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What Is Freight Management?

Understand how Freight Management fits into the supply chain

Freight management isthe process of efficiently and strategically moving freight across a network from its point of origin to its desired destination using various modes of transportation, intermediaries and technologies. The process employs logistics and supply chain expertise, physical assets such as trucks, distribution centers and warehouses, and technology to move freight efficiently and cost-effectively. The three primary freight management options by truck are private carriage, common carriage and dedicated contract carriage (DCC). Shippers that choose private carriage elect to manage their own trucks and drivers. In common carriage, freight is moved by multiple third-party trucking carriers on an as needed and transactional basis. DCC provides the same fixed capacity and control as private carriage, but shippers fully outsource the operation and management of their fleet to a third-party logistics provider or a lead logistics provider.