Advice On Choosing A Freight Logistics Service

Posted by Chris Channing | Posted in General Advice | Posted on 03-09-2010

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Businesses that deal with retail or manufacturing must have a reliable form of getting inventory from one point to another- and without inflated costs. Picking the right freight delivery service can help save on costs, and also help pick up services and dedication to satisfaction other freight companies don’t have.

A freight business you want to partner with needs one thing in particular: experience with your product. Moving a product that requires consistent heavy lifting will be billed and handled differently than a truck full of bananas. The company you pick must have experience with your industry, and they get bonus points if they work with your particular product on a regular basis.

Some things are mandatory: such as cargo insurance. The cargo insurance offered by the freight service shouldn’t be overpriced, and should be able to cover the majority of the costs of products if they are damaged. Full coverage insurance is nice for expensive products such as electronics. Ultimately, insurance is about breaking even or even making a profit from products even when they are in an accident.

Don’t get too far in before asking for a rate sheet. A rate sheet should be able to describe the cost of using the freight service: both any hidden fees and obvious fees. The rate sheet doesn’t have to be completed. Some services deny access to one because not all variables are accounted for. If that’s the case, politely ask for a rate sheet that is as accurate as possible.

Outsourcing an operation to another company requires trust. This trust can mean many things, but primarily the company outsourcing the business trusts that the logistics service will stay in business and handle the logistics until otherwise needed. That’s why new freight companies aren’t trusted so much among large businesses. If the service were to disband, it would put the business using them into chaos while they scramble to find new solutions.

Third party logistics companies can’t be everywhere at once. Odds are that part of the companies you intend to meet with for consultation do not know of your route. That’s not necessarily a bad thing, but if given the choice of having a company that is familiar with you area, it can be a deciding factor. Although not certain, a familiar route means experience, which means consistency and efficiency.

In Conclusion

Always ask to see references before closing the meeting. Do follow up on them to make sure that the references check out. If none can be given, ask for a case study or proof of success with past clients of the freight logistics service.

Learn more on Federal Motor Carrier Safety Administration and CSA 2010.

Related posts:

  1. Finding A Good Logistics Company In The United States
  2. All About Third Party Logistics And How They Operate
  3. Handling Business Expenses With Reverse Logistics Services
  4. Mastering Your Business Needs By Shipping Via Freight
  5. Advice On Flipping A Piece Of Commercial Land

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