Shipper | Best practices 3 min.

Benefits of having a dedicated carrier operate your private fleet

Whether you’re a shipper looking to fully convert to a dedicated carrier or just supplement your fleet, find the flexibility and control your business demands.


Private fleets are struggling to meet the needs of today’s supply chain

Private fleets that have been delivering freight the same way for decades are feeling the pressures of a rapidly evolving transportation industry. Consumers demand more, regulations are tougher and costs are on the rise. The landscape has changed. Many of these private fleets simply aren’t built for today’s supply chain challenges and struggle to hit the mark on delivery.

Growing challenges of running a private fleet

The daily grind for private fleets comes with constant headaches and crippling costs. Businesses that take on delivery alone face:

  • Difficulty hiring and retaining drivers: Staffing your private fleet is only getting tougher. Recruiting and retaining drivers is difficult when there are so many lucrative career options available, resulting in a shortage of qualified
  • Shifting capacity needs: Private capacity isn’t guaranteed capacity. A sudden sales surge beyond your means can leave you scrambling to deliver when it matters most. Private fleet capacity is fixed, with little to no flexibility to scale with business needs as demand changes.
  • Complicated, relentless costs: Maintaining a private fleet comes with its own set of challenges and requirements, and they’re on the hook for substantial costs that never let up. Equipment purchase and leasing costs, as well as maintenance. Driver compensation. Permits and licenses. Safety and risk mitigation. Insurance premiums. Technology. Regulatory compliance. Rising/variable fuel costs. The list goes on and on!
  • Managing a safe operation: Safety is multifaceted, ranging from proper training and implementation to in-cab technology that further supports drivers. Constantly teaching and reinforcing safe operations is imperative to moving freight safely on behalf of customers. Not adhering to safety standards puts your operation at risk because the U.S. Department of Transportation can shut down a shipper for accruing too many safety violations. At a minimum, it will likely result in both a significant increase in insurance costs because of the heightened liability of the operation and a tarnished reputation that will negatively affect business.
  • Complex industry regulations: The transportation landscape is governed by rules and regulations for the safe and orderly transport of commodities. These regulations can have major impacts to transportation providers, which is why staying on top of them is key to ensuring compliance. Most major carriers have an entire team charged with staying on top of the changing regulation landscape — a luxury private fleets often can’t afford.
  • Sustainability and regulatory compliance goals:The industry objective of reducing its carbon footprint requires reducing carbon dioxide emissions and improving fuel efficiency across fleets. Many large transportation providers are finding ways to offset their carbon footprint with newer equipment that runs cleaner, investing in battery-electric options or finding ways to optimize fuel use. California has long been known for setting the standard in trucking regulations. Once an initiative is adopted there, it’s usually only a matter of time until the precedent spreads to other states for implementation. This means smaller operations are going to face a considerable investment to meet stricter standards.

Benefits of having a dedicated provider operate your private fleet

In this new age of transportation, an optimized delivery solution is the difference between scraping by and standing out. The transition to a dedicated provider allows you to have a private fleet without having to manage it, giving your business the resources and financial backing it needs to keep up with a relentlessly challenging marketplace:

  • Flexible capacity: By working with a larger transportation carrier to manage your fleet, the carrier’s large pool of assets and drivers can be brought in to support your needs as they flex up for sudden growth or sales surges.
  • Equipment expenditures: Owning your own equipment is expensive, and leasing it can be very costly too. A dedicated provider can buy directly from original equipment manufacturers (OEMs), allowing them to get the same equipment at a lower price point. They can also work with you to take on your current equipment.
  • Employee support: Dedicated providers work with existing employees and drivers during the private fleet transition (and beyond) to bring on their current team, recruit additional staff if needed and provide any necessary training and management.
  • An army of experts: Keeping up with the complex transportation landscape requires a team of experienced, specialized experts. Dedicated carriers specialize in the nuances of the industry as well as the needs of the shipper, making them well equipped to work on behalf of your business.
  • Always optimizing: A dedicated provider has the manpower to constantly monitor and maintain the fleet and manage fuel and compensation costs. Additionally, they can actively optimize your supply chain with technology and strategies to shed costs and improve performance.

Find a dedicated transportation provider that works hard for you

When you’ve invested so much time and capital in your private fleet, the transition to a dedicated provider can feel intimidating. Find a transportation provider that will go the extra mile to ensure a conversion is the right move for your business — and culture.

  • Meet customer demands: The best transportation providers can implement a dynamic dedicated operation to positively fuel your business. They can provide (or procure) specialty equipment, engineer unique loading or unloading needs and nimbly meet any changing business requirements — all while serving as the face of your brand when delivering your products to your customers. This ability to adeptly service a customer cannot be understated.
  • Take back your focus: A transportation provider experienced in private fleet conversions gives you the freedom to return your focus and expertise to where it belongs: on your core business. We’ll worry about all the details from equipment to staffing to technology, regulatory compliance, costs and more.
  • Preserve your company culture: Whenever possible, your existing employees can be onboarded to execute the work done on behalf of your business.
  • Free up capital: After working closely with you to assess your equipment, your dedicated provider will consider purchasing it, freeing up valuable capital to flow back into your business.
  • Move freight safely: Providers that take a safety-first approach to freight transportation weave it into everything from training to daily processes. As a result, your items are significantly more likely to arrive intact. A proven commitment to safety also helps protect your business from the risk of litigation associated with running a fleet.

Convert your private fleet with confidence

Make a smooth transition with a leading asset-based transportation provider.

Get a quote

Drive your business forward

Sign up to receive our industry leading newsletter with case studies and insights you can put to use for your business.

news icon