LTL on-time rates plunge

By Staff -- Logistics Management, 1/1/1999

Less-than-truckload (LTL) carriers' on-time delivery performance dropped to a dismal 60.8 percent for the three months that ended Oct. 30, according to an analysis of 40 key lanes across the country conducted for Logistics Management & Distribution Report by Strategic Technologies Inc. That's down five points from the carriers' second-quarter performance.

STI examined a total of 21,394 shipments weighing under 10,000 pounds that moved in those lanes. As in previous reports, performance varied widely among the lanes measured by STI. The best-performing lane among the 40 measured--Aurora, Colo., to Denver--hit a 98.4 percent on-time mark. On only five others did carriers exceed 90 percent on-time performance. On 15 lanes, on-time performance fell below 50 percent. On five lanes, fewer than 10 percent of shipments arrived on schedule. Shipments averaged more than a day late in 11 lanes.

As always, it's important to note that the STI figures look at overall performance of LTL carriers. Individual carriers can and do operate at far higher on-time rates.

The on-time performance is measured against the carriers' own published transit times. The accompanying table includes a sampling of performance levels on particular lanes around the country.

Transit Times

Origin Destination Published Actual % on-time

Edison, N.J. Jessup, Md. 2.00 2.66 52.8

Mira Loma, Calif. Las Vegas, Nev. 1.17 1.37 85.8

Santa Fe Springs, Cal. Fullerton, Calif. 2.53 3.01 66.4

Jackson, Miss. New Orleans, La. 1.00 1.10 92.5

Dallas, Texas San Antonio, Texas 1.01 1.32 80.2

Springfield, Mo. Little Rock, Ark. 2.00 1.35 92.7

Melrose Park, Ill. Jessup, Md. 2.00 3.20 34.6

Atlanta, Ga. Memphis, Tenn. 1.02 2.42 33.4

Mascot, Tenn. Charlotte, N.C. 1.08 1.31 80.9

Irving, Texas Houston, Texas 1.00 2.52 38.4

Chicago, Ill. Omaha, Neb. 2.56 3.34 49.6

Total sample (21,394 shipments) 60.8

"Published" represents carriers' average published projected transit time in working days. "Actual" represents average actual transit time.

Source: Strategic Technologies Inc. (STI provides freight rating, payment, and reporting services and acts as a network for communication of electronic load tenders and shipment-status messages for shippers and carriers.)