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3
OTM Certification Class
1/15/2023
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4
What is Transportation?
• Transportation - movement of goods between two points
• Freight (shipping) – all merchandise, goods, products, or commodities
shipped by rail, air, road, or water.
• Carrier - the party undertaking transportation of goods from one point to
another.
1/15/2023
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5
Why is transportation important?
• $19 trillion in international trade by 2019
• U.S. freight tonnage to grow by 28% by 2032
• Global freight demand to triple by 2050
• Worldwide annual transportation range from $8 - $12 trillion
Source: Various transportation publications
1/15/2023
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6
Modes of Transportation
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7
Modes of Transportation
PARCEL LESS-THAN-
TRUCKLOAD
(LTL)
FULL
TRUCKLOAD
(FTL)
AIR
OCEAN /
MARINE
RAIL
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8
What are Parcel Carriers?
• Handle smaller shipments
• Weight and volume restrictions
• Multiple service levels - ground, overnight, 2-day, 3-
day, etc.
• Offer international express air services
• Competitive rates in certain weight segments
1/15/2023
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9
What are LTL Carriers?
• A quantity of freight less than truckload
• More cost effective than parcel carriers
• Freight rates decrease for heavier
shipments
• Rates apply to the entire weight of the
shipment / delivery
1/15/2023
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10
What are FTL Carriers?
• A quantity of freight required to qualify a shipment for a truckload rate.
• Improved time in transit compared to LTL
• Lower cost per pound than LTL
• Can service multiple stops
1/15/2023
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11
What are Air Carriers?
• Typically used for time sensitive
shipments
• Most expensive mode of transport
• Multiple service offerings – same day,
next day, 2-day, etc.
• Freight rates based on weight or
volume
1/15/2023
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12
What are Ocean / Marine Carriers?
• Carriers that own and
operate ocean vessels
• Type of vessels –
Container, Bulk, Barge
• Most shippers send
containerized freight
• Common containers are
20’ and 40’
1/15/2023
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13
Commercial Ocean Shipping Density
1/15/2023
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14
What are Rail Carriers?
• Rates are based on commodity
transported
• Common method of transport for bulk
materials
• Rates per hundred weight are lower than
trucking
• Provide TOFC / COFC (Trailer on Flat
Car, Container on Flat Car) service
1/15/2023
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15
What are Freight Forwarders?
• Consolidate freight into larger shipments and
tender to carriers for transport
• Rates are very competitive since they pay for
carrier capacity whether it is used or not
• Pick-up and delivery arrangements
• Door-to-door service
1/15/2023
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16
Who are the carriers?
Parcel / Air LTL
( Less-than-
Truckload )
TL
( Truckload )
Ocean / Marine Rail
1/15/2023
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17
Full Truckload (FTL)
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18
Two Main Types of Trucking Modes
Flat rate or per mile
“Truckload” carriers
Cost based on origin, destination
Flat rate - Same cost regardless of size of
load in trailer
Per Mile – Cost per mile based on Country,
State, City, Zip or combo
Least expensive mode
Pay by the pound
“Less than truckload” and parcel carriers
Cost based on how much you ship
Maximum weight limit before considered TL
1/15/2023
Copyright © 2022, Oracle and/or its affiliates | Confidential: Internal/Restricted/Highly Restricted
19
Truckload (FTL) vs. Less Than Truckload (LTL)
Best deal is to go by truckload and fill it up
If you can’t fill it up, going by LTL may be locally better
The goal is to find ways to fill up
those TLs!
