XPO | Sub Service

At my barn, the only freight not run on purchase is the next day lanes. Some next day lanes have purchase pulls as well and our line drivers only pull the left overs and haz-mat. There are usually 20-30 OTR tractors in our yard waiting for pulls every night. It has been like that for almost 2 years now.
 
It's all about service!!! no doubt they(sub-sevice) can get freight faster between the coast's then our standard delivery lanes. Remeber it's not about us! it's about the customer and share holders!!! and if you did not know were averaging 62 to 63k bill's daily on average. :clap:
That's better then some of our competitors :banana:
 
[quote author=Localdriver link=topic=78735.msg816910#msg816910 date=1269699800]
It's all about service!!! no doubt they(sub-sevice) can get freight faster between the coast's then our standard delivery lanes. Remeber it's not about us! it's about the customer and share holders!!! and if you did not know were averaging 62 to 63k bill's daily on averag :clap:
that's better then some of our competitors :banana:
[/quote]

I have to agree with you. Con-way truckload teams can move freight faster and farther for less than we can doing meet and turns. The other carriers suck a@# at moving freight though and seem to be late more than they are on time. Of course there are always exceptions but most SUCK!!!!. I think if your company cannot show up on time they should not get any more pulls. Besides, paying Truckload to pull our loads keeps the money in our own tent.
 
I would rather that money be in the pockets of OUR employees!!! But yes, SUB(below) service is becoming more popular. I thought when the big boys redid the lanes back in Jan., it was supposed to reduce the need for sub survice. But, I guess they figured wrong. Now if we got back what we lost and got a pay raise, I might...MIGHT.. feel differently about the sub service, but with all this money we are saving, we, the drivers who are working longer hours, don't deserve a piece of that pie. Only the fat cats at CGO do right? Do you feel i am slighly ticked off about? Do you feel the same way? We lost alot of good people, that we will never get back!!!



[quote author=radman link=topic=78735.msg816912#msg816912 date=1269700634]
[quote author=Localdriver link=topic=78735.msg816910#msg816910 date=1269699800]
It's all about service!!! no doubt they(sub-sevice) can get freight faster between the coast's then our standard delivery lanes. Remeber it's not about us! it's about the customer and share holders!!! and if you did not know were averaging 62 to 63k bill's daily on averag :clap:
that's better then some of our competitors :banana:
[/quote]

I have to agree with you. Con-way truckload teams can move freight faster and farther for less than we can doing meet and turns. The other carriers suck a@# at moving freight though and seem to be late more than they are on time. Of course there are always exceptions but most SUCK!!!!. I think if your company cannot show up on time they should not get any more pulls. Besides, paying Truckload to pull our loads keeps the money in our own tent.
[/quote]
 
The use of sub-service was started to transfer frieght between the different regions(CCX,CWX,CSE). Then it was to move between some of the 2 day lanes. Now I see alot of next day runs, some as little as 200 miles. It doesn't really matter anymore. They'll keep cutting linehaul runs. Good thing we have that 2 hour backup to wait for all thos late sub-service.
 
[quote author=ssadab link=topic=78735.msg816963#msg816963 date=1269712896]
The use of sub-service was started to transfer frieght between the different regions(CCX,CWX,CSE). Then it was to move between some of the 2 day lanes. Now I see alot of next day runs, some as little as 200 miles. It doesn't really matter anymore. They'll keep cutting linehaul runs. Good thing we have that 2 hour backup to wait for all thos late sub-service.
[/quote]

They run em here less than 100 miles.. I get why they do it on the short ones like that - probably about 3-1 inbound, but I don't get the 2 day stuff sometimes. Watch how many mt's we'll be running Monday/Tuesday on day and night line-haul to get the balance back from sub-service Friday.
 
[quote author=dodge ram link=topic=78735.msg816887#msg816887 date=1269695621]
Is it me or is there alot more :badword: sub-service vans being loaded with our 2 or 3 day lanes?
[/quote]

you will see less of our truckload trailers and more sub-service companies in the near future. All of our companies are in the business to make money including Truckload. Quality freight is increasing for them and we (Freight) can contract other OTR companies cheaper. So while the amount of sub-service will continue it will trend away from our truckload division.

Additionally, you are seeing for sub-service because we are busier. Tonnage is way ahead of the forecast of March and just gotta wonder what these last days of the month will produce. Wednesday night reship will probably not be pretty.
 
[quote author=Merdock link=topic=78735.msg817002#msg817002 date=1269723676]
[quote author=dodge ram link=topic=78735.msg816887#msg816887 date=1269695621]
Is it me or is there alot more :badword: sub-service vans being loaded with our 2 or 3 day lanes?
[/quote]

you will see less of our truckload trailers and more sub-service companies in the near future. All of our companies are in the business to make money including Truckload. Quality freight is increasing for them and we (Freight) can contract other OTR companies cheaper. So while the amount of sub-service will continue it will trend away from our truckload division.

