over again until I find the long haul market again. 

Macey: How does the Convoy app help you anticipate where those next best lanes will be? 

Josh: Carriers can use Convoy to not only to book loads, but to gauge the various markets. When I open the app and set a destination, I’ll also look at what loads Convoy has leaving that area. If I see a destination with only 5 reloads, versus a market with over 30 reloads, I have a better idea of where I want to position my truck. You can get an idea that long haul carriers are going in, but they don’t have the option to move if you see limited options. The important thing is as a long haul driver, I decide where I want to go and the risks I’m willing to take. My choices as a driver are endless, and the Convoy app makes it easy to weigh my options. 

Macey: What is the bidding process like with Convoy, and how is our experience different than our competitors? 

Josh: Convoy is great to gauge the market because of the bid feedback and rate transparency. I tend to place bids on a bunch of loads that I’m interested in and then weigh my feedback. I also check the lanes that I’m interested in running by requesting loads in the app. 

The best part of the Convoy bidding experience is the feedback you receive when you lose a bid to another carrier. Convoy will automatically tell you how much you lost by which is actually a neat function. Convoy doesn’t have to tell carriers this, most brokers hide this information and loads simply disappear. You can tell Convoy wants to help carriers win future bids by showcasing exactly when the load was taken, and how much you lost by. 

Basically Convoy is saying “Hey by the way, we are letting you know this load was booked at this rate by another carrier”. Not only does this help carriers move onto other loads, but it signals how close your rates are to the market. If I’m losing bids by $500 and $600, then I know that I’m just shooting way too high for where the market is at that moment. If I’m losing bids by $100, then I know I’m pretty close with where the market is and can bid more competitively if I need the load. 

Because of this experience and trust with Convoy, I’m willing to do more loads with them. Let’s say I place two similar bids with another brokerage and Convoy. Even if the other broker is paying $50 more, I’ll still choose to work with Convoy because you can’t beat the free Quickpay and in-app experience for detention and lumpers. I also know if I have issues on a load, Convoy is going to take care of me and we can get the problem resolved.

Data Matters:

Macey: When we look at other load boards, one thing that surprises me is the lack of information provided prior to receiving the rate confirmation sheet. I’m a firm believer that drivers will make smarter decisions when they have more data and transparency with the load details. What are your thoughts on this?

Josh: I can’t stress how important data is to be a successful carrier. Not only am I gathering weather information to make informed decisions, but I’m looking at the total shipments in a market to gauge whether or not it’s worth traveling to. Every day in and day out, I’m consuming and breaking data down to make calculated decisions for my business. I think Convoy does a wonderful job of providing insights to drivers prior to booking loads. As you mentioned, drivers know exactly what they are getting into with facility insights, so they won’t be surprised when they arrive for the load. 

Macey: What are your plans for your fleet in the next 5-10 years? Where do you want to take your business, and what are you hoping to get out of it?

Josh: I’m only one person so I’m at the max that I can mentally take on right now. Managing four trucks while balancing my family, health, and business is all I can handle at this time. I do want to take on more people in the future, but I’ll have to revisit that down the line. However, I would say the best way to depict what my goal for my business is to help more people in the future. I feel like my business model and goal in life is to empower other people to run their own business eventually. 

Signing Off:

Macey: As always, thank you for taking the time to chat with Convoy! Is there anything else you would like to mention before we sign off?

Josh: Ultimately, I would like to say I appreciate everything Convoy does for this industry. I really think it’s cool that Convoy will sit down and link up with a carrier. That’s something you don’t see a lot of your competitors doing, which is one of the reasons I think Convoy has been so disruptive. Every industry is changing, but I feel like trucking has been the most stubborn industry to change. The problems that Convoy has tackled have definitely set new industry standards for the future of freight, and for the betterment of drivers. 

Want to learn more about the carrier experience on Convoy shipments, tap here. Not a Convoy carrier? Sign up today!

The post Convoy Haul Star, Josh Rickards, shares his experience with Convoy appeared first on Convoy.

Over the last few years, I’ve had the pleasure of meeting and interviewing hundreds of drivers on the road. But the one thing I hear most is that the four-year college experience was not pursued or completed by many drivers. As a college graduate myself, it was ingrained from a young age that the only path to success was to get a college degree. Of course, this is not the case for all careers, especially for those in trucking or looking to get their commercial driver’s license (CDL). 

To better educate myself and others thinking about joining the industry, I asked the carrier community to share their opinions on the level of education needed to start their own authority. 

Anthony Zeno: Greenmiles Driver & Owner Operator 

“Many things you do as a driver are not taught in school. Major skills lacking in the transportation industry include communication, social skills, and time management. These are difficult to teach in a classroom because they require real work experience, especially if you want to get into trucking. “

“The courses I did pay the most attention to in school included math and geometry because they required critical thinking. Although I graduated from highschool and attended one year at the University of Phoenix, I am a firm believer that you will learn more behind the wheel, then you will in a classroom.”

Matthew Ames: Ames Transport Owner & Operator

“My wife and I started our own authority three years ago and successfully run Ames Transport as a team. I dropped out of school in 8th grade and eventually got my GED so I could register for my CDL. My education is trucking. I started out as a company driver to learn the ropes and complete my training.”

“Eventually, I bought my first truck and leased on with a few different carriers to gain experience behind the wheel. I’ve always taken this job one step at a time and I find myself learning and educating myself every day. The most important part of owning your own business is knowing your costs to operate and getting your equipment paid off as quickly as possible.”

Bill Hood, Managing Principal Consultant at VLocity Group 

“New drivers need to understand that the first two years of driving is basically training they get paid for. Rather than taking out college student loans, drivers are covering their training costs (i.e having higher insurance and claim rates) by earning a lower income while they gain experience.” 

“As a former fleet owner, I understand that drivers need to be in this business for the long haul because becoming a high performing driver is a long term process. I’m in the process of creating an online Trucking MBA course for Owner Operators or people interested in becoming Owner Operators that covers everything from the basics of calculating overhead, to covering advanced topics like building a solid network of repeat customers. It’s this type of information drivers need to continue to find success in this industry.”

Scott Leckliter, Leckliter Logistics Owner & Operator

“After high school, I went to a two-year college specializing in computers. I had heard that getting a job out of college was a double-edged sword – not only do you need the degree, but you need experience working to find a suitable position.”

“After a year in college, I left for a computer job in Madison, only to realize I hate sitting inside and staring at a computer all day. I switched career paths and worked security at a casino for 15 years and eventually attended classes to get my degree in law enforcement. That career lasted me 14 years until I decided to retire and get my CDL.”

“Getting my CDL was one of the best decisions I ever made. If I had known about the possibilities in trucking and owning my own authority, I may have made the switch sooner. The best education a new driver can get is through learning and talking to other people. A friend of mine showed me the ropes, and recommended a great company that I trained with for 1.5 years.” 

“Eventually, I made the decision to purchase my own equipment and leased on with a few different companies before deciding to get my own authority four years ago. The best advice I can give to those interested in becoming a trucker is to do your research and save your money. There will always be bumps in the road, but with my experience in law enforcement I’ve learned to stay calm and think logically through the problems drivers run into every day.”

Interested in getting started up with Convoy? Sign up here!

The post The Carrier Perspective: The Right Education for Your Career appeared first on Convoy.

While some carriers have found success hauling anything and everything, from anywhere to everywhere, National Trucking Service has proved it is often better to concentrate on one small sector of the industry.

Today, Juan Ochoa, Operations Manager at National Trucking Service, joins Macey Knecht to celebrate their fleet hauling over one million miles in 2020 with Convoy! 

Macey: Welcome Juan! As always, it’s a pleasure to have you joining us. What role do you play at National Trucking Services (NTS), and why did you join this carrier? 

Juan: I joined the company in 2018 because I could see the potential for growth. My duties at NTS are to make sure that everything during a shipment runs smoothly for both the customer and driver. If there’s an issue with a pickup number, payment, or a truck has a mechanical problem, I’m calling the customer or reporting the issue to the broker. My team’s goal is to make sure that the drivers get back on the road as soon as possible. 

With the Convoy app, it’s easy to make sure our drivers have all the correct information they need for a shipment. This heavily reduces the back-and forth, especially with the ETAs and in/out times being automatically recorded on behalf of the drivers.

Macey: Recently, NTS hauled over one million dry van miles with Convoy. Do you believe carriers are more successful if they have consistency on the lanes they run? What is your carriers’ niche in the market?

Juan: Having a consistent and dedicated lane to run has been essential to facilitate our growth in many ways. First, these consistent lanes help concentrate how and where dispatchers look for loads to keep the driver’s schedule full. Second, dedication allows us to better plan our reloads back to our home base in Seattle. And third, we are able to better grow our equipment and fleet because our drivers have a predictable schedule and lane they prefer to run. 

At first we were surprised to see that NTS had completed over one million miles with Convoy, but looking back on the lanes we like to run and the volume of work we do with Convoy, it’s more than understandable. We mainly run intermodal and dry van freight from Seattle, WA to Sacramento, CA, and then back from Sacramento, CA to Seattle, WA. The average distance for this load is about 750 miles or 1,500 round trip. If you multiple this distance by the 1,402 loads we completed for Convoy in 2020, the total distance adds up. 

