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logistics

You Will Need Expedited Freight After The ELD Mandate Begins

The Electronic Logging Device (ELD) mandate is going to put a serious squeeze on many supply chains, and possibly have a major effect on your business as soon as December 2017. With the devices in place, stricter hours of service regulations will be going into effect. While these are meant to increase the safety and wellbeing of the driver, many are concerned about the interruptions this mandate will cause to scheduled delivery times.

Some Exemptions are Available

While an acclimation period is to be expected, the Federal Motor Carrier Safety Administration is making some exemptions to the ELD ruling in a few cases, the most important being:

Sprinter vans up to 24ft and straight trucks with a gross weight under 10,000 lbs WILL NOT HAVE the ELD regulations and will be able to meet time sensitive deadlines. Why is this exemption important for your freight? We will discuss more below.

So while the FMCSA is insistent on the implementation of the devices across the industry, they’re leaving a smaller, cross section of the trucking industry untouched. This comes with a slight sigh of relief as the rest of the industry continues to resist against the ruling. With the deadline for ELDs drawing closer and companies trying, and failing to repeal the mandate, other avenues for fast and timely deliveries need to be considered.

This is Where Expedited Shipments Can Help

Whatever the reason, a shipper needs to get their goods moved, and they need to get them moved in a hurry.

Unlike most other freight that moves with routine regularity, expedited freight has a nature of its own. Consider the timing aspect of it. The whole idea behind expedited freight is that it should be picked up and moved off quickly. A solution for anything from a shortage of parts to a peak season order. Whatever the reason, a shipper needs to get their goods moved, and they need to get them moved in a hurry.

In addition to the change in time and pace, there’s also the consideration that expedited freight might have some irregularities that aren’t found in normal day to day hauling. For example, the product that needs to be delivered might be going to an urban area. This usually means that ramps and docks aren’t an option, so the driver needs to have access to the right equipment to get the freight loaded or unloaded. There’s also a variance of cargo from one delivery to the next.

the nature of expedited freight is considerably different from standard freight.

In short, the nature of expedited freight is considerably different from standard freight. It needs to be quick, versatile and most importantly, available.

The BlueGrace Expedited Solution

So what do you do when you’re faced with less available hours and capacity? You turn to an expedited freight expert. The days of overpromising and overdriving trucking companies are quickly coming to an end. Instead, working with a broker who has the resources to expedite shipping will be the answer. BlueGrace not only understands the importance of getting your product from A to B quickly, but they also understand that the new regulations are very quickly going to start cramping up the rest of the industry.

BlueGrace is ready to serve customers with our national fleet of non-dock high sprinter van, small/ large straight trucks with liftgates and pallet jacks for inside pick-ups and deliveries. As we mentioned, sprinter vans up to 24ft and straight trucks with a gross weight under 10,000 lbs will not have the ELD regulations and will be able to meet time sensitive deadlines. We will also be able to provide true teams services for sprinter vans and up to 26ft straight trucks. Another added benefit to the hands on approach for expedited is that all shipments are tracked with updates every 2-4 hours depending on day points.

BlueGrace Logistics strives to streamline the expedited process for you.

BlueGrace Logistics strives to streamline the expedited process for you. BlueGrace provides you with a pool of 300+ pre-screened carriers that specialize in expedited shipments and can provide you with a quote in as little as 30 minutes. How’s that for fast?

In an uncertain time, BlueGrace takes the stress out of your freight by giving you the information and technology you need to get the job done. Click here to download our Expedited PDF with more details.

Need An Expedited Quote?

Fill out the form below for your FREE 30 Minute Expedited Quote, or call TOLL-FREE 877.630.7446 to be connected with our Expedited Freight Team immediately.

Identity Theft is On the Rise, and Cargo Theft Might Not Be Far Behind

Identity theft is among the most insidious forms of crime. Not only can it mean a person loses their livelihood, but for an enterprising criminal it could just be a stepping stone for an even bigger target. What sort of targets would criminals be aiming for after stealing an identity? How about truckloads of cargo.

When you consider the amount of information people post digitally, there is a lot of sensitive data out there, just waiting to be taken. This is especially true when you consider the number of cyber attacks that have happened this year alone. The Equifax leak, for example, can be ruinous when you consider what can be done with a little credit information.  In fact, no one really knows just how extensive the security leak really is nor will we know just how many people have been affected by it. However, for freight companies, any form of identity theft could be catastrophic.

Identity theft is on the rise and cargo theft could see a drastic increase as well.

How Identity Theft Could Mean Cargo Theft

When someone takes control of your identity, they can wreak all sorts of havoc.

It seems like a bit of a leap to go from identity theft to cargo theft. After all, when someone steals your identity, that just means they tap your bank accounts and maybe open a credit line, right? Not exactly. When someone takes control of your identity, they can wreak all sorts of havoc. In terms of cargo theft, the scheme, as laid out by The Associated Press,  goes like this:

Thieves assume the identity of a trucking company, often by reactivating a dormant Department of Transportation carrier number from a government website for as little as $300. That lets them pretend to be a long-established firm with a seemingly good safety record. The fraud often includes paperwork such as insurance policies, fake driver’s licenses, and other documents.