multi-stop truckloads
pooling/cross-docking
1/15/2023
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20
Pooling
Reduce costs by
– Combining multiple LTLs to TL
– Breaking TLs into multiple LTLs for
local delivery
– Combinations
• multi-tier
• cross-dock
LTL
TL
TL TL
TL
LTL
TL
LTL LTL
1/15/2023
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21
Multi-Stop Truckloads
Local LTL deliveries
TL Line Haul
Pickup at plant
Pickup at DC
Pickup at
supplier
Delivery to
plant
Delivery to
customer
Drop-off at
deconsolidation
hub
1/15/2023
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22
Truckload Carriers
Shipper decides the trailer’s route, schedule
• Temporarily “manages” the asset
• It goes where you want, when you want
Cost based on how well the asset is managed
• High utilization = low cost
• Low circuity = low cost
• minimize deviation from direct route
1/15/2023
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23
Truckload Rating
• Flat rates based on origin/destination
• Rates per unit of distance
• Additional charges
•Stop charges
•Unloading/loading charges
•Origin/destination surcharges
•Fuel surcharges
•Many others
1/15/2023
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24
Truckload Rating - Implications
If you want to use a truckload carrier, the best deal is to fill it up as much as
possible
If you have to make multiple stops to
fill the truckload, there is an
associated cost
Additional stops
Additional distance
Additional time
At some point, it’s no longer worth going to great lengths to maximize
utilization
1/15/2023
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25
Typical Truckload Carrier Equipment
53’ x 102” trailers
Dry van
• the “workhorse”
Refrigerated
• considered a specialty
vehicle
Flatbed
• also considered a
specialty vehicle
1/15/2023
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26
Pallets – Loading Units for Trucks
pallet jack
Other Special Trailer Features
(Rear) Liftgate
• For locations
with no loading
dock
Crane
• To lift heavy items
on/off
Roll(ing) floor
• For easy loading
without forklifts
or pallet jacks
Air suspension (“Air
Ride”)
• For smoothest ride
• Minimize damage to
load
• As opposed to spring
suspension
1/15/2023
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29
Less-than-Truckload
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30
Less-Than-Truckload Carriers
Method of choice for shipments of 100s/1000s lbs.
• For larger shipments, full truckload more cost-effective
• Minimum charges make smaller shipments expensive
Smaller equipment for local pickup and delivery
• Straight trucks
• Single 28’ or 32' trailers
Larger equipment for line-haul
• 53’ x 102”
• Twins/triples
1/15/2023
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31
LTL Rating
Based largely on unit of
weight
• weight breaks
• deficit rating / “phantom
freight”
• fills in holes between
breaks
• rates per unit vary by
origin/destination
• rates per unit vary by freight
class (density group)
Deficit
gaps
shipment price
shipment
weight
1/15/2023
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32
Parcel Carrier
1/15/2023
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33
Parcel Carriers
• Also called “Small Package”, “Air
Express”
• Examples: UPS, FedEx, DHL, TNT
• Operate like LTL carriers but handling
methods optimized for smaller pieces
• Offer multiple service levels (transit
times)
• Air links for faster service levels
• Excess space used for slower services, too
1/15/2023
Copyright © 2022, Oracle and/or its affiliates | Confidential: Internal/Restricted/Highly Restricted
34
Parcel Rating
Pay for each package separately
Rate for a package based on
weight/dims
origin/destination
service level (overnight, 2nd day, 3rd day, etc.)
For groups of packages over 150
lbs., “hundredweight” (cwt) service
cost per 100 lbs.
number of packages doesn’t matter
1/15/2023
Copyright © 2022, Oracle and/or its affiliates | Confidential: Internal/Restricted/Highly Restricted
35
Freight Rating
1/15/2023
Copyright © 2022, Oracle and/or its affiliates | Confidential: Internal/Restricted/Highly Restricted
36
What is Freight Rating?
• The process of assigning carrier rates to a delivery
• Based on distance, weight, volume, commodity shipped or freight class
• Calculation methods can vary depending on carrier and mode of transport
• Additional fees or accessorial charges
• Most carriers provide discounts to shippers
1/15/2023
Copyright © 2022, Oracle and/or its affiliates | Confidential: Internal/Restricted/Highly Restricted
37
Why is Freight Rating important?
• Ability to apply carrier rates to a delivery
• Select carrier service offerings based on freight rates
• Provides higher level of accuracy when estimating freight costs
• Apply carrier discounts and charges to a delivery
1/15/2023
Copyright © 2022, Oracle and/or its affiliates | Confidential: Internal/Restricted/Highly Restricted
38
Freight Rating Concepts
Distance Distance between origin to destination – zone
based, mileage
Weight Weight of a shipment or individual containers in a
shipment
Volume Dimensions of a shipment or individual containers
Service Type Carrier service level – next day, 2day, ground, etc.