Macey: We often hear a driver job will sell itself if the carrier has a regional operation and/or the driver can make it home most nights. What is the benefit of working with NTS as a driver, and how often do you recruit new drivers?

Juan: Most of our driver recruitment, about 80%, is by word of mouth. However we do offer NTS employees incentives for referring over-the-road and port drivers. Because of the driver satisfaction of working with us, our turnover rate is approximately 5% or less. We are very straightforward and upfront with drivers regarding the expectations of working with us, and we always work with the drivers to get them home in a timely manner when needed. 

Macey: Everyone in this industry understands that cancelations happen fairly often. How does specialization on a lane create an opportunity to quickly replace canceled loads? 

Juan: Absolutely. When running the same lane and multiple loads, cancellation is very minimum and if it does happen, NTS has been able to re-book trucks through the Convoy application within minutes of a cancelation. That is why “Request a Load” is one of our dispatcher’s favorite features!

Macey: What were the largest challenges as you grew your fleet and how did you overcome them?

Juan: The most intimidating challenge we continue to face is collecting payments and maintaining a positive cash flow while growing our operations. With Convoy, we dedicate a large percentage of our loads so we can take advantage of Free QuickPay. Our drivers can also invoice Convoy immediately after completing a delivery by taking photos of the BOL, lumpers, or scale tickets in the app. As an operations manager, I also have the ability to upload PDFs and other documents on behalf of the drivers on Convoy’s desktop version, Carrier Web.

Our dispatchers have also found success finding and booking loads on the Carrier Web. There are plenty of tools that help them search and request the best loads for our fleet, with minimal effort 24-7.

Interested in hauling with Convoy? Get access to all loads in the Convoy network here — it takes just minutes to sign up.

The post National Trucking Service Completes Over 1 Million Miles in 2020 with Convoy appeared first on Convoy.

SHAIN FERRISS, OWNER OF GREENMILES

Macey: Welcome Shain, and thank you for joining us! Greenmiles has an incredible reputation in the industry – I constantly see people referring drivers to your authority and can personally vet for the professionalism of your entire fleet. Can we start by chatting about how you got involved in freight? 

Shain: I was originally in the automotive recycling business. A friend of mine who drove trucks, Mark, said he had to go to California, so I jumped into the truck and rode with him. By the time I got back from California, I was registered for my CDL courses and after completing the CDL training, Mark and I joined a new company and I became Mark’s trainee. 

As a new driver, it’s hard not being impressed by all of these really nice, shiny new trucks offered by carriers looking for drivers. I made a few moves once I got my experience with Mark and found my way into another company. I drove for them for about six months and then made the transition from a company driver to a leased owner operator with a leased company truck. 

After another six months, I decided to purchase my own truck in 2000. I drained my savings, put a down payment on my first truck, and got to work. I ended up working with one company for 14 years, and  was extremely happy and doing really well with them for a long time. However, their growth as a company and my growth as an Owner Operator steered us on two different paths.

Macey: How did that company growth impact your operations and how you choose which companies/brokers to work with? 

Shain: The bigger a brokerage gets, the more they value relationships over immediate profits, which in my opinion makes them a better choice. As younger brokers come into the industry, they tend to be laser focussed on carrier acquisition and their bottom line instead of carrier relationships and experiences. So we tend to work with brokers who have been in business for six or more months and check out their DAT, Google, and App Store reviews for insight into their operations. 

We also make sure the broker pays their carrier bills by checking credit scores and reviewing their payment terms. Convoy’s Free Quickpay definitely got our attention, and we were able to secure a letter of release from our factoring company to take advantage of those two-business day payments. 

Macey: And of course, if you want to attract the best brokers in the industry, you have to attract the best drivers.

Shain: Exactly, we are extremely selective when hiring drivers because Greenmiles’ reputation is of the utmost importance. The last thing we want to do is take a chance on someone who hasn’t proven themselves. I firmly believe that military experience develops a person in such a way, they’re usually the type of person we want to deal with. In fact we’ll count 3 years of military experience towards their OTR experience when veterans join our fleet. 

Brokers also value carriers they don’t have to micromanage, which is another reason we enjoy working with Convoy. Our owner-operators know that they have to use the app on all the loads so their ETAs, in/out times, and detention are updated automatically in the app. The app also allows our owner-operators to bid on, book, and invoice all of their own loads, which saves us time in the back office.

Macey: What do you think the biggest problem in trucking is, and is Convoy helping improve it?

Shain: Carriers need facility insights and data to back up the rates they are willing to haul for. This is something Convoy has done really well from the start. When we sat down at the Mid American Trucking Show with you and learned that your company was planning on providing cancelation rates, dwell times, and driver reviews, we were pretty impressed. 

Most brokers lack accurate information and are unwilling to provide it prior to a load being booked. It’s not that brokers are trying to mislead people, but sometimes they guess or just put standardized information into the load details. A few weeks ago we had a driver accept a load, but because the weight was incorrect in the load details, the broker issued a $150 Truck Order Not Used (TONU) and our driver missed out on an opportunity to keep moving. I’d say it’s nice having Convoy set standards for the information carriers should have prior to booking a load. 

RON SANDERS, OPERATIONS MANAGER FOR GREENMILES

Macey: Always a pleasure to chat with you Ron. Tell us where you grew up and how you got involved in freight!

Ron: My parents had a trucking company that moved equipment for a local carnivalI that operated in Pennsylvania, West Virginia, and Ohio. Most of the rides and equipment were mounted to or inside trailers and we would move locations every couple weeks.

When I graduated high school, I went to college for a year and decided joining the army would help me figure out what I wanted to do for the rest of my life. I spent 20 years serving the military and quickly identified my strengths in management and maintenance. When the economy was struggling in 2011, I found a trucking company that was known for its training program and figured I would give it a go and replace my income for a while. I did the lease purchase and learned a lot about the industry really, really fast. 

Macey: This is one of the most challenging industries to understand if you don’t have a background in transportation. How did you educate yourself so quickly? 

Ron: If you’re going to have a business, you have to immerse yourself and learn as much as you can to be successful. I wanted to be able to share my learnings to help other people grow as well, so I joined a few Facebook groups and started watching how carriers and brokers communicated about and to each other. 

Macey: How did you go from driving to managing Greenmile’s operations? What role did technology play in your new role?

Ron: I had my truck paid off rather quickly and within two years I found myself driving for Greenmiles. In 2017 I had a health setback that pulled me off the road and by 2018 I had retired from driving. Shain and I had known each other for several years so he hired me on as the Operations Manager to develop office processes the company could grow with. 

If you understand basic management principles and how to implement processes,  technology just fits into what we do. I’m a firm believer that technology makes the job more efficient, especially when you are growing a company and managing 18 owner-operators. 

Macey: How do you manage to keep everyone happy that works with you? 

Ron: The biggest thing is making sure the drivers are successful at their job and can run their own business to make the money they want to make. Obviously, everyone isn’t going to be happy, especially with the number of setbacks we run into in freight. But the important thing is to help them improve and learn from each other’s mistakes or situations. 

That’s why Greenmiles has a mentor/buddy program for new drivers. If an existing driver recommends a new driver to come work with us, they become their mentor. We have a private group for our drivers to discuss their situations, negotiation strategy, and lane strategies. The program is informal but it’s very effective because our drivers want to help each other. If you facilitate an environment that promotes this, the drivers will participate on their own.

Macey: What’s one piece of advice you would give to someone considering a career in trucking?

Ron: Do your research. Anybody who is willing to learn can be successful in this industry if they sacrifice a little bit and do the hard work. When I went to the Mid American Trucking Show in 2019, I was in the process of transitioning to work in the office and run the administrative side of things. A lot of our drivers were asking when we would be able to start working with Convoy, so it was my job to figure out if we could work with a digital freight network, and how we could do it. We stopped by every day to chat with you and learn how Convoy was setting new industry standards and creating a really incredible product for small and medium-sized carriers. Specifically, it was my job to make sure our owner-operators had the ability to do what they needed to, without compromising our office’s control. 

It’s also really important for new drivers to have their financial house in order – pay your taxes, keep your credit score high, and make sure you have the ability to fix your truck with your own money in case of a breakdown. You have to run a carrier like a business and pay yourself like an employee. Just because you secure a $4,000 load, that doesn’t mean you personally made that much. Pay yourself $900 for your time and the company $3,100 for future expenses. 

Finally, a basic rule in business: never let emotions cloud your judgment. Everyone that you talk to is your business partner. Every broker that you call is your customer. Every shipper and receiver is your broker’s customer.  It’s always important to treat others how you want to be treated, even when you run into bad actors and really tough situations. 

MATTHEW VELAZQUEZ, DRIVER & OWNER OPERATOR FOR GREENMILES

Macey: One of my favorite memories at the Mid American Trucking Show was sitting down and chatting about how you keep your “saw sharp”. Can you share this story with us again? 