Then the con artists offer low bids to freight brokers who handle shipping for numerous companies. When the truckers show up at a company, everything seems legitimate. But once driven away, the goods are never seen again.

And just like that, cargo is picked up and gone for good.

And just like that, cargo is picked up and gone for good. Here are some other interesting facts pointed out by Adrian Gonzales of Talking Logistics.

  • The average value of cargos stolen by fictitious pickup was $203,744 vs. $174,380 per incident for cargo thefts overall during the study period, a 17 percent differential.
  • The commodities most frequently targeted for fictitious pick-ups are foods and beverages, electronics products and metals.
  • Over half of fictitious pickups occur at the end of a week, on Thursdays and Fridays when the main concern of shippers and brokers is in meeting a delivery date and satisfying the customer.
  • Fifty-five percent of all reported fictitious pick-ups from 2011 through 2013 occurred in California. Significant fictitious pick-up activity has also been reported in Florida, Texas and New Jersey.

Cargo Theft Rates are Falling, but the Cost is Rising

While cargo theft rates have been falling from 2016 to 2017, the value of goods being stolen has been steadily increasing.  Cargo thefts fell for the third consecutive year in terms of reported incidents, but the value of the stolen goods rose 13.3% to $114 million, according to 2016 data from CargoNet.

“There were 1,614 incidents in the United States, including cargo theft, heavy commercial vehicle theft, and supply chain fraud. Thieves stole cargo in 836 cases with an average value of the contents at about $207,000, based on the 554 thefts with an assigned value. It represented a 7.7% decline in cases year-over-year and a 10% drop since 2014. The other 282 cases didn’t include a value for the cargo,” says an article from Transport Topics.

“However, the total value of the stolen cargo, $114 million, is greater than the $100.5 million in 2015 and $94 million in 2014,” they added.

What Happens to Cargo Theft Rates when Identity Theft Rises?

For freight companies, this means there’s going to be a need for even more vigilance than before.

As it stands, we’re still unsure as to how extensive the fallout from the increasing rates of identity theft will be. While cargo thefts have been in decline over the past few years, we might see a rise thanks to the number of vulnerable identities. For freight companies, this means there’s going to be a need for even more vigilance than before.

“Law enforcement has done an outstanding job responding to strategic cargo theft. But it’s like playing whack-a-mole. Not only will the groups pop up in different areas, but cargo thieves will bob and weave away from where the attention is from the police and private industry,” said Scott Cornell, second vice president and crime and theft specialist for Travelers’ Transportation business.

there’s no such thing as being “too careful”.

With the wave of cyber attacks, and now the rise of identity theft, there’s no such thing as being “too careful”. Know who you’re working with, and use a reputable broker to make sure your freight makes it to it’s intended destination.

 

 

An Optimistic Outlook for the LTL Market

The US less-than-truckload (LTL) market is undergoing a tremendous change. Improving economic conditions as well as manufacturing growth has helped increase demand for LTL shipments. As a result, Stifel analyst David Ross noted that the $35 billion LTL market combined for publicly traded carriers reported tonnage per day increased 4% year-over-year during the second quarter of this year.

Indeed, the overall US economy appears to have awakened after a sluggish start to the year. First quarter GDP rose only 1.4%, a disappointment for sure but second quarter growth certainly made up for it growing at a 3.1% clip thanks in part to strong consumer spending.

E-commerce

E-commerce is taking more of the consumer’s spend. According to the US Commerce Department, second quarter e-commerce as a percent of total retail sales increased to 8.9%, up from 7.4% in second quarter 2016. The rise in e-commerce has sparked new service solutions from LTL carriers particularly as “supply chains become shorter, turn times are quicker and there’s a drive for small, but more frequent shipments”, according to Mr. Ross.

Some truck carriers have introduced last mile delivery services for items such as exercise equipment, mattresses, and furniture.

E-commerce packages have been the primary domain of small parcel carriers FedEx, UPS, USPS and regional small parcel carriers. However, as more consumers become habitual to ordering larger, bulkier items, FedEx and UPS, in particular, have struggled because their small parcel facilities and networks are not designed for such items. As a result, some truck carriers such as JB Hunt, Estes and Werner have introduced last mile delivery services for items such as exercise equipment, mattresses, and furniture. XPO Logistics, the third largest LTL carrier per the Journal of Commerce’s 2017 ranking, has taken it a step further by also offering white glove services such as set up, install, recycle etc. and just recently announced plans to expand their last-mile hubs to 85 within a few years. In addition, it is introducing technology that will allow consumers manage retail home deliveries with advanced, online tools.

Technology

Many shippers are looking for more integrated services, faster delivery and fulfillment and increasingly detailed shipment tracking and information. Also, third-party technology start-ups and TMS providers, such as BlueGrace are offering real-time pricing, booking and tracking solution services targeting both the shipper as well as the LTL carrier who may have available capacity on a particular lane.