Container Rates are applied based on size of container
transported
Commodity / Freight
Class
Rating is based on commodity shipped or freight
class
1/15/2023
Copyright © 2022, Oracle and/or its affiliates | Confidential: Internal/Restricted/Highly Restricted
39
Freight Rating by Mode
Parcel / Air LTL
Less than Truckload
TL
Truckload
Ocean / Marine
Distance Zip Code Based
Zones
Origin /Destination
Zip Code
Mileage Ocean Lanes Port to
Port
Service Type
Service Type Service Type
Weight / Volume
Weight Weight Weight / Volume
Commodity / Freight
Class Freight
Class
Commodity
Container Container Container
1/15/2023
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40
Carrier Tracking
1/15/2023
Copyright © 2022, Oracle and/or its affiliates | Confidential: Internal/Restricted/Highly Restricted
41
What is Carrier Tracking?
• Continuous feedback at regular intervals on the status of a shipment
• Most carriers provide the ability to track
• Tracking status is updated at defined carrier in-transit events
• Tracking numbers are assigned when processing deliveries
• Tracking by reference number
1/15/2023
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42
Why is tracking important?
Receive
information on
delivery status
Respond to in-
transit delays or
lost shipments
Measure carrier
on-time delivery
performance
Communicate
tracking details to
end customer
Verify guaranteed
services and
process claims
1/15/2023
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43
Carrier Selection
1/15/2023
Copyright © 2022, Oracle and/or its affiliates | Confidential: Internal/Restricted/Highly Restricted
44
What is Carrier Selection?
• Automatic selection of carrier and ship method based on user defined
rules… also known in industry as a routing guide
• Based on delivery weight, volume or ship to / ship from geographic location
• Defined by shipper or customer requirements
• Established at customer site, customer, shipper org, or enterprise levels
1/15/2023
Copyright © 2022, Oracle and/or its affiliates | Confidential: Internal/Restricted/Highly Restricted
45
Why is Carrier Selection Important?
Automates manual carrier selection processes via routing guides
Comply with customer / consignee routing instructions
Eliminate penalties for incorrect carrier assignments
Automatically select carrier based on delivery characteristics
46 Copyright © 2022, Oracle and/or its affiliates | Confidential: Internal/Restricted/Highly Restricted 1/15/2023
State
Overnight 2 Day 3 - 5 Day
1 -70 71 - 1500 1501 -10000 1 -70 71 -1500 1501 - 10000 1 -70 71 -1500 1501 - 10000
AK FedEx UPS Call Traffic UPS UPS Call Traffic UPS UPS Call Traffic
AL UPS UPS Geologistics UPS UPS Con Way UPS UPS Con Way
AR UPS
CF Motor
Freight
Emery UPS UPS Pilot UPS UPS Con Way
Little Rock & 50 mile radius
FedEx
CF Motor
Freight
Geologistics UPS Pilot
Old Dominion Freight
Lines
FedEx Pilot Call Traffic
AZ UPS FedEx Emery UPS UPS Geologistics UPS UPS Con Way
CA UPS FedEx Emery UPS UPS Geologistics UPS UPS
Old Dominion Freight
Lines
LA Metropolitan Zone
UPS UPS Emery UPS UPS Geologistics UPS UPS
Old Dominion Freight
Lines
Delivery
Destination
Assigned
Carrier
Delivery
Weight Breaks
Sample Routing Guide
1/15/2023
Copyright © 2022, Oracle and/or its affiliates | Confidential: Internal/Restricted/Highly Restricted
47
Optimization (“Modern TMS”)
• Algorithms that select the least cost shipment, mode and carrier plans
across the group of orders
• Algorithms consider strategies for pooling, cross docking etc
• Adheres to minimal set of real constraints:
DOT Regulations
Location Open/Close times
Product characteristics
Etc
1/15/2023
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48
Hardware and Software
Engineered to Work Together
1/15/2023
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49
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1 - Transportation_Basics_2022_v2.pptx

  • 1.
