Scoring Shipping Lanes: Breaking down SONAR Lane Score by Segment

The modern supply chain is a data-rich, continuously evolving entity. However, the advancements of supply chain systems have led to a unique problem, information, and data overload. Supply chain leaders have so much information at their disposal that they lose sight of what meaningful decisions can be made and why. According to Reuters, 51% of retailers are experiencing this problem, resulting in delays in freight management. Why? The days of choosing a single carrier based solely on its lowest-cost are over. The modern supply-chain is much more complex. Regardless of freight management parties’ interactions, recognizing the actual impact of origin and destination data can be difficult. Fortunately, SONAR Lane Score provides this snapshot view into how to apply scores to make meaningful decisions across all segments when managing shipping lanes.

Why SONAR uses a 36-unit scale to score shipping lanes

SONAR assesses a Lane Score for shipping lanes based on three categories of hi, med, and lo demand for both inbound and outbound freight. Lane Score 2 is based on the headhaul value for the lane.

Lane Score 2 is a measure of up to -1000.000 to +1000.000 where negative represents the outbound freight and a positive number represents the inbound moves. With that being said, each of the 36 Lane Score 1 values immediately shows what the Lane Score 2 is going to be too.

Then, those six values can be combined to create 36 unique combinations that allude to both the demand for the inbound and outbound side at each location. In turn, that creates value by giving all SONAR users instant views of the next best action, as shown tables below per freight market participant for both inbound and outbound to take.

Carriers

Carriers deploy SONAR Lane Score for managing shipping lanes to maximize asset utilization and ensure they offer the most competitive freight rates, while also increasing profitability by accepting the most lucrative freight tenders.

As an example, a carrier would consider refusing most loads in shipping lanes scored with a 21, but that is only for outbound. Instead, they would want to also refuse some outbound loads and leave assets in place for outbound moves. That ensures the best mix of asset allocation and the ability to choose the most lucrative loads from applicable load boards or other inbound means.

How carriers interpret Lane Score data and actions to take by score

	LEGEND
Actions to Take	Move assets to origin	Refuse most loads	YES
	Move assets to destination	Refuse average loads	NO
	Leave assets alone	Refuse some loads	Offer higher rates
	Accept most loads	Book 7+ days early	Offer average rates
	Accept average loads	Book ~3 days early	Offer lowest rates
	Accept some loads	Book with < 24 hrs

Haul Lane Score1	Haul Lane Score2	Outbound & Inbound Actions to Take			Bid on the Lane?
1 thru 36	-3 to 3	Outbound Initial Action	Outbound Next Best Action	Inbound Action to Take	Yes/No
1	-3	Move assets to destination	Accept most loads	Refuse some loads	NO
2	-3	Move assets to destination	Accept most loads	Refuse average loads	NO
3	-3	Move assets to destination	Accept average loads	Refuse some loads	NO
4	-3	Move assets to destination	Accept average loads	Refuse average loads	NO
5	-3	Leave assets alone	Accept most loads	Refuse most loads	NO
6	-3	Leave assets alone	Accept average loads	Refuse most loads	NO
7	-2	Leave assets alone	Accept most loads	Accept some loads	NO
8	-2	Move assets to origin	Accept most loads	Accept average loads	NO
9	-2	Move assets to origin	Accept most loads	Accept most loads	NO
10	-2	Move assets to destination	Accept some loads	Refuse some loads	NO
11	-2	Move assets to destination	Accept some loads	Refuse average loads	NO
12	-2	Leave assets alone	Accept some loads	Refuse most loads	YES
13	-1	Leave assets alone	Accept average loads	Accept some loads	NO
14	-1	Move assets to origin	Accept average loads	Accept average loads	NO
15	-1	Move assets to origin	Accept average loads	Accept most loads	NO
16	-1	Leave assets alone	Accept some loads	Accept some loads	NO
17	-1	Move assets to origin	Accept some loads	Accept average loads	NO
18	-1	Move assets to origin	Accept some loads	Accept most loads	NO
19	1	Move assets to destination	Refuse some loads	Refuse some loads	NO
20	1	Move assets to destination	Refuse some loads	Refuse average loads	NO
21	1	Leave assets alone	Refuse some loads	Refuse most loads	YES
22	1	Move assets to destination	Refuse average loads	Refuse some loads	YES
23	1	Move assets to destination	Refuse average loads	Refuse average loads	YES
24	1	Leave assets alone	Refuse average loads	Refuse most loads	YES
25	2	Leave assets alone	Refuse some loads	Accept some loads
26	2	Move assets to origin	Refuse some loads	Accept average loads
27	2	Move assets to origin	Refuse some loads	Accept most loads
28	2	Move assets to destination	Refuse most loads	Refuse some loads	YES
29	2	Move assets to destination	Refuse most loads	Refuse average loads	YES
30	2	Move assets to destination	Refuse most loads	Refuse most loads	YES
31	3	Leave assets alone	Refuse average loads	Accept some loads	YES
32	3	Leave assets alone	Refuse most loads	Accept some loads	YES
33	3	Move assets to origin	Refuse average loads	Accept average loads	YES
34	3	Move assets to origin	Refuse average loads	Accept most loads	YES
35	3	Move assets to origin	Refuse most loads	Accept average loads	YES
36	3	Move assets to origin	Refuse most loads	Accept most loads	YES

Graphical representation of table above

Broker and 3PLs

Both freight brokers and 3PLs can apply Lane Score 1 and Lane Score 2 data when making decisions that affect bookings across shipping lanes. That includes reaching out to more carriers, recognizing when it is time to possibly scaled-back expansion of the network, and continuously reevaluating freight bidding processes in favor of more lucrative opportunities.

