Chainalytics Updates on Continued Growth of
Transportation Consortium
Model-Based Benchmarking Consortium Surpasses $14 Billion Mark
April 20, 2010 10:24 AM Eastern Daylight Time
ATLANTA--(EON: Enhanced Online News)--Chainalytics LLC, a supply chain consulting firm focused on enabling
fact-based supply chain decisions, announced today the continued growth of its Model-Based Benchmarking
Consortium (MBBC) and results of its latest model-based benchmarks for transportation at its fifth annual summit
which included companies such as Wal-mart, PepsiCo, and Kraft Foods. The members-only MBBC Summit is a
private forum where peers across all industries meet to discuss techniques for improving transportation management
processes, rates, and carrier relationships.
The MBBC is a group of shipper companies that use a proprietary econometric model to better understand how
they are procuring and managing freight transportation services. Since 2003, the consortium has grown more than
1000% to include 78 members with over $14 billion in transportation spend -- roughly 5% of the U.S. for-hire
truckload market.
Chainalytics uses an econometric modeling approach to transportation benchmarking, enabling consortium members
to confidentially compare their unique transportation costs against the broader market, gain insight into the business
practices that drive transportation costs, and evaluate the impact of alternative strategies such as deploying a
dedicated fleet.
As well as detailed reports that show lane-level market position, consortium members also receive analytical tools to
assist them in day-to-day operations. “My internal users were skeptical at first about using the MBBC estimated
rates,” said one consortium member. “But once they tested the output, they found it to be extremely accurate. They
now use it every day and save us millions.”
The most recent model analyzed over 14.5 million loads and $14 billion in transportation spend. The most recent
model covering the US, Canada, and in a