The Changing Nature of the Motor Carrier-Shipper Relationship: Implications for the Trucking Industry

The extent to which motor carrier-shipper relationships reflect the characteristics of partnershipping are measured, and potential impacts on the trucking industry are examined. The focus is on 3 constructs of the carrier-shipper relationship: the carriers' dependence on key shippers, contracting, and electronic data interchange (EDI) as a measure of the operational integration of carrier and shipper. The 266 usable responses to a survey of Class I and Class II motor carriers indicated that characteristics of partnershipping in motor carrier-shipper relationships are abundantly evident. On average, each carrier depends upon its primary shipper for a substantial portion of its total revenue and generates a large percentage of its revenue from contracted traffic. EDI is currently in use by almost 30% of all respondents, and its adoption is expected to increase significantly over the next 5 years. A few important behavioral and perceptual differences exist between the Class I and Class II carriers.