  • 2. Safe Harbor Statement The following is intended to outline our general product direction. It is intended for information purposes only and may not be incorporated into any contract. It is not a commitment to deliver any material. Code, or functionality, and should not be relied upon making purchasing decisions. The development, release, and timing of any features or functionality describing for Oracle’s products remains at the sole discretion of Oracle. 2 1/15/2023 Copyright © 2022, Oracle and/or its affiliates | Confidential: Internal/Restricted/Highly Restricted
  • 3. Oracle Training Materials – Usage Agreement Use of this Site (“Site”) or Materials constitutes agreement with the following terms and conditions: 1. Oracle Corporation (“Oracle”) is pleased to allow its business partner (“Partner”) to download and copy the information, documents, and the online training courses (collectively, “Materials") found on this Site. The use of the Materials is restricted to the non-commercial, internal training of the Partner’s employees only. The Materials may not be used for training, promotion, or sales to customers or other partners or third parties. 2. All the Materials are trademarks of Oracle and are proprietary information of Oracle. Partner or other third party at no time has any right to resell, redistribute or create derivative works from the Materials. 3. Oracle disclaims any warranties or representations as to the accuracy or completeness of any Materials. Materials are provided "as is" without warranty of any kind, either express or implied, including without limitation warranties of merchantability, fitness for a particular purpose, and non-infringement. 4. Under no circumstances shall Oracle or the Oracle Authorized Delivery Partner be liable for any loss, damage, liability or expense incurred or suffered which is claimed to have resulted from use of this Site of Materials. As a condition of use of the Materials, Partner agrees to indemnify Oracle from and against all actions, claims, losses, damages, liabilities and expenses (including reasonable attorneys' fees) arising out of Partner’s use of the Materials. 5. Reference materials including but not limited to those identified in the Boot Camp manifest can not be redistributed in any format without Oracle written consent. 1/15/2023 Copyright © 2022, Oracle and/or its affiliates | Confidential: Internal/Restricted/Highly Restricted 3
  • 4. OTM Certification Class 1/15/2023 Copyright © 2022, Oracle and/or its affiliates | Confidential: Internal/Restricted/Highly Restricted 4
  • 5. What is Transportation? • Transportation - movement of goods between two points • Freight (shipping) – all merchandise, goods, products, or commodities shipped by rail, air, road, or water. • Carrier - the party undertaking transportation of goods from one point to another. 1/15/2023 Copyright © 2022, Oracle and/or its affiliates | Confidential: Internal/Restricted/Highly Restricted 5
  • 6. Why is transportation important? • $19 trillion in international trade by 2019 • U.S. freight tonnage to grow by 28% by 2032 • Global freight demand to triple by 2050 • Worldwide annual transportation range from $8 - $12 trillion Source: Various transportation publications 1/15/2023 Copyright © 2022, Oracle and/or its affiliates | Confidential: Internal/Restricted/Highly Restricted 6
  • 7. Modes of Transportation 1/15/2023 Copyright © 2022, Oracle and/or its affiliates | Confidential: Internal/Restricted/Highly Restricted 7
  • 8. Modes of Transportation PARCEL LESS-THAN- TRUCKLOAD (LTL) FULL TRUCKLOAD (FTL) AIR OCEAN / MARINE RAIL 1/15/2023 Copyright © 2022, Oracle and/or its affiliates | Confidential: Internal/Restricted/Highly Restricted 8
  • 9. What are Parcel Carriers? • Handle smaller shipments • Weight and volume restrictions • Multiple service levels - ground, overnight, 2-day, 3- day, etc. • Offer international express air services • Competitive rates in certain weight segments 1/15/2023 Copyright © 2022, Oracle and/or its affiliates | Confidential: Internal/Restricted/Highly Restricted 9
  • 10. What are LTL Carriers? • A quantity of freight less than truckload • More cost effective than parcel carriers • Freight rates decrease for heavier shipments • Rates apply to the entire weight of the shipment / delivery 1/15/2023 Copyright © 2022, Oracle and/or its affiliates | Confidential: Internal/Restricted/Highly Restricted 10
