How Collaborative Freight Technology Helps Minimize Supply Chain Snags for Food Manufacturers During COVID-19 (and Beyond)

In just a few short months, the Coronavirus disease (COVID-19) pandemic has transformed how food manufacturers run their supply chains. Food companies are adapting to a new remote work environment, and the crisis has come with a surge in shipping demand as well as constrained capacity, causing rate spikes across the industry. From February to March alone, the average rate to hire a truck on the spot market increased 6.1%. Against this backdrop, digital freight management solutions are becoming even more crucial to ensure shipments are completed in a timely and cost-effective way.

Those needs are even more critical for food manufacturers, where freshness and timing are imperative. Already, the food and beverage industry has shown remarkable resilience and innovation in the face of adversity, with grocers working around the clock to restock shelves and big food companies shifting production to meet the needs of the public. However, when it comes to technology, the COVID-19 crisis is now creating a sharp divide between haves and have-nots. Cloud-based technology is increasingly becoming a must for food manufacturers because it provides more accurate traceability, which in turn helps provide overall food safety. This is crucial especially during such unprecedented events, where safety and health are top concerns.

Food manufacturers that depend on antiquated solutions to manage shipments are now struggling to meet customer demands – partly because of systems and processes that were not designed for users to work remotely. These providers are failing to provide on-time communication and accurate visibility, resulting in missed freight exceptions, poor transportation management and unhappy customers. 

With about 50% of companies already using resources like big data analytics and cloud-based tools, food manufacturers will need to find a way to catch up as an industry. The COVID-19 pandemic is revealing the importance for shippers to partner up with logistics providers who invest in cloud-based collaborative transportation management systems (TMS), as well as automated tools, to ensure shipments are handled efficiently and effectively, every time. Here’s how digital tools can optimize your own supply chain through COVID-19 and beyond. 

Managing loads in real time

“Real-time visibility” has been an industry buzzword for years, but not all real-time solutions are created equal. Especially now, it’s important to have transparency in operations and stay connected with your drivers. Artificial intelligence (AI) systems are becoming the new standard: They not only allow you to see freight moving in real time, but also allow you to create a digital paper trail of their whereabouts directly in the platform. 

If your provider says they offer real-time tracking, be sure to ask how they facilitate this type of visibility. For example: 

  • Does the logistics provider have an artificially intelligent algorithm that can identify whether the truck driver is falling behind their schedule without human intervention and notify the correct users immediately? 
  • How exactly can an algorithm trigger this event? 
  • How is this truck plugged into the TMS?  
  • Is the truck driver plugged via mobile application, ELD, text message tracking, or internet of things device tracker placed in the trailer?  
  • Is the integration robust enough? Can the logistics provider demonstrate on a case-by-case scenario?  

Being prepared to ask questions and discuss your shipping needs will allow you to pick the best logistics provider based on their experience with managing relevant, evolving tools like AI. 

Booking loads from anywhere

With capacity tight, finding reliable, cost-effective carriers for every shipment is a challenge. It’s also complicated by the fact that many of us are working remotely. And, if you’re shipping time-sensitive goods like perishable food, it’s an even further complicated situation, since timing and location are crucial. A logistics provider that offers cloud-based mobile tools can make it easier to connect with shippers in real time, directly from your mobile device. When evaluating solutions, look for providers that offer mobile apps to keep your team and carriers connected. This not only streamlines the cumbersome rate shopping process, but can also ultimately shave down transit times during this busy period for shippers. 

Efficient, contactless billing

Maintaining a cloud-based digital trail for payments isn’t just more efficient – it’s safer during COVID-19. In addition to real-time visibility, explore whether your logistics provider offers digital billing capabilities. It eliminates the need to manually exchange paper to keep workers safe, and provides a record you can easily access digitally to review payment status.

