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Truck Dispatch Services: How can they help my business? Trucking is hard. If you drive a truck for a company and want to strike out on your own, or if you have a small fleet of 1-10 trucks and have become frustrated with the “paperwork,” then maybe you’ll find this interesting:

As the CFO for a medium-sized truckload carrier for nearly 20 years, I can tell you, without question, that trucking is difficult on its best day.  Between the government regulations, driver shortages, skyrocketing costs for everything from fuel to insurance and increasing problems with the roads and traffic, a day in the life of a truck driver or fleet owner are more than most people could handle.  This doesn’t mean there isn’t money to be made, but it requires constant vigilance and a willingness to stay educated on ways to improve your cost structure. 

While there are many costs associated with running a truck fleet, the one I’ll address here is the cost of finding loads and handling the paperwork – jobs no truck driver I’ve ever met really likes to do. 

We ran a fleet of 450 trucks and over 1,200 dry van trailers engaged in primarily automotive freight.  In our case, we had dedicated contracts with large companies which simplified some of our marketing/sales efforts.  The sheer size of our operation allowed us to hire talent in all the key areas of administration like HR/recruiting, accounting, safety, etc.  This is usually NOT the case with smaller fleets.  Often the owner (or possibly his wife) must scroll through load boards to find freight. When they find one that is profitable, they submit the bid and get “approved” to haul the load.  Once it’s done, they submit all the paperwork, invoice the customer and wait to get paid.  This process isn’t terrible with only one truck, but add trucks and this soon becomes a full-time job. 

There are companies that offer a service to help with the searching for freight as well as doing the paperwork.  Generally, they will discuss with you the kinds of loads you want to handle (dry van, flats, reefer, etc.), where you want to go (east coast, mid-west, south, etc.) and how much you want to gross on the load. Then they’ll go out to numerous different load boards and find shipper or broker freight that matches your requirements. They will reach out to the shipper/broker to get all the paperwork and insurance in order, then simply pass the load on to you, the fleet owner. Once the load delivers, they transmit the paperwork to the appropriate company so you can get paid.  In the meantime, they’re looking for your next load. 

The better of these dispatching companies often have good-paying freight they are already responsible for moving. They can arrange recurring lanes so you can easily schedule your time and get the most paid miles each day for your truck(s).  This dispatching service obviously comes at a price, but one must ask, “How much is my time worth and will they find me better freight?”. 

Truck dispatching services can significantly contribute to the growth of your company in several ways: 

1. Increased Efficiency: Dispatch services streamline the logistics process, ensuring that trucks are loaded and routed efficiently. This reduces idle time and maximizes the number of deliveries made, leading to higher productivity.
2. Cost Savings: By optimizing routes and schedules, dispatching services can help reduce fuel costs and minimize wear and tear on vehicles. This can lead to substantial savings over time, allowing you to reinvest in your business.
3. Improved Customer Service: Professional dispatchers can provide real-time updates to customers about their shipments, enhancing communication and reliability. Satisfied customers are more likely to return and recommend your services to others.
4. Scalability: As your business grows, dispatch services can easily adapt to increased demand. They can handle more shipments and complex logistics without the need for you to hire additional staff immediately.
5. Access to Technology: Many dispatching services utilize advanced software and technology for tracking, scheduling, and managing logistics. This access can improve your operational capabilities without the need for significant investment in technology.
6. Focus on Core Business: By outsourcing dispatching, you can focus on other critical areas of the business, such as sales, marketing, and customer relations, rather than getting bogged down in logistics management.
7. Expertise and Experience: Dispatch services often come with a wealth of industry knowledge and experience. They can provide insights and strategies that can help optimize your operations and navigate challenges effectively.
8. Regulatory Compliance: Professional dispatchers are well-versed in industry regulations and help ensure that your operations comply with local, state, and federal laws, reducing the risk of fines and legal issues.
9. Data Analysis and Reporting: Dispatch services can provide valuable data and analytics on your operations. It helps you identify trends, areas for improvement, and opportunities for growth.
10. Flexibility: Whether you need to scale up during peak seasons or downsize during slower periods, dispatch services can offer the flexibility to adjust your logistics operations accordingly.

By leveraging truck dispatching services, your company can enhance its operational efficiency, improve customer satisfaction, and drive growth in a competitive market. 

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