  • 11. What are FTL Carriers? • A quantity of freight required to qualify a shipment for a truckload rate. • Improved time in transit compared to LTL • Lower cost per pound than LTL • Can service multiple stops 1/15/2023 Copyright © 2022, Oracle and/or its affiliates | Confidential: Internal/Restricted/Highly Restricted 11
  • 12. What are Air Carriers? • Typically used for time sensitive shipments • Most expensive mode of transport • Multiple service offerings – same day, next day, 2-day, etc. • Freight rates based on weight or volume 1/15/2023 Copyright © 2022, Oracle and/or its affiliates | Confidential: Internal/Restricted/Highly Restricted 12
  • 13. What are Ocean / Marine Carriers? • Carriers that own and operate ocean vessels • Type of vessels – Container, Bulk, Barge • Most shippers send containerized freight • Common containers are 20’ and 40’ 1/15/2023 Copyright © 2022, Oracle and/or its affiliates | Confidential: Internal/Restricted/Highly Restricted 13
  • 14. Commercial Ocean Shipping Density 1/15/2023 Copyright © 2022, Oracle and/or its affiliates | Confidential: Internal/Restricted/Highly Restricted 14
  • 15. What are Rail Carriers? • Rates are based on commodity transported • Common method of transport for bulk materials • Rates per hundred weight are lower than trucking • Provide TOFC / COFC (Trailer on Flat Car, Container on Flat Car) service 1/15/2023 Copyright © 2022, Oracle and/or its affiliates | Confidential: Internal/Restricted/Highly Restricted 15
  • 16. What are Freight Forwarders? • Consolidate freight into larger shipments and tender to carriers for transport • Rates are very competitive since they pay for carrier capacity whether it is used or not • Pick-up and delivery arrangements • Door-to-door service 1/15/2023 Copyright © 2022, Oracle and/or its affiliates | Confidential: Internal/Restricted/Highly Restricted 16
  • 17. Who are the carriers? Parcel / Air LTL ( Less-than- Truckload ) TL ( Truckload ) Ocean / Marine Rail 1/15/2023 Copyright © 2022, Oracle and/or its affiliates | Confidential: Internal/Restricted/Highly Restricted 17
  • 18. Full Truckload (FTL) 1/15/2023 Copyright © 2022, Oracle and/or its affiliates | Confidential: Internal/Restricted/Highly Restricted 18
  • 19. Two Main Types of Trucking Modes Flat rate or per mile “Truckload” carriers Cost based on origin, destination Flat rate - Same cost regardless of size of load in trailer Per Mile – Cost per mile based on Country, State, City, Zip or combo Least expensive mode Pay by the pound “Less than truckload” and parcel carriers Cost based on how much you ship Maximum weight limit before considered TL 1/15/2023 Copyright © 2022, Oracle and/or its affiliates | Confidential: Internal/Restricted/Highly Restricted 19
  • 20. Truckload (FTL) vs. Less Than Truckload (LTL) Best deal is to go by truckload and fill it up If you can’t fill it up, going by LTL may be locally better The goal is to find ways to fill up those TLs! multi-stop truckloads pooling/cross-docking 1/15/2023 Copyright © 2022, Oracle and/or its affiliates | Confidential: Internal/Restricted/Highly Restricted 20
  • 21. Pooling Reduce costs by – Combining multiple LTLs to TL – Breaking TLs into multiple LTLs for local delivery – Combinations • multi-tier • cross-dock LTL TL TL TL TL LTL TL LTL LTL 1/15/2023 Copyright © 2022, Oracle and/or its affiliates | Confidential: Internal/Restricted/Highly Restricted 21
  • 22. Multi-Stop Truckloads Local LTL deliveries TL Line Haul Pickup at plant Pickup at DC Pickup at supplier Delivery to plant Delivery to customer Drop-off at deconsolidation hub 1/15/2023 Copyright © 2022, Oracle and/or its affiliates | Confidential: Internal/Restricted/Highly Restricted 22
  • 23. Truckload Carriers Shipper decides the trailer’s route, schedule • Temporarily “manages” the asset • It goes where you want, when you want Cost based on how well the asset is managed • High utilization = low cost • Low circuity = low cost • minimize deviation from direct route 1/15/2023 Copyright © 2022, Oracle and/or its affiliates | Confidential: Internal/Restricted/Highly Restricted 23
