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Frequently Asked Questions

Get responses for some of our most common inquiries.


Answers To Our Frequently Asked Questions

Today’s business climate is more challenging than ever. Increasing profitable revenue, improving service and reducing costs are necessary to remain competitive.

Outsourcing or blending your private fleet with a dedicated contract carrier may be the solution to improve your company’s profitability and service performance.

Changing from a distribution system that relies on truckload or less than truckload carriers to a dedicated contract carrier can reduce cost per unit delivered and improve service to your customer.

Dedicated Carriers provide service performance and are highly efficient in most industries. From auto parts to grocery; bakery to building materials, you may be surprised at how many companies outsource a portion of their fleet or their entire private fleet.

Liability is assumed by the dedicated contract carrier – we’re responsible for the drivers and their actions, including workers compensation and both liability & physical damages should there ever be an incident.

The on-site operations manager works as part of your team and will continuously adjust the fleet operations as your business fluctuates.

People have varying definitions of dedicated contract carriage. A Lily Dedicated Contract Carriage system includes:

  • System Design – to your needs: highly efficient and service sensitive
  • On Site Management – hired and trained and Dedicated to you to manage the system on your behalf reporting to Lily’s team of regionally deployed senior managers
  • Dedicated Drivers – hired and trained to the system parameters that have been customized to your business
  • Software integrated – to your business, reporting systems designed to fit your needs
  • Dedicated Equipment (trucks, tractors, trailers) – designed for efficiency, (we are not captive to the vehicles we use, we don’t use whatever is available),  we use what will get the highest MPG and load capacity for lowest CPU
  • Lily Support – Continuous Improvement Process, CSA 2010, Safety, Ongoing Re-Engineering, Additional Drivers, Equipment and Management

If you change your operations we will customize our system to meet your company needs.

Your fleet will be domiciled at the location chosen by you.

The Operations Manager(s) will be on-site working from your DC every day as part of your team. Lily dedicated drivers will report to the dedicated location. They will be scheduled by and report to the on-site Lily Operations Manager.

  • Whenever you are ready we’ll schedule an introductory meeting to review your current operations, and determine if a Lily Dedicated Logistics System will be beneficial to you and your company.
  • If you wish to proceed we will then need your distribution data (usually a two week period) for our logistics analysis and we will again meet to review our findings and our preliminary system design.
  • Once reviewed necessary revisions are made and we will review the finished system design as well as a cost benefit and efficiency comparison against your current operations.
  • You might want to consider outsourcing to Lily for a customized Dedicated Contract System now or in the future.
  • It takes approximately 60 days from the time we receive your distribution data to provide a finished system design.
  • You are involved throughout the design process and you dictate the service parameters that will be incorporated into the system cost.
  • Our Dedicated Logistics Systems reduce our clients’ annual transportation costs by ten percent and more often by over fifteen percent.
  • Liability, capital investment, regulatory compliance management (CSA 2010, revised HOS rules… ), all are Lily’s responsibility.
  • We can often create additional revenues via backhauls.
  • The size of a fleet depends solely on the distribution needs of the customer being serviced. It depends upon your operation and what will be most cost effective and efficient.
  • To ensure satisfaction we insist on mutual agreement to key performance indicators (KPI) metrics. We incorporate these KPI into our weekly billing system and review them with you weekly and as part of a quarterly meeting with senior management. These metrics can be adjusted throughout the contract.

Since a Lily Dedicated Logistics System is customized to your specifications, the amount of time to fully analyze existing operations, design a more efficient system and seamlessly implement the dedicated logistics system can take approximately 90 days.

Contract term is mutually agreed upon and depends upon the scope of the operation.