Matthew: There was an old story my parents used to tell me about two lumberjacks that were in a competition to cut down two trees of the same size and same width. The newer lumberjack said, ‘Look, old man, I can cut down this tree faster than you can.’ He took his shiny new saw and he started cutting down the tree without stopping. Eventually, he looked over to the old man and saw him stop and sharpen his saw. The younger man thought, ‘I’m going to keep going and win because he’s wasting time.’ However, the older man was able to get through his tree faster and surprised the younger man who had barely sawed half way through his tree. The younger man asked, ‘How did you cut your tree so fast?’ and the older man said, ‘It’s because I kept stopping to sharpen my saw.’ 

When it comes to business, every now and then you have to stop for a break and sharpen your skillset. I think this is one thing drivers have a hard time doing because they are hyper focussed on running as hard as they can for as long as they can. But moving fast often leads to making mistakes and doing work inefficiently. And this idea of improving your skills and continuously educating yourself doesn’t just apply to business, it applies to life in general. You have to work smarter and not harder – otherwise, you’ll end up wearing yourself out. 

Macey: What resources do you use to stay informed and educated about opportunities and advancements in trucking and logistics? 

Matthew: I always enjoy learning something new. When I’m out on the road, I have up to 11 hours a day to sharpen my saw listening to audiobooks and/or podcasts. I started on the Convoy Radio podcasts which actually turned out to be quite informative. I also spend a lot of time listening to Kevin Rutherford, Kenny Long, and Grant Cardone. Similar to Ron and Shain, I’m fairly active on Facebook interacting with other industry participants on Rate Per Mile Masters.

But most importantly, I do a ton of networking with other people in the industry. One of the most important things is sharing information and knowledge with others, and this is something Greenmiles has always encouraged. They have done an incredible job teaching us to be businesses minded with every decision we make. If I ever have a question, I can call Ron, Shain, or any of the other drivers, because I know someone is going to have an answer for me. We look forward to helping each other out and sharing information because that’s the culture that was built from the beginning.

Macey: So what is the next step for you? Have you considered starting your own authority?

Matthew: It’s hard to say right now because I’ve found so much success with Greenmiles. I want to create a program for company drivers to teach them how to run a trucking business and set themselves up for success. That’s something as a company driver that I wish I had when I first started.

If I ever do start my own authority and I have company drivers, I know I’ll need to replicate the mentorship program at Greenmiles. I’m pretty good with technology, so for now I’ve walked drivers at Greenmiles through navigating the app and selecting the loads they are interested in.

Macey: What surprised you about the Convoy app when you first got to using it?

Matthew: The Convoy app has an incredible amount of features in it, and I absolutely love it. The ability to search a load in my location in advance and pull up exactly all the load information is such a huge time saver. Most brokers don’t do that. You have to call them and waste five minutes on the phone, only to find out you don’t have the hours or right equipment. And the other driver’s love it too – we have a few drivers who haul power only loads all the time and really enjoy the app expereince.

To learn more about our Carrier experience on shipments, tap here. Not a Convoy carrier? Sign up today!

The post Convoy Haul Star, Greenmiles, Shares Their Experience With Convoy appeared first on Convoy.

Convoy would like to give a special thanks to our outstanding “Haul Stars” that move this industry forward. These individual businesses were recognized for their flawless performance with Convoy and their dedication to the Convoy platform.

Northwest Carriers

Southwest Carriers

Midwest Carriers

Southern Carriers

East Coast Carriers

The post Celebrating our 2020 Haul Stars appeared first on Convoy.

Macey: One of my favorite questions to ask carriers is how did you find Convoy?

Isaac: I actually found Convoy on another load board. We were looking for something local to do that day and we found this shipment with Convoy as the broker. So I gave Convoy a call, and right then and there, I got sent to the new carrier setup page and I was just amazed because it only took about three to five minutes.

Getting set up with other brokers requires so much back and forth and paperwork. It was just a hassle, but I was just super surprised by Convoy’s process. Three to five minutes, I was in and out of there, and I had the load tendered to me. It was amazing.

From that point on we started using the Convoy app to find loads because now we could see everything Convoy had to offer. And then we realized that there is a big Power Only market out of Green Bay with Convoy, and we wanted to explore more into that because typically we used our own trailers for shipments.

Macey: Tell me a little bit about running in that local market. You mentioned that you recently just got into your interstate authority? 

Isaac: Originally, I did want to dominate the local market, but that is a very hard thing to do as a new carrier. I was thankful that we found Convoy in the process of trying to accomplish that, but that is more of a long term goal now. 

Recently we decided to try the next step up by hauling regional freight typically a day out and a day back. And we found great success with Convoy’s Power Only because a lot of their Power Only freight is a 600-mile journey one way, and then 600 miles back to our starting location. The Power Only program has been life-changing for us. 

Macey: One of the things that really amazes me is the fact that you built a debt-free company at the age of twenty-two which, in the trucking and transportation industry, is not an easy thing to do. How did you get to that point where you weren’t accruing debt as you were building out your authority and hiring drivers to work under your authority?

Isaac: Cash flow is very important in business. If you work with Convoy, you can really take advantage of their free QuickPay and that perk really, really helps with our cash flow. When we started using Convoy, we set up our bank information and had the first shipment payment in our account just a couple of days later. 

Not to mention, submitting the documents on the app saves you so much time in the office. I don’t have to sit there printing and scanning because I’m able to have my drivers do it out on the road. Because I don’t have to physically run the company in the office, it opens up a great opportunity for me to be a dispatcher and a driver. 

Macey: How was the learning curve for your drivers uploading photos in the app? Do they feel like they save time invoicing now? 

Isaac: With everything new, there’s always going to be a learning curve. Looking at some of their first uploads you notice cropped photos or big blotch spots but eventually, they got the hang of it and we were able to submit a nice, clear document using the Convoy app.

Macey: I joke with carriers when they finally send that perfect image that they could be a professional photographer now. Talk to me a little bit more about the invoicing process. How do you guys feel about earning detention or getting reimbursed for lumper fees from Convoy?

Isaac: I had taken a Convoy load and needed a lumper code at three in the morning and was a little worried because this would be my first time requesting a lumper. When I went to pay the lumper for unloading my truck, I pulled up the Convoy app, tapped on “Support”, and tapped on “Lumper”. I selected the “Stop” and asked the facility worker for the lumper company’s name and the amount for the lumper. I hit “Next” and the EFS code just popped up right there. The gentleman just looked at me with amazement and he goes, “You have the EFS code already? It takes most drivers a couple hours, especially overnight, to call their dispatcher or broker for the approved code.” I said, “Yeah, I guess I do.” So, that’s pretty amazing first experience.

I’ve never had to fight Convoy on a layover, lumpers, invoicing, or detention because they have always been there to back us up. Being able to just request detention in the app and avoid the phone calls makes the driver’s life so much easier and enables me to sleep through the night. 

Macey: You’ve been an entrepreneur your entire life. What finally pushed you to start your own authority and business?   

Isaac: I’ve loved business my entire life – I love the accounting, the responsibility, and the decision making that comes with it. Since I was about eight years old, I’ve been running my own small businesses and actually had my own LLC lawn service in high school. For the longest time I didn’t realize that I wanted to drive a truck even though my aunt, uncle, and dad all drive. So one day I decided that I was going to pull the trigger and get my CDL. 

I worked for a couple of different companies over the years as a company driver to gain some knowledge about the industry. Eventually I bought a truck, and then in October of 2018 I leased it on with one of the carriers that I was working with. It was a slow transition for me because I preferred to take small steps instead of one big jump with no personal experience in the industry.

I will say drivers learn more in one week of actually driving then any 10 week CDL training course. I think that’s just so important. I didn’t go to a four year college, I didn’t major in accounting or operations. I went out there and I taught myself. I know a lot of people say that failing is a bad thing, but I really don’t think so. If you’re going to make mistakes and you have to learn from them somehow.

In April of 2019, I established my own in-state authority. Then October of 2019 we had gotten our out-of-state authority shortly after partnering with Convoy. Of course, then once we had that out-of-state authority and we saw those loads that were on the Convoy app and knew this was the right move to make.

Macey: Thank you, Isaac, your company continues to amaze our leadership team here at Convoy. We are very much so, looking forward to partnering with you in the future!

The post CONVOY HAUL STAR, ISAAC WILKE, SHARES HIS EXPERIENCE WITH CONVOY appeared first on Convoy.

Macey: Thank you for joining us today Robert! One of my favorite questions to ask carriers is what brought you to Convoy, and how did your first shipment go?

Robert: “Okay. I’m a little sentimental about that first shipment because of the circumstances surrounding it. It was crazy. I got into it with my last broker, and it just became a very nasty relationship because I guess there was a very personal report between him and I. When we had a disagreement on rates and he was getting pressured from his end but I was standing my ground on my position, it caused friction. We ended up severing ties right there on the spot.

So I’m stuck out in Florida with no load, and no broker, and I’m calling my wife asking ‘why is this happening to me’. I thought about giving up because I was so tired of this, but my third party group that handles administratives for compliance had sent me a list of brokers a couple days before and I had applied to one. So I already had the application set up, but I had never used Convoy. 

For me, when something is supposed to bring me down, it actually lifts me up. That’s when I rise the most because I feel like it’s God’s way of telling me I am strong enough to deal with this and be better for it. 

