In the 1950s, an organization called the National Motor Freight Traffic Association (NMFTA) was created to promote and look after the interests of motor freight carriers. In an effort to standardize pricing for carrying different commodities for less-than-truckload (LTL) freight carriers, they created a system called National Motor Freight Classification (NMFC). In this system, codes are assigned to specific commodities based on four main characteristics: density, stowability, handling, and liability, which then determine the amount a carrier will charge to ship each of these commodities.
Decades later, NMFC codes are still widely used throughout the LTL industry, but that may be changing. And that’s why a high-tech tape measure might be able to save your business money on your shipping costs, as well as help you to avoid unexpected charges and fees.
Some carriers are beginning to move towards a simplified means of determining the cost of shipping LTL freight. Rather than relying on a byzantine list of almost every possible commodity, they plan to charge essentially for the amount of space your freight takes up in their truck relative to its weight.
Carriers using this system multiply the length, width, and height of a shipment, then divide by what is often referred to as a DIM factor to arrive at a dimensional weight, which individual carriers determine for their own pricing structure. They then use either this dimensional weight or the actual weight of the package, whichever is greater, to calculate the cost of the shipment.
This system rewards shippers who package their freight more efficiently by tying the cost of shipments directly to the density of the goods being shipped. However, the only way shippers can get accurate quotes from their carriers using dimensional pricing is by providing precise measurements and weights for their cargo.
New developments in tape measure technology allow shippers to effectively eliminate human error by directly uploading each measurement taken, along with photos of the freight and its weight, minimizing the risk that an incorrect measurement is recorded on a bill of lading.
There are two potentially serious consequences of inaccurate measurements and weights to your LTL carrier. First, you won’t receive an accurate quote, compromising your budget and potentially resulting in actual shipping costs that far exceed your quoted costs. Second, you may be charged extra fees because the carrier has to take new measurements and reweigh your freight.
Investing in the latest in freight measurement technology can save you time and money, as well as keep your projects on budget. To learn more, contact the LTL experts at Koho today.
In the 1950s, an organization called the National Motor Freight Traffic Association (NMFTA) was created to promote and look after the interests of motor freight carriers. In an effort to standardize pricing for carrying different commodities for less-than-truckload (LTL) freight carriers, they created a system called National Motor Freight Classification (NMFC). In this system, codes are assigned to specific commodities based on four main characteristics: density, stowability, handling, and liability, which then determine the amount a carrier will charge to ship each of these commodities.
Decades later, NMFC codes are still widely used throughout the LTL industry, but that may be changing. And that’s why a high-tech tape measure might be able to save your business money on your shipping costs, as well as help you to avoid unexpected charges and fees.
Some carriers are beginning to move towards a simplified means of determining the cost of shipping LTL freight. Rather than relying on a byzantine list of almost every possible commodity, they plan to charge essentially for the amount of space your freight takes up in their truck relative to its weight.
Carriers using this system multiply the length, width, and height of a shipment, then divide by what is often referred to as a DIM factor to arrive at a dimensional weight, which individual carriers determine for their own pricing structure. They then use either this dimensional weight or the actual weight of the package, whichever is greater, to calculate the cost of the shipment.
This system rewards shippers who package their freight more efficiently by tying the cost of shipments directly to the density of the goods being shipped. However, the only way shippers can get accurate quotes from their carriers using dimensional pricing is by providing precise measurements and weights for their cargo.
New developments in tape measure technology allow shippers to effectively eliminate human error by directly uploading each measurement taken, along with photos of the freight and its weight, minimizing the risk that an incorrect measurement is recorded on a bill of lading.
There are two potentially serious consequences of inaccurate measurements and weights to your LTL carrier. First, you won’t receive an accurate quote, compromising your budget and potentially resulting in actual shipping costs that far exceed your quoted costs. Second, you may be charged extra fees because the carrier has to take new measurements and reweigh your freight.
Investing in the latest in freight measurement technology can save you time and money, as well as keep your projects on budget. To learn more, contact the LTL experts at Koho today.
