Freight broker software is a kind of transport management software which streamlines freight broker operations by entering loads, evaluating and sourcing carriers, dispatch drivers, billing clients, and paying carriers. A freight broker is an agent who acts as a middleman between the shipper and the carrier. The shipper pays the broker commission, which is based on the cost of the load, while the carrier, in turn, pays the broker a specified fee for providing the service. This service is usually provided for free by the carriers.
Freight broker software can also be used to integrate the data of carriers with the rest of the systems. It makes it easy for shippers and carriers to manage all the transactions in an integrated manner. This means that the carrier's earnings and expenses can be directly deducted from the shipper's account, which can then be used for payment to the shipper. Similarly, the data on the number of loads carried and trailers used can be accessed from the carriers' site for billing purposes.
Some shipper's list for freight brokers packages are web-based. This means that the shipper or the carrier can have access to their accounts from any Internet connection. With a hosted PBX system, the carriers can manag e calls and billings using a website interface. Web-based billing also allows the carriers to track their actual and past charges, as well as to check and monitor the performance of their billing softwares. Freight brokers can update billing information by accessing them directly from their Web sites. In addition, some of these systems allow billing information to be shared with other freight brokers, which makes it more convenient for shippers to acquire and pay their bills.
Although there are many advantages of using freight broker software, some of its shortcomings include a lack of flexibility in adding or removing carriers, customization options, and lack of integration with specific transportation carriers. This software package also does not include detailed maps or regional preferences, which means that the application may not be appropriate for large or mid-sized operations. Freight brokers will need to customize the functionality of their software according to their needs. For example, this may involve adding new carriers or updating the existing ones.
Freight brokers should also consider whether they need to integrate their freight broker software with an existing billing or dispatch system. Many delivery service providers do not offer integrated billing programs, because most are geared toward direct deposits or invoice online services. These providers typically provide their clients with a direct deposit routing number, which is necessary to track and account shipment loads.
The ability to track billing history and shipment details directly from the carrier's Web site, as opposed to having to manually enter information into a carrier's database, is another advantage of freight broker software. However, not all carriers allow the software to access their databases, so it may be necessary to configure the software's Web site directly using an Internet-connected computer or laptop. Some systems include modules that enable the shippers to track their own shipments and keep track of carrier details. A freight broker with integrated carrier management capabilities can significantly improve a shipper's efficiency and control, while reducing routing headaches and errors. Check out this related post to get more enlightened on the topic: https://en.wikipedia.org/wiki/Freight_transport.