Additionally, you are seeing for sub-service because we are busier. Tonnage is way ahead of the forecast of March and just gotta wonder what these last days of the month will produce. Wednesday night reship will probably not be pretty.
[/quote]

What about the unreal amount of mt's we'll be running over the next few days to re-allign everything after all the sub-service? Are we really saving money? Last year I remember my terminal running home on over 20 mt's on a heavy sub-service night only to run over 20 mt's out a few night later to get the balance back. One FAC out here closed at 9:30 AM this morning after it was determined additional vans were needed - needed for what?
 
[quote author=jakebrake12 link=topic=78735.msg817004#msg817004 date=1269724575]
[quote author=Merdock link=topic=78735.msg817002#msg817002 date=1269723676]
[quote author=dodge ram link=topic=78735.msg816887#msg816887 date=1269695621]
Is it me or is there alot more :badword: sub-service vans being loaded with our 2 or 3 day lanes?
[/quote]

you will see less of our truckload trailers and more sub-service companies in the near future. All of our companies are in the business to make money including Truckload. Quality freight is increasing for them and we (Freight) can contract other OTR companies cheaper. So while the amount of sub-service will continue it will trend away from our truckload division.

Additionally, you are seeing for sub-service because we are busier. Tonnage is way ahead of the forecast of March and just gotta wonder what these last days of the month will produce. Wednesday night reship will probably not be pretty.
[/quote]

What about the unreal amount of mt's we'll be running over the next few days to re-allign everything after all the sub-service? Are we really saving money? Last year I remember my terminal running home on over 20 mt's on a heavy sub-service night only to run over 20 mt's out a few night later to get the balance back. One FAC out here closed at 9:30 AM this morning after it was determined additional vans were needed - needed for what?
[/quote]

maybe I just don't get it but I don't see where loading the sub-service vans off reship causes the realignment issue. I mean if you run into the FAC on two aren't you still going home on two? In the last 12 weeks or so I know weather issues have caused many adjustments including triples dropping their third box and Sunday meet and turns. But it seems more of freight level spikes causing a realignment of equipment to the busier terminals. As I have said before this company and this industry is nothing like it was as little as 5 years ago. We are all going to have to grow with it (change) or stay home.
 
Sub Service

[quote author=Merdock link=topic=78735.msg817002#msg817002 date=1269723676]
[quote author=dodge ram link=topic=78735.msg816887#msg816887 date=1269695621]
Is it me or is there alot more :badword: sub-service vans being loaded with our 2 or 3 day lanes?
[/quote]

you will see less of our truckload trailers and more sub-service companies in the near future. All of our companies are in the business to make money including Truckload. Quality freight is increasing for them and we (Freight) can contract other OTR companies cheaper. So while the amount of sub-service will continue it will trend away from our truckload division.

Additionally, you are seeing for sub-service because we are busier. Tonnage is way ahead of the forecast of March and just gotta wonder what these last days of the month will produce. Wednesday night reship will probably not be pretty.
[/quote]

Dead on!....

Sub-service is here to stay.

And perhaps it should be...I am not too convinced we could handle the ESL lanes on our own equipment.

I don't think we have the manpower to cover it. We seem to be struggling to handle the next day lanes let alone the ESL freight. Let the sub-service carriers have it. I have enough to do as it is. We are driving our people into the ground. I doubt we are in a position to handle more given our current staffing levels.

Little or no forethought was given as to what would need to be done to handle the increases when the economy improved or market share shifted...the company was in such a hurry to terminate people and close facilities...they lost sight of the fact that one day things would change...and they have.

We are understaffed...everything cut to the bone. Those who have remained are tired. The requirements set forth are becoming more difficult to attain. Once you hit the target the bar is raised...nothing is ever good enough.

Con-Way Truckload is a profit center...hauling sub-service from one center to another is just a shift of money from one division to another...doesn't do much for the bottom line other than controlling cost. They have their own customers...and servicing them brings revenue into the company...

We need to improve efficiency...hopefully the scanner technology will get us closer once it is in place and fully utilized.

And hopefully, in the near future, the issues plaguing the this company and its employees will improve. I would like us to once again be viewed as assets rather than liabilities...contributing to the bottom line and common good of the company.

The confrontational attitude must go away if we are going to survive. If it continues unabated we will never be a major player. Just like the army that marches on its stomache...this company will succeed (or fail) on the morale of its people. Failure to recognize success make folks think they're unappreciated and their extra efforts are simply expected and taken for granted.

Please spare me the diatribe on how we have such a good pay/benefit package and there isn't a need for recognition. We are people...average human beings with needs common to most individuals. The company know this as evidenced by the QLA and President's awards and any other recognitions.

