Using Artificial Intelligence to Improve the Shipper / Carrier Experience with Erik Malin

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• [00:21] Opening / Introduction

• [01:04] Erik, please tell us about your background? Where did you grow up? Where did you go to college?
  • Joined Loadsmart in April 2018.
  • Previously, Erik was the Director of Strategy at AFN, a Chicago-based truckload brokerage.
  • Prior to his time at AFN, Erik was the Executive Vice President of CarrierDirect, a boutique strategy consulting firm and advised companies such as Werner Enterprises, Worldwide Express, and BlueGrace Logistics.
  • While he was leading CarrierDirect, the company was ranked #261 on the INC5000 for the fastest growing companies in America, with a 3-year growth rate of 1,729%.
  • Erik has been a guest speaker for multiple companies and conferences, including the Denver Transportation Club, Landstar and most recently the 3PL & Supply Chain Summit: Atlanta.
  • BA, Finance, Michigan State University.

• [02:06] You went to MSU for finance. What made you pursue a career in logistics?
  • I have a deep appreciation for the impact that logistics has on the economy and people’s lives.
  • I enjoyed the level of transformation that the industry was going through when he first became interested.

• [03:17] I have seen Loadsmart in the news a lot lately – clearly bringing some innovation to the freight brokerage space. Tell us about it.
  • Loadsmart is a digital freight brokerage that is more “nerd” than “freight broker.”
  • Starts with customer experience. We make promises to their customers and build the technology to deliver on them.
  • Technology enabled through artificial intelligence (AI).
  • Loadsmart complements their services with strategic partnerships.

• [04:57] What exactly is artificial intelligence and how does it work? How does it add value to the process?
  • AI is the practice of using machines to make decisions that usually require human intelligence.
  • Things that were once considered AI can be so common that they are hardly considered AI anymore.
  • Loadsmart leverages data from public and private sources.
  • AI adds value by providing a greater degree of optionality to Loadsmart’s customers and allowing us to guarantee capacity.

• [08:12] Does AI enable your people to predict service failure?
  • Yes, our AI technology understands patterns and uses those to make predictions.
  • We can be proactive instead of reactive by using AI.
  • It helps us make decisions to ensure capacity for our customers.

• [10:40] Using AI, are you replacing headcount or are you still having people on board to help your customers out?
  • We understand the difference between automation and empowering people.
  • There are areas where it makes sense to automate, but other areas where humans should be making the decisions.
• [12:42] How does Loadsmart using AI create a better experience for carrier networks?
  • The best logistics networks are backed by a strong carrier portfolio, and a healthy carrier is also the backbone of any logistics platform.
  • Focusing people to where people should be used, we’re able to work with our carriers to ensure that they stay healthy.
  • By forming these relationships, we enable carriers to fill out their networks and improve their revenue per truck.

• [14:31] So you guys are trying to track revenue per truck?
  • It’s not necessarily as simple as tracking revenue per truck, but you can pretty easily tell if you’re paying a healthy rate.
  • There are other things that may be pricing mechanisms but are more like a language.

• [16:12] I like that it’s a better experience for the carrier and the shipper, which is something that freight brokerage didn’t always pursue. It sounds like the AI tools help you deliver that experience.
  • We are very focused on adding value to both sides.

• [16:50] If somebody wants to connect with you or learn more about Loadsmart, how would they do that?
  • Erik Malin’s LinkedIn Profile
  • Email Erik Malin: erik@loadsmart.com
  • Loadsmart website
  • Loadsmart Blog