Every operating number on this site has a formula behind it. This page publishes those formulas: what each metric counts, what it excludes, over what window, and where an industry benchmark ends and a ClearLane standard begins.
Why publish a methodology page?
Freight back-office numbers get quoted loosely. A “30% DSO reduction” means nothing without knowing which DSO formula produced it. A “99% accuracy” figure means nothing without knowing what counts as an error and who owns the error. Publishing the definitions lets an operator check our numbers against their own instead of taking them on faith.
It also draws a hard line. Some figures on this site are industry benchmarks pulled from public data. Others are ClearLane operating standards. They are not the same thing, and this page labels which is which.
How is DSO calculated?
Days Sales Outstanding (DSO)
| Formula | (Average accounts receivable (AR) for the period / total credit revenue billed in the period) x days in the period |
|---|---|
| Window | Rolling 90 days, recalculated monthly |
| Included | All invoiced loads, including invoices currently in dispute |
| Excluded | Nothing. Disputed and aged invoices stay in the calculation until they are collected or written off |
A countback DSO calculation produces a lower number on seasonal freight because it matches receivables to the months that generated them. We publish the standard formula instead, because it is the one most brokers already run and the one that makes a comparison meaningful.
The 45-65 day range quoted across this site is an industry benchmark, not a ClearLane result. See freight back-office benchmarks for the sourcing, or run your own number in the DSO calculator.
What counts as a billing error?
Billing accuracy
| Definition | An invoice is accurate if it leaves with the correct linehaul rate, the correct accessorials, the correct reference numbers, and the required backup attached, and it is not later adjusted, short-paid, or rebilled for a reason inside our control |
|---|---|
| Formula | (Invoices issued – invoices corrected for in-scope errors) / invoices issued |
| Window | Calendar month |
| Excluded | Rate changes the customer authorized after invoicing, and short-pays traced to a shipper’s own coding or remittance practice |
99% accuracy is our operating standard, not our aspiration. It is measured on invoices issued, not on invoices sampled.
How is POD turnaround measured?
This is two numbers, and they are measured differently. Collapsing them into one is how the freight industry ends up with POD claims nobody can honor.
| Chase start | Within 4 business hours of the delivery appointment time passing with no proof of delivery (POD) on file |
|---|---|
| Completed POD | 24 hours, measured from delivery confirmation to a legible POD attached in the TMS |
| Escalation | Repeat cadence and escalation path are set by the client SOP, not by us |
The 24 hour figure is a target, not a guarantee. The document originates with the driver, and no back-office process controls when a driver photographs a signed bill of lading (BOL). What is inside our control is the chase: how fast it starts, how often it repeats, and when it escalates. That is the number to hold us to. More on the workflow at POD retrieval.
How is carrier onboarding turnaround measured?
| Definition | Elapsed business hours from receipt of a complete carrier packet to a go/no-go decision recorded in the client’s system |
|---|---|
| Included | FMCSA operating authority and status check, safety rating review, certificate of insurance (COI) verification against the client’s minimums, and watchlist screening |
| Excluded | Time spent waiting on the carrier. The clock pauses on carrier-side gaps such as a missing COI or W-9 and restarts when the packet is complete |
| Window | Business hours as defined in the client SOP |
Authority and status are verified against FMCSA SAFER. See carrier compliance and onboarding for the full check sequence.
How is recovered revenue measured?
This figure applies only to the pre-billing revenue recovery audit, and only where ClearLane runs the billing. It is not offered standalone.
| Definition | Billable charges identified before the invoice goes out that were not on the original rate confirmation and were not otherwise captured |
|---|---|
| Typical categories | Detention, layover, truck ordered not used (TONU), lumper, reconsignment, redelivery, and contract rate discrepancies |
| Formula | Recovered charges / total accessorial-eligible charges billed in the period |
| Excluded | Charges the customer disputes and wins. Those reverse out of the figure in the following period |
Read the denominator carefully. The 10-25% range is a share of accessorial-eligible charges, not a share of total revenue. Anyone quoting a recovery rate against total revenue is describing something else entirely.
The checks behind it are published in full: pre-billing audit checklist and accessorial charge reference.
How is month-end close timing measured?
| Definition | Business days from the last calendar day of the month to delivery of the reconciled reporting package |
|---|---|
| Included | Bank and credit card reconciliation, transaction categorization, accounts payable (AP) and accounts receivable (AR) recording, and the owner reporting package |
| Excluded | Items held for the client’s CPA, and any period where a bank feed is unavailable |
Scope and cadence are covered on bookkeeping and ownership and transaction reporting.
Where do the industry benchmark figures come from?
Any figure on this site described as an industry benchmark comes from public data, not from client files. The primary sources:
- BLS Occupational Employment and Wage Statistics for back-office salary ranges
- BLS Employer Costs for Employee Compensation for the benefits and payroll load on top of base salary
- Bureau of Transportation Statistics for freight volume and mode data
- 49 CFR Part 371 for broker authority and record-keeping requirements
Cost comparisons are modeled in the in-house back-office cost calculator, which shows its inputs rather than asserting a total.
What ClearLane does not claim
- We do not publish client names, client volumes, or client financials.
- We do not claim visibility into any brokerage’s numbers other than the clients who hand us the function, and we do not publish those either.
- Where a figure is an industry benchmark rather than a ClearLane result, the page says so.
- The 24 hour POD figure is a target. It depends on the driver, and we do not guarantee it.
- We do not publish aggregate ratings or review counts we have not earned.
Frequently asked questions
Is the 24-hour POD window a guarantee?
No. It is a target measured from delivery confirmation to a legible POD in the TMS. The document originates with the driver, so the guaranteed part is the chase: it starts within 4 business hours of a missed POD and repeats on the client’s escalation cadence.
Does the 99% accuracy figure include shipper-side errors?
No. It counts errors inside our control: wrong rate, wrong or missing accessorial, wrong reference number, missing backup. Short-pays caused by a shipper’s own coding or remittance practice are excluded, because no billing process on our side would have prevented them.
Is the 10% to 25% recovery figure a percentage of total revenue?
No. It is a share of accessorial-eligible charges billed in the period. Applied to total revenue it would be a much larger and very different claim, which is why the denominator is stated here.
Which DSO formula does ClearLane use?
The standard calculation: average accounts receivable (AR) divided by credit revenue billed, multiplied by days in the period, on a rolling 90 day window. Countback DSO is a legitimate alternative that produces lower numbers on seasonal freight, and we do not use it.
Where does the 45-65 day DSO range come from?
It is an industry benchmark range, not a ClearLane outcome. It is published as a reference point so an operator can place their own DSO against it.
Questions about how any of this is measured?
If a number on this site does not match how your team calculates the same thing, that is worth a conversation. We would rather explain the formula than have you assume it.
Or email us at info@getclearlane.com