What happens to your level of service if the market tightens?
As the freight market bounces from a long bottom, those who enjoyed two years of a shipper-friendly market have now started preparing for the tides to turn. The two main questions on top of any supply chain manager’s mind are: 1) how much will the anticipated market tightening increase my costs, and 2) how will it impact my level of service?
The results of this paper are intended to be both descriptive and prescriptive. First, our model allows shippers to anticipate how the possible market tightening will affect their individual networks (even on the lane level) and plan their budgets accordingly. Second, it provides insights and recommendations for shippers to improve their tender acceptance rates and maintain better service levels