As a career with enough units to hire an internal dispatch team, it is important to understand how to measure your performance. If the dispatcher focuses only on load picks and calling drivers, you have a big blind spot in your operation. Because in today’s market, dispatching is not just about movement, it’s about measurement. Also, if the dispatcher doesn’t understand the proper KPIs, they will fly blindly while the wheels are rotating.
Too many small airlines are overlooking this. They hire temporary workers to keep the trucks moving, but they don’t train them to measure what’s really important. So you can lose money even if you run 2,000 miles a week. Or I think you’re doing great things – until after that breakdown or postponement, you’ll sacrifice the contract to you.
Whether you’re sending yourself or managing a small team, this article breaks down the KPIs that every dispatcher needs to know about cold. Not only because it’s a good business, but if you want to scale, you have to manage it with numbers.
Let’s break it down.
This is the foundation. Earnings per mile are the most basic performance indicators and the most misused in dispatches.
Most dispatchers say they get “$2.50 per mile” but look at the total speed, not the net. And they often include the skies without realizing it.
Fix:
Track your loaded revenue per loaded miles rather than total miles. Next, track your total revenue per mile. why? Because both are talking about different things.
If the loaded RPM is $2.50 and the All-Mile RPM is $1.85, you have a Deadhead issue. That’s a matter of dispatch.
Target RPM (all miles):
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Drypan: $2.00+
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Reefer: Over $2.30
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Flatbed: Over $2.50
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Hot Shot: $2.00~$2.20
If the dispatcher doesn’t look at the deadhead like the hawk, they burn the diesel and lose the margin.
All the skies are silent killers. You’re paying for the fuel, paying for the fuel, taking it for hours.
KPI:
Deadhead%=(empty miles ÷ total miles) x 100
Ideal target: under 12%
If you’re above 15%, it’s time to have a serious conversation about routing and planning.
Real-world examples:
There was a fleet running through Texas to Atlanta. The dispatcher continued to book returns from the Savannah. However, the deadhead to the Savannah wiped out the profits. When we closed our outbound strategy and adjusted our reloads approaching Atlanta, profits rose 14%.
KPI #3 – On-Time Performance
The shipper doesn’t care how far you drive. I care if you were on time or not.
However, many dispatchers do not consistently track arrival times. Or even worse, they rely on drivers to “check in” without checking the timestamp.
KPI:
On-time % = (on-time load ÷ total load) x 100
Target: 98% or more
And yes, if direct freight is needed, 95% is not enough.
About tips:
Build a habit of documenting delivery ETA and actual time with all loads. If a driver collides with traffic, logs out late, or stops due to an unplanned break, we will track it. Over time, find patterns that will help you fix service issues before putting costs on your customers.
Residence time will kill your time, clog your day and destroy driver morale. If the dispatcher is not tracking how much time he is sitting at each shipper or receiver, they leave time and money at the table.
KPI:
Residence Time = Time at the facility (from check-in to check-out)
Why is it important:
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Evidence can begin negotiating detention.
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You can identify the customer in question.
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You can coach drivers through check-in/check-out habits.
target: Within 2 hours
Is it longer than that? Start documenting, charging and rerouting from defective facilities.
This is where temporary and accounting conflict. The dispatcher may not be paying the bill, but the load chosen will affect almost all cost decisions.
Fuel, tolls, times, routes, idols – all affected by dispatch.
Your role:
Even if the dispatcher is not mathematics, they need to know who the target is. for example:
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If the fleet’s break-even CPM is $1.70, putting a $2.00/mile load on 150 miles is a bad move.
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If the NYC toll and drivers are dropped off in the load, the “rate” better reflects that.
About tips:
Include the dispatcher in your monthly cost review. Let’s take a look at the numbers that influence them. It turns them into business thinkers – not just planners.
This tells you how much time a driver has available is actually used to generate revenue. The dispatcher should understand that time is your #1 asset and unused time is expensive.
KPI:
Loaded usage % = (load time ÷ usable time) x 100
The truck has 60 hours of driving time, but if only 30 people were spent loading and moving the cargo, there is a problem with use.
Target: 80% or more
Fix:
This metric tracks how quickly a driver is converted from delivery to the next pickup. This is especially important for power only, reefers, and quick cargo.
KPI:
Turn Time = Time between Delivery and Next Pickup
Target: Less than 12 hours for OTR
The tighter the number, the more the dispatcher will make plans. Long delay? It’s an insufficient predictive or bad reload strategy.
Gold standard. This is a scoreboard that brings together everything a dispatcher does.
If the dispatcher is killing all the other KPIs, you should see it here.
Target revenue (range by trailer type):
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Drypan: $5,500-$6,500 per week
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Reefer: $6,000-$7,000/week
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Flatbed: $6,500-$8,000/week
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Hot Shot: $4,000 to $5,500 per week
If it’s consistent under these ranges, revisit your load planning, deadheads, and utilization. That’s where the leak started.
Create all dispatcher tracks rather than traditional KPIs.
KPI:
% of weekly freight booked from the road board
Target: Less than 40%
If the dispatcher is pulling 80-90% of the cargo from the board every week, it’s not the dispatcher, it’s the gambler. The loadboard must be backed up, not the foundation.
Encourage teams to build relationships with brokers, target dedicated lanes and support direct shipper outreach.
Your dispatcher is the nerve center of your operation. But if they don’t see the numbers, they’re flying the plane without instruments.
KPIs are not just paperwork, they are the pulsation of business. Train your dispatch team and live by their side. Please review every week. Connect performance goals to them. Because when the dispatchers know the numbers, they stop responding and start driving the results.
Posts Breakdown of KPIs All Dispatchers Should Know It appeared first FreightWaves.