A digital approach to management 

Achieving excellent food manufacturing and shipping practices will require the use of AI-based systems, cloud-based technology and workers collaborating in a way that truly benefits the greater good of the business. As the world adapts to the new normal of COVID-19, these types of tools will be useful even beyond the current crisis. By choosing a logistics partner that has these tools and resources at their fingertips, you can continue to grow your bottom line and keep operations running smoothly – even in the midst of a pandemic. 

Archerhub TMS for small carriers helps automate dispatch, back office

Archerhub released a new transportation management software (TMS) system for small motor carriers.

Its new ALVUS (Archerhub Logistics Value Utilization Solution) TMS uses AI-enabled technology to help carriers manage dispatch operations and automate back-office accounting.

Some core features of the TMS include booking loads, uploading the bill of lading and proof of delivery, issuing electronic payments that auto-populate the balance sheet, and creating pay stubs automatically.

  • For booking loads, ALVUS integrates with DAT and truckstop.com to eliminate the need to manually post and refresh postings every time trucks are empty. For example, when a load is scheduled to be delivered in three days, ALVUS will post the available capacity three days in advance in order to secure the best load opportunity.

Additionally, the cloud-based platform is designed to bring shippers, freight brokers and carriers together to execute the best dispatch option, the company said.

  • For automated billing, the driver starts the process by using a mobile application at the load level to upload proof-of-delivery documents. When completed and approved by accounting, an invoice is sent to the customer with all the necessary paperwork attached.
  • For electronic payments, ALVUS can issue permission to trusted drivers for issuing Comchecks or EFS checks to pay a lumper via the driver’s mobile application. When the driver issues a Comcheck, the right journal entry is registered on the accounting ledger which releases the accountant from entering a manual journal entry and frees the dispatcher from engaging with the driver about the lumper.
  • The TMS has finance and accounting features that automate pay stubs to ensure drivers get paid the right amount. When an advance to a driver is issued, it will automatically deduct from the driver’s pay.

“Small and midsize carriers want to make the best operational decisions but often lack the proper tools to compete with mega-carriers,” said Nick Darmanchev, founder and chief executive of Archerhub.

Archerhub also operates a fleet of 50 tractors, and “as a fleet owner myself, I am keenly aware of the challenges that owner operators face in getting bogged down with admin and process. ALVUS was developed specifically to help streamline those processes.”

Archerhub Launches ALVUS TMS to help Carrier Partners Grow their Businesses

Asset-based digital freight broker Archerhub today announced the availability of the ALVUS Carrier TMS, designed to help its network of carriers automate time-consuming back-office operations and focus on the growth of their businesses.

ALVUS (Archerhub Logistics Value Utilization Solution) features AI-enabled technology designed to automate back-office accounting and management operations, streamlining the manual processes that take away from business development and growth activities. In addition, ALVUS’ cloud-based collaborative dispatch management platform is designed to bring main stakeholders together and collectively execute the best dispatch option possible regardless of office and truck location.

“Small and midsize carriers want to make the best operational decisions but often lack the proper tools to compete with mega-carriers,” said Nick Darmanchev, founder and CEO of Archerhub. “We get it—as a fleet owner myself, I am keenly aware of the challenges that owner operators face in getting bogged down with admin and process. ALVUS was developed specifically to help streamline those processes.”

For example, ALVUS can automatically issue permission for trusted drivers to issue their own comchecks or EFS checks for a lumper via the driver’s mobile application. When the driver issues a comcheck, the right journal entry is registered on the accounting ledger which releases the accountant from entering a manual journal entry, all while freeing the dispatcher from engaging with the driver about the lumper.

“With ALVUS TMS, carriers can book loads, upload the bill of lading and proof of delivery, issue comchecks that auto-populate to the balance sheet and create pay stubs automatically,” continued Darmanchev. “Automating these processes will help carriers free up dispatchers to work smarter and faster.”

ALVUS TMS features:

Automated Billing:
Carriers no longer need to spend hours to match BOLs and PODs to loads. The driver executes via the mobile application at the load level and when completed and accounting-approved, an invoice is sent to the customer with all the necessary paperwork attached.