Pricing and Labor

Stifel’s quarterly overview of LTL trends indicates that fuel surcharges are returning back close to 2015 highs (but remain far below 2011-2014 levels). Carriers are aiming for 3%-5% rate increases, and while getting some push back, they’re not losing freight over any rate hikes. The pricing environment currently remains healthy but could prove a concern over capacity.

LTL carriers are finding it more difficult to hire the needed labor to meet the increasing demands.

Labor continues to be another concern. LTL carriers are finding it more difficult to hire the needed labor to meet the increasing demands. Those that are hired are demanding higher wages. As an example, YRC was able to get some concessions from the Teamsters to allow them to raise pay above the contract level in certain markets.

ELD

The federal-mandated regulatory requirement, ELD (Electronic Logging Device) is set to go into effect in December. ELD is an electronic hardware that is put on a commercial motor vehicle engine that records driving hours.

It is believed that ELD could benefit LTL carriers at the expense of TL carriers.

It is believed that ELD could benefit LTL carriers at the expense of TL carriers. As such, many industry analysts anticipate pricing to increase as well as tonnage while TL capacity is reduced. As the Vice Chairman and CEO of Old Dominion Freight Line stated earlier this year, “A 1% fallout in truckload could equate to a 10% increase in the LTL arena, with larger LTL shipments.”

Outlook

The Journal of Commerce’s annual LTL ranking showed that total revenue dipped 0.4% from $35.1 billion to $34.9 billion after falling 1% the previous year. However, with US industrial output, consumer confidence and an increase in fuel prices, the top LTL carriers will likely return to expansion and revenue growth for this year.

The Growing Need For Expedited Freight

Consumer expectations are changing. While this doesn’t come as a shock, the rate at which they are changing is picking up tempo. As eCommerce giants like Amazon and Alibaba continue to push the envelope, consumer expectations change as a result.

Today, the market has an expectation of “buy it now, wear it now.” While online shopping used to be a novelty, now it is the norm. With the advent of Amazon Prime offering a two day delivery for most products, people simply aren’t content to wait. While that’s great for consumers, it creates a significant shift in the way we look at logistics.

Disruptive Factors to Logistics

There are many speculations on what the most disruptive factors in logistics are. Some will point at ports, mega ships, and increased regulations. Others will say it’s the shortage of qualified drivers that are causing the most issues. CEO of FedEx Ground, Henry Maier, says it’s the next person to place an order through Amazon Prime. The “unparalleled and unprecedented growth” of e-commerce has created a “landscape of continuous change” that is rewriting the transportation playbook, Maier said.

Shippers need to be able to respond quickly to meet customer demand.

FedEx isn’t the only company that’s feeling the shift. “Think about the way things used to be on the parcel side,” Jack Holmes, president of UPS Freight, said. “Our business used to run right up to Christmas and then get very soft for six weeks. Now that (post-holiday) period is one of the most challenging for us.” Shippers need to be able to respond quickly to meet customer demand which means they need carriers that can meet their needs. That expectation and demand are only going to continue to grow as time goes on.

More About The Challenges

shippers need to not only be smarter about how they handle logistics, but they need to be smarter about how they handle their customers as well.

More than simply responding quickly, shippers need access to carriers that can suit their needs. Having trucks with lift gates, for example, is necessary for urban and suburban deliveries. Not only does this mean quicker deliveries but also a better service. Service, after all, is key in today’s market. Not only do consumers expect near instantaneous deliveries, but they have many platforms to express dissatisfaction should a shipper fail to perform. Therefore, shippers need to not only be smarter about how they handle logistics, but they need to be smarter about how they handle their customers as well.

The Growing Need for Expedited Freight

The holiday and the post-holiday season can become the most frantic for shippers and carriers alike. As holiday shoppers go on a spending spree, delivery times tighten as does available capacity. As a shipper, it’s important to have access to a reliable network of expedited carriers. Getting your products where they need to be, when they need to be there. So what do you do when you’re in a bind and need to have something shipped yesterday? Call BlueGrace Logistics.

 Why BlueGrace?

BlueGrace is an award-winning, full-service Third Party Logistics (3PL) provider that helps businesses manage their freight spend through industry-leading technology with a large network of established carriers to customers across the country. Sure, lots of firms may claim that, but what really sets us apart is our passion for supporting your success in this complex $750 Billion U.S. freight industry.

Our expedited freight services are second to none.

Our expedited freight services are second to none. We offer 30-minute quotes on price and capacity directly, from over 300 pre-screened, local expedite carriers nationwide. With over 10,000 pieces of equipment from Sprinter vans and semis, to domestic air, we can handle any type of freight. Each shipment is tracked by Macropoint, so you always know where your freight is located.

 

 

 

 

Saving Lives Through The Power Of Giving

At BlueGrace Logistics, our number one Core Value is Be Caring Of All Others. Every six weeks, we invite One Blood to come out to our Tampa office where our employees are able to take some time out of their day to go out and donate.

