Fast Company

Solving the puzzle of efficient shipping

BREAKTHROU­GH’S NOVEL APPROACH TO DATA AND TECHNOLOGY HELPS UNTANGLE A PERENNIAL PROBLEM IN THE TRANSPORTA­TION INDUSTRY

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Transporta­tion is a wildly complex industry. For the companies shipping their products and the carriers hauling that freight, there are an endless number of variables to consider, with each affecting delivery times and costs. Where are the carrier’s trucks starting from, and where are they headed? What’s the price of fuel today? What route is the carrier taking?

For decades, the transporta­tion industry has largely relied on a oncea-year RFP process to lock down new shipping contracts with carriers. The problem? Those contracts are based on a snapshot in time and often don’t reflect the ever-changing nature of the industry. “It’s hard to predict what the future will look like in 12 months,” says Heather Mueller, chief operating officer of Breakthrou­gh, a transporta­tion management and technology provider based in Green Bay, Wisc. “It’s just too static for how dynamic this industry is.”

It was precisely that challenge Breakthrou­gh aimed to address with Network Intelligen­ce, a service offering made available in their FELIX platform, that draws on millions of data points to help companies quickly create more stable and efficient transporta­tion networks. And it’s this brand of creative problem solving that landed Breakthrou­gh on this year’s list of Fast Company’s Most Innovative Companies.

DATA MATTERS

Breakthrou­gh collects nearly 5 million unique data points a day, ranging from an individual freight movement’s energy consumptio­n to the specific route it’s taking. “That data gives us a really comprehens­ive understand­ing of how that freight is moving throughout North America,” says Jeff Lang, Breakthrou­gh’s vice president of digital transforma­tion.

The company knew its data was valuable; the question was how to unlock that value. Breakthrou­gh consulted with an advisory council of their clients to figure out how those millions of data points could best be used to streamline the transporta­tion process. “We already had focus areas identified, but they gave us ideas that honed in on the highest return opportunit­ies, and ultimately that iterative process led us to Network Intelligen­ce,” Mueller says.

Network Intelligen­ce was designed to replace the antiquated annual RFP process. Using artificial intelligen­ce, the FELIX platform gives shippers access to real-time data and insights they can use to streamline their network—and even renegotiat­e noncomplia­nt shipping contracts. The result is a more efficient and dynamic approach to shipping goods. “Transporta­tion is becoming more complicate­d, and that requires a more nuanced and targeted approach,” Mueller says.

FROM TOILET PAPER TO CAR PARTS

COVID-19 illustrate­d the powerful role data can play in solving shipping complexiti­es. Breakthrou­gh’s FELIX platform officially launched in February 2020, making Network Intelligen­ce widely available to clients just weeks before the pandemic upended the U.S. economy. In the transporta­tion industry, COVID-19 led to major snarls for shippers and carriers. For instance, companies that made toilet paper raced to find trucks to meet spiking consumer demand. “Shippers scrambling to find new trucks paid enormous premiums,” Mueller says. “RFPS couldn’t have predicted that.”

But the data crunched by Network Intelligen­ce could tell that there was extra carrier capacity, as trucks scheduled to deliver car parts were left idle when automakers essentiall­y shut down production. “Could the trucks that were supposed to be moving auto parts flex over to move the toilet paper? The answer is yes—if you know where that capacity of displaced trucks is,” Mueller says. “If shippers have access to data, that’s a huge opportunit­y.”

 ??  ?? BREAKTHROU­GH'S FELIX PLATFORM gives shippers access to realtime data and insights they can use to streamline their network.
BREAKTHROU­GH'S FELIX PLATFORM gives shippers access to realtime data and insights they can use to streamline their network.

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