So I said, let’s give Convoy a try, let’s see what they got. 

I saw a load and I booked it. I was on the phone with my wife and I had it accepted and thought ‘wow that’s quick’. It was above market rate and that load in particular was dropped by another carrier so it was already a late load but the facilities were going to work me in. I was sitting there for about 24 hours and with a touch of a button I had full layover pay, detention, and stop pay. 

It was never a question or a hesitation from Convoy to back me up on that compensation. I never had to complain or give anyone a hard time to get my compensation and they were so friendly over the phone. This was a different experience than the other brokers because you have to squeeze every dollar out of them, but that’s not how it is with Convoy.

I thought right then and there if this is the type of experience I am going to have, I’m going to continue to use them and see how far it goes. I’m going into this relationship with a certain amount of optimism, but every time you guys keep steppin’ up and steppin up. 

Every time I call in it’s such a  pleasant voice on the other end of the phone and they are so accommodating. They actually treat me like a human being. 

Macey: That is incredible to hear Robert! I know how difficult it can be to sit at a facility while you are trying to get worked in. Having the confidence that you will be compensated is essential to the operations, and it’s one of the main reasons we created hassle-free detention. 

You have provided so much feedback to Convoy and I want to take a quick moment to say thank you for your feedback. Without drivers like yourself, we wouldn’t be here today with the tools we’ve created.

Robert: I don’t mind giving Convoy my feedback because I’m gaining from the experience in terms of my knowledge level. Speaking with you and communicating with other Haul Stars and other carriers it actually gives me direct insight into my industry from people who have various experiences that can help me understand what I need to do personally to succeed and the tools I have to use to do so. 

A friend of mine told me that a while ago. He’s always like, “Talk to other drivers, bro.” Talk to them and communicate, even if it’s just calling in just to shoot the breeze. You’d be surprised what you might learn just in that simple conversation because you’re in the same industry. So, naturally, the conversation’s going to progress to trucking and just in a casual conversation, you learn something every single time that you talk to somebody that’s in this industry. I always communicate with guys… Even my mechanics, they’re invaluable information just from being around those guys as to how to maintain my vehicle and get the most out of it.

If you’re in that industry, you want to link with like-minded people. People that are thinking about the same things that you’re thinking about. They might not be in the same way, which gives you a better perspective because you get to see the whole entire panoramic view of everything, all at the same time and still be able to understand the intricacies that make up the sum of the whole.

Macey: You’ve told me in the past working with Convoy is a ‘good marriage’. Can you explain what you mean by this? 

Robert: Convoy actually makes me feel like I’m doing well now and I have a potential to do better. And I feel like this company is going to assist me in the process. Whatever my needs are at whatever level I’m at, Convoy is willing to work with me there and help me along the way to build my brand and business.

And It’s a real relationship. Coming from being married since I was 21 years old, I rely on relationships and when I see something good, I tend to stay withit. There are other brokers who flash all these numbers at us carriers and make all these wonderful promises, but Convoy delivers on what they say they are going to do every time, so i never have to question you. 

You’ve heard me say every day I find a new reason to fall in love with my wife and it’s the same for Convoy. Every day I find a new reason to love Convoy and I already appreciate you guys! There is always something new that Convoy brings to the table that makes me appreciate them that much more. The fact that you actually take the time to ask people questions to understand what their needs are and what they want to see happen in this industry makes the world of a difference. 

“What makes you a more efficient business, what do you want to see from your shippers and receivers, what are your costs” – nobody ever asks these questions. And you actually address these problems and partner with other companies to lower our costs. I don’t expect that from a broker but Convoy prioritizes it as a digital freight network.

Macey: Incredible. This platform was created for owner-operators like yourself who are looking for new ways to find success, expand your knowledge, and improve the efficiencies in this industry. I’m greatly looking forward to continuing this relationship, and I wish you and your family the best in all of your endeavors. Thank you, Robert! 

The post Convoy Haul Star, Robert Key, Shares His Experience with Convoy appeared first on Convoy.

In part one (demand), we looked at data on factory output and the headwinds and tailwinds in the freight economy. In part two (supply), we focussed on how driver entries and exits are shaping the market. And finally, in part three of the webinar series, Kevin Rutherford and Aaron Terrazas, Convoy’s director of economic research, talked about the driving forces of supply and demand, and their impact on rates. 

Aaron: Let’s finally get to what we all care about, which is rates. The theme when I talk about rates, to echo what Kevin said, control what you can and recognize what you can’t. The freight market is this big beast of a system with no single person or company or individual controlling it. That’s what a market is. A market is this chaotic, multidirectional interaction. 

But what you can control is your underlying cost. And that’s what Convoy has been thinking about, is how do you lower the operational costs of finding a load, completing the shipment, and getting paid. 

So if you think about the actual matching process, how do we introduce efficiency into the matching process? In traditional brokering, a load is tendered to the broker, the broker goes through their Rolodex, calls up a bunch of carriers, sees who can do it, who’s available, thinks about the prices, negotiates back and forth, then matches the load and executes it. That is something that takes hours. On average, 10 calls or emails which is a very intensive and slow process. 

Convoy’s platform is a Digital Freight Network — so there is automated matching and pricing. Algorithms identify available shipments and posted rates, carriers accept or bid in the app, bids are automatically analyzed, and that matching process –which in a traditional brokerage takes hours –typically happens in minutes without any calls or emails. That is the ease and efficiency of a digital freight network.

Who Sets the Rates?

So I think the natural question is: If there’s no human in the negotiating process, who sets the rate? Well it’s the market. No single broker can set the rate. I think we all know that the freight market is extremely competitive. There’s over 15,000 brokers, hundreds of thousands of carriers, hundreds of thousands of shippers, and even the biggest players only have, at best, 4% market share. 

With no individual supply or demand or intermediary dominating the market, that means price is set by the results of those factors I talked about in the first section: Demand and supply. When demand is above supply, prices go up, and when demand is below supply, prices go down. Convoy is a tiny (but efficient) player out there, and act as a price taker just like everyone else in this very competitive market.

With that competitive market, the upside is that carriers can choose the best option. The cost to switch between the various brokers is approximately zero, and it’s even less so with the apps. And carriers regularly work with multiple brokers, they have the freedom to pick their best option shipment by shipment. We know that on Convoy’s platform, the typical carrier does about two loads per month with us. And I know Kevin, something that you mentioned was that carriers should utilize about three to five good brokers for the bulk of their freight. That way they understand the expectations for working with each of them.

Kevin: Exactly. Going back to your first point, focus on what you can control. I see so much frustration with owner-operators and carriers because they do the opposite. I watch them focus on what they believe drives pricing, and unfortunately many carriers still believe low rates are caused by brokers trying to trick them. However, back in 2018 when rates were $3 a mile they had no problem with how the market was reacting. The point is if brokers could control the price, why did that ever happen?

And you just explained why – it’s a fiercely competitive market with so many players in a dynamic market, and yet carriers don’t always take the time to focus on what they can. I used to say, “Look, work on your expenses. It’s fairly easy. I can show you how to do it.” Then if you want to get better rates, you have to work on really strong relationships and you need to be in the data. Carriers need to understand the market, which in trucking is tricky because the supply and demand is always moving. It’s all over the place and that means we’re changing the dynamic all day long.

Lower Your Expenses, Keep the Wheels Turning

Kevin: In a way I’ve kind of given up on everyone understanding the highs and lows in the market because it’s too time intensive, and it’s not really necessary because technology has really taken away the need. 

Although drivers should spend time looking at the big picture and studying the rates in the lanes they run in a lot, we know the best way to make money is keep the wheels turning. Lower your expenses, keep the wheels turning, and with technology and companies like Convoy, you can always bid on the rate that you need to run at. 

It’s amazing that here are opportunities now to bid and negotiate on pricing directly in an app. We’ve spoken about carriers working with three to five good brokers to get the most out of their rates. This is important because you get to know their system, get to know their technology, and then the point is when you leave the house, you just keep the wheels turning. Just run. Run at a decent average rate and keep your expenses down.

Aaron: Bidding is the way we are able to identify the most efficient truck and help carriers that are the most efficient expand their operations. If we think about how truck costs respond to all these different supply and demand, local week to week regional factors, it’s impossible to predict them accurately that far out. If I asked you: What should a truck cost to run from Los Angeles to Las Vegas, or Chicago to St. Louis? What would you say?

Well, the only honest answer is that there’s no single price. There are a bunch of different prices out there. Every carrier has their own price. That price is going to depend on their vehicle financing payment, the price is going to depend on where they’re located to start, the price is going to depend on whether or not their kid has expensive tastes. Everyone has their own costs. And bidding helps us understand what the various prices are out there, because there is no single price.

Negotiate for the Rate You Need

Aaron: On the Convoy app we have the Accept Now price (which is a floor and the lowest we’re willing to accept) and the bidding option. It’s incredibly important to note that 70-90% of all Convoy loads are won via bidding. And this bidding allows us to identify the most efficient truck for the shipment. 

Kevin: I have a point out that this makes this bidding really attractive. When I first saw this technology coming into the market, my first reaction was, “Oh, I hope this doesn’t turn into a race to the bottom.” And now I look at bidding completely differently. 