The Benefits of Donating

Not only do the people who are receiving blood transfusions benefit from the donation, but there are also some health benefits donors receive as well. Each time you donate you’ll receive a free wellness checkup which includes blood pressure, pulse, temperature, iron count and cholesterol screening. Studies have also shown that giving blood regularly can help keep your iron levels balanced, can result in fewer arterial blockages and giving at least three times a year may reduce the risk of heart attack.

Every two seconds, someone in the U.S. is in need of blood.

Every two seconds, someone in the U.S. is in need of blood. Once you complete your donation and your pint of blood is tested and marked as safe to use, the blood will be transfused within 48-72 hours. Many people think that accident and trauma victims are the patients who need blood transfusions most, but patients being treated for cancer, undergoing orthopedic surgeries, cardiovascular surgeries or being treated for inherited blood disorders are actually where blood is most needed.

Be Caring Of All Others

According to One Blood, over 37% of the population is eligible to donate blood, yet only 5% actually do. As of 2016, BlueGrace has donated over 130 units of blood. With each unit of blood, up to three lives can be saved. That is almost 400 patients that could benefit from the lifesaving efforts of BlueGrace employees! Mike Sumnick, VP of Operations at BlueGrace and the coordinator of the blood drives states, “We pursue outrageous goals here at BlueGrace, and every time we host a blood drive, we will strive to help save even more lives.”

To find a donation center near you, please visit https://www.oneblood.org/donate-now/

 

How Shippers Should Already Be Prepared For The Holiday Season

Do you smell the pumpkin spice in the air? If you close your eyes, do you hear the faint jingling of bells in the distance to be? That’s because the holiday season is approaching. And, it’s approaching fast.  The busiest time for all, logistics companies, retail stores as well as shippers.

This is the season that can make or break shippers.

This is the season that can make or break shippers. If they are properly prepared, they can take advantage of having their items on the shelves faster for consumers to buy and reap the financial benefits. However, if they aren’t prepared, they could find themselves in a world of stress trying to find carriers to move their freight. – So, what can shippers do to prepare?

Plan For Unexpected Events

Remember while planning for the holiday season that it’s an incredibly busy time filled with unforeseen events. More people will be on the roads to visit their friends and family, and with more people on the road, more wrecks occur. More wrecks, more traffic jams, may cause your freight to be delayed.

Also, the holiday season usually packs a cold punch with winter storms creating dangerous conditions for drivers that could even keep them off the road for a few days. Be sure to track the weather before scheduling shipments around winter storms.

Things get hectic around the holiday season, making it more necessary to keep your documents accurate.

Things get hectic around the holiday season, making it more necessary to keep your documents accurate. One common mistake we experience time over time is the misclassification of freight. Minimize these errors by using a density calculator.

Compete With Larger Shippers

WalMart and Amazon are two of the biggest powerhouses in the world during the holiday season and can make it difficult for smaller shippers to offer competitive rates. Often times carriers can be lured away to make deliveries for these larger shippers on a seasonal basis.

We’ve seen this way too often. To be able to compete with larger shippers and keep their products moving, small and medium-size companies will have to offer and pay higher rates for carriers. If this story rings a bell, consider partnering with a 3PL. More often than not, 3PLs can provide better service and competitive rates.

Carriers enjoy working with 3PLs because they consistently engage with them by offering year-round agreements to keep their trucks rolling.

They can do so as they have an extensive network of carriers. Carriers enjoy working with them because 3PLs consistently engage with them by offering year-round agreements to keep their trucks rolling. Plus, the fact that they move such a high volume of freight that gives them a stronger buying power, which results in highly competitive freight rates.

Reflect On The Past

Think back to last year. Did your entire operation run smoothly with only a few minor hiccups or were you pulling your hair out? Make changes to improve your business from the inside out by locating the problems and finding solutions for them.

Did you have enough manpower to handle packaging and loading extra freight? You may need to implement an all hands on deck policy for the holiday months or hire a few seasonal employees. The key here is to hire good employees to keep your operations running smoothly. Also, consider a preseason training program for new and veteran employees to boost efficiency and minimize mistakes.

Did you have enough office staff to handle all of your paperwork in a timely manner? If not, consider getting a few extra secretaries or finding a way to automate processing all of this information digitally to cut costs and save time. Programs like Quickbooks could really help you transform your office.

Also, check out our latest technologies to see how to improve tracking, addressing, and product listing. By automating your services to become more efficient, you will be able to cut down on document processing time, costly accounting mistakes, and build more productive relationships with carriers.

Are You Ready? The Holidays Are Coming

Prepare your business now for the holiday madness!

 

 

What Is The Current Status Of Trucking Capacity?

A sudden increase in freight demand throughout the United States might put shippers in a difficult position for capacity and price later this autumn.

According to the American Trucking Association’s’ (ATA’s) Truck volume leaped 7.1 percent in August from July, and 8.2 percent year over year, the ATA said Tuesday. ATA revised July’s tonnage index, increasing it from 0.1 to 0.5 percent.

Tonnage Gets An Added Boost

“Tonnage was stronger than most other economic indicators in August and more than I would have expected,” said ATA Chief Economist Bob Costello. “However, prep work for the hurricanes and better port volumes likely gave tonnage an added boost during the month.