  • 24. Truckload Rating • Flat rates based on origin/destination • Rates per unit of distance • Additional charges •Stop charges •Unloading/loading charges •Origin/destination surcharges •Fuel surcharges •Many others 1/15/2023 Copyright © 2022, Oracle and/or its affiliates | Confidential: Internal/Restricted/Highly Restricted 24
  • 25. Truckload Rating - Implications If you want to use a truckload carrier, the best deal is to fill it up as much as possible If you have to make multiple stops to fill the truckload, there is an associated cost Additional stops Additional distance Additional time At some point, it’s no longer worth going to great lengths to maximize utilization 1/15/2023 Copyright © 2022, Oracle and/or its affiliates | Confidential: Internal/Restricted/Highly Restricted 25
  • 26. Typical Truckload Carrier Equipment 53’ x 102” trailers Dry van • the “workhorse” Refrigerated • considered a specialty vehicle Flatbed • also considered a specialty vehicle 1/15/2023 Copyright © 2022, Oracle and/or its affiliates | Confidential: Internal/Restricted/Highly Restricted 26
  • 27. Pallets – Loading Units for Trucks pallet jack
  • 28. Other Special Trailer Features (Rear) Liftgate • For locations with no loading dock Crane • To lift heavy items on/off Roll(ing) floor • For easy loading without forklifts or pallet jacks Air suspension (“Air Ride”) • For smoothest ride • Minimize damage to load • As opposed to spring suspension 1/15/2023 Copyright © 2022, Oracle and/or its affiliates | Confidential: Internal/Restricted/Highly Restricted 29
  • 29. Less-than-Truckload 1/15/2023 Copyright © 2022, Oracle and/or its affiliates | Confidential: Internal/Restricted/Highly Restricted 30
  • 30. Less-Than-Truckload Carriers Method of choice for shipments of 100s/1000s lbs. • For larger shipments, full truckload more cost-effective • Minimum charges make smaller shipments expensive Smaller equipment for local pickup and delivery • Straight trucks • Single 28’ or 32' trailers Larger equipment for line-haul • 53’ x 102” • Twins/triples 1/15/2023 Copyright © 2022, Oracle and/or its affiliates | Confidential: Internal/Restricted/Highly Restricted 31
  • 31. LTL Rating Based largely on unit of weight • weight breaks • deficit rating / “phantom freight” • fills in holes between breaks • rates per unit vary by origin/destination • rates per unit vary by freight class (density group) Deficit gaps shipment price shipment weight 1/15/2023 Copyright © 2022, Oracle and/or its affiliates | Confidential: Internal/Restricted/Highly Restricted 32
  • 32. Parcel Carrier 1/15/2023 Copyright © 2022, Oracle and/or its affiliates | Confidential: Internal/Restricted/Highly Restricted 33
  • 33. Parcel Carriers • Also called “Small Package”, “Air Express” • Examples: UPS, FedEx, DHL, TNT • Operate like LTL carriers but handling methods optimized for smaller pieces • Offer multiple service levels (transit times) • Air links for faster service levels • Excess space used for slower services, too 1/15/2023 Copyright © 2022, Oracle and/or its affiliates | Confidential: Internal/Restricted/Highly Restricted 34
  • 34. Parcel Rating Pay for each package separately Rate for a package based on weight/dims origin/destination service level (overnight, 2nd day, 3rd day, etc.) For groups of packages over 150 lbs., “hundredweight” (cwt) service cost per 100 lbs. number of packages doesn’t matter 1/15/2023 Copyright © 2022, Oracle and/or its affiliates | Confidential: Internal/Restricted/Highly Restricted 35
  • 35. Freight Rating 1/15/2023 Copyright © 2022, Oracle and/or its affiliates | Confidential: Internal/Restricted/Highly Restricted 36
  • 36. What is Freight Rating? • The process of assigning carrier rates to a delivery • Based on distance, weight, volume, commodity shipped or freight class • Calculation methods can vary depending on carrier and mode of transport • Additional fees or accessorial charges • Most carriers provide discounts to shippers 1/15/2023 Copyright © 2022, Oracle and/or its affiliates | Confidential: Internal/Restricted/Highly Restricted 37
  • 37. Why is Freight Rating important? • Ability to apply carrier rates to a delivery • Select carrier service offerings based on freight rates • Provides higher level of accuracy when estimating freight costs • Apply carrier discounts and charges to a delivery 1/15/2023 Copyright © 2022, Oracle and/or its affiliates | Confidential: Internal/Restricted/Highly Restricted 38