And one of the things I look at is I struggled for years to help owner-operators learn how to negotiate. And I just kept telling them, “Look, you got to learn this. You got to learn it.” And they weren’t. They didn’t want to. I failed at it miserably, and I got frustrated. And then I realized why.

I myself am not a good negotiator. I know all the tactics. I’ve studied it. I can teach. In the real world, I’m not good at it because I’m an introvert and I don’t like controversy. I feel cheap, like I’m haggling. So I avoid it even though I know I shouldn’t because I’m leaving money on the table. Truck drivers are mostly introverts: they don’t want to negotiate, no matter how much you try to give them the tools. Bidding allows them to negotiate without all of that controversy and stress. And I think that’s awesome. 

Aaron: Exactly. And this idea of democratizing freight and giving everyone equal access to request their rate, is what Convoy is all about. But we also spend a lot of time thinking about how we can find the most efficient truck for a shipment. 

Identifying the Most Efficient Truck 

Aaron: Well, there are two ways of thinking about efficiency: distance, and time. In the example below, we look at finding the most efficient truck and have two different carriers bidding on the load. If a carrier is thinking about this load that’s heading from Philadelphia up toward State College, who is the most efficient truck here? Is it A or B? 

With Carrier A being about 10 miles from pickup, they will have the least amount of empty miles to the next shipment. However Carrier B has to account for the 100 empty miles to pick up this shipment, which usually results in Carrier B submitting a higher rate via bidding.

Similarly, if you think about the truck’s schedule and the drivers HOS, we can understand why rates vary between carriers.  In the chart below, when you look at the two drivers’ schedules, is Carrier A or Carrier B more efficient? 

Well the Convoy loads sandwiches nicely between carrier A’s other loads, and so they are the more efficient vehicle in this sense. Meanwhile Carrier B is more likely to find success with a different shipment that fits better into their schedule. 

Distance and scheduling are two different ways to think about efficiency and how bidding helps us identify the most efficient carrier out there. When the system as a whole becomes more efficient, carriers can earn more, but with less hassle — again, for those carriers who run more efficiently than their competitors.

Macey: There’s one other thing that I would love to point out – carriers are never penalized for bidding in the Convoy marketplace. One of my friends in the local Atlanta market bids on about 100 shipments a day. Although he only ends up accepting about one or three of those confirmed bids, he isn’t penalized for the other 97 bids he didn’t confirm. 

This is yet another example about how Convoy is squeezing out the inefficiencies in the market. By collecting these various price points in the market, Convoy can better understand what are carriers willing to run for and at what price across tens of thousands of carrier fleets. If the rate looks good, it matches up with your schedule, and criteria, take the load. But carriers are never penalized for contributing or throwing out their price out there.

“Stop Taking Cheap Freight” 

Kevin: One of the complaints I hear in the industry all the time is it’s these new carriers that don’t know how to run their business. And they’re the ones out there just grabbing cheap freight, and that’s why the rates stay low. And there is some truth to that. 

When new carriers are getting in, it changes the supply side and drives rates down due to increased competition on the supply side. And if carriers start taking that cheap freight, the typical scenario is they do it for a while and then they run out of steam and they leave the market. But there’s always somebody right behind them.

When I look at Convoy’s technology and what it’s doing and what it will continue to do and your example of the two trucks, we need to run a lot less empty miles as an industry. And it’s going to be better for all of us when we do. And the carriers that learn how to do this, that learn how to control their expenses and stop those inefficiencies and use the technology to keep the trailer loaded and the wheels turning, will survive.

Being a really efficient market, in my opinion, will drive out the bottom feeders. And I think we’ll become a stronger, more efficient industry. So I’m pretty excited about the technology and what it’s going to bring us in the future.

The post Marketplace Update with Kevin Rutherford – Part 3: Rates appeared first on Convoy.

1. Get your documents in order. With this year’s focus being on driver requirements, the inspector will collect and verify the driver’s documents, identify the motor carrier, examine the driver’s license, check record of duty status and review periodic inspection reports. The inspector may also check the Medical Examiner’s Certificate, Skill Performance Evaluation Certificate. More information about inspections can be found here. 
2. Ensure your Electronic Logging Device (ELD) is in compliance mode. ELDs track carriers’ hours of service (HOS) and can provide a report out to law enforcement when requested. Carriers can use our exclusive 15% discount on KeepTruckin’s top-rated ELDs, which feature DOT Inspection Mode, as well as monthly subscription costs. Access your discount here.
3. Confirm you have your daily vehicle inspection report on-hand. By carefully inspecting your truck and trailer each day, preventable issues and violations such as tire treads can be addressed. Carriers can access Goodyear tires at discounts typically reserved for large fleets through our partnership. Learn more here.

See CVSA’s driver requirements sheet and inspection procedure for additional information. To all the carriers in our network who safely haul freight nationwide, we say thank you! 

Interested in learning more about how logistics managers can prepare for DOT Week 2020? Check out this post.

The post 3 Ways Carriers Can Prepare for DOT Week appeared first on Convoy.

According to the CVSA, “checking brake system components is always part of the roadside inspection process; however, inspectors will be paying special attention to brake hoses/tubing during this year’s Brake Safety Week to highlight the importance of those components to vehicle mechanical fitness and safety.” 

This year’s focus on brake hoses and tubing is carried over from last year, likely due to the magnitude of violations from the previous year. During the 2019 CVSA’s International Roadcheck inspection, brake system and adjustment issues accounted for 45.1% of all out-of-service violations – more than any other category inspected. It was also reported that 13.5 percent of the commercial vehicles inspected were removed from the roadways because of brake maintenance-related violations. 

“Proactively ensuring that break system components are in safe and good working order not only helps prevent accidents and improve safety for drivers and the motoring public, but can also help fleets avoid non-compliance penalties, out-of-service time, and remain active in the marketplace” said Lorin Seeks, Director of Carrier Quality and Compliance at Convoy. 

Advice from Convoy Carriers

“The most common issues we’ve run into are broken brake chambers and worn down pads. I highly recommend that drivers do a pre and post inspection after every shipment to make sure their brakes are in tip top shape.” – Isaac Wilke, Starlight Transportation Services LLC. 

“For my truck, brake hoses are always the first thing to go because they experience a lot of wear and tear. I make it a habit to check my airlines before a shipment to make sure they are not dry, cracked, or have leaks coming from the hose or the coupling point” – Robert Key, Bizzyb Transport LLC 

The post Operating During Brake Safety Week, August 23-29 appeared first on Convoy.

Turning to supply, we recognize that supply moves in response to shifts in demand as well as in response to rates. When it comes to supply, there are three Es – exits, entries, and efficiencies.

What is Driving Carriers to Exit the Industry?

Aaron: There has been a lot of focus on how bankruptcies are contributing to tighter carriers supply recently, and that is certainly the case. But there are also other reasons why drivers and carriers decide to leave the trucking industry — for instance, they can retire or transition into jobs in other industries. 

The chart below shows the bankruptcy rate for carriers of different sizes. I’m sure this group feels this very acutely – the bankruptcy rate has been rising, but it’s almost all due to rising bankruptcies in that small carrier bucket. 

Kevin: So I’m looking at that small carrier, which is my market, and clearly with what’s going on this year with the pandemic, you might expect it. Although, when I look at things, we had a pretty short downturn in freight rates, we had all the money being handed out to everybody, and so I’m a little shocked that we’re seeing that rise in bankruptcies already.

Aaron: Exactly. We have a few hypotheses for why we are seeing this trend. The very large carriers, it’s volatile, but on average you can see a flat line there roughly in bankruptcies among the very large carriers. In general, larger carriers were more likely to receive emergency loans — such as loans through the Paycheck Protection Program (PPP) — or have access to financial markets. (We know that some of the terms of PPP loans favored large carriers, such as the timing of applications and the requirement that loan recipients provide health insurance to all employees. 

We also see fewer numbers of working truck drivers as a result of this pandemic. I think the interesting thing in the most recent data that I’ve looked at is we see the biggest drop in the number of truck drivers over the past few months among older truck drivers, that age 65 plus cohort, which is really mostly 65 to 70.

Basically the number of truck drivers in that age group had been basically steadily rising for the past 20 years, but starting in the past few months, has really started to fall off a cliff down by a third, a hundred thousand drivers, since the start of this year.  When we initially spoke with Kevin, we had speculated that it was due to retirement, but Kevin suggested that a much sadder phenomenon could be driving this..

Kevin: Yeah. Unfortunately, we talk about the statistic that the average career male truck driver might not make it to 60. It’s just a really unhealthy group. So this could be some deaths, could be that we scared the older drivers saying that they’re really at risk for this. Maybe they decided it was just time. I don’t know. It’d be nice to see more detail on that.

Aaron: Yeah. I mean in other industries you generally do see workers on the cusp of retirement leave the market during downturns. If they’re laid off and they say, “You know what? It’s not worth the hassle to go and try to find another gig. I was two years away from retirement. I’m not going to bother,” but again, with that lifespan number, it is perhaps maybe something more morbid. 