And since the SOANR Lane score includes two unique scores, the implications are unique for both inbound and outbound operations. For instance, brokers and carriers will want to accept most loads for inbound and outbound when Lane score 1 is “1.” However, it may also be necessary to move assets to account for the increased ability to cover loads at the same time.

How brokers and 3PLs interpret Lane Score data and actions to take by score

Haul Lane Score1	Haul Lane Score2	Actions to Take				Bid on the Lane?
1 thru 36	-3 to 3	Outbound Action to Take	Next Outbound Action to take	Inbound Action to Take	Inbound Next Best Action'	Yes/No
1	-3	Move assets to origin	Accept most loads	Move assets to origin	Accept most loads	NO
2	-3	Move assets to origin	Accept most loads	Leave assets alone	Accept average loads	NO
3	-3	Leave assets alone	Accept average loads	Move assets to origin	Accept most loads	NO
4	-3	Leave assets alone	Accept average loads	Leave assets alone	Accept average loads	NO
5	-3	Move assets to origin	Accept most loads	Move assets to destination	Accept some loads	YES
6	-3	Leave assets alone	Accept average loads	Move assets to destination	Accept some loads	YES
7	-2	Move assets to origin	Accept most loads	Move assets to origin	Refuse some loads	YES
8	-2	Move assets to origin	Accept most loads	Move assets to origin	Refuse average loads	NO
9	-2	Move assets to origin	Accept most loads	Move assets to origin	Refuse most loads	NO
10	-2	Move assets to destination	Accept some loads	Move assets to destination	Accept most loads	YES
11	-2	Move assets to destination	Accept some loads	Move assets to origin	Accept average loads	YES
12	-2	Move assets to destination	Accept some loads	Move assets to destination	Accept some loads	YES
13	-1	Leave assets alone	Accept average loads	Move assets to origin	Refuse some loads	YES
14	-1	Leave assets alone	Accept average loads	Leave assets alone	Refuse average loads	NO
15	-1	Leave assets alone	Accept average loads	Move assets to destination	Refuse most loads	NO
16	-1	Move assets to destination	Accept some loads	Leave assets alone	Refuse some loads	YES
17	-1	Move assets to destination	Accept some loads	Move assets to origin	Refuse average loads	YES
18	-1	Move assets to destination	Accept some loads	Move assets to destination	Refuse most loads	YES
19	1	Move assets to destination	Refuse some loads	Move assets to origin	Accept most loads	NO
20	1	Move assets to destination	Refuse some loads	Move assets to origin	Accept average loads	NO
21	1	Move assets to destination	Refuse some loads	Move assets to destination	Accept some loads	YES
22	1	Leave assets alone	Refuse average loads	Move assets to origin	Accept most loads	NO
23	1	Leave assets alone	Refuse average loads	Leave assets alone	Accept average loads	NO
24	1	Leave assets alone	Refuse average loads	Move assets to destination	Accept some loads	YES
25	2	Move assets to destination	Refuse some loads	Leave assets alone	Refuse some loads	YES
26	2	Move assets to destination	Refuse some loads	Move assets to origin	Refuse average loads	YES
27	2	Move assets to destination	Refuse some loads	Move assets to origin	Refuse most loads	YES
28	2	Move assets to origin	Refuse most loads	Move assets to origin	Accept most loads	NO
29	2	Move assets to origin	Refuse most loads	Move assets to destination	Accept average loads	NO
30	2	Move assets to origin	Refuse most loads	Move assets to destination	Accept some loads	YES
31	3	Leave assets alone	Refuse average loads	Move assets to destination	Refuse some loads	YES
32	3	Move assets to origin	Refuse most loads	Move assets to destination	Refuse some loads	YES
33	3	Leave assets alone	Refuse average loads	Leave assets alone	Refuse average loads	YES
34	3	Leave assets alone	Refuse average loads	Move assets to origin	Refuse most loads	YES
35	3	Move assets to origin	Refuse most loads	Move assets to destination	Refuse average loads	YES
36	3	Move assets to origin	Refuse most loads	Leave assets alone	Refuse most loads	YES

Graphical representation of table above

Shippers

Shippers apply SONAR Lane Score data in a fashion like brokers. However, their considerations strongly trail back to considering the average lead time when tendering loads and offering appropriate rates.

As an example, shippers with a Lane Score of 36 would be in the most difficult market for carriers and brokers to cover. As a result, they would want to tender loads early enough to secure confirmation at least one week in advance. Meanwhile, they would want to offer better rates to entice carriers or brokers to accept their tenders across both inbound and outbound shipping lanes.

