Transportation Costing Group (TCG) announced that FFE Transportation Services is using its Truckload Cost Information System (TL/CIS) and its CIS for irregular-route LTL. The Dallas TX-based motor carrier has been using the systems to improve profitability in various segments of its operation for several months.
“These are intense times for the trucking industry,” said Adam Bush, manager, marketing technology at FFE. “As freight volumes and rates continue to decrease and pricing pressures rise, we are finding that TCG’s Truckload and LTL solutions are proving extremely valuable for maintaining asset productivity and identifying opportunities to improve profitability. With these solutions we’re handling loads more profitably.”
TCG’s tools are being used at FFE to identify profitable and unprofitable loads in different regions and over specific lanes. For example, the carrier was able to identify one region where a lack of outbound loads at sufficient rates created an unprofitable environment. By adjusting its load sourcing accordingly, FFE was able to increase revenue per mile for that business by more than three cents without losing freight volume.
Profitability analysis is also proving valuable in FFE’s growing intermodal operation. “The TCG solutions incorporate the costs associated with rail and drayage portions of each intermodal haul,” Bush said. “This is also an example of how TCG works with us to develop the cost analysis solutions that we need in a competitive environment.”
The TCG CIS systems in use for all aspects of FFE’s business uses information from the carrier’s enterprise management software purchased from Innovative Computing Corporation to provide accurate, specific cost information for pricing, as well as traffic, profitability, and operational productivity analyses. The TL/CIS and LTL/CIS systems reconcile with the company’s General Ledger, payroll, and driver settlements.
For more information, visit www.tcgcis.com.