Centralized Database:
One centralized platform to manage all trucks, drivers, and loads while streamlining accounting and invoicing processes at the entity level.

Simplified Payments:
Finance and accounting features that automate pay stubs and billing to make sure drivers get paid the right amount, every time. Every time dispatchers enter a customer, it is instantly recorded with the accounting platform of choice. When an advance to a driver is issued, it will automatically deduct from the driver’s pay.

Automated Truck Postings:
ALVUS integrates with DAT and truckstop.com, eliminating the need to manually post and refresh postings every time trucks are empty. For example, when a load is scheduled to be delivered in three days, ALVUS will post the available capacity three days in advance in order to secure the best load opportunity.
Learn more about ALVUS TMS HERE.

Archerhub’s digital marketplace for truckload freight connects shippers and carriers through Archerhub’s mobile app or online platform, providing instant quotes, full transparency, real time visibility, and automated customized reports.

Three Benefits of Collaborative Freight Technology in a Pandemic

In just a few short months, the coronavirus pandemic has transformed how supply chains are run.

Companies are adapting to a new remote-work environment, and the crisis has come with a surge in shipping demand as well as constrained capacity, causing rate spikes across the industry. From February to March alone, the average rate to hire a truck on the spot market increased 6.1%. Against this backdrop, digital freight-management solutions are becoming even more crucial to ensure that shipments are completed in a timely and cost-effective way. Those needs are even more critical for food manufacturers, where freshness and timing are imperative.

While cloud-based logistics management has been on the rise in recent years, the COVID-19 crisis is now creating a sharp divide between haves and have-nots when it comes to technology. Cloud-based technology is increasingly becoming a must for logistics providers, with at least 30% of shippers saying they expect 3PLs to provide these I.T. capabilities. As a result, logistics providers that depend on antiquated solutions to manage shippers’ loads are now struggling to meet customer demands — partly because of systems and processes that weren’t designed for users to work remotely. These providers are failing to provide on-time communication and accurate visibility, resulting in missed freight exceptions, poor transportation management, and unhappy shippers.

With about 50% of companies already using resources like big data analytics and cloud-based tools, logistics companies will need to find a way to catch up as an industry. The COVID-19 pandemic is revealing the importance for shippers to partner with logistics providers that invest in cloud-based collaborative transportation management systems (TMS), as well as automated tools, to ensure that shipments are handled efficiently and effectively, every time. Here’s how these kinds of digital tools can optimize supply chains through COVID-19 and beyond.

Remote booking. With capacity tight, finding reliable, cost-effective carriers for every shipment is a challenge. It’s also complicated by the fact that many of us are working remotely. A logistics provider that offers cloud-based mobile tools can make it easier to connect with shippers in real time, directly from your mobile device.

When evaluating solutions, look for providers that offer mobile apps to keep your team and carriers connected. This not only streamlines the cumbersome rate shopping process, but can also ultimately shave down transit times during this busy period for shippers. 

Real-time load management. “Real-time visibility” has been an industry buzzword for years, but not all real-time solutions are created equal. Especially now, it’s important to have transparency in operations and stay connected with drivers. Artificial intelligence (AI) systems are becoming the new standard: they not only allow you to see freight moving in real time, but also to create a digital paper trail of their whereabouts directly in the platform.

If your provider says they offer real-time tracking, be sure to ask how they facilitate this type of visibility. For example:

  • Does the logistics provider have an artificially intelligent algorithm that can identify without human intervention whether the truck driver is falling behind schedule, and notify the correct users immediately?
  • How exactly can an algorithm trigger this event?
  • How is this truck plugged into the TMS?
  • Is the truck driver plugged in via mobile application, electronic logging device (ELD), text message tracking, or internet of things device tracker placed in the trailer?
  • Is the integration robust enough? Can the logistics provider demonstrate on a case-by-case scenario? 

Being prepared to ask questions and discuss your shipping needs will allow you to pick the best logistics provider based on their experience with managing relevant, evolving tools like AI.

