freight broker TMS

Collaborative Freight Management: Enhancing Brokerage Operations Through Freight Broker TMS

By
JJ Singh
Blog

Operational efficiency is the holy grail for any organization in the logistics and transportation industry. This is especially true in an age when unique and dynamic market demands make operations even more challenging. A freight broker TMS is the best tool for achieving collaborative freight management that promotes operational clarity.

The benefits of modern technology for enhanced collaboration and operational clarity are widespread. Brokers can respond directly to the industry’s increasing demands, ensure smoother operations, and boost both efficiency and customer satisfaction.

None of this is possible without an effective freight broker TMS in place.

This post explores the importance of freight broker TMS software, including details on how it fosters collaboration while paving the way for a more resilient and responsive brokerage industry. Continue reading to learn more, and get in touch with us to explore how EKA’s freight broker TMS can help lift your organization to new heights.

The Dynamics of Modern Brokerage Operations

It’s no secret that the brokerage industry is evolving. Today, brokers find themselves at the crossroads of rising threats and the ever-growing expectations of customers. This is evidenced by the explosion in layoffs and bankruptcies. Operational inefficiencies only compound these industry-wide challenges. This is true for small operations just as much as for large conglomerates. The results are:

  • Low productivity and responsiveness
  • Lower quality of service.
  • A less successful and motivated team

Given today's intensified competition, a slower pace, lower quality of service, and less motivated team is a recipe for failure. To survive, brokers must constantly innovate and adapt to stand out, offering unique value propositions that can differentiate them in a crowded field. Without a focus on innovation and adaptation, brokers stand no chance of meeting client expectations for faster, more transparent, and more cost-effective logistics solutions.

Here’s a deep dive into the three most pressing challenges that brokers are facing today:

1. Intensified Competition

Brokers need more than just traditional strategies to stand out in today’s competitive marketplace. Everyone vies for the same business while offering similar services and promises. Without innovative approaches and strategies, many of which will be powered by modern technology, brokers will be unable to think creatively and deliver the unique value propositions required in the modern age.

Differentiation means creating real value for customers who want good prices  and high quality service without undue risk exposure.  More customers expect API or EDI integration to automate their orders.  They expect fully vetted carriers a service that is not only on time, but visible from pickup through delivery..  It is a given that you know and are fully invested in your business; to truly separate from the pack you need to demonstrate knowledge of a customer’s product, order characteristics and their customers or vendors.

The bottom line is that. In today’s marketplace, brokers must find ways to create real value and gain a competitive advantage.

2. Complex Operating Environment

The logistics industry is complicated. ThBrokers are dealing with

  • Highly volatile market prices
  • Expanded service expectations
  • Increasing deception and fraudulent activity

Adapting and responding to these changes quickly is essential for survival.

Fluctuating demand requires brokers  balance the need to secure freight while protecting fair margins.  While it is critical to penetrate route guides, the potential bounce off a market bottom also demands the  ability to adjust with additional transactional freight or to move prices with markets when markets tighten.  

If your service is not growing, it's dying. Brokers cannot afford to wait for new demands from customers; when the freight gets routed to a competitor it is already too late.  While it may be painful to invest more in order integration, GPS tracking and more reporting and analytics at a time when freight volumes and margins are down, it is far more painful to be on the outside looking in. Automating more of the relationship delivers confidence to your sponsors and gives them the best opportunity to articulate your value proposition across other departments.  

In addition to the cyclical market and secular service trends, brokers are also faced with unprecedented counterparty risk.  Criminals are spoofing customers, absconding carrier identities, faking carrier presence and stealing cargo with techniques that require vigilance at every interaction. Failing to utilize the full functionality of the top carrier qualification services is no longer an option and brokers should work with proven carriers in their own network where exposures are highest.

3. Poor Operational Effectiveness

Poor operational effectiveness can be the death knell of brokerages. It emerges from inefficient workflows and processes that hinder productivity. It leads to miscommunications, errors, and delays, creating frustration for your team members and customers.  On the flip side, one of the best defenses a freight broker has in softer freight markets is the ability to maintain net operating margins while gross margins are compressed.  Booking more  freight per broker is crucial; handling ten or more loads per day drives down the cost to serve and expands the range of lanes you can afford to serve.

At EKA, our freight broker TMS is a tool that drives this type of transformation, offering a path to enhanced visibility across the entire supply chain and significantly improved decision-making capabilities. By integrating a modern TMS into your operations, your organization can integrate data services seamlessly, streamline workflows, reduce manual touches, and automate key processes — leading to more efficiency and productivity.

Collaborative Freight Management: The Key to Effective Brokerage Operations in a Challenging Freight Broker Landscape

Collaborative freight management refers to the strategic coordination and sharing of information among all parties involved in the transportation process — carriers, brokers, and shippers. As the importance of efficiency, speed, and innovation grows, collaborative freight management becomes increasingly important.

EKA’s freight broker TMS was designed to provide a higher level of communication and collaboration among the stakeholders listed above. Our unified platform facilitates the seamless exchange of information, including real-time updates on load status and detailed insights into transportation performance. With our freight broker TMS software in place, all parties are on the same page, which reduces misunderstandings and eliminates inefficiencies related to poor communication.