As good as these are...there needs to be more at the grassroots level. What about the non-dynamic, quiet and reserved person that has no chance of being nominated for any of these awards? We all know at least one...the person who does their job to the best of the ability and goes home. They don't stand out...they are not viewed as a mover or shaker...not the leadership type. However they are part of the team and share in its successes or failures.

Don't they deserve share in the recognition scheme as well?...

Lastly we need to be rid of the assinine punitive measures so freely handed out by our safety dept.

We handle big equipment and many times we must go places where this equipment doesn't fit very well. We do these things to service the customer...in the course of performing those services...things happen. We all do our best to prevent them...sometimes they happen anyway. It is the nature of the beast.

Every unfortunate event is viewed as an accident...whether it is or not.

Lose a mudflap...accident...run over something in a parking lot and puncture a tire...accident...slide off the road or get stuck in a customers dock and need a wrecker...you guessed it...accident.

This mentality is BS...these are incidents...not accidents. It does nothing to motivate the driver to go above and beyond the call when they have the constant pressure of being subjected to the "everything is an accident" mentality that is the prevailing mindset of this company.

Things happen...put your eyes in the wrong place at the wrong time...or simply don't recognize a potential misstep...and something goes awry. These are the daily hazards of our jobs.

When these things happen...under the current scheme of things...you will have an accident report in your file. If that weren't bad enough...now you must suffer through a call from your safety manager...listening to the canned speech of how to avoid this in future...this is from somebody who wasn't there and has no idea of what happened...most likely someone who can't operate a tractor/trailer let alone make a valid assessment on how to operate one. In other words...college degrees. Listening to this has to be unbearable...further degrading the mindset of the "guilty" party...as if they didn't feel bad enough already!

There is an appeal process...sometimes you win...sometimes you don't.

Accidents are accidents...incidents are incidents. We need to stop confusing the two...we are a trucking company and things do happen from time to time. Its time to stop taking the easy way out and lumping these events into the same "accident" basket....if for nothing more than for the sake of your people and their collective morale.

If the company doesn't want to do this...then perhaps it is time to turn out the lights and stay home.

These are things that need to be done if we are going to survive...surveys accomplish nothing...committees are political band-aids that perform little if any positive results.

If we don't change then we die...remember...Fred S. is just waiting for the demise of some LTL carrier...let it not be ours!....

As Merdock said...in another post "As I have said before this company and this industry is nothing like it was as little as 5 years ago. We are all going to have to grow with it (change) or stay home."

The company needs to change as well...not all things considered need to be laid at the feet of the employees...and as another poster so eloquently put it..."loyalty is a two way street."

So let sub-service be just that...we are not in a position to handle the additional responsibilities...at least not at this juncture.

Rat
 
[quote author=Merdock link=topic=78735.msg817053#msg817053 date=1269737809]
[quote author=jakebrake12 link=topic=78735.msg817004#msg817004 date=1269724575]
[quote author=Merdock link=topic=78735.msg817002#msg817002 date=1269723676]
[quote author=dodge ram link=topic=78735.msg816887#msg816887 date=1269695621]
Is it me or is there alot more :badword: sub-service vans being loaded with our 2 or 3 day lanes?
[/quote]

you will see less of our truckload trailers and more sub-service companies in the near future. All of our companies are in the business to make money including Truckload. Quality freight is increasing for them and we (Freight) can contract other OTR companies cheaper. So while the amount of sub-service will continue it will trend away from our truckload division.

Additionally, you are seeing for sub-service because we are busier. Tonnage is way ahead of the forecast of March and just gotta wonder what these last days of the month will produce. Wednesday night reship will probably not be pretty.
[/quote]

What about the unreal amount of mt's we'll be running over the next few days to re-allign everything after all the sub-service? Are we really saving money? Last year I remember my terminal running home on over 20 mt's on a heavy sub-service night only to run over 20 mt's out a few night later to get the balance back. One FAC out here closed at 9:30 AM this morning after it was determined additional vans were needed - needed for what?
[/quote]

maybe I just don't get it but I don't see where loading the sub-service vans off reship causes the realignment issue. I mean if you run into the FAC on two aren't you still going home on two? In the last 12 weeks or so I know weather issues have caused many adjustments including triples dropping their third box and Sunday meet and turns. But it seems more of freight level spikes causing a realignment of equipment to the busier terminals. As I have said before this company and this industry is nothing like it was as little as 5 years ago. We are all going to have to grow with it (change) or stay home.
[/quote]Hell, this trucking business is nothing like it was 1 year ago.
 