Are Drivers/Carriers Entering the Market? 

Aaron: We talked a little bit earlier about the entries and the new driver pipeline. This is something I’ve been researching over the past couple of months. If you look at Google Trends, the number of people searching for different words that might signal interest in becoming a truck driver, it follows pretty closely the freight cycle. 

Typically, in recessions, the freight world sees laid off workers from other industries come in and train to become truck drivers — it happened with construction workers in 2008, and oil and gas workers in 2014. However, we have some data showing that that’s not necessarily happening in this crisis. Well, at least not yet. In fact, we’re seeing the number of people searching for these words that would signal interest in becoming a truck driver fall off a cliff. That may have to do with all the in-person training required to get a CDL, but it is way down. 

You can imagine some explanations for that. Maybe they don’t think that their job loss is permanent. Maybe it’s a barista or a restaurant waiter who is probably not going to become a truck driver because it just doesn’t fit their lifestyle. But it’s not happening.

With some carriers declaring bankruptcy, we see more vehicles hit the secondary market, and sooner or later second-hand vehicle pricing becomes very attractive, and encourages others to invest in expanding their fleets. We can also see this with specialized drivers. You think about all the people who drove tanks or flatbeds for the oil and gas industry who aren’t going back to work for a while — some of those folks are now looking for Drop and Hook opportunities.

Kevin: So this one really shocked me. And because I’ve watched trends like this and when the economy starts down, we do see those spike ups, we see people move into trucking a lot, in and out of construction, in and out of a couple others. If this number would have just stayed steady, I would’ve thought, “Yeah, no big deal.” 

This big drop… And if we look at what was going on in the media, truck drivers all of a sudden became heroes, which hasn’t happened in a long time, and truck drivers were still working and making money. And if you would’ve asked me, I would’ve thought this number would have gone exactly the opposite direction. What I’m wondering is how this data is correlated.

Aaron: Certainly. I think that is one of the challenges of working with Google search data, people change the words that they’re searching for. For instance things like “CDL school near me,” people never used to search. But in the past few years, people have started attaching “near me” to search terms. 

Macey: Kevin, I’d actually like for you to talk a little bit more on this. Is there an opportunity for drivers to do virtual training for their CDL? At what point do they need to be in a truck?

Kevin: I’m not aware of any. It is a pretty hands on experience. Every school I’ve looked at really does a minimum of classroom style training. The classes show you how to fill out a log book and review the safety stuff, but they need to get you out in the truck so that you can learn how to shift some gears and back up into a dock. And even those, it’s not a lot of training. 

We have a pretty poor training system, really, for drivers. So I can’t see virtual training working unless somebody had some really killer simulator technology, and I’m not even sure how that would work unless they come into a center with the simulator. So I think that’s pretty challenging. That may be one of the best explanations as to why this is dropped, because we have converted a ton of our training to online, and so has everybody else. It’s a huge trend. But I just can’t see it working for a truck driver. When I did my training, there were six of us in a truck in a tiny sleeper sitting on top of each other with no seat belts, and definitely no social distancing. 

Macey: You mentioned that when you first got into the industry after completing a two week course, there was not a driver shortage. How did you get your foot in the door to obtain the year of experience that you may have needed to start driving underneath your own authority?

Kevin: First off I’m third generation in the industry, my grandfather was an owner operator when the seat was a wooden bench in the truck and he actually contracted one of the major van lines back then. And a trip from the East Coast to the West Coast was measured in weeks, not days or hours. There were no interstates, truck stops were almost unheard of. It was a crazy time. 

My father was a frustrated owner-operator because he loved trucks and working on them. So he wanted to own one, but he didn’t know how to run a business. He would buy a truck, run it till he ran out of money, and would then go back to a union driving job, save up money and just cycle through that. I watched him run through this cycle and I’m sure that is what motivated me to do what I do today – learn the business and help other people so they don’t struggle like that. 

When I went to a two-week driving school, I had a lot of connections in the industry. To be specific, I had four brothers who were driving as owner-operators, two brothers-in-law, and a couple of uncles. After I finished school, I bought an $8,000 truck and was a local owner operator with my own authority on day one. So I had a, I won’t call it an easy entry into the market, but easier than most. I was hired by customers and brokers because they knew my family members and I doubt that somebody off the street would have gotten hired in those contract positions. 

Long story short, I’ve never been a company driver. It’s one of the few things in the industry I haven’t done, but with the driver shortage we’ve had with the turnover, it’s really not that difficult. The jobs are out there. You have to put in your dues and struggle through that first year and hope you don’t tear too many things up and keep your record clean. And once you do, the way our market’s been for a couple of decades, you should be able to write your own ticket by then.

Interested in hearing more from Kevin and Aaron? Check out part one in the Marketplace Update series.

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In collaboration with Kevin Rutherford on the “Let’s Truck – Positive Matters” webinar platform, Convoy presents a three part blog series covering demand, supply, and rates in the 2020 freight marketplace.

For those of you who are unfamiliar, Convoy is a digital freight network operating in North America connecting carriers directly to shippers. Convoy’s sole mission is to help carriers earn more with less hassle in the industry. We accomplish this by pushing inefficiencies out of the market by automating the tedious back and forth that fleets deal with on a daily basis. 

Introducing Our Hosts

Kevin Rutherford began his career as an owner operator 30 years ago. Over the years, his experience has evolved to be an expert in fleet operations, accounting, financial planning, driver recruiting, fuel efficiency, preventative maintenance, technical systems, and driver health. Today, Kevin hosts Trucking Business & Beyond on SiriusXM / Road Dog Trucking, and encourages healthy behaviors for drivers while they’re behind the wheel. During the 2020 coronavirus pandemic, he began a webinar series, Positive Matters, to focus on the health and mental wellbeing of drivers. 

Aaron Terrazas is Convoy’s Director of Economic Research. Prior to joining Convoy, Aaron was an economist at the real estate platform, Zillow, and an economist at the United States Treasury Department. During the pandemic, Aaron has been crucial in providing economic insights for carriers, shippers, and Convoy during these unprecedented times.

Macey Knecht is Convoy’s Carrier Advocacy Marketing Specialist. Prior to joining Convoy’s marketing team, Macey worked on Convoy’s carrier-facing operation team for two years. On this team, Macey enabled carriers to find success with Convoy and brainstorm future opportunities for improvement in the freight marketplace.

An Overview of Demand, Supply, and Rates in the 2020 Freight Marketplace

Demand: The consensus outlook is focused on a gradual recovery, but recent data have come in stronger than expected — driven by strong consumer spending and extraordinary government support. This is in line with the reopening experience of other countries.

• Future waves of covid-19 infections are likely to have a smaller impact on total freight demand compared to the effect of the original stay-at-home orders in March. 
• The U.S. economy is shifting from crisis management to restructuring: Businesses are operating below pre-crisis capacity and will be for some time. The income shock from high unemployment will modestly detract from consumer demand.  

Supply: Bankruptcies are rising — particularly among small carriers. The new driver pipeline is particularly weak, and retirements are accelerating among older drivers. 

Rates: Professional rate forecasts suggest flat rates through the end of the year with a wide range of timing for the cyclical rebound (anywhere from 2020 Q4 to 2021 Q2). 

The post Marketplace Update with Kevin Rutherford – 3 Part Series appeared first on Convoy.

On Friday, July 10th, Convoy joined Kevin on his webinar series, Positive Matters, to discuss the current economy in regards to supply, demand, and truckload rates. In Part one of the webinar series, Kevin Rutherford and Aaron Terrazas, Convoy’s director of economic research, look at data on  factory output, headwinds and tailwinds to the economy in the months ahead.

Factory Output

Aaron: We know that demand from customers is what moves the freight market, and supply of trucks responds. The first couple months coming out of the lockdowns were a story of surging consumers and lagging factories. If you look at the consumer side of the economy versus the factory side of the economy, retail sales on the consumer side bounced back a lot more quickly than the factory side.

Currently retail spending is around 90-95% of where it was pre-crisis, whereas factory output is 83-84% of what it was pre crisis. But if we dig beneath the surface on the factory side, what is holding down factory output? 

If you think about two big buckets of goods –, durable goods versus nondurable goods –, we know that the household goods and the food never dropped as much in the depth of the crisis, but they haven’t rebounded as much either. 

By contrast, durable goods dropped a lot, but have rebounded or are starting to rebound pretty quickly and more strongly. And I think some of the weaknesses we’re seeing in the nondurable goods side here has to do with the meat and dairy shortages we were seeing in May, and that should be bouncing back a little bit in the months ahead.

Tailwinds and Headwinds in the freight industry

Tailwinds on Demand

Aaron: If you look at the personal savings rate, Americans saved about a third of their income in April and they saved about a fifth of their income in May.

Kevin: Have we ever had that kind of a savings rate in this country?

Aaron: This is historically unprecedented because we as Americans, are terrible at saving money. If you think about a 30%, 25% savings rate, that’s in line with the world’s historic savers: Japan of the 1980s, Germany of the 1970s, and the US during WWII. 

Americans have been saving a lot of money, in part because of all the government spending we’ve been seeing, but also because they couldn’t go outside and spend it. Sooner or later, that is going to have to work its way into the economy. 