  • 38. Freight Rating Concepts Distance Distance between origin to destination – zone based, mileage Weight Weight of a shipment or individual containers in a shipment Volume Dimensions of a shipment or individual containers Service Type Carrier service level – next day, 2day, ground, etc. Container Rates are applied based on size of container transported Commodity / Freight Class Rating is based on commodity shipped or freight class 1/15/2023 Copyright © 2022, Oracle and/or its affiliates | Confidential: Internal/Restricted/Highly Restricted 39
  • 39. Freight Rating by Mode Parcel / Air LTL Less than Truckload TL Truckload Ocean / Marine Distance Zip Code Based Zones Origin /Destination Zip Code Mileage Ocean Lanes Port to Port Service Type Service Type Service Type Weight / Volume Weight Weight Weight / Volume Commodity / Freight Class Freight Class Commodity Container Container Container 1/15/2023 Copyright © 2022, Oracle and/or its affiliates | Confidential: Internal/Restricted/Highly Restricted 40
  • 40. Carrier Tracking 1/15/2023 Copyright © 2022, Oracle and/or its affiliates | Confidential: Internal/Restricted/Highly Restricted 41
  • 41. What is Carrier Tracking? • Continuous feedback at regular intervals on the status of a shipment • Most carriers provide the ability to track • Tracking status is updated at defined carrier in-transit events • Tracking numbers are assigned when processing deliveries • Tracking by reference number 1/15/2023 Copyright © 2022, Oracle and/or its affiliates | Confidential: Internal/Restricted/Highly Restricted 42
  • 42. Why is tracking important? Receive information on delivery status Respond to in- transit delays or lost shipments Measure carrier on-time delivery performance Communicate tracking details to end customer Verify guaranteed services and process claims 1/15/2023 Copyright © 2022, Oracle and/or its affiliates | Confidential: Internal/Restricted/Highly Restricted 43
  • 43. Carrier Selection 1/15/2023 Copyright © 2022, Oracle and/or its affiliates | Confidential: Internal/Restricted/Highly Restricted 44
  • 44. What is Carrier Selection? • Automatic selection of carrier and ship method based on user defined rules… also known in industry as a routing guide • Based on delivery weight, volume or ship to / ship from geographic location • Defined by shipper or customer requirements • Established at customer site, customer, shipper org, or enterprise levels 1/15/2023 Copyright © 2022, Oracle and/or its affiliates | Confidential: Internal/Restricted/Highly Restricted 45
  • 45. Why is Carrier Selection Important? Automates manual carrier selection processes via routing guides Comply with customer / consignee routing instructions Eliminate penalties for incorrect carrier assignments Automatically select carrier based on delivery characteristics 46 Copyright © 2022, Oracle and/or its affiliates | Confidential: Internal/Restricted/Highly Restricted 1/15/2023
  • 46. State Overnight 2 Day 3 - 5 Day 1 -70 71 - 1500 1501 -10000 1 -70 71 -1500 1501 - 10000 1 -70 71 -1500 1501 - 10000 AK FedEx UPS Call Traffic UPS UPS Call Traffic UPS UPS Call Traffic AL UPS UPS Geologistics UPS UPS Con Way UPS UPS Con Way AR UPS CF Motor Freight Emery UPS UPS Pilot UPS UPS Con Way Little Rock & 50 mile radius FedEx CF Motor Freight Geologistics UPS Pilot Old Dominion Freight Lines FedEx Pilot Call Traffic AZ UPS FedEx Emery UPS UPS Geologistics UPS UPS Con Way CA UPS FedEx Emery UPS UPS Geologistics UPS UPS Old Dominion Freight Lines LA Metropolitan Zone UPS UPS Emery UPS UPS Geologistics UPS UPS Old Dominion Freight Lines Delivery Destination Assigned Carrier Delivery Weight Breaks Sample Routing Guide 1/15/2023 Copyright © 2022, Oracle and/or its affiliates | Confidential: Internal/Restricted/Highly Restricted 47
  • 47. Optimization (“Modern TMS”) • Algorithms that select the least cost shipment, mode and carrier plans across the group of orders • Algorithms consider strategies for pooling, cross docking etc • Adheres to minimal set of real constraints: DOT Regulations Location Open/Close times Product characteristics Etc 1/15/2023 Copyright © 2022, Oracle and/or its affiliates | Confidential: Internal/Restricted/Highly Restricted 48
  • 48. Hardware and Software Engineered to Work Together 1/15/2023 Copyright © 2022, Oracle and/or its affiliates | Confidential: Internal/Restricted/Highly Restricted 49