“I suspect that short-term service disruptions from when the storms made landfall, as well as the normal ebb and flow of freight, could make September weaker and tonnage will smooth out to more moderate gains, on average,” he said.

Some of that 7.1 percent surge, however, may just be a seasonal adjustment.

Some of that 7.1 percent surge, however, may just be a seasonal adjustment. August is often a light month for tonnage as freight demand typically doesn’t start picking up till the fall. With such an increase taking place in August, ahead of schedule, that will push the seasonally adjusted index higher for the month. With the huge 10.5 percent uptick from July to August for unadjusted tonnage, that means that more, heavier freight was being shipped across the U.S. during August.

While this is good news for carrier, it could mean a rough season ahead for shippers. This increase in tonnage will likely mean tightened capacity for the fall. Additionally, shippers could be facing the biggest rate increase since 2014. 3PLs have been noting for months that capacity has been tightening as the economy improved.

The Effect of Disasters on Trucking

The devastation left in the wake of hurricanes Harvey and Irma is also having a significant impact on the trucking industry. Combined, the hurricanes have done almost $300 billion in damage, which has lowered U.S. economic growth by 0.8 percent in the third quarter.

Considering the damage alone, it’s no surprise that reconstruction demand will be taking the lion’s share of the trucking capacity that would normally be used to serve more general needs.

“Hurricane Harvey will ‘strongly affect’ over 7% of U.S. trucking during the next two weeks, with some portion of that fraction out of operation entirely, according to an analysis by freight research firm FTR Transportation Intelligence,” says Fleet Owner.

While the disruption was more or less contained around the epicenter of the damage, there is an effect that is going to be felt across the country.

“Due to the already tight nature of the truck environment, that means that loads could be left on the docks, according to Noël Perry, one of FTR’s partners. And though the largest ripple effects of Hurricane Harvey will be “regionalized” where freight shipments are concerned, transportation managers across the entire U.S. “will be scrambling,” he added.”

“Look for spot prices to jump over the next several weeks with very strong effects in Texas and the South Central region,” Perry said in a statement. “Spot pricing was already up strong, in double-digit territory. Market participants could easily add five percentage points to those numbers.”

The State of Capacity

As far as the current state of trucking capacity goes, shippers will have to deal with a considerable constriction as the industry contends with the natural disasters and the reconstruction effort. With a considerable jump in demand from July to August and the “peak” season starting early, shippers will also have to contend with the largest rate jump in years in addition to the tight capacity. Simply put, shippers will have to make smart moves if they want to stay ahead of the competition.

 

 

Tampa Bay Lightning Announce Partnership with BlueGrace Logistics

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Press Release
FOR IMMEDIATE RELEASE

RIVERVIEW, FL – November 30, 2015 – The Tampa Bay Lightning have announced a new partnership with BlueGrace Logistics, a national freight shipping company based in Tampa. The three-year agreement names BlueGrace as “The Preferred Shipping Partner of the Tampa Bay Lightning”.
 
“Since Jeff Vinik purchased the franchise in 2010, we have looked to align ourselves with world-class brands that share our vision and values on and off the ice, and BlueGrace fully embodies that,” said Lightning CEO Steve Griggs. “BlueGrace’s community involvement and commitment to Tampa Bay is aligned with our mission and we look forward to our partnership with them.”
 
The Lightning will team up with BlueGrace for one community outreach event per year over at least the next three seasons. BlueGrace will also be one of the Lightning’s sponsors for their annual Bolt Run. The partnership also includes arena-wide signage and in-game features at Lightning home games.
 
“It’s a natural fit for us to partner with a world-class organization like the Tampa Bay Lightning,” said Bobby Harris, CEO and founder of BlueGrace Logistics. “This partnership enables us to team up with the Lightning on charitable initiatives, increase our local visibility and expand our national brand. We look forward to a long-term relationship and years of success with the Tampa Bay Lightning.”

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About BlueGrace Logistics:
 
Founded in 2009, BlueGrace Logistics is the fastest growing leader of transportation management services in North America. As a full service third party logistics provider (3PL), BlueGrace helps businesses manage their freight spend through industry leading technology, high level freight carrier relationships and overall understanding of the complex $750 Billion U.S. freight industry. BlueGrace is headquartered in Riverview, Florida with over 60 corporate and franchise locations across the U.S.
 
About Tampa Bay Sports and Entertainment, LLC:
 
Tampa Bay Sports and Entertainment, LLC is an entity controlled by Jeff Vinik and its holdings include the National Hockey League’s Tampa Bay Lightning, the Arena Football League’s Tampa Bay Storm and the leasehold rights to the newly named Amalie Arena, the 19,092-seat downtown Tampa home in which the teams play their games. Vinik purchased the Lightning and the leasehold rights to the arena in March 2010 and has since led a complete brand and business transformation, establishing the company as one of the leading sports and entertainment entities in the United States.