We also believe real estate is another tailwind in the industry. For the past decade we’ve been urbanizing, people have been moving toward cities. I think that’s going to reverse a little bit and we’re going to see a lot of investment in bigger suburban or rural houses. That’s going to boost home builders. Home building is an activity that has generally been able to continue despite the lockdowns.

Headwinds on Demand

Aaron: Although we’ve had an unprecedented savings rate, we have also had an unprecedented unemployment rate. The unemployment rate is higher than it was in the Great Recession, and higher than it was in the recession in the early 1980s. If you look at the employment to population ratio, over half of Americans are not working right now. Eventually this will also take a toll.

We anticipate that factories are going to take a hit for a long time. If you look at capacity utilization — i.e., how much are they producing compared to how much they could be producing — it is in the mid-60s [percent] right now. For most of the past decade, it was in the mid- to high-70s [percent]. 

Personal service productivity has also been impacted. Think about if you’ve gone to a doctor, or a dentist, or a barber in the past couple of weeks. They can’t see as many people as they used to. Maybe a doctor is seeing 10 people a day when they used to see 20. Sooner or later that’s going to have to be reflected in prices. So I think there could be inflation in personal services. 

Aaron: And then finally the international context. As bad as it is here, a lot of countries are having a much worse crisis than we are. If you think about Brazil and Mexico, parts of Africa, those countries buy stuff from us, and are not going to be buying as much stuff from us for a while because their economies are feeling the pinch too. So I think those are some big headwinds on the horizon.

Staying Positive:

Kevin: I’ve been following a lot of companies, and they seem to be saying that people working from home are more productive, and this is really a good thing that companies may stick with. We’ve been a virtual company for a long time. We do have one physical location, and we’re down to one person at that location because everybody else is at home. What’s going to happen to the commercial real estate market, and what’s that going to do to the rest of the economy?

Aaron: That’s a great question, and I think it has to do with some of those real estate trends that I was talking about. Commercial real estate had been struggling even before this crisis because they had overbuilt a little in 2015, 2016. There was a lot of investment in office space, in particularly urban office space, and urban retail space. And if people aren’t going to downtowns to work, I think some of urban commercial real estate prices might dip. That’s going to hit property owners  in those areas, it’s going to hit all the small businesses –all the lunch places and stores that depend on office workers. So I think you’re spot on to point to that as a risk out there.

Kevin: Since we’re trying to stay positive, I guess the good news with that trend is a lot less traffic for our truck drivers.

Aaron: We looked at this in the middle of the crisis. The average speeds on highways for the truckers in our network — I think in LA rush hour — they doubled their speeds in March and April. Anyone who knows that area knows traffic can be pretty bad, so it doesn’t take much to double speeds. 

Thinking about the future, because that’s obviously what we all care about. We all care about where we’re going. It’s only interesting to a certain point where we’ve come from. But when you look at some of the survey data about how businesses are doing and what they expect in the second half of the year, there are a bunch of survey indexes of new orders and shipments in the pipeline from manufacturers in Federal Reserve Bank districts. 

There’s a mix, but some manufacturers — particularly in the mid Atlantic and Northeast — are feeling pretty good about the second half of the year. You look at the Philadelphia Reserve District — that has a big chunk of New Jersey with a lot of pharmaceutical manufacturers. Not surprisingly, they’re feeling pretty bullish. At the other extreme, the Dallas district has a lot of oil and gas extraction and refining companies. They’re not feeling quite as bullish for the second half of the year. So unsurprisingly, some sectors of economy are feeling good; others, not so much. 

In general, when you think about where is freight demand coming from, a

about half of freight demand comes from stable industries — things like food processing, things like non-durables — things that don’t necessarily go up and down with the booms and busts of the economy. People are always buying food. People are always buying toilet paper. Maybe in a crisis they shift from the rough stuff to the soft stuff, but you know, they’re still buying all those goods, and about half of freight demand is coming from those non-cyclical industries.

The post Marketplace Update with Kevin Rutherford – Part 1: Demand appeared first on Convoy.

Convoy: Welcome Eliza! We are so excited to have one of our experienced California carriers speaking with us. How are you doing today?

Eliza Cruz: Thank you, I’m doing well. 

Convoy: I want to start by getting to know your history better. How did you and your family get involved in transportation?

Eliza: I knew of the industry because my husband’s family were all truck drivers. He had been driving since he was 18. When we moved to the States from Guatemala, my husband started driving for a small company around all 48 states. 

As of right now, we’ve been driving for eight years under our own authority and we own a family business in California. Building this company was a way for us to raise our family in the United States while also working to provide for our family and children’s education. My kids are 20, 17, and 7 years old.

Convoy: How does your family life impact your time on the road? 

Eliza: As of three years ago, it was only my husband driving. Over the last few years, the lack of drivers in California has impacted our ability to find drivers for our three trucks, which is why I started helping out driving. 

Driving isn’t my passion in life, but I do this work to keep us from going backwards. We worked very hard to build our company up to three trucks, and I thought, I would rather learn to drive than lose a truck. 

The motivation behind us working so much, to keep going and going, is our kids. It’s been hard and easy at the same time. My youngest child definitely needs me at home, but my 20-year-old decided to stay local for college so he can help out at home if I’m gone or get stuck on a shipment. It’s heartbreaking to be away from your family and see them grow, but I do what I can to provide for their future.

Saving time with power only loads

Convoy: Is this why your carrier mainly hauls local shipments with Convoy?

Eliza: Staying local is why we started working with Convoy. When we first started, Convoy had the local lane we were looking for, and it was a great partnership.  This specific lane that we run with Convoy allows me to go out to work driving, and come back and still have 5-6 hours with my family. If I start driving 10 hours to LA, I’ll miss out on that family time.

Convoy: How are you making sure whenever Convoy posts this lane, your company is the one taking it?

Eliza: I’m always connected to my devices to make sure I get these shipments whenever they are available. It’s hard because even when I’m home with my family I have to keep my eyes on the computer, my phone, and my tablet. I’m able to automatically add my bid to the lane I run with Convoy, but I need to be connected when Convoy alerts me that my bid was accepted. 

Convoy: You’ve also done quite a bit of power only shipments. Why is this type of freight so attractive to small businesses like yourself? 

Eliza: We save a lot of hours getting loaded or unloaded at facilities with power only shipments. Power only also helps with our scheduling and managing our drivers’ Hours of Service because the pickup usually has a window so drivers can go whenever it’s most convenient.

There are benefits of not using your own equipment as well. When you own your own trailer, you have a lot of maintenance you need to pay on it to repair any damage to the trailer walls and floor. With power only I don’t have to spend as much time having my own equipment serviced or replacing worn tires. 

Empowering carriers

Convoy: Your company has worked with us since 2016 and you’ve had a ton of experience working with us. Over the last five years how has the industry changed? 

Eliza: When I first started with Convoy, I was mostly dispatching and I worked with many other companies. The most important people in this business are the drivers. They are the ones making things happen, not the people behind the desk. The drivers have to deal with so many bad things at the shippers and receivers. And how every single driver is treated at facilities can make or break them wanting to work under my authority.

When Convoy started, they made us as carriers feel important. The drivers loved the way Convoy treated them over the phone, and how they were so nice whenever they reached out. That’s what made Convoy so different.

Convoy: How has Convoy saved you time in this industry?

Eliza: The app itself makes it extremely easy for drivers. It’s easy for drivers to understand and it’s so helpful for drivers to be organized in their details. As a dispatcher, it also helps keep me organized.

With brand new drivers who have never visited a facility or know what’s required to get paid, Convoy’s QuickPay and billing process takes a lot off of their plate. I love that my drivers can upload their paperwork for billing directly in the app. Especially since I am also driving, I need everything to be paperless. Paperwork is in the app or on carrier web, and with their document review team, I don’t have to confirm signatures or match pickup numbers to invoices before billing because they follow up with me immediately if I’m missing something.

The post The Logbook: Taking the Wheel with Eliza Cruz appeared first on Convoy.

Convoy: Welcome Mandip!

Mandip: Happy to be here. 

Why did you get involved in transportation?

I’ve been watching my father and uncle drive since 1995. During summer breaks I would ride with them in the passenger seat and quickly fell in love with the freedom behind the wheel. Pretty soon after, I got my authority, trained with my dad, and started my own company. There is a lot of freedom and personal management in transportation. Since starting my family four years ago, I especially wanted to be able to plan my own schedule and decide if I want to work on any given day. 

Since 2016, your quality work and reputation with Convoy have qualified you for benefits like free Convoy QuickPay, with no fees, and no-hassle detention. In fact, our Quality and Compliance team has never reached out to you! How did you become such a great driver?

There was always advice coming from my family and friends because we wanted each other to be successful. The main piece of advice I got early on was don’t cancel a load for another that may pay a little bit more. In this industry, your reputation is everything.

What is the most difficult part of hauling flatbed freight? 

The hardest part of hauling flatbed is learning how to secure the loads depending on the type of commodity. I know horror stories from people who didn’t tie it down right, secure it properly, or check in on the securement after a certain amount of miles. Those drivers are usually the ones who find the steel beams going straight through their truck when they stop suddenly. 

