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Is the company a “Carrier’s
Agent” or a “Shipper’s Agent”?
This is important to know when selecting
a logistics company. The first responsibility of a
“carrier’s agent” is to fill their own trucks, or those
of their associates. On the other hand, the
responsibility - first and foremost - of a “shipper’s
agent” is to ensure YOUR COMPANY receives the lowest
transportation cost for the goods you ship. TSG Central
Division is a shipper’s agent.
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If they are a Shipper’s
Agent”, are they “non-asset” or “asset” based”?
An “asset” based” shipper’s agent owns a
trucking business. Their priority is to operate with
their own trucks above all others. A “non-asset” based
shipper’s agent has obligations to fulfill YOUR needs
only. YOU come first. Interestingly, you will find
many logistics firms are owned by larger transportation
and trucking companies. As a result, the conflict of
interest will erode the shipper’s ability to gain the
price advantage for transportation. TSG is a
privately held corporation and DOES NOT OWN a trucking
business.
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Are there advantages of using
a 3PL (Third Party Logistics) firm that does not own a
trucking company?
YES there are advantages, because:
- There are no transportation assets working as
obstacles and no dependencies on an individual
carrier that may hinder service.
- The company will negotiate contracts on YOUR
behalf. It’s YOUR tariff, and YOUR true costs that
matter – not theirs.
- There is complete freedom to operate in the
customer’s best interest. Whether it is to act as a
consulting service or offer value-added services,
the goal is to improve YOUR BOTTOM LINE, not the
trucking company’s.
Because TSG is a “non-asset” based 3PL, many
obstacles are removed. We are well positioned to manage
your transportation needs.
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Does the logistics company
collect fees or commissions from carriers?
There is no question that many logistics
companies do. However, as a “shipper’s agent”, TSG will NEVER accept fees or commissions from
carriers. That would certainly not be in your best
interest. Nor would it be healthy for our relationship,
which we intend to build and maintain for years to come.
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In case of a trucking strike,
will my freight remain unshipped?
If you are committed to a logistics
company that is tied to an individual carrier, this can
be a paralyzing situation. However, TSG has a
network of over 1000 carriers in North America to call
upon. The carriers include both union and non-union. In
the case of a strike, it’s not a problem. We simply ship
your freight with an alternate non-union carrier to meet
the challenge for you.
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Does the company “float”
payments while earning interest on your money?
There are logistics companies that will
“float” your payments in a money market sweep account
for a few days to earn interest on YOUR MONEY! Let us be
clear … that WILL NOT happen with TSG.
We demand that our carriers perform their services at a
high standard. We reciprocate by paying them
accordingly. There is no waiting, or “floating” of
payments. At TSG, we believe this mutual respect
is the foundation of partnering, whether it is with our
vendors or with you.
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Is the logistics company too
large? Or is it too small?
At one time or another, everyone has felt
the frustration of dealing with a company that is too
large to give you the service you deserve. Large
logistics companies rarely give adequate attention to
small and medium sized operations once the ”honeymoon”
is over.
Conversely, many small logistics firms may lack the full
range of service solutions or the expertise to apply
them. At TSG Central Division, our staff is comprised of a
combined 200 years of real industry experience. Through
professionalism and proven logistical systems we are
prepared to exceed your expectations regardless of your
company’s size or complexity of operation.
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