Broker Transparency

[Nawk]

Does anyone see this becoming a reality ?

Shipper confidentiality issue arises during broker transparency hearing at FMCSA

Would a requirement to automatically disclose information to carriers run afoul of confidentiality clauses?

www.freightwaves.com

 

[NotForHire]

no

 

[BPOVFB]

No, though if we're all about transparency - let's see some operating costs by carriers too. Let's see some access to E-logs, some real-time location data (okay, project44/macro/fourkites). Let's see where your last delivery was, the real empty miles. What's good for the goose.... silly policy all around.

 

[Fr8Guru]

I don't think it will ever happen but it would be very interesting if it did.

 

[Nawk]

No, though if we're all about transparency - let's see some operating costs by carriers too. Let's see some access to E-logs, some real-time location data (okay, project44/macro/fourkites). Let's see where your last delivery was, the real empty miles. What's good for the goose.... silly policy all around.

Very good point. There are a few on this board that I think know down to the penny what their operating revenue is (Mr Ludwig, Lowmiler and a few others)... but I bet a lot of carriers don't know what their cost is to move a truck per mile.

So if a broker knows the O/R of a carrier it's easy for them to put their 15% and rate it - right?

But... are Carrier A O/R's the same as Carrier B's ?

 

[BPOVFB]

@Nawk - 100%, A will be different then B - just like a customer, some pay at (x) because they require specific infrastructure investments and (y) doesn't. But the carrier likely sees the $ as a per load/mi/day etc not the background costs of administration/sales/setup/ customer maintenance etc...

Just like it's frankly none of my business what a carriers O/R is - it's none of the carriers business what I'm charging the customer. Except the broker now has to have more infrastructure to answer queries.

Let's not get in to the whole Customer vs Customer rates issue.. Customer one pays (x) why is (y) paying less/more?

 

[jackhole]

 

[tasuinam]

not all things are equal - too many variables for there to be a fixed rate OR the simplicity of a broker charging a max of X% ... you should know what the cost of doing business is and then go from there ... market will stabilize as the businesses that lowball cannot possibly survive

 

[Shakey]

could you imagine trying to administer this process

 

[Michael Ludwig]

could you imagine trying to administer this process

It would be almost impossible. There is no way that the powers-that-be in a company like TFI would ever release that information. The potential blowback would be outrageous.