How did you decide what type of freight you were going to haul? 

The trailer type a driver hauls usually depends on the type of person they are and what they are comfortable with. Some people aren’t comfortable hauling flatbed because of the horror stories that come with it. It’s different for everyone.

What is your role with Legacy Carrier LLC? 

I’m the owner, a dispatcher and a driver. In a given week I’m usually doing 5-8 shipments myself, and around 30 for my entire fleet. I tried having a larger fleet in the past, but I didn’t like being stuck in front of a screen for 15 hours a day. I enjoy being on the road and working on my truck more than I enjoy being behind a desktop. 

How do you go about recruiting new drivers? 

If someone wants to work with me I’m very clear about the work I have and how I like to work as a dispatcher. I never want to mess up a relationship by promising someone they will make $20,000 a month or work 40 hours a week. I’m extremely transparent and honest with those who want to work with me. Overall, there are a few drivers that we have cycled through, but others that have been with me since I first started my authority.

How do you earn more in this industry?

I try to keep expenses down by not running when it isn’t worth the compensation, and maintaining our own trucks. Growing up my dad had four trucks and we did all the maintenance on the trucks ourselves. I learned early on from my dad you can save a lot of money by being able to pinpoint the problems yourself. It was always a huge cost to take the truck to the shop when something went wrong. If I ever had issues with electrical stuff I fix it myself because it’s fairly simple and I enjoy the work. 

Have you ever purchased a new truck? 

I’ve never bought a brand new truck to be honest because I don’t like the newer styles. I’ve always stayed with the older style because they are a lot easier to figure out. There is a lot less to worry about regarding emission controls, sizing, general electric issues, etc. 

What does your schedule look like, and how do you maintain your health and fitness behind the wheel?

The time I wake up is hard to say, but it’s usually between 3:00-5:00 and I’m usually home between 14:00-18:00. I don’t eat while I’m in the truck because my job is basically to sit and drive. There isn’t as much exercise as you’d hope. You get a little bit when you’re strapping or unstrapping flatbed loads but that’s usually only 20-30 minutes. I try to look my best for my health and reputation as a driver.

What are the most frustrating problems you face on the road?

Consistency is by far the toughest problem for small carriers. When you are new to the industry, it takes time to build the relationships that win your company dedicated work. My work with Convoy helped establish the relationships with the customers I haul for today.  

What is your favorite feature in the Convoy app?

I never wanted to be behind a screen for 15 hours looking for loads. Being able to request lanes in the app is easy. With requests, I tell the app the pickup I’m looking for, the trailer type, and date. If there is a load that suits me I have them right there and I don’t have to shuffle through 150 loads.

The post The Logbook: The Making of a Legacy with Mandip Mahil appeared first on Convoy.

Meet our Convoy Commanders

Russell Bowers served for three years in the US Army as a combat engineering officer, and two years in the project management & logistics department. After his service, he joined Convoy as an Account Manager for commercial shippers. He partners with transportation managers and supply chain directors to help service their freight needs.

Jason Carter has been in the US Army for 12 years as a second lieutenant and continues to serve on reserve duty. Jason is the Director of Convoy’s Atlanta office. He leads a team of over one hundred employees across all operational departments. 

Nick Fink served for five years as a Lieutenant in the Field Artillery within the US Army before coming to Convoy to work as a Senior Operational Specialist. Nick works closely with our customers and carriers to resolve in-transit problems.

Josh Hansen served as a lieutenant in the transportation corps of the US Army for 12 years. He joined Convoy as a Senior Operational Manager. Josh leads his team to create a flawless carrier and customer experience for in-transit problem resolution. 

Brandon Kinne served as a captain in the US Army for five years before becoming a manager on Convoy’s operational team.  Brandon focuses on leading his team to improve in-transit problem resolution and app usage on every Convoy shipment. 

Diankha Linear served for 16 years in the US Army as a logistics and transportation officer, Aide-de-Camp and trial lawyer in JAG. Diankha now serves as Convoy’s General Counsel and has been crucial in developing our corporate legal team in Seattle.

Lorin Seeks served in the US Army transportation corps for nine years. He now leads the Quality and Compliance team at Convoy. As one of Convoys’ first employees, Lorin has been instrumental in helping our customers mitigate risk and reduce variability within Convoy’s network of trucks. 

Matt Wartenbe served for 11 ½  years in the Marines, first as a Sergeant in the Infantry and then as a Human Intelligence Officer. At Convoy, Matt leads a team of program managers on the carrier side of the marketplace. He aims to improve the carrier experience and enable them to earn more by improving network efficiencies. 

Matthew Werner served for seven years in the US Army as a quartermaster officer. Matt now works on Convoy’s account management team and manages multiple accounts in the retail sector.

What benefits did your military experience provide in your civilian career?

Russell: “My first deployment was to the NATO base in Iraq. I was placed as the only U.S. officer and saw my commander once during the six-month deployment. I was stationed with my platoon, 200 Spaniards, 100 Portuguese, and 100 British soldiers. Looking back, I don’t think I would have gotten this experience at any other job… working with so many people with different backgrounds, languages, experiences, etc.”

Jason: “Veterans tend to bring two very distinct things to a team, leadership and dealing with stress. There’s a certain amount of stress you learn to deal with when you’re deployed in Afghanistan during route clearance and worried about getting your men home. This high-stress tolerance allows us to remain focussed on larger issues and reduce future errors.” 

Diankha: “I was the first lawyer at Convoy and learned about the business from the ground up when the team was a lot smaller. I often joke that I didn’t come to Convoy to be a lawyer; I came to be a leader. We have a famous saying, “mission first, people always.” My service helped me develop resilience, discipline, strategy, and grit.” 

Brandon: “The military helped me jump in quickly on Convoy’s operational team because I felt that I could relate to the challenging environments and situations our drivers deal with on a day to day basis.”

Lorin: “I’m grateful for my time in the military because it’s what gave me my career direction. When I was in college I had no clue what I wanted to do, but very early on in my service I identified my passion for logistics and transportation and decided that’s what I wanted to do for the rest of my career.”

Matt: “The military does very well in developing the ability to set clear goals and communicate those goals to everyone multiple levels down. That training has aided in my time as a program manager because I am responsible for setting, communicating, and ensuring our company goals are understood and executed.”

What value does the Convoy Commander group bring?

Brandon: “After joining Convoy, my first thought was how I could help give other veterans struggling to find their next mission a great experience and a place to go. The core of the Convoy Commander group is helping veterans find a great match at Convoy. We also share our expertise as a group with the rest of the company because the more we can share, the more perspective and understanding future teams will have.” 

Nick: “The Convoy Commanders are prioritizing hands-on experience with veterans in the field. For example, over the summer, we took a group of convoy employees to join the 13th Combat Support Sustainment Battalion at Joint Base Lewis McChord and learned how their operational departments monitored transfers..”

Matthew: “One of the most important parts of our group is educating the company on how to recruit veterans, who they should target, and how we can increase our veteran numbers at Convoy.”

Russell: “Convoy was my first job in the civilian sector. What I respect most about the Convoy Commander group is the ability to quickly find your cohort and connect on relatable experiences, stories, and backgrounds.”

What advice would you give to a veteran looking for their next move in the civilian sector?

Russel: “If you get an opportunity to work in the civilian sector, you should work as hard as you can. Ultimately, you are developing a reputation for the next guy that is transitioning out of the service. You have a duty to work as hard as you can to create a path for future veterans.” 

Jason: “Do the research and make sure it aligns with what you want to do in that next chapter of your career. You should be comfortable with passing up on the first couple of career opportunities. I took a role with the company that I had no idea what they wanted me to do and later found out it was a terrible fit for me. You have to make sure that what you do in your civilian career has the fundamentals that line up the leadership and work style you need.”

Matt: “Veterans try to put a lot of time into translating their military resume into civilian language that can be understood by a recruiter. However a lot of times they do it in a way where neither a veteran nor the recruiter understands the resume because they’ve tried to translate it too much. It’s no longer recognizable by anyone.”

Josh: “Don’t be afraid to reach out and ask for help. The military has a lot of A-type personalities where humility tends to be a shortcoming. Transitioning out of the military into a successful civilian career cannot and should not be done alone. Reach out and ask for help. There are countless organizations and people out there willing to help. A successful transition is incumbent upon the veteran relying on their network.”

Matthew “People in the military have done a lot of cool things and fail to highlight them on their resume. Those stories are often what gets you in the room and gives you a chance to further explain your experience. Don’t discount how interesting your background is.”

What distinct traits do veterans carriers have still serving our country on the highways? 

Nick: “Veteran carriers tend to be the ones who problem solve on their own prior to escalating issues to the operational teams at Convoy. They are very good at communicating a problem and if they do run into an issue, they are usually the ones who have a solution they can recommend.”

Lorin: “I hope we can bring more veteran carriers into our network, especially if they come from prior military transportation experience. Typically you see these carriers have a higher level of training under more difficult circumstances. They tend to engage in proactive preventative maintenance, train their drivers, maintain their logs, conduct audits, and overall know how to run a great trucking business.”

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