The MIT FreightLab mission is to drive innovation into the freight transportation industry in order to reduce cost, minimize risk, and increase the level of service. Freight transportation is subject to highly volatile demand and costs that are typically outside of a firm’s ability to control or even influence. This is compounded by a dominant design in terms of how freight is historically procured and managed. FreightLab research focuses on working with companies to develop and implement real-world solutions to these challenges.
FreightLab objectives are to develop innovations in freight transportation planning and operations and drive them into practice. Recently, we have developed methods for forecasting both short term spot-market rates and longer-term contract rates. We are exploring alternative contract forms between shippers and carriers that increase the level of trust in the relationship and yield better results for both parties. Working with a wide range of shippers, carriers, and third-party providers, the freight lab team develops and delivers better ways to design, procure, and manage large-scale freight transportation systems.