Contactless billing. Maintaining a cloud-based digital trail for payments isn’t just more efficient; it’s safer during COVID-19. In addition to real-time visibility, explore whether your logistics provider offers digital billing capabilities. They eliminate the need to manually exchange paper to keep workers safe, and provide a record you can easily access digitally to review payment status. 

Achieving excellent supply-chain management will require the use of AI-based systems, cloud-based technology and workers collaborating in a way that truly benefits the greater good of the business. As the world adapts to the new normal of COVID-19, these types of tools will be useful even beyond the current crisis. By choosing a logistics partner that has these tools and resources at their fingertips, you can continue to grow your bottom line and keep operations running smoothly — even in the midst of a pandemic.

Nick Darmanchev is founder and CEO of Archerhub, an asset-based digital freight broker.

COVID-19 Supply Chain Resources & Recovery Strategies

COLLABORATIVE FREIGHT TECHNOLOGY

The COVID-19 pandemic has revealed the importance of partnering with logistics providers that invest in cloud-based collaborative transportation management systems as well as automated tools to ensure each shipment is efficiently and effectively handled every time.

For example, does the logistics provider have an AI algorithm to identify that the truck driver is falling behind schedule without human intervention? Such an algorithm will automatically notify the appropriate users to help them take immediate action to avoid missing on-time delivery.

Using this example, shippers should also ask how the algorithm triggers this event. How is the truck plugged into the TMS? Is the driver plugged in via mobile application, electronic logging device, text message tracking, or an Internet of Things device tracker placed in the trailer? Are you sure the integration is robust enough? Can you demonstrate on a case-by-case scenario?

Achieving excellent supply chain management requires using AI-based systems and people working together, where the outcome will be greater than when each executes on its own.

—Nick Damanchev, CEO, Archerhub

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Archerhub CEO Nick Darmanchev Named to 2020 Supply & Demand Chain Executive “Pros to Know”

Archerhub’s organically grown, asset-based digital marketplace provides enhanced visibility and protects against truck breakdowns

DENVER, March 23, 2020 (GLOBE NEWSWIRE) – Archerhub founder and CEO Nick Darmanchev has been named to the 2020 Supply & Demand Chain Executive supply chain provider “Pros to Know,” recognized online and in the April issue of the publication. The Provider Pros to Know is a listing of individuals from a software firm or service provider, consultancy or academia who helped their supply chain clients or the supply chain community at large prepare to meet the significant challenges in the year ahead.

Archerhub is an asset-based digital freight broker, in that not only does it match loads with its network of carriers, it also runs its own fleet. The Archerhub fleet serves as a backup for loads that go uncovered on its platform by carrier partners as well as the linchpin of its freight recovery program for any potential truck breakdowns while in transit. With the support of its fleet, Archerhub guarantees hauls for every shipper that registers a load. 

Unlike its high-profile competitors in the digital brokerage marketplace, Archerhub has grown its business and development organically, without applying an extensive “growth-at-all-costs” venture capital strategy.

“We acquired a fleet to better understand the challenges our carrier partners face, as well as what additional opportunities and assurances we could provide to our shipping customers,” said Darmanchev. “Our mission is to be the most reliable and accountable digital freight broker in the in industry. Our platform constantly sources for truck capacity from outside carriers regardless of whether the truck is in transit. We’re still looking for trucks until that load gets delivered, and will use any asset, including our own fleet to make that happen.”

Archerhub’s digital marketplace for truckload freight connects shippers and drivers through Archerhub’s mobile app or online platform, providing instant quotes, full transparency, real time visibility, and automated customized reports.

Freight shipments are contracted with the most reliable carriers in the industry that adhere to rigorous standards, as well as via options from Archerhub’s private trucking fleet. Archerhub provides full transparency regarding any load during the cycle of a load and after its completion via its mobile app or online platform, with optional automated notifications for the loads if desired.

