Ward Transport & Logistics built its reputation on what the company calls “Ship the Ward Way”—decades of operational discipline, service and consistency that have helped establish the company a widely respected LTL carrier. For nearly 30 years, Ward relied on its own internally developed costing system, an activity-based model that provided an accurate, detailed understanding of costs across the business.

The trucking industry has a significant challenge—knowing which customers and accounts are most and least profitable. Having this information can empower carriers to move freight more efficiently and cost effectively, which thereby improves the bottom line. This challenge took center stage at a recent TCA webinar where participants from SMC3 and XTL Transportation Inc. discussed how to make better business decisions through activity-based costing. When asked how carriers do costing today, the vast majority of the attendees said they rely on team member experience and knowledge.