As a small or medium freight operator and carrier, you have a lot on your plate, from coordinating deliveries and planning routes to connecting the shippers, drivers and receivers. Doing it all by yourself can quickly get overwhelming. However, you can offload some of this pressure by delegating the work to a professional dispatching service.
Outsourcing dispatching services involves delegating repetitive tasks, such as locating loads, managing logistic challenges and billing, to an external company. Then, you’ll have ample time, energy and money to focus on the tasks that increase your business’ bottom line. Let’s explore the advantages of outsourcing truck dispatching services.
What Are the Roles of Truck Dispatching Services?
Truck dispatching services take on various responsibilities for carriers — primarily connecting the clients and drivers. The following are some of the most essential tasks dispatching services for trucks or fleets will take off your to-do list:
- Conducting negotiations between carriers and brokers to find consistent loads and higher rates for you
- Real-time driver tracking to improve route management for the carriers
- Handling any difficulties and obstacles that occur
- Ensuring freight carrier compliance with legal regulations
- Sustaining good shipper relationships by promptly resolving any issues that occur
- Managing unexpected delays during transit, such as traffic, accidents and bad weather
The Advantages of Truck Dispatching Services
You stand to gain so much by working with truck dispatching services. Here are five of the top benefits.
1. They Work for Your Company
Don’t be skeptical about giving a third party sensitive information. The best dispatching companies are reliable, trustworthy and won’t breach confidentiality. These independent contractors can take over various tasks for your carrier company, including:
- Acquiring clients
- Managing drivers
- Booking loads
- Monitoring loads
- Collecting payments
Dispatching service companies typically collect their pay from a percentage of your rates, incentivizing them to negotiate the best rates for you and perform all the tasks you entrust them with.
2. Increased Efficiency and Productivity
Outsourcing dispatching reduces repetitive administrative tasks so business owners and employees can focus on essential operations. For instance, your dispatching partner ensures more efficient route management because they have details on the route each truck on your fleet takes and what’s happening during the trip. They leverage this information to help you meet client deadlines by preventing delays caused by traffic, accidents, road closures or vehicle malfunctions.
Dispatching services or fleets also boost productivity by giving drivers real-time instructions about the best routes and corrective actions. Your drivers can focus on what they are best at without worrying about troubleshooting challenges they face en route.
3. Cost and Time Savings
Dispatching services for fleets and trucks relieve owner-operators from repetitive tasks, giving them more time to focus on their core business. For starters, they help you close more consistent loads, saving you time and ensuring you increase your earnings.
Outsourcing dispatching services reduces operational costs by eliminating many expenses associated with hiring and training an in-house dispatching team. Dispatching service providers can boost your profitability thanks to their established relationships with shippers and brokers, which get you higher freight rates.
4. Improved Customer Service
Dispatchers act as reliable middlemen between you and freight brokers. They manage drivers, set broker service expectations and resolve any issues that could lead to delays or damage your reputation. Other ways dispatching service providers can improve your customer service include:
- Determining accurate delivery timelines
- Ensuring transparency by providing proof of delivery
- Managing customer expectations
- Communicating with drivers
Quality customer service boosts client satisfaction, loyalty and retention rates. Maintaining your current customers makes it easier to scale your business in the competitive carrier business landscape.
5. Additional Flexibility and Scalability
Outsourced dispatching services for fleets operate on a large scale, which makes it easier for them to adapt to your changing needs. Their expertise can also predict your business’ growth potential. They can help you expand your fleet because they understand the most suitable vehicles for your business needs and for shipping different types of cargo. Professional dispatchers are also the people to advise you on how to manage increased delivery volumes.
The cost savings and improved efficiency, productivity and customer retention open opportunities for your business to grow.
The Drawbacks of Truck Dispatching Services
While truck dispatching services are appealing for many small to medium companies, they may not be the most viable option for your business due to reasons like these.
- The initial cost of signing up with truck dispatching services may seem too high for owner-operators and small trucking companies.
- Freight dispatchers do not have the necessary insurance or licensure to move freight, forcing company owners to cover the loss in an accident. As a result, it’s crucial to vet your potential dispatchers before selecting the best and most reliable partner.
What to Look for in a Dispatcher
The truck dispatching service you trust to take care of your business will determine how much you gain when you make this investment. Here are the crucial factors to consider when choosing the best truck dispatching services.
- Compatibility: Schedule a discovery call or meeting to assess how well the company aligns with your business goals. They should fulfill your specific needs, including shipment volumes, delivery timelines, destinations and types of goods.
- Industry experience: Partnering with a dispatching company with extensive freight industry familiarity is advantageous. They understand the jargon, regulations and best practices and will use this knowledge to streamline your operation.
- Cost and pricing: The dispatching service you choose must offer you the best services within your budget. Steer clear of companies that don’t provide detailed upfront pricing information — they might surprise you with hidden costs.
- Reputation: You should only work with a dispatching service with an excellent reputation. Ask for recommendations from business associates and read online reviews and testimonials to determine if the company lives up to its promotional materials.
Outsource Truck Dispatching Services With Porter Freight Funding
Are you ready to outsource your truck dispatching services to a reliable, independent contractor? Porter Freight Funding has a long history of connecting business owners to dispatchers, so you can focus on the most critical aspects of your trucking business. Trust our extensive network of dispatching service providers that can help you boost efficiency and productivity and ensure time and cost savings.
Our truck dispatch service for owner-operators will help you find more lucrative loads and earn you a competitive edge. To get started, apply for a free quote today and we’ll connect you with a truck dispatching company suitable forf your business’ truck and equipment. You can also get in touch with us for more information on how you can benefit from outsourcing truck dispatching services.