Trucking is the backbone of the economy, with majority of goods being hauled by truck in both U.S. and Canada. However, freight shipping is one of the most complicated and challenging logistics processes, for both carriers and shippers. There are a lot of moving parts and unpredictable factors to look out for. The supply chain is a complex network, which makes it particularly hard to work with multiple carriers efficiently. This is why we've put together a list of key ways to improve any shipping process, so that carriers can do what they do best and deliver a great experience.
For all shippers, no matter what your goods are, you always want to ensure that you are providing accurate information carriers, as this is going to affect transport rates as well as time, due to any potential delay needed for readjustment. Length, width and height dimensions need to be accurate in order for carriers to be able to determine how many loads they can take per truck. Any adjustments that happen due to incorrect measurements can become costly and delay shipping. Remember that trucks need to abide by weight regulation on the road, so it is essential to provide accurate cargo weight so that carriers can better manage their fleet.
Learn more on the role of measurements in freight shipping: How Measurements Affect Freight Shipping
Carriers will need to know where they are picking up freight, as well as any additional requirements upon pickup. Ensure that wherever the freight is being picked up from, is specified in the deal you are making. Specify if the pickup location is a loading dock, or whether lift gates are required. If a carrier walks into pickup unprepared due to lack of clarity from the shipper, then the shipment can be delayed.
Transit times are most often estimates, due to unpredictable weather conditions, safety risks or road conditions that drivers may face. Weekends also cut into delivery time and need to be considered when anticipating delivery. With LTL shipments the cargo space is shared with other shipments, which means that if one drop-off or pickup takes longer, it can affect the other delivery times as well. As a result, unless you are selecting guaranteed delivery for a specific date, make sure that you understand that a shipping time is an estimate. While tracking and other features can help maintain visibility of the shipment, the exact delivery time will depend on a lot of factors.
When it comes to shipping, the rate which is paid most often reflects only the carrier picking up and dropping freight off where it needs to go. Any additional services, storage or specifications will cost more for the shipper or customer, and are known as accessorial costs. Special equipment such as refrigerated compartments, for example, will require an additional cost. Drivers loading or unloading, residential delivery and other accessorials will also be an added charge. Any last minute costs or changes will affect carrier availability and rates, so it is important to plan ahead.
To better understand accessorial charges, read: Understanding Accessorial Charges In Freight Shipping
Carriers have to abide by regulation and ensure their own protection when transporting cargo, which is why there are guidelines and options as to what a carrier will accept. Carriers often will not accept personal items, due to lack of clarity over liability. Prohibited goods will not be allowed to cross certain border lines, so be mindful and do research when shipping internationally. You want to ensure all your paperwork has correct cargo classification to reduce delay.
There is a certain element of risk that both shipper and carrier assume with each transport. Contracts may often stipulate that the carrier is not responsible for damage which may occur during transport, or third party insurance is purchased before shipping, because it is an inevitable part of shipping, especially in LTL shipping where many hands are on the cargo. Packaging cargo safely and ensuring that crates or pallets are adequate for the goods is important on behalf of shippers, in order to prevent any serious damage to the goods.
In order for the shipping process to run smoothly, carriers and shippers both benefit from proper and organized documentation. Documents not only direct carriers to the destination they need to go, but they also outline all the relevant information on the cargo being transported and help legalize the process in case of audits or any errors. Some of the most important shipping documents are the BOL, the labels, customs/commercial invoices and proof of delivery.
The BOL is one of the most significant documents, as it contains all the relevant information and helps authenticate the process, while also helping determine shipping cost due to classification of the goods. Invoices are significant for outlining costs and help serve as a receipt for the goods. In the case of any audits or issues, the invoice is an important document. Improperly filled out documents may result in an extra charge for a re-direct.
If you are looking to streamline the paperwork process for any shipment, you may benefit from using Zipments. In one space you can generate your customs invoices, BOL, carrier codes, and any PARS/PAPS data within minutes. If shipping to Canada, you can also make use of the Canada duty/tax calculator, so you can plan ahead.
There is a significant difference between a quote and rate. A quote is the estimate given upon review of shipping needs, and can change at any point in time, meanwhile a rate is the final cost with all the components applied. Rates are dependent on availability of trucking companies however, so they may differ given either the season or supply/demand cycle. Finding a carrier that works with your needs is the key to a successful shipping experience.
If you are looking to get a better rate for a shipment, or you ship to the same location, you want to consider consolidating your cargo into a larger shipment. This process cuts down on how many trips your cargo takes, saving you money. You can stack multiple items onto a single pallet when the product allows. This will allow for only one shipping cost to be paid and you’ll only be tracking one shipment instead of multiple.
You also want to keep in mind that carriers have different location points, and there are regional and national carriers, so pick an appropriate carrier based on the distance goods will travel. Depending on your delivery location, larger cities may be more expensive due to traffic congestion, so you want to be specific about choosing a carrier who is affordable and capable of covering the distance. Backhaul rates tend to be more affordable than headhaul, because the carrier is picking up your freight on their return trip instead of driving empty.
Collaboration is the key to success. While carriers do have an important job to do, it is also beneficial to expand their customer base and ensure that they are able to consistently find good loads. If you are a carrier and want to increase your sales, there are small changes which carriers can make to ensure they make the most of their business:
It's important to remember that freight pricing is not black and white. There are many variables that go into what a freight carrier charges for their service, and understanding all of these can go a long way to ensuring everyone involved is getting the best rate and transport available. Save time, money, and hassle—and keep shipping simple.