As the year wraps up, an End-of-Year Transportation Review is one of the smartest things a shipper can do. Instead of treating it like paperwork, it is a chance to look back at what worked, what stalled, and where money or time was lost. It gives you a clear picture of how your carriers performed, how your routes behaved, and where risks showed up in your network.
The real value comes from what you do with that view. A solid review gives you data you can use in carrier negotiations, not just opinions. It shows which KPIs moved in the right direction and which ones need attention before next year starts. Most importantly, it turns the past twelve months into useful guidance for how to spend smarter, plan better, and run a more reliable operation in the year ahead.
Essential KPIs for Annual Transportation Performance Reviews
A year-end transportation review is only as strong as the metrics behind it. To support confident planning, credible budget proposals, and data-backed carrier negotiations, the analysis must be rooted in measurable performance rather than anecdotal experience. The KPIs below represent the core set of indicators that should anchor any serious annual review and form the basis for interpreting how well the network performed over the past twelve months.
Financial Performance Indicators
These metrics show how well you controlled transportation spend relative to expectations and how prepared you are to budget for next year.
Total Landed Cost vs Budget
Compares your full freight cost stack (production, insurance, duties, transportation) to your original forecast. Large gaps should trigger immediate investigation.
Cost Per Mile/Kilometer (by mode)
Break out CPM by TL, LTL, rail, etc. This is one of the most powerful inputs when entering carrier negotiations, since it lets you benchmark against market conditions.
Accessorial Charges as a Share of Total Spend
A spike in detention, layovers, or reweighs usually means something is broken in planning, documentation, or carrier choice. These fees do not fix themselves and should be addressed in the next cycle.
Freight Audit Compliance Rate
Shows what percentage of invoices match contracted rates. Low compliance translates to lost cash and high administrative workload.
Operational Efficiency Indicators
These measures reveal how well the transportation network actually performed day to day.
On-Time Pickup and Delivery (OTIF)
Directly tied to service stability and inventory control. If OTIF drops, review routing guides or carrier performance before it becomes a customer issue.
Carrier Tender Acceptance Rate
If carriers repeatedly reject contracted tenders, capacity or pricing is misaligned. That is a warning sign ahead of the next renewal period.
Load Optimization and Utilization
Shows if trailers were filled intelligently and if routing maximized each trip. Strong utilization equals higher return per linehaul.
Transit Time Accuracy
Compares promised versus actual travel times. Inaccurate transit windows create inventory risk and can distort service commitments downstream.
Service and Risk Indicators
These help protect brand, compliance posture, and financial exposure.
Claims Incidence and Resolution Time
Frequent or slow-resolving claims point to recurring quality issues in packaging, handling, or carrier selection.
Carrier Safety Performance
Tracking CSA and safety scores is a basic requirement for risk management and liability reduction.
Compliance and Regulatory Violations
Every fine or customs delay has downstream cost. Trend this over time to identify process gaps and training needs.
Data Collection and Standardization for Accuracy
Reliable year-end reporting starts with clean, consistent data. Before any metrics are calculated, the first step is to align all data sources and ensure that each system reports information in the same format and time frame.
Where the data comes from
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TMS platforms for routing, scheduling, and transit performance
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Carrier invoices for cost detail, including base rates and accessorials
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ERP or warehouse systems for shipment weights, dimensions, and inventory context
Define one review window
Choose whether you are analyzing the calendar year or the fiscal year, and apply that period across all systems. Mixing time frames makes outputs unusable.
Resolve conflicts and choose a single source of truth
If two systems present different numbers for the same metric, select one canonical source and document it. Without a defined source of truth, results will not be defensible.
Conclusion
A year-end transportation review is only as strong as the integrity of the data behind it. Standardizing inputs, defining a single source of truth, and applying a consistent review window are what make the insights credible and defensible. When MyFreightWorld is involved as the logistics partner, this process becomes far more efficient, since shipment data, carrier performance, and invoice records are already centralized and transparent. That foundation allows teams to spend less time cleaning data and more time converting it into strategy, negotiation leverage, and measurable improvements for the year ahead.
If you would like support consolidating your data or conducting a structured year-end review, MyFreightWorld can assist.