Supply Chain Discussion: The Growing Importance of Carrier Contract Negotiations
Carrier contract negotiations are more important now than ever before. Rob Glover, vice president of sales with OSM Worldwide, explains why in this interview.
He points out many things that Nucleus knows all too well. The importance of data. The fact that no single carrier is the best at handling all parts of a customer's supply chain. At Nucleus we use a range of carriers across the networks of all of our clients. As a 4PL, we are not tied into the use of any specific fleet of vehicles or carrier. We can run our client's or potential client's freight data through our own "black box" of rates and routes and carriers to identify the best freight mix of carriers for any specific client. The carriers can focus on moving the types of freight they're good at. Which we know from experience already. Our clients can leverage our network and service. And our network gets better and more efficient given that our 4PL network allows for essentially limitless capacity. Also our clients need not worry with constant contract negotiations with carriers. They can have a single contract with us, and we have contracts with multiple carriers. Closely managed and renegotiated or ended depending on the needs of our customers.