Eric Simon Joins Redwood to Help Lead Procurement Evolution

It’s only the first week of March, and already the U.S. freight industry has felt a range of big impacts this year. From on-again, off-again tariffs to rising geopolitical tensions, shippers face challenges in estimating and procuring freight capacity — and securing the best rates. 

According to a recent article in Air Cargo Week, the job of procurement will only get tougher this year as the market shifts to a more carrier-friendly landscape. Already, 43% of carriers are planning to raise rates or negotiate new contracts with their existing customers. In response, shippers are working proactively to secure new contracts now (52%), expand their business with core carriers (47%), and diversify their carrier mix (39%). 

As the challenge of procuring cost-effective freight capacity increases, we’re thrilled to welcome Eric Simon to Redwood as Executive Vice President of Procurement. Eric’s decades of hands-on experience in the logistics industry, coupled with his targeted expertise in procurement, will serve as a valuable asset to our customers and carriers.  

Redwood Chief Marketing Officer Arlyn Knox recently chatted with Eric about the complex challenges facing shippers, how Redwood can help right now, and his vision for the future. 

Arlyn Knox (AK): Procurement is really in the spotlight today, so we’re happy to have to join us here at Redwood! Can you share some insights about your career path — and what brought you to Redwood?

Eric Simon (ES): I’ve been working in the industry for almost 30 years and you’re right, Arlyn, shippers are really focusing on procurement as a key strategic capability right now. I was hired right out of college by American Backhaulers, a legacy founding freight brokerage based in Chicago. Five years later, the company was acquired by C.H. Robinson, and I spent the next 24 years there as a General Manager, Director of North American Surface Transportation and a leader in the product organization. It was a great experience that exposed me to just about every aspect of freight brokerage. I came to Redwood because I wanted to work in a nimble, growing business with a culture focused on change. This is an environment where we’re open to rethinking the freight procurement value proposition, the underlying workflows and processes, and the technology to deliver even greater benefits to customers. It’s refreshing. I’m excited about my own future here, and the future of Redwood in this industry.

AK: Can you tell me more about what makes the culture at Redwood so special? 

ES: There’s a lot of pride in the culture here, and with good reason. Working with the procurement team and the brokerage operation feels like working at a startup. There’s just a lot of hustling, and a lot of talented and hungry people that are working extremely hard. We’re building relationships and adding customer value, but we’re having a lot of fun doing it. There’s a lot of opportunity, I think, to unleash new customer value by bringing new energy and innovation to procurement. The people, processes, and technology here are best-in-class, so that gives us a strong foundation to innovate. We’re always asking, “How can we serve customers and carriers better?” And that’s a great environment to work in. 

AK: What would you say is the easiest win right now for shippers who want to get more value from procurement? 

ES: Probably the single biggest game-changer is technology. About three-quarters of shippers are still using Excel spreadsheets and manual processes to manage procurement. Outdated tools and processes are just not up to matching loads with trucks and carriers in today’s fast-moving, volatile transportation landscape. You can barely manage the practical challenge, let alone doing it in the best way to maximize cost and service outcomes. Redwood’s always been at the forefront of using advanced technology, like our LoadRunner proprietary TMS and other digital brokerage solutions.  

When we talk about procurement evolution at Redwood, we’re talking using real-time data, analytics, generative AI and other decision tools — as well as revamped processes — to ensure that we can make the most optimal procurement choices for our customers in mere seconds. I believe Redwood is going to lead some dramatic changes in the industry. 

AK: You mentioned artificial intelligence, or AI. A lot of people are concerned that AI is going to replace human expertise. How would you respond to that? 

ES: There’s no question that technology makes it easier to do the daily job of matching thousands of loads with available capacity — and making smart choices while you’re doing that. But I think it’s dangerous to automate the entire function of freight brokerage. Our Redwood team members have “been there, done that” in solving just about every procurement challenge for customers. There’s incredible value in that hands-on experience and human knowledge. We consider ourselves to be in a relationship business, and we value our customer and carrier relationships and the personal interactions we have on a daily basis. Advanced technology is essential, but we see ourselves as trusted advisors who can explore creative strategies — like identifying a new carrier mix, finding capacity that’s not on load boards, or driving out costs during rate negotiations based on our purchasing volumes. At Redwood, our team of experts is always going to lead value creation. Technology is a tool that supports that mission.  

AK: As we look ahead to this year, and the anticipated shift to a carrier-friendly market, what issues should procurement teams be looking at, beyond technology adoption?  

ES: From a procurement standpoint, I think what's really become front-and-center is the issue of fraud. As shippers become more focused on cost reduction, that makes them vulnerable to fraudulent carriers, impersonations, identity theft, cyberattacks, and other crimes. If something sounds too good to be true, it probably is. At Redwood, we have a vetted and established carrier network, as well as stringent processes for identifying and addressing fraud. If shippers lack the internal resources to protect themselves — as well as their critical data, shipments, and customer relationships — then an easy solution is to partner with Redwood for freight brokerage. 

AK: Before we wrap up, I heard your son got into the University of Florida this week — congratulations! Go Gators! 

ES: Yes! We’re absolutely thrilled. Go Gators! 

Want to learn more about the procurement evolution Eric is leading at Redwood? Reach out to discuss how you can balance cost control, customer service, and risk mitigation by partnering with Redwood.