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Freight Broker Software
Freight Broker Software
Freight broker software is derived from the larger field of
trucking software. Large trucking companies began developing
trucking software in the 1960's when mainframe computers became
more widely available and affordable. Large LTL carriers such as
Roadway Express and Red Ball were pioneers in the field. It is a
little known fact that the trucking industry created E.D.I.
(electronic data interchange) during this time frame. Early
trucking software was custom built and run on company mainframes
at the large carriers. As with so many other fields, trucking
software for small or medium sized companies did not begin to
materialize until after the introduction of the I.B.M. personal
computer in 1980. Trucking software can be as simple as software
used to calculate point to point mileage or complex enough to
manage virtually all functions of a trucking company or freight
brokerage.
Freight broker software addresses two basic functional groups;
dispatch operations and accounting. Much of the available
freight broker software is sold with these functions as modules
that can be purchased separately. Which modules are purchased is
usually driven by the size of the broker looking for the
software. Very small brokers can manage dispatch on paper.
Accounting functions at this level are well served by software
packages such as QuickBooks or Peachtree. Brokers that get to
20+ loads per month can usually begin to see the value of having
one or more of the freight broker software modules.
Freight broker software designed for the accounting functions is
the least likely of two to be offered as a stand alone product
since it depends upon the other for data. Payable functions can
be derived from dispatch operations data such as which carrier
went where. Invoicing and receivables are also derived from
dispatch operations data as in which customer sent what where.
Freight broker software designed to integrate with the over the
counter accounting packages such as QuickBooks can ease the
transition for many small brokers.
Freight broker software designed for dispatch operations is the
most likely of the functional
groups to be offered as a
stand-alone product. It is also arguably the most important of
the two functional groups. It is the most important because it
can have the greatest impact on customer service. Accounting
functions are internal; dispatch operations touch every customer
the broker has in one way or another. Freight brokers should
recognize that this type of software can make the difference
between success and failure. Dispatch operations is all about
getting the right drivers with the right equipment in place to
services the customers' needs and take advantage of
opportunities that arise. Managing those resources is important
but the best dispatch software also gives dispatchers and
managers tools to monitor work in progress and communicate
effectively with customers.
The internet has given rise to two interesting new developments
in the field of freight broker software; software as a service
and networking as a new functional group. Software as a service
is delivered via the internet by subscription and has the
following advantages:
No large upfront investment as in traditional buying of
software. No new hardware costs. Your existing network, internet
connection and browser such as Microsoft Internet Explorer are
all that are needed. Pay as you go. This type of software is
often available month to month without a contract. Maintenance
and upgrades handled at the web server with little or no bother
to the user.
Networking as a functional group is a new development made
possible by the internet. Dispatch software can now be extended
onto the customers' desktops. Brokers and shippers can
collaborate to give and get the data that they need to get the
job done. Customer service is greatly enhanced with true real
time communications and the customer as a larger part of the
process. TDNweb.com is an example of this new breed of dispatch
operations software.
About the author:
Van Wooten is the vision behind Transport Data Networks (TDN) an
innovative online application that is revolutionizing the
Freight Broker Software industry.
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