[quote author=Merdock link=topic=78735.msg817053#msg817053 date=1269737809]


maybe I just don't get it but I don't see where loading the sub-service vans off reship causes the realignment issue. I mean if you run into the FAC on two aren't you still going home on two?
[/quote]

Yeah still on two trailers - not talking about a trailer alignment issue, out here it's a freight alignment thing. We loaded a ton of sub-service outbound on what is normally an inbound lane. I can almost guarantee this is gonna be a replay of something that happened last year when we went sub-service crazy in New Jersey except inbound and outbound lanes are flipped. Since loads that would normally run with us are already on vans - say we normally send 20 drivers - we'll only send 12 Monday on 6 mt's and be 4 wagons over, we'll send 16 on Tuesday on 8 mt's and be 8 wagons over, Wednsday we'll send 20 on 8 mt's and be even, then by Thursday it will be back to 20 on 40 loads and we'll be even. That's gonna be a ton of mt miles to get the freight balance back.


This exact scenario happened in New Jersey last year. We had say 15 drivers on 30 loads heading out in an outbound lane. One night those 15 drivers pulled 18 or 20 mt's home after loading all the sub-service. The rest of the week we were sending more drivers and more mt's home till it was 15 out on 30 loads and 15 home on 30 loads.
 
[quote author=Localdriver link=topic=78735.msg816910#msg816910 date=1269699800]
It's all about service!!! no doubt they(sub-sevice) can get freight faster between the coast's then our standard delivery lanes. Remeber it's not about us! it's about the customer and share holders!!! and if you did not know were averaging 62 to 63k bill's daily on average. :clap:
That's better then some of our competitors :banana:
[/quote]

what are you smoking sub service not that good at my barn we got teams running and they get back at a decent time but the sub service don't get back form the same place as our teams TILL AFTER ONE in the after noon so how is that any good
 
From what I hear, Con-way truckload is on the outs and the all the others are on the ins when it comes to hauling purchase loads. Does not make sense to me, why pay some other company to haul our freight when we could pay our own sister company to do it and keep all the money going to Portland. I know alot of dedicated teams are upset "truckload" because there dedicated lane is gone.WTF???
 
[quote author=radman link=topic=78735.msg820701#msg820701 date=1270909841]
From what I hear, Con-way truckload is on the outs and the all the others are on the ins when it comes to hauling purchase loads. Does not make sense to me, why pay some other company to haul our freight when we could pay our own sister company to do it and keep all the money going to Portland. I know alot of dedicated teams are upset "truckload" because there dedicated lane is gone.WTF???
[/quote] Maybe the for hire trucking companys will do it cheaper. Remember thats why the shop won't do their own service calls.
 
[quote author=radman link=topic=78735.msg820701#msg820701 date=1270909841]
From what I hear, Con-way truckload is on the outs and the all the others are on the ins when it comes to hauling purchase loads. Does not make sense to me, why pay some other company to haul our freight when we could pay our own sister company to do it and keep all the money going to Portland. I know alot of dedicated teams are upset "truckload" because there dedicated lane is gone.WTF???
[/quote]

I guessing here...

But it seems to me that using 'truckload' for sub-service generates no 'outside' revenue.

CWTL would have to be paid to haul the loads as they would from any shipper...in this case we are the 'shipper'. We pay them to haul Con-Way freight. All we are doing on a company-wide scale is shifting monies from one entity to another...the only way to justify using CWTL for sub-service would be if their price was significantly lower than other TL carriers.

The key to any endeavor is to keep revenues up while trying to control costs. There may be some not so obvious costs in this.

Using our own TL carrier for sub-service puts miles and wear on equipment...wages and benefits must be paid. Using CWTL is not a bad idea if they are not servicing their own customers at the time...but if they are being used by us instead of servicing other customers who pay 'outside' revenue then the company is losing money.

Other TL companies are on the dole as well...they too must generate outside revenue to keep afloat. By hauling for us the are making money at some level (or at least should be.) I imagine the whole sub-service gig for TL companies is a fairly sweet deal...come in at the right price (which I am sure the competition for this is fierce!) and your in.

Just go to the FAC...go to bed either there or somewhere else...X hours later return...get your load and go. No waiting in line...no setting around in some truckstop waiting for a load...no babysitting the phone. I have seen the way these TL carriers are treated...and it has to be good from their standpoint...they are treated with dignity and respect...something they may not be used to on a regular basis.

Not using CWTL may be a smart decision...let them generate their own revenue...they have costs just as we do. They too must replace and maintain equipment...pay wages.benefits...and all the other costs associated in running a profitable enterprise. Not hauling for us lets them make monies that add to the bottom line of the company as a whole...rather than just moving money around on the corporate spreadsheet.

There you have it...my $0.02...(less 2.5%)...and NO!...it doesn't add to your VPP!!! :biggrin:

YMMV.

Rat
 
Very well put Rat. Let some other company pay for CWTL's wages & bennies and to replace their equipment. Now if we could just stop paying other companies all together and haul our own freight!
 
Top