SimPL Insights

Freight Broker vs. Managed Transportation Provider: What’s the Difference?

Written by Elayna Slocum - Senior Legal Specialist | Jan 28, 2026 8:48:05 PM

As supply chains become more complex, many shippers find themselves asking an important question:

Do we just need a freight broker—or do we need something more?

While the terms “freight broker” and “managed transportation provider” are often used interchangeably, they represent very different levels of involvement, accountability, and long-term value. Understanding the distinction can help shippers choose the right model for their operation.

What a Freight Broker Typically Does

At its core, a freight broker focuses on transactional execution.
A traditional freight broker:

  • Sources a carrier for a specific load
  • Negotiates a rate
  • Tenders the shipment
  • Provides basic tracking and documentation
  • Assists with claims

This model works well for:

  • Shippers with internal logistics teams
  • One-off or spot market moves
  • Straightforward freight with limited complexity

In these scenarios, the broker’s involvement usually starts once the load is booked and ends once it is delivered.

Where the Broker Model Can Fall Short

As shipping volumes increase or freight becomes more complex, the transactional approach can create gaps. Common challenges include:

  • Limited visibility into carrier performance
  • Reactive problem solving instead of proactive planning
  • Inconsistent service across lanes or facilities
  • Repeated involvement from shipper teams to resolve exceptions

In short, with a traditional freight broker, the shipper remains responsible for managing the overall transportation strategy, even when a broker is involved.

What a Managed Transportation Provider Does Differently

A managed transportation provider takes a more holistic, ongoing role in a shipper’s logistics operation. Rather than focusing on individual loads, the emphasis shifts to:

  • Process design and execution
  • Carrier strategy and accountability
  • Service consistency
  • Risk and cost control over time

This model is best suited for shippers looking to reduce internal workload while improving transportation performance.

Freight Broker vs. Managed Transportation: A Side-by-Side View

Freight Broker Managed Transportation Provider
Load-by-load execution End-to-end transportation oversight
Rate-focused decision making Strategic carrier selection and vetting
Limited involvement after delivery Active exception management
Shipper manages overall strategy Continuous performance monitoring and improvement 

Why Many Shippers Struggle to Bridge the Gap Internally

Building an internal team capable of handling carrier vetting, performance tracking, claims management, data analysis and continuous improvement requires significant time and resources. For many organizations, freight management becomes a constant balancing act between:

  • Keeping freight moving
  • Managing exceptions
  • Controlling costs
  • Protecting customers relationships

This is where an experienced logistics team can provide meaningful relief.

How SimPL Freight Solutions Blends Execution with Oversight

At SimPL, we understand that not every shipper needs a fully outsourced transportation department—but many need more than a transactional broker. Our experienced logistics team supports customers by:

  • Managing freight execution while maintaining strategic oversight
  • Applying carrier standards that go beyond minimum legal requirements
  • Utilizing advanced technology and industry platforms for visibility and performance tracking
  • Actively managing exceptions, claims, and service issues before they escalate
  • Data-driven approach that minimizes risk, improves on-time pickups and deliveries, and raises service standards

SimPL reduces the burden on your internal teams while improving consistency, reliability, and control.

Which Model Is Best For Your Growth?

Choosing between a freight broker and a managed transportation provider isn’t about which model is “better”—it’s about which model best supports your needs today. If freight issues are consuming valuable time and resources, then you may have outgrown transactional support.

SimPL Freight Solutions combines the execution of a broker with the strategic oversight of a managed transportation partner—delivering reliability, visibility, and control at every step.

If your shipping logistics has become a problem, then the answer is SimPL.