A Brief Explanation Of Freight Classing For Engines

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A part of BPO, business process outsourcing is the transportation of product. A manufacturer can make the best, fastest engines in the world, but then a reliable transportation partner will be needed to help get this shipment from point A to point B. There are many issues with FBAP or Freight Bill Pay and Audit when it comes to the classification of products. Here is a short explanation on getting the proper NMFC code and freight class for engines and transmissions.

There are over 10 different NMFC codes for various engine types that can cause confusion during the initial stages of the shipping process.

Internal combustion engines are a highly complicated and valuable piece of machinery to ship; with over 10 different NMFC codes for various engine types that can cause confusion during the initial stages of the shipping process. These engines fall under a specific NMFC code though (NMFC 120800) and require you ship them in certain conditions. You need to ask yourself quite a few questions and discuss them with your shipping representative before you ship your engines. This could determine the shipping cost and freight class of your shipment.

Questions you should ask include:

  • Is the engine new or used?
    A used engine must not work and can only be used for salvaging or reconditioning. If the engine is repaired or refurbished, it qualifies as new. Used engines fall under a different NMFC code and freight class.
  • Is the engine drained of all liquids?
    The engine is not allowed to be shipped until it is drained of all liquids, except those necessary to prevent rust, corrosion or other damage.
  • How is it being packaged?
    The way the engine is packaged is another factor in determining the freight class. The simple difference between mounting on a wheeled shipping carrier and shipping on racks or cradles can create a large difference in freight rates.
  • What is the released value of the shipment?
    The released valuation is another large factor in determining the freight class of engines and must be given at the time of quoting, as well as notated on the bill of lading.

These guidelines only apply when shipping internal combustion engines, NOI, so it is important to make sure you have all the correct information before you book your shipment.

If you have specific questions about your engine shipment, please contact a qualified shipping representative today at 800-697-4477. We also have freight class experts available to answer your NMFC and freight class questions. Looking to book your engine shipment? Request an engine shipping quote today!

The Future of the Highway Steering Towards Platooning

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Volvo is leading the way for advancements in connectivity in the United States. Goran Nyberg, President of Volvo, states connectivity is “changing the industry and the way we work and the way we communicate.”

“Platooning” is the term applied to a convoy of trucks electronically linked to a lead truck with an active driver. Testing in Europe since 2009, Volvo has found the trucks boost fuel economy by reducing wind drag and lessening the workload for drivers.

“How many people question who is running a big aircraft today? It’s fully computerized, and a pilot is governing the environment,” Nyberg said.

A predictive cruise system that can conduct a 360 scan of the surrounding area is also under development. In a video simulation, a cyclist was spared because the truck took over emergency control to avoid an accident.

If legislation is approved, platooning in the U.S. could be a reality in five years.

5th Annual Cats vs. Dogs Contest

BlueGrace Logistics holds Fifth Annual Cats vs. Dogs Pet Food Drive Benefiting the Humane Society of Tampa Bay


2015_COMMUNITY_CATSVSDOGS 2RIVERVIEW, Fla. – September 10, 2015: Each year BlueGrace holds their official “Cats vs. Dogs” contest amongst its employees. The contest is a pet food drive in which the women compete against the men to collect the most pet food in pounds. The food is then donated to the Humane Society of Tampa Bay to care for the animals in the no-kill shelter.

In 2014, BlueGrace donated more than 44,000 pounds of pet food which was enough to feed the animals for almost an entire year. Since the contest’s inception in 2010, BlueGrace has donated over 80,000 pounds of pet food to Humane Society Tampa Bay. Each year, BlueGrace plans to surpass last year’s amount. Employees come together to donate pet food, as well as leverage contacts to purchase large amounts of food. The contest will run through the middle of October.

BlueGrace Logistics takes pride in giving back to the community through our “Giving Grace” Program created by our President and CEO, Bobby Harris. Our Giving Grace charity of choice is the Humane Society of Tampa Bay and we support the organization in many ways throughout the year. Most recently, BlueGrace employees volunteered for Humane Society Tampa Bay during Creative Loafing’s BeerFest event at MOSI. A percentage of the event’s proceeds went to support the animal shelter.

Want to contribute to the 2015 Cats vs. Dogs Competition and Pet Food Drive? 

The public is invited to participate in the Cats vs. Dogs contest. For information or to donate large amounts (such as a pallet of pet food) contact BlueGrace Logistics at community@mybluegrace.comPlease be sure to specify if you’d like to contribute to the “TeamCats” (girls) or “TeamDogs,” (guys) if applicable. 

Business Boondoggle: Multiple Business Units with Unaligned Transportation Strategy.

BlueGrace-ThinkOutsideTheBox

Businesses with multiple units employing different processes for the same task are NOT running lean or effective. It’s easy to get this way. Start-ups enjoy rapid success. Acquisitions are made. Technology is rapidly evolving. The skill set of the workforce changes. The result of which is that you end up using multiple systems, processes and even vendors to solve a single business problem. The business implications are far reaching and too often the executive suite or business owners are not privy to them.

Even when a need and benefit are identified, execution requires more complexity.

