Shippers Guide to Freight Brokerage Services
What does a Transportation Brokerage do?
A freight brokerage acts as the intermediary between shipper (load demand) and carriers (truck supply).
Shippers have cargo to move and the trucking company has the load capacity to do it. Using technology such as a transportation management system enables transportation brokers to access a network of regional, national and international trucking companies, LTL carriers, freight forwarders and power only truck capacity.
Technology provides benefits to shippers such as:
- Tracking
- Data Analytics
- Rating engines
- Scenario planning
- Contract Management
- Freight Invoice Audit
- Load Boards
- Proof of Delivery Archiving
- Freight Claims Management
This technology provides convenience for shippers, because even if they purchase an off-the-shelf system they still need the expertise to execute the processes. Purchasing just the software would be like buying a Ferrari with no engine, yes its flashy but the engine is what enables rubber to turn road. The freight brokerage services are the engine to the TMS shell. Any shipment routed through a freight brokerage is managed by that broker from the load being booked, picked up to delivery and Proof of Delivery Archiving.
Primary Duties of a Freight Broker
The core duties a broker is responsible for are:

Vetting Reliable Carriers:
There are many carriers available to haul each load, particularly when the load to truck ratio is as low as it presently is:
Chart provided by DAT.
Before the load gets picked up from the dock, there are many processes in place to ensure regulation and vetting requirements are met so your precious cargo is delivered on a reliable trust-worthy piece of equipment with a dependable driver. This carrier vetting entails:
- Do they have their operating authority?
- Have they been in business for at least 1 year?
- Have there been any TIA watchdog alerts?
- Do they have a track record of reliability?
- Have we used them on any other lanes?
- Can we marry up other shippers’ freight to create a round trip?
- What are their areas of expertise?
- Do they have the proper equipment type? (Flatbed, Refrigerated, Dry Van)
In this relationship-oriented business, a good freight brokerage understands the essential need to partner with high-quality carriers. Trust, Loyalty, and Integrity are the values TLI lives by, and the carriers are an extension of us and must share these principles.
Selecting a vendor like TLI that adequately vet carriers is essential, so the officers of your company are not found negligent in the event of an accident or disaster.
Manage the Logistics Routing of each Shipment:
At TLI we live by the motto, ‘logistics made easy’ and this entails providing all the resources necessary to shippers to delegate sourcing functions an adequate logistics solutions provider.
Planning the shipment’s journey begins way before the pickup takes place. Delivery appointments need to be made, in-transit updates need to be provided, claims need to be filed, rescue options need to be found if a recovery becomes necessary. Data & Analytics need to be provided to drive data-driven decision making so shippers can manage cost and optimize supply chain procedures.
On every load, making the process easy will enable the shipper to have clarity in every solution on each unique load.
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