Here’s a rundown of the three specific ways that EKA’s freight broker TMS enhances collaboration and generally benefits any organization that implements it.

1. Streamlined Workflows

Effective and efficient workflows allow brokers to do their best work and delight their clients. With the right workflows in place, brokers can optimize their load planning, track shipments in real time, and enjoy efficiency across their operations.

With EKA’s freight broker TMS in place, brokers can use advanced planning tools to quickly match shipments with the most suitable carriers based on route, capacity, and cost. This level of optimization ensures each load is transported with both efficiency and cost-effectiveness. Our TMS goes beyond just load planning and carrier selection. Use it to manage the entire transportation lifecycle, from order entry through delivery.

Our platform’s automation capabilities further streamline brokerage operations by reducing the need for manual tasks like data entry, billing, and documentation. This reduction in manual intervention accelerates processes and also decreases the likelihood of errors, leading to more reliable operations.

2. Effective Integration

Today business moves as fast as the data that feeds it.  Legacy platforms often suffer from higher cost and lower performing integrations.  Stripped down TMS systems offer low cost but fail to perform as the platform for an effective tech stack.  Data services that are embedded cleanly into workflow enable full use of the services that are purchased and prompt updates to customers that are

Our integrations are embedded into the natural broker workflow, starting with pricing insight and API, FTP, and fixed fee EDI implementations for orders.  Services to post loads, vet carriers, track and report load status eliminate the manual touches that inhibit more sales per broker. For brokers that also have an affiliated fleet or other carriers that utilize the EKA system,  we pass orders seamlessly and consume the load tracking and updates without additional touches.  

Completed loads benefit from integration to import paperwork that is properly indexed and document typed. Two way syncs with QuickBooks and Denim factoring are favored services but factoring and accounting integration is served across numerous  accounting and factoring services.

All of this empowers your people to put less effort into chasing data and more emphasis on building the relationships that drive your business.

3. Data-Driven Decision-Making

There’s a significant competitive advantage related to making informed decisions. The term “informed” means using data and going beyond gut feel and intuition. With freight broker TMS software in place, your decision-makers can access, analyze, and act on vast amounts of data on a daily basis. Enjoy easy monitoring of broker, carrier and customer  performance, trends, pricing, volume and margin that is mere minutes from activity.. With the right freight broker TMS, your data transforms into a strategic asset.

You can also use TMS analytics to evaluate carrier performance based on the metrics most important to your business: on-time delivery rate, freight handling quality, responsiveness, etc. Effective partnerships power the freight brokerage space, and a freight broker TMS allows you to evaluate the partnerships that are most successful. As an added benefit, insights surfaced by your TMS also help you maintain a high level of customer satisfaction while you bolster your negotiation power with carriers at the same time.

Other benefits of access to data with a freight broker TMS include a deeper understanding of market trends and cost structures for different transportation options. A deeper understanding of market trends allows you to anticipate changes and adapt your strategies accordingly. Cost structures for different transportation options will enable you to find the most cost-effective solutions without compromising service quality. These cost structures can be pivotal in reaching the level of financial success your organization desires.

Freight Broker TMS: A Collaborative Future for the Brokerage Industry

The brokerage industry is currently going through a period of unprecedented change. As this change pushes forward, the need for modern technology and a powerful, effective freight broker TMS becomes essential for success. Freight broker TMS software allows organizations to be more integrated and cooperative across the many stakeholders involved in moving goods and products from Point A to Point B.

EKA Solutions is leading the way amid this transformation. Our innovative freight broker TMS is setting the new standard for collaboration and efficiency. It’s designed to meet the dynamic needs of the modern logistics landscape, offering a suite of tools that power your communication, improve your operational transparency, and support your decision-making with accessible data. By incorporating the latest technological advancements into the platform, we’re able to empower brokers to navigate the complexities of today’s industry with greater ease and confidence.

Step Into the Modern Age of Freight Brokerage

Don’t be one of the once-mighty brokerages that fails in challenging times. Step into the modern age, embrace new technology and secure a competitive advantage through our freight broker TMS.

Our freight broker TMS software promotes collaboration across your supply chain, and it was designed with people rather than tasks in mind. This people-first approach allows your team members to maximize the potential of a freight broker TMS, enjoying the many benefits of implementing modern technology into its tech stack and workflows.

To discover how an innovative freight broker TMS can transform your business, speak to an expert.

Thank you! Your submission has been received!
Oops! Something went wrong while submitting the form.

Related Content

freight broker TMS
Blog

Building Freight 4.0: Creating a Tech-Enabled Brokerage with a Freight Broker TMS

How a Freight Broker TMS Modernizes Your Business | EKA Solutions

Read
SHIPPER’S INTEREST COVERAGE
Blog

EKA Presents — Global Shipper’s Interest Coverage With Embedded Quote & Purchase Tech

EKA provides 'all risks' cargo insurance, ensuring full coverage for your cargo's value at competitive rates.

Read