Whereas there is often a technology solution to the business problem or problems to increase efficiency and streamline productivity, it is not always understood. Technology often involves a subject matter expert in both the innovation and the problem it is intended to solve. Technology solutions are often misunderstood. More often than not – the business problem itself is misunderstood. Even when a need and benefit are identified, execution requires more complexity. This could include infrastructure, capital investment, training and most of all – change management. Poor Change Management is the single greatest threat to technology innovation and implementation.

During the sales process there are typically multiple detractors. They can come from all over the organization. “I do not like change,” Is the statement sales people hear most often. However, change is key to helping businesses run effective and lean. Change is critical to staying ahead of competition. And most of all change is inevitable, and should not be left alone in the hands of anyone not directly and greatly affected by the outcome.

Here are key issues facing businesses not already benefiting from a transportation and technology provider

  1. Visibility and Reporting. Without technology visibility is the hardest thing to management. Many shippers that do not utilize transportation technology typically have no key performance indicators nor know if their locations utilize a LCC (least cost carrier) program. BlueGrace is able to build a hierarchy to have each location reportable to a top tier level. Reports are limitless and business specific. Reports are built to see items like if your end users are choosing the least cost carrier or not, what is your price per pound or percentage of freight as a sale cost, and how those items are trending.
  2. Not negotiating pricing or GRI’s with full buying power: When a business has multiple units shipping with a number of different carriers and different rate structures the full price negotiation power of the organization is not being used. The pricing is being determined on a pure location spend basis and based on the skill and knowledge base of the decision maker on site at each location. BlueGrace takes all of the information from all of the locations and brings it to our key partner carriers to get tariffs for the entire organization to use. This makes things such as GRI (general rate increase) and KPI (key performance indicator) management so much easier.
  3. Consolidated Billing and Invoice Audit. When multiple business units manage their own freight and price negotiation this means there are freight bills flying around at a fast pace. If a bill goes to the individual unit to be approved, and then sent to corporate for payment how long does that process take? With a number or different carriers and billing times and schedules this has to be a business boondoggle. BlueGrace sends one consolidated invoice per week. This can be sent to multiple end users and is customizable. We also pre audit these bills to also save you time rather than having to perform this practice yourself.

 

These are a FEW of the issues facing businesses with multiple units doing multiple different processes. Please reach out today so we can help you run your business more profitably and effectively. This is our main thing.

 

Panama Canal Expansion

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In June, The Panama Canal Authority announced testing of the first gates on the Atlantic Ocean side of the waterway. Extending over four months, this step brings the Panama Canal expansion project to 90% completion.

“This event highlights the magnitude of what we have been working on for the past seven years,” said canal administrator Jorge Quijano. “Filling the locks with water is the culmination of arduous years of labor and the realization that we are within arm’s reach of the completion of one of the most impressive infrastructure projects of our time.”

The canal has encouraged investments for deeper channels in East Coast ports, such as Miami, New York/New Jersey, and Baltimore. Port Authorities expect larger vessels with more cargo to be calling in these locations.

BlueGrace Logistics Places #2775 in the 2015 Inc. 5000!

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BlueGrace Logistics has one again placed in the Inc. 5000 List of America’s fastest growing companies. This year BlueGrace came in at #2275 after placing #2274 in 2014, and #20 in 2012. We could not do this without our customers, franchisees, partner groups, employees, friends, and family. Our #3 core value is “Pursue Outrageous Goals” and we will continue to strive to be on this list year after year.

 

Please find a link to the Inc. 5000 posting here

Must Arrive By Delivery Date Dilemma: A BG Case Study

SCENARIO:

Tremendous growth leads to challenges related to the distribution of this rapidly expanding health and beauty products distributor. With much of their business moving toward “big box” retailers, the need for carrier management would be required to fulfill the commitments made to their clients. The true cost of doing business seemed more complex than fulfilling orders.

 

MUST ARRIVE BY DILEMMA (MABD):

With vendor scorecards dwindling, and charge backs against purchase orders mounting, the need for a better solution was apparent. From numerous carrier meetings, to drive on time compliance, to costly upgrades in service levels, the trend continued to show little improvement. Lead times were not an issue, and inventory levels were manageable, yet carriers could not seem to comply with the Must Arrive By Date (MABD) displayed on the BOL. Purchase orders were being shipped with ample lead time and in most cases, early with guaranteed service at a premium. Even with upgraded service, the carriers would refuse to refund the charges since they were delivered “on time”, per the standard transit. BlueGrace began by analyzing the data and scorecards to determine root cause of the issue, and set a baseline for current state performance. Next, an assessment of ERP integration capabilities was performed. Through minor customization, the potential for real-time connectivity to BlueShip TMS was an opportunity. This connection would allow BlueGrace to receive incoming orders from specific clients and apply custom business rules to achieve the Overall goal. No matter when the order was received, BlueShip would effectively route the “Best Value Carrier” AND provide the most optimal ship date. This meant that each order, once approved within the ERP, would be rated and routed; with a Wal-Mart approved carrier, at the lowest cost, with standard service and shipped on the day that would best fit that carrier’s network to allow for a delivery within the specified MABD window. Our client showed a 90% reduction in charge backs within the first 60 days of implementing this program. Combined with the dedicated support at BlueGrace proactively tracking each flagged order, the company received the best scorecard performance in recent history.