Although that sounds counterproductive, it is the ability to book sooner and offer higher rates that make all the difference and ensure shippers actually see a lower tender rejection rate.

However, as a Lane Score changes to 35 for shipping lanes would result in a need to offer average rates for inbound freight and offer higher rates still for outbound freight.

How shippers interpret Lane Score data and actions to take by score

Haul Lane Score1	Haul Lane Score2	Shippers				Bid on the Lane?
1 thru 36	-3 to 3	Outbound Rate Action to Take	Inbound Rate Action to Take	Advanced Booking Inbound Action to Take	Advanced Booking Outbound Action to Take	Yes/No
1	-3	Offer higher rates	Offer higher rates	Book 7+ days early	Book 7+ days early	YES
2	-3	Offer higher rates	Offer average rates	Book ~3 days early	Book 7+ days early	YES
3	-3	Offer average rates	Offer higher rates	Book 7+ days early	Book ~3 days early	NO
4	-3	Offer average rates	Offer average rates	Book ~3 days early	Book ~3 days early	NO
5	-3	Offer higher rates	Offer lowest rates	Book with < 24 hrs	Book 7+ days early	YES
6	-3	Offer average rates	Offer lowest rates	Book with < 24 hrs	Book ~3 days early	NO
7	-2	Offer higher rates	Offer lowest rates	Book with < 24 hrs	Book 7+ days early	YES
8	-2	Offer higher rates	Offer average rates	Book ~3 days early	Book 7+ days early	YES
9	-2	Offer higher rates	Offer higher rates	Book 7+ days early	Book 7+ days early	YES
10	-2	Offer lowest rates	Offer higher rates	Book 7+ days early	Book with < 24 hrs	NO
11	-2	Offer lowest rates	Offer average rates	Book ~3 days early	Book with < 24 hrs	NO
12	-2	Offer lowest rates	Offer lowest rates	Book with < 24 hrs	Book with < 24 hrs	NO
13	-1	Offer average rates	Offer lowest rates	Book with < 24 hrs	Book ~3 days early	NO
14	-1	Offer average rates	Offer average rates	Book ~3 days early	Book ~3 days early	NO
15	-1	Offer average rates	Offer higher rates	Book 7+ days early	Book ~3 days early	NO
16	-1	Offer lowest rates	Offer lowest rates	Book with < 24 hrs	Book with < 24 hrs	NO
17	-1	Offer lowest rates	Offer average rates	Book ~3 days early	Book with < 24 hrs	NO
18	-1	Offer lowest rates	Offer higher rates	Book 7+ days early	Book with < 24 hrs	NO
19	1	Offer higher rates	Offer higher rates	Book 7+ days early	Book with < 24 hrs	YES
20	1	Offer average rates	Offer average rates	Book ~3 days early	Book with < 24 hrs	NO
21	1	Offer lowest rates	Offer lowest rates	Book with < 24 hrs	Book with < 24 hrs	NO
22	1	Offer average rates	Offer higher rates	Book 7+ days early	Book ~3 days early	NO
23	1	Offer average rates	Offer average rates	Book ~3 days early	Book ~3 days early	NO
24	1	Offer average rates	Offer lowest rates	Book with < 24 hrs	Book ~3 days early	NO
25	2	Offer lowest rates	Offer lowest rates	Book with < 24 hrs	Book with < 24 hrs	NO
26	2	Offer lowest rates	Offer average rates	Book ~3 days early	Book with < 24 hrs	NO
27	2	Offer lowest rates	Offer higher rates	Book 7+ days early	Book with < 24 hrs	NO
28	2	Offer higher rates	Offer higher rates	Book 7+ days early	Book 7+ days early	YES
29	2	Offer higher rates	Offer average rates	Book ~3 days early	Book 7+ days early	YES
30	2	Offer higher rates	Offer lowest rates	Book with < 24 hrs	Book 7+ days early	YES
31	3	Offer average rates	Offer lowest rates	Book with < 24 hrs	Book ~3 days early	YES
32	3	Offer higher rates	Offer lowest rates	Book with < 24 hrs	Book 7+ days early	YES
33	3	Offer average rates	Offer average rates	Book ~3 days early	Book ~3 days early	NO
34	3	Offer average rates	Offer higher rates	Book 7+ days early	Book ~3 days early	NO
35	3	Offer higher rates	Offer average rates	Book ~3 days early	Book 7+ days early	YES
36	3	Offer higher rates	Offer higher rates	Book 7+ days early	Book 7+ days early	YES

Graphical representation of table above

Putting It All Together

SONAR Lane Score provides those split-second decisions needed to maximize frontline worker productivity. Request a SONAR demo online today to learn more about how to apply SONAR Lane Score to improve shipping lanes management and tendering or booking processes in your company.

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Why SONAR uses a 36-unit scale to score shipping lanes

Carriers

How carriers interpret Lane Score data and actions to take by score

Graphical representation of table above

Broker and 3PLs

How brokers and 3PLs interpret Lane Score data and actions to take by score

Graphical representation of table above

Shippers

How shippers interpret Lane Score data and actions to take by score

Graphical representation of table above

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