3PL Case Study
Double the volume.
Half the cost.
HubTran made it possible.
Today, NFI is a $3B+ transportation company that moves more than 190,000 shipments every year. Their growth was no accident. It took some serious growing pains and a fresh look at their back-office operations to get there.
When David Broering joined NFI in 2012, it was only a five-person brokerage. David knew that the only path to success was increasing the capacity of their back office. “We land deals that can drop an additional 25,000 annual shipments into FBA overnight. I didn’t want an army of hourly employees toiling away, manually scanning documents. We were looking to automate freight bill audit and payment without paying more than we were already.” says David.
HubTran integrated seamlessly with Aljex Software, NFI’s TMS. Since HubTran is a cloud-based platform with no upfront costs for installation or licensing, it was easy for Dave to give HubTran a try. “It was also a matter of seeing what was possible and how a system’s connections worked. If it didn’t work, we’d move on,” David explained. “But if it did, it would let us expand our operation.”
David cited a hypothetical example. “Let’s say carriers send NFI 10 invoices with eight pieces of paperwork per invoice—80 pages in all. We used to batch it into 10 piles of eight, one for each PRO number. We would open each load in our TMS, match information, and confirm it was right. Does the rate match? Is there a signature?” After that, FBA would scan eight pages for each transaction, then identify the shipper document that goes with the customer bill plus an internal document. “We don’t want to send our carrier invoice to our shipper partner—that discloses our margin.”
“With HubTran, those 80 pages are automatically indexed and grouped when they drop into our dashboard. Worst case, the carriers mail hard copies and we do a single batch scan. It takes three minutes to do the whole thing instead of three minutes per invoice. One-tenth of the time. This gives FBA the bandwidth to grow without adding bodies,” David said.
HubTran also makes it possible for NFI to pay carriers more quickly, make payment information available, and become a broker of choice. “In the old days, if we were backed up, it might take eight days to get to an invoice. That means an eight-day gap in which the carrier has no idea what’s going on. If a carrier calls, it’s difficult to access information fast, creating angst. Not what we want. Relationships are created with transparency of pay terms, payment information, and pay date. With HubTran, we can provide that and accelerate payment if necessary.”
“We doubled volume at half our old costs. We’re automating the entire brokerage process.” David added.
Since NFI started using HubTran, they have expanded usage across NFI’s other businesses.
Double the volume at half the cost. Better carrier relationships. It’s a great success story, and with HubTran’s help, it’s only getting better. We can’t wait to see where NFI goes next.
We doubled volume at half our old costs.
David Broering | NFI
- Not enough back-office personnel to handle growth
- Long lag in invoice processing times
- Needed automation that “talked” to their current TMS
- Double the volume at half the cost
- The ability to grow without adding headcount
- Quicker payments to carriers, making them the broker of choice