 

FREIGHT COST ALLOCATION:

The next phase consisted of reviewing what the true cost of each order was when freight cost was allocated. BlueGrace analyzed the average freight cost as a percentage of sale. This percentage was incorporated into the product cost to determine pricing to the end customer. BlueGrace knew there was opportunity to drill down and allocate a freight cost not only at the customer level, but the customer location, customer location type (Direct to Store or Distribution Center) all the way down to the SKU level. Since freight cost was not passed to the client, this would either show a net margin loss or show opportunities to reduce the freight cost allocation to become more competitive. The result highlighted regions that were more costly to ship to, products that did not have enough margin potential to validate shipping cost and insight into regions of the country that would benefit from an additional warehouse location.

Continued Growth:

BlueGrace provides scalability for growing companies to achieve their goals without labor or technology investments. Our expertise and processes provide our clients with the bandwidth to operate efficiently and drive direct cost eduction through our procurement and dedicated management.

FOTM June // Pete Foradas // BlueGrace 809 Columbus Central

Pete Foradas

Name: Peter Foradas

Franchise owned: 809 | BlueGrace Logistics Columbus Central

How long have you owned a franchise?

For 2 years

Why Pete?

Pete is only the second franchise to ever win twice. Way to go Pete!

 

Pete has consistently been growing his numbers over the last month. With this growth, he is currently in the process of hiring 3 new employees; 2 in sales and 1 admin professional. Pete is a great business owner, establishing a dynamic business plan that he monitors and adjusts as needed for his internal demands.

 

Pete has worked with the support team on quarterly business reviews for his larger customers, utilizing corporate knowledge of the industry. He is consistently attending training calls, and frequently makes visits to the BlueGrace Logistics corporate office for training.

 

Above all – Pete is continuously working with his customer to grow his business. Let’s congratulate Pete on being these months Franchise of the Month!

 

Links:

BlueGrace Logistics Columbus Central

Leaving the Competition to Become a Franchise | Entreprenuer.com

 

The Meaning of Inbound Vendor Compliance

Did you know that BlueGrace has an inbound vendor compliance program?

Inbound Vendor Compliance

 

Many times when calling on new business we hear the term “vendor routed.” Many businesses think that they are not paying the freight when indeed they are. If there is a line item on your purchase order that says “Freight” with a cost, then guess what? That is the freight cost. We have come across many customers that have no visibility over those costs, and in lots of cases the manufacturers are uplifting that freight cost for added profits. At BlueGrace we analyze those inbound freight costs and set a price to make sure they come in lower than the manufacturers’ preferred carrier. We then draft a letter to be signed by your vendor, making them responsible for calling BlueGrace so that we can book a shipment with a least cost carrier.

Please call us at 800-MY-SHIPPING if you have any questions or would like to know more shipping with us!

Tampa Ranks as Third-best U.S. City to Find a Job

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A recent article that appeared in the Tampa Bay Times shared a report from Wallet Hub that ranks Tampa as the third-best city in the country to find a job in 2014.  This is great news as Tampa is coming out of the recession that hit the area so hard.

Headquartered in Riverview, right outside Tampa, BlueGrace calls Tampa Bay our home. Our local economy is bouncing back and we’ve been seeing signs of this throughout our business. In the last year, BlueGrace has continued to grow and with that growth has come new positions to be filled. We’ve started out the year strong with welcoming 35 new hires to the BlueGrace team here in Tampa. This growth will continue in an upward trend as the year progresses.

We currently have openings for Systems Engineer, Carrier Invoicing, Account Receivable, Customer Loyalty Representative, Corporate Paralegal, National Sales Representative, Enterprise Development Manager and Enterprise Development Representative. If you’re interested in any of these positions, you can email your resume to careers@mybluegrace.com or visit the Careers section of our website.

BlueGrace Logistics Donates 44 Thousand Pounds of Pet Food to the Humane Society of Tampa Bay

Final group picOur annual “Cats vs. Dogs” Competition Pet Food Drive came to a close on Friday, February 28. This year, BlueGrace raised 44 thousand pounds of pet food – more than twice the amount we collected in 2013! This was undoubtedly one of the largest pet food drives in the country!

The donated pet food will not only go to feed the animals that call the Humane Society of Tampa Bay home, but will also go toward their food assistance programs “Casper’s Cupboard” and “Animeals.”

A number of businesses and organizations donated necessary resources such as pet food, money, transportation services and much more to make this incredible donation possible. We’d like to thank AAA Cooper, FedEx Freight, Rodney Naughton and Joe Peckham of Phillips Pet Food & Supplies, Plant City Fla., Family Feed, Plant City Fla., Kay Brown of Hi-Tek Rations Inc, Dublin, Ga., Feeding America Tampa Bay, Taiga, Riverview, Fla., Reed TMS Logistics, Del Monte, Health Mut, Tamlin Homes, BluePearl Veterinary Partners and Knights Station Feed Depot.

We’re already strategizing how we are going to beat this record next year!