Every industry is composed of diverse players. This is true for the shipping industry. Some have bit roles. They play minor parts in the manufacturing, processing and delivery processes. Others have larger parts. They help to define or expedite the system. In the movement of goods and other items across the country, various industries play key roles in the process among these are:
- Freight Forwarders
- Motor Carriers
- Trucking Brokerage Companies
Of these, the trucking brokerage company is one of the most important. It provides a link between all other participants. In many cases, its very existence allows the others to function in an orderly fashion.
What Is a Trucking Brokerage Company?
A trucking broker, sometimes referred to as a freight broker, is the individual or company who acts as an intermediary between the freight carrier and the shipper. This role is an intermediary one. The broker acts as a go-between by providing a link between the two. Using his or her expertise the broker employs his or her knowledge of the needs of the shipper with the capabilities of an authorized freight carrier. By bringing the two together, both establish a mutually beneficial relationship that may or may not conclude at the end of the delivery of this particular shipment of goods.
Trucking brokerage companies are not a new invention. They have been in existence for decades. Only recently, however, has the combination of technology, demand and government regulations provided a fertile field in which they can operate at their most efficient. Today, they are part of a lucrative but highly competitive business. Using the best available technology, those who are successful in applying logistics can establish and maintain important links between both carriers and shippers.
Successful freight brokerages are able to use their contacts and communication skills to provide options to shippers. They can access carriers a shipper would not have been aware of to carry their load safely and on time to its destination. They know which companies will handle less-than-a-load (LTL), or have refrigerated or dry van units. It is no wonder than that many shippers rely on brokers to handle this aspect of their business.
Trucking Brokerage Companies
In the trucking industry, various players with diverse roles play a part in making sure a shipment moves safely and in a timely fashion from the pick-up point to its final destination. Shippers rely on truckers to get their products. Truckers rely on shippers to provide them with the goods.
Connecting the two together in a working relationship is the freight broker. In our modern shipping system, trucking brokerage companies play and the best one’s own the role of go-between.