Miami-based freight and logistics provider Ryder System Inc. said this week that it is taking steps to expand its freight forwarding operations by opening a new recently opened office in Nashville, with plans to open two more offices in 2023.
Ryder officials said the addition of these new locations is part of its strategy to expand its broader offerings of transportation services, which include freight forwarding, transport management and special transportation. Ryder already has brokerage offices in Nashville, New York, Michigan, and Fort Worth, Texas.
“In freight brokerage, we saw just over 175% growth in gross revenue in 2021 compared to 2020,” said Kevin Klonch, Ryder’s group director of transport management, in a statement. “With market fluctuations, incredible transport tariffs, shortening capacity and a shortage of drivers, shippers are turning to our logistics experience, our asset-based solutions, relationships with proven carriers and our purchasing power to keep our goods moving. By expanding our freight forwarding operations, we are also strengthening our broader transportation solution so that we can offer our customers even more flexibility with additional lanes and hard-to-find capacity in narrow markets so that they can can benefit from seasonal and market-related volume jumps. “
Klonch said LM that Ryder is expanding in the Nashville area to take advantage of the huge pool of talent that continues to enter this market, as well as move its brokerage services to markets closer to some of its most critical clients and partners. operators.
“This presence will allow us to continue to expand our growing brand in the brokerage space and will be a major office for us to serve the Southeast markets,” he said. “This market expansion strategy has been underway for the past year as we have listened to our customers and carriers about their desire to be more closely involved in their markets, combined with the need to tackle the chain’s increasingly challenging talents. supply gaps in the basin that exist in North America. “
As for where the other two locations, which are due to open in 2023, will be based, he said that additional locations for western time zones (Pacific and mountainous) are being considered due to the lack of brokers in those areas and to be closer to critical customers and carriers and continue to touch talent so that Ryder can continue to deliver on its promise of high standards of concierge service.
When asked to assess the current state of the truck brokerage sector, Klonch explained that in the current environment, Ryder sees obstacles in the form of inflation, diesel prices, threats of potential recession and threats of potential shrinking overall capacity. maintains supply chains.
“At Ryder, however, we continue to see customers and carriers looking for our experience and overall levels of service,” he said. “Our overall strategic vision for the aggressive expansion of the brokerage business is to continue to seek the best talent in the industry that will allow us to continue to provide the levels of service desired by our clients. Despite the potential for headwinds, our strategy in this area remains unchanged and due to the cyclical effect of the industry as a whole, we believe that our strategy for continuous growth will be better in the coming years. ”
About the author
Jeff Berman, Group News Editor Jeff Berman is a Group News Editor Logistics management, Modern processing of materialsand Supply Chain Management Review. Jeff works and lives in Cape Elizabeth, Maine, where he covers all aspects of the supply chain, logistics, freight transport and material handling on a daily basis. Contact Jeff Berman