Convoy announced the launch of Carrier Insights, a new feature in Convoy Connect, the company’s free transportation management system (TMS) that helps shippers centralize their routing guide and cut tendering time in half. With Carrier Insights, transportation managers can confidently award freight to carriers based on real-time visibility into shipment volume, spend, response rate, acceptance rate, and average response time.
The Need for Data-Driven Freight Management
Supply chain professionals have traditionally relied on incomplete information to determine how they allocate freight to their carriers. Important data points such as tender acceptance and response rates are often provided by individual carriers in different formats, at different intervals, and with varying levels of precision.
As a result, shippers don’t have a consistent, accurate way to measure and compare the performance of their carriers. This leads to freight allocation based on anecdotes and memory rather than on quantitative data. Because of this, shippers continue to partner with carriers who don’t meet their expectations for tender acceptance and response time, resulting in operational inefficiencies and higher transportation costs.
Carrier Insights: Improving Freight Allocation with Analytics
With Carrier Insights, shippers can confidently make decisions about their freight allocation. Through the use of aggregate and individual carrier performance metrics, transportation managers can award freight to the right carrier, and also compare performance and freight spend across their entire routing guide.
An aggregated carrier list view enables shippers to quickly identify who services the majority of their freight by viewing active lanes and freight spend by carrier. Individual carrier scorecards enable shippers to compare response and acceptance rates by carrier and understand whether their top carriers are meeting service level agreements (SLAs). And with real-time updates, shippers can continuously audit carrier performance to understand trends over time.
“Many shippers still use email and spreadsheets to manage their freight operations,” said Michael Lu, Convoy Director of Product. “As a result, they lack data to determine whether they’re working with the most reliable carriers with the highest service levels. With Carrier Insights, shippers now have the data they need to make informed decisions about which carriers to trust with their freight.”