Transportation Industry
The ABC's of motor carrier economics.(includes related articles on carriers)(1998 Supply Chain Buyers Guide)
Transportation & Distribution, July, 1998 by Harrington, Lisa H.
00-00-0000 UNDERSTANDING A CARRIER'S RATE STRUCTURE IS KEY TO GETTING THE BEST SERVICES AND PRICE
Ninety-nine percent ontime delivery. ISO 9000 certification. Internet tracing and booking. Zero loss and damage claims. Dedicated trailer pools. Onboard communications. These are just a few of the demands shippers place on motor carriers today. They're also some of the cost factors that make up a trucking company's economics. Thoroughly understanding motor carrier cost structures translates directly into a stronger, more informed negotiating position. To that end, here's a primer on trucking economics.
The macro view
Generally speaking, motor carriers' cost structures derive from several factors. First among these are the amount of labor...
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