For 19 years, Supply & Demand Chain Executive’s Pros to Know Awards have recognized supply chain, manufacturing and non-manufacturing enterprises that are leading initiatives to help prepare their companies’ supply chains for the significant challenges of today’s business climate.

Fleets Share Thoughts on COVID-19 Impact

Fleet Owner – “Food-related carriers have doubled their orders,” said Archerhub CEO Nick Darmanchev. “We have too much business because of this incident.”

The digital freight broker based out of Denver connects drivers with customers needing to fulfill extra capacity or recover freight, and going has been good. Like the experts at DAT Solutions who track spot rates, he likens the period to the high watermark of 2018.

“Tyson foods, Anheuser-Busch—they’re all of a sudden increasing the amount of freight, so it’s crazy out there,” Darmanchev said. “They’re starting to drive the prices up.”

The problem with only looking at one data set, like spot rates, gives a false impression. Because of the pandemic and people getting sick or having to stay home and watch their children as schools have closed, loading and unloading times have been impacted. And the situation changes by the week, if not by the day.

In an interview on March 17, Darmanchev who manages a fleet of about 50 trucks to further assist clients, observed trailers were taking 24 to 48 hours to get loaded. This week, conditions have changed due to corrections in the supply chain.

“While manufacturing and warehousing are experiencing understaffing, at the same time everyone is working together more efficiently and quicker than before,” Darmanchev said on Mar. 26.

Some changes speeding up the process are distribution centers are accepting trucks a day earlier than scheduled, the FMCSA waiving HOS rules for critical goods such as medical supplies, water, and food products, and the nationwide staycation has also led to empty highways and faster deliveries. 

“Currently, these factors are actually offsetting the shortage in manufacturing and warehouse labor,” Darmanchev said.

At some point, inventory will be depleted, though.

“I am worried about what’s going to happen if the virus isn’t contained immediately,” he said. “The supply side will be affected and that has a trickle-down effect. He predicted in the next two or three weeks, “we’ll see a drastic downturn.”

In our survey, 64% listed limited access to freight as a supply chain issue to look out for, with 23% marking access to vehicle service parts. BestDrive, Continental’s commercial tire dealer and retreader, affirmed it was staying open as an essential business to support the transportation industry, as did Goodyear. The latter suspended production due to decreased demand, though.

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Hitting the Road with Confidence: How a Digital TMS Can Benefit Your Business

Getting goods from point A to B can mean a lot of juggling for shippers. Tight timelines are the status quo, with rising industry expectations for speedy delivery. According to the U.S. Department of Transportation, recurring peak-period freight congestion is projected to rise dramatically by 2045 from 8% to 35%, creating delays across nearly 78,500 miles of roadways. Speedy timelines are especially critical for food logistics, because these goods get less and less fresh with each passing hour and day. With more drivers and freight out and about, it’s safe to say that the roads will only get busier in the future.    

On top of that, businesses spend a significant amount of time and effort managing shipping as they juggle more modes, touchpoints, routes and carriers than ever before. Disruptions can also directly impact the success of a shipment. The coronavirus is just one example of how factors totally outside a shipper’s control can upend supply chains. British fashion retailer Next reported it has $26 million of inventory at risk in China because of the outbreak, and many retailers have even issued updates to their first-quarter projections as a result of the health alert. 

Between the demand for fast delivery, inefficient processes and inevitable disruptions, more and more shippers are embracing digital transportation management systems (TMS). In fact, 55% of supply chain executives are currently considering updating or implementing new TMS technology. Here’s how the right kind of TMS can benefit your business. 

  1. Access competitive rates faster 

Historically, rate shopping has been a manual and time-consuming process that didn’t always guarantee you the best rates for your shipping needs. If you’re ready to say goodbye to the cumbersome process of quote management, Archerhub can help. It’s a TMS that allows you to connect with thousands of carriers instantly. Archerhub puts you in touch with the ideal carrier based on rates, modes and timing, among other categories. 

