Parade launches Agent Support to provide collaboration on capacity and automation for 3PLs
This document outlines all the Parade features specifically built to support third-party logistics (3PL) agency models.
This post will cover four questions: 1) What is the 3PL agent model, 2) What have the challenges in the past been with building systems for agents, 3) Why it is critical for capacity systems to build separate features for this business model and 4) How to get Agency Support configured for your 3PL agents.
Agent-based 3PLs are an alternative freight brokerage business model where 3PL companies provide business infrastructure for their agent partners. Agents still own their businesses, but partner with their parent 3PLs to automate non-revenue producing activities, such as back-office, education, brand/reputation building (both on the customer and carrier end), and operational support.
Value often extends to providing technology support, and an operating authority, allowing agents to operate under one brokerage license and/or brand.
In an agent-based model, brokerages may even compete with each other, especially if they are in the same geographic areas. This differences in business models pose challenges for agency 3PLs to collaborate using technology and operate separately. Specifically, agents want to keep their load, and shipment data separate, but want to reap the benefits of capacity information. Agent partners want to make use of carrier interactions, specifically within their existing workflows, in a way where they can remain competitive and separate. To scale and compete against integrated incumbents like CHR and JB Hunt, plus new entrants like Uber, agent models must evolve to build platforms - specifically around capacity, and move away from siloed businesses collaboration.
Today agency data around carrier interactions and engagement are siloed, and there is zero collaboration around carrier data on a “global” level, sometimes not even at an agent level. Any cross-sharing of data done today is often not in real-time, and most frequently requires manual entry.
Parade’s new Agency Support allows every agency to learn from a pool of carrier interactions and preferences automatically, while keeping specific agent attributes hidden and customizable, such as shipment and load data. This allows agents to keep their book of business to themselves, but learn from the global capacity network in terms of where carriers want to go, where they may need backhauls, and what kind of freight they typically haul. It also allows parent 3PL companies to see capacity information at a global level in real-time, down to the agent, and even lane/carrier level.
All of Parade’s capacity management features have been overhauled to support this initiative to manage freight on an individual agent level, while utilizing capacity on a global scale. Parade users will be able to only view loads pertaining to their agency, however, any matching done by Parade will be utilizing capacity and indicators collected throughout the platform cross agencies. Agents won’t have visibility into any shipments, customers, quotes, or bookings that belong to other agencies. We have also taken special consideration that any configurable automation rules created in Parade, will only affect the specific agency that set up those rules.
Customers will now be able to attach their Parade users to specific agencies through the notion of “revenue codes”. A Revenue code is what your agents use to identify who they are, an example could be a) a Customer b) Book of business c) Agent ID etc.
1) Set up a user with a revenue code
2) Once configured, loads will be filtered down by revenue code
3) Additionally, rules will also be filtered down by revenue code
Agency Support allows Agent 3PLs to:
Centralize carrier profiling and collaboration.
Access real-time capacity shared across all agencies.
Keep load level data, and customer data siloed within agencies.
Control data at an agent level using customizable “Smart Rules”.
Speak to our team to learn more about capacity management