Posts Tagged “DAT Solutions”
DAT Solutions, a North American online freight marketplace entered an agreement to acquire Freight Market Intelligence Consortium (FMIC) from Chainalytics Inc.
“FMIC is a subscription-based benchmarking and analysis service that leverages almost $50 billion in actual freight transactions from almost 200 companies across manufacturing, retail, wholesale and third-party logistics,” according to a news release.
DAT has $118 billion worth of global shipment data across multiple transportation modes and real-time spot-market transaction pricing. Combining this with FMIC’s intelligence and rate modeling expertise, the company will be able to develop new products, services and insights.
“More than a thousand shippers, brokers and carriers from across the globe directly contributing rates uniquely positions DAT to deliver the only near real-time view into freight pricing and global supply chain in North America. This gives our customers unrivaled logistics insight and a stunning 360-degree view of the entire supply chain” Claude Pumilia, DAT president and CEO, said in the release.
Benefits of the acquisition include a source for global freight intelligence, transportation and market intelligence solutions, access to global market analytics, a team of market experts and model-based benchmarking techniques for transportation markets.
“The combination of FMIC’s contract rate benchmarking and analytics with DAT’s spot-market data and freight matching will provide unparalleled capabilities for analytics and forecasting on the global freight and supply chain markets,” Gary Girotti, Chainalytics executive vice president of supply chain intelligence and technology products.
Changes in federal hours of service regulations, along with stricter rules by the California Air Resources Board (CARB) are two primary reason refrigerated produce loads have increased this year by as much as 10 percent, according to DAT Solutions, a load board network based in Beaverton, OR.
Over 99 million transactions annually and bases rate estimates on $24 billion of freight bills, according the DAT website, and bases rate estimates on $24 billion of freight bills.
The hours-of-service changes require drivers to stop for rest breaks more often, meaning it takes longer to reach destinations such as distribution centers, many of which were located years ago based on drive times allowed under the old regulations.
Some (truckers) have gone to a relay system where the first one drives so far, then another driver picks up the trailer and takes it on. The downside, particularly with temperature-sensitive loads like produce, is that you don’t have the continuity of one driver taking care of the load for the whole trip,” Montague said.
Higher rates also are attributed to the tightening rates emissions regulations by CARB, which apply not only to trucks picking up and delivering produce in the state, but those merely driving through California.
Montague said as of early June, many of the highest rates in the nation were for trucks going into California. The DAT data for the week ending May 31 showed per mile rates of $2.44 in California for reefers. “At least 90% of the fleets that haul fresh produce have 10 trucks or less,” Montague said, adding that many produce haulers are individual owner-operators with only one truck. “The changes in regulations really make it hard for the smaller operators because of the costs for upgrades. The overall message is a lot of smaller truckers are having trouble.”