Using the right TMS can provide huge cost benefits when it comes to rate shopping. Having one central system allows you to easily compare and contrast quotes based on your budget. When you do find the best price on Archerhub, you can easily check shipments off your to-do list – and get back to getting your job done.

2. Keep tabs on your freight at every step 

Look for a TMS that offers real-time visibility, so that you can manage disruptions when – or even before – they arise. With Archerhub’s real-time geolocation tracking, you can see your freight every step of the way, from point A to B and beyond. The cloud-based platform allows drivers to stay connected via mobile app, giving shippers peace of mind that perishable or other time-sensitive shipments are proceeding as planned. 

3. Simplify back-office functions 

The average business spends 55 hours per week on manual, paper-based processes and checks. When you don’t have to sort through paper invoices or wrestle with multiple platforms to pay the bills, your team can save a lot of precious time and money. With a TMS like Archerhub, you can manage payments and accounting directly on its centralized platform. 

4. Stay on track when things go astray 

Coronavirus may currently be the center of attention in the news, but it’s far from the only disruption that can affect a supply chain. Compliance factors, severe weather and road conditions also play a huge part in whether or not a shipment goes smoothly. A TMS that offers built-in support for the bumps in the road can help support overall business continuity and minimize reputational risks for your brand. 

Unlike other TMS technology, Archerhub is unique because it has its own fleet recovery program. As an asset-based digital freight broker, Archerhub is trusted by household names like Tyson and Anheuser-Busch to move ground freight seamlessly. 

Arriving quickly and reliably 

Get your freight where it needs to be, and when it needs to be there, with Archerhub. With its centralized hub for rate shopping and invoice management, geolocation tracking, and its own fleet recovery program. Archerhub is the choice to meet your shipping needs. When you don’t have to worry about if your shipment will safely arrive in a timely manner, you can get a lot further in what matters: working hard to make your business goals a reality. 

Archerhub banks on boosting trucker pay to guarantee capacity

To Nick Darmanchev, truckload brokerage comes down to a couple of simple math problems.

For one, a truck driver needs to make $1,000 in revenue per day to make a sustainable living. And second, drivers lose about 10 days a month because loads are not sequenced in such a way as to enable continuous moves.

Darmanchev, CEO of the asset-based freight brokerage Archerhub, figured the math out during a two-year stretch running a trucking company between 2013 and 2015. At the end of 2015, he acquired a software company to memorialize the lessons learned on the asset provider side.

“Instead of focus groups and talking to owner-operators, I actually dove in and bought a fleet,” he said in an interview with JOC.com. “I wanted to understand what it takes to run a trucking company profitably.”

The time wasted between moves is what stuck out to Darmanchev on the operational side. 

“Our dispatchers would get one truck from LA to Denver, and then the dispatcher would wait until the truck was empty and then book another load,” he said. “In that example, the truck would always lose one day. So that’s 10 days of the month where the truck is not moving. That’s a lot of days.”

Plenty of freight brokers – incumbents, and new digitally-minded entrants – as well as broker-focused software providers are working on the problem of sequencing loads for drivers, but it remains an elusive target.

$1,000 per day goal

Denver-based Archerhub uses a unique model to overcome that operational roadblock to hit Darmanchev’s other mathematical obsession — the $1,000 per day of revenue a driver needs. The company doesn’t just use algorithms to match loads, it maintains its own fleet, which handles about 5 percent of the volume it moves. Those assets are there to help Archerhub cover loads where there’s been an issue, like a sick driver. 

“We don’t have a hub,” he said. “We place our trucks where our customers are. With about 5 percent of freight experiences, there’s always a ‘situation.’”

Archerhub uses a drop trailer model to cover those loads, where the driver leaves the entire trailer, avoiding live load situations where a driver would need to schedule an appointment. 

“We use our assets to give recovery to our customers,” he said. “We sometimes take a loss, but we make up for that by providing 100 percent service level.”

