Why Some Motor Carriers, Despite Meeting All Criteria, Get Ghosted By Top-Tier Brokers

Nov 25, 2023Supply Chain Chronicles

Summary

The article explores the perplexing scenario faced by motor carriers who, despite putting together comprehensive proposals, find themselves ignored or rejected by top-tier brokers or shippers. It emphasizes the critical role of a carrier’s safety rating and reputation, highlighting the increasing caution among blue-ribbon brokers and shippers, who prioritize safety and responsibility in an industry facing legal challenges and escalating verdicts.

Ghosted on Your Dream RFP Submission and can’t figure out why?

Suppose you’re a carrier that’s been in business for a while and has yet to attract a blue-ribbon broker or shipper that pays the best rates and has the better freight lanes. You’ve tried everything to break into that level of dream customer but to no avail. Then one day you receive a Request for Proposal (RFP) from that dream customer. You’re determined to make this the best proposal you’ve ever put together and you go down the required checklist.

  1. Reviewed and understood the shipper’s requirements.
  2. Rates are in line with the market.
  3. Provided examples of your value.
  4. Furnished required insurance information.
  5. Submitted references.
  6. You have the drivers and equipment to handle the loads.
  7. Created a professional and well thought through presentation.

When Silence isn’t Golden

Now you wait and wait and wait. Crickets. You should have heard something by now, so you ask for an update, still crickets or you receive an email stating that you did not meet the shipper’s standards. What could have happened? You were the obvious choice.

Reputation

Brokers and shippers, especially the blue-ribbon ones, are very cautious these days about who they use as carriers. First, a carrier with a subpar safety rating can tarnish the reputation of a broker or shipper in the event of a crash. Tort law can also subject a broker or shipper to legal proceedings that may result in financial harm. Let’s look at what might be one reason you are being passed over. What did your safety rating look like? Do you have a reputation for being a safe and responsible carrier or one that “gets the job done at any cost”. As a carrier, your reputation for being a safe and responsible company is important to your growth and should be taken very seriously.

Making a Case for Protecting Your Business

The logistics world that we operate in is highly volatile with outrageous nuclear verdicts and settlements. Everywhere you look you see TV ads and highway billboards advertising plaintiff’s lawyers wanting to take or make a case involving a truck accident. You read articles, listen to podcasts, and receive emails constantly about how these cases can ruin your business. However, you ignore this information at your own risk. The danger of losing everything you have worked hard to build is very real. Brokers and shippers are becoming more and more discriminating about who they hire. Those carriers who have built a real Safety Culture get to have the best equipment, the most qualified and dependable employees, and most importantly a reputation that gets the attention of blue-ribbon clients.

If your RFP responses are met with silence, evaluate potential weaknesses such as a subpar safety culture or inadequate managerial accountability. Enhance overall business effectiveness proactively, starting with a focus on safety, in alignment with OSHA’s emphasis that ‘Safety is Good Business.

Author: Mark Crocker CSP. Founder, C&G Safety Associates LLC.

Commerce Law Partners provides tailored legal solutions for the unique needs of trucking and motor carrier businesses. Schedule a call today

 About C&G Safety Associates: Member of the Commerce Law Partners’ Consulting Team.

As the President and Chief Executive Officer of C&G Safety Associates, Mark Crocker has over 30 years expertise in operations management, safety, and training across diverse sectors. He is an industry leader dedicated to enhancing safety programs, fostering cooperation, and navigating OSHA and Federal DOT regulations seamlessly.

https://www.linkedin.com/in/mark-crocker-csp-ab62b573/

About the Commerce Law Partners Consulting Team

Commerce Law Partners has assembled a top-tier consulting team of skilled attorneys, legal researchers, jury consultants, DOT safety management and compliance experts, regulatory advisors, Supply Chain and Logistics Experts, educational and training professionals, and proficient Risk Management consultants. Our collaborative approach ensures a comprehensive and best-in-class strategy for your legal needs in the complex landscape of trucking and logistics. Trust us to navigate the intricacies of federal litigation, providing expert guidance and tailored solutions to safeguard your interests. Read the Commerce Law Partners’ story.

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