One example of sequenced loads benefiting the carrier is a driver going from Portland to Denver, then Denver to Omaha, then Omaha to Chicago. Assume the market price from Portland to Denver is $2,000, the Denver-Omaha leg is $600, and the Omaha Chicago leg is $1,500. 

“If I bundle the three together, I take $100 off each load. The driver is still much better off, there’s no day of not driving, and they don’t have to use a dispatcher. If [the driver] doesn’t make it to the second load, we’ll give back the $100, unless it’s their fault,” Darmanchev said. “We pass the savings on to our customer and the carrier wins because the driver doesn’t have to look for another load. Now the carrier is only concerned about what they’ll do with the truck a week in advance out of Chicago.”

The decision to try to sequence two and three moves began before Darmanchev acquired the software provider. “We decided to start pre-booking at least one day in advance. If you properly managed a load, you could squeeze $800 or $1,000 a day,” he said. “Then we tried to get three loads in advance, then took that to developers and built it out, sourcing loads from different boards, like Truckstop, on a bundled basis.”

From bundling to automating

After acquiring the software provider at the end of 2015, the goal went from bundling sequenced loads to automating that process to achieve the $1,000 a day revenue threshold to make its assets profitable. The company has been using robotic process automation (RPA) to automate its own back-end operations and is currently working on a tool that would use RPA to automate load scheduling. 

“That’s my theory,” Darmanchev said. “That’s how we’re different. When we deploy this platform to match freight, dealing with the Archerhub app is different than dealing with other [freight matching] mobile apps. Not only will they be able to book freight through us, but also through other platforms. Anyone who can give us their [application programming interface], our system will look to book as profitability as possible.”

Archerhub, which has more than 500 shipper customers, won’t charge fleets to use the app to access loads unless the carrier has five or more trucks. The carrot for those small fleets is business management modules Archerhub will offer, like accounting, something Darmanchev believes differentiates his approach from other newer digital brokers like Uber Freight and Convoy.

“A lot of people think we need to keep the trucks in our network, but I don’t think so,” he said. “This is to create density on the capacity side. Our system replaces the dispatcher. None of the companies that operate today operate without phone calls.”

He also thinks his module gives Archerhub a leg up on pure marketplaces, since “ArcherHub is a broker, so we have the tech and direct control over pricing.”

With that asset base and control over pricing, ArcherHub’s approach is more similar to that of JB Hunt than the more recent digital-based entrants to the market. JB Hunt has blended its own assets with a digital freight matching marketplace, as well as a drop and-hook program that non-asset carriers in its network can use. Convoy started a drop-and-hook program in May 2018, while LoadDelivered is another broker offering drop-and-hook, with 20 percent of its capacity tied to drop trailers.

Archerhub plans to start an external drop-and-hook program in the third quarter “as we continue to acquire trailers in the face of expected demand,” Darmanchev said.

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The Future of Freight Is Congested. Digital Brokers Could Help Unclog It.

Blown tires, highway pileups and delays: There’s quite a bit that can go wrong with domestic freight shipments between points A and B.

Research shows that 5% of all freight loads have a hiccup while in transit, leaving shipments stranded and businesses scrambling to meet delivery timelines. And those problems are poised to become even more common. According to the U.S. Department of Transportation, recurring peak-period freight congestion is projected to rise from 8% to 35% by 2045, creating delays across nearly 78,500 miles of roadway. It’s clear that the roads will only get busier with the potential for more disruptions, and shippers will need to anticipate that.

Preparation begins with putting the right partners in place to manage and move freight. One area to where more businesses are turning is digital freight brokerage, a market that has exploded over the last several years. Third-party logistics providers have seen 5X growth since 2000, with more expected in the years ahead. The digital-only model can fall short when disruptions happen, however, since 3PLs don’t have their own assets to provide backup if needed.

By working with partners that combine extra capacity with sophisticated tools, organizations can prepare for, and even anticipate, inevitable bumps in the road. Here are two key areas to consider to keep your shipments on track.

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