Follow us on Twitter!
Blog Header Logo
DG&A's Transportation Consulting Blog
Subscribe to this list via RSS Blog posts tagged in freight audit

b2ap3_thumbnail_dreamstime_l_154061190.jpg

In my previous blog (https://www.dantranscon.com/index.php/blog/entry/where-is-the-freight-transportation-industry-headed-in-2020), I outlined some of the forces shaping the freight transportation industry in 2020. This will likely be another year of upheaval.

In brief, the current “manufacturing recession” is restraining freight volumes. There will likely be a removal of a glut of fleet equipment. This coupled with the ELD compliance requirements in the US and Canada, and high insurance costs, may push out more poorly financed carriers. Political instability in the Middle East may drive up fuel costs. The maintenance of tariffs, even after the signing of the phase 1 China / US trade deal, will continue to drive up costs of supplies from China. This will likely make this a challenging year for shippers and carriers. It is very likely that shippers will face rising freight rates in 2020 to offset rising costs.

What can shippers do to restrain freight costs in 2020? Here are a few thoughts

1. Reevaluate your network and shipping practices

...
Hits: 3289
0
Continue reading 0 Comments

 

 

b2ap3_thumbnail_dreamstime_l_26568438.jpg

Many manufacturers and retailers throughout North America spend millions of dollars a year on freight transportation. Freight costs can represent between 1 and 10 percent of a company’s operating revenue, one of the largest cost items.  They are often treated as a necessary evil. From time to time a shipper may try out a new mode of transport, a new carrier or conduct a freight bid. Other than that, freight programs tend to remain fairly static from year to year.

During our years of consulting with shippers all over North America, we have observed a pattern of Best Practices that elevate certain shippers and companies above their peers. Employing these Best Practices allows these companies to reduce freight costs and improve profitability. One of the best ways to find out where a company stands in the area of Freight Management is to conduct a Transportation Audit. It is our view that shippers with a freight budget in excess of $1 million should periodically conduct an independent audit of their freight programs. Just as businesses audit their accounting practices, looking for opportunities for improvement, Transportation departments should do so as well. You might be amazed at what you find.

...
Hits: 2712
0
Continue reading 0 Comments

For the past several years, American Shipper, in partnership with the Council of Supply Chain Manage­ment Professionals (CSCMP) and Retail Industry Leaders Association (RILA), has successfully benchmarked more than 250 payers (shippers and 3PLs) on their transportation invoice processing and payment practices and systems. Participants completed a 28-question survey covering all modes of international and domestic freight transportation.  The report focused on transportation spend in three segments—procurement, execution and settlement.  Here are some of the major findings and recommendations.

The 6 Key Invoice Processing Functions

The report looked at the six key functions of invoice processing.  They include Invoice Receipt, Validation, Dispute Resolution, Approval, Payment and Audit.  The study found that about a quarter of the respondents outsourced the receipt and validation functions while over 40 percent use automated tools; the remaining 30 percent of the respondents process their invoices manually.

Two thirds of respondents use manual processes to resolve billing disputes.  Forty-five percent of respondents approve invoices manually while 42 percent approve them electronically.  The remainder are approved through a third party.  In fifty-three percent of the cases, the invoices are paid electronically while about a quarter are paid manually and another quarter are paid through an outsourced provider. 

Forty-five percent of the invoices are audited manually while 29 percent are done electronically and 26 percent are audited through a third party. The majority of shippers automate, or outsource the receipt and validation of invoices while dispute resolution remains highly manual.

...
Tagged in: freight audit
Hits: 12372
0
Continue reading 0 Comments

Most Recent Posts

Search


Tag Cloud

Werner BlueGrace Logistics truck drivers shipper-carrier roundtable Trucking Crisis management Railway Association of Canada capacity shortage Ferromex CN Rail autonomous vehicles Canada U.S. trade Canadian truckers FCA derailments Climate Change CN small parcel US Auto Sales Software Advice FMCSA network optimization freight payment transportation newspaper business start-up Toronto Maple Leafs Entrepreneur Yield Improvement NS Freight Business skills freight bid Impeachment driver pay Freight Carriers Association of Canada home delivery carrier conference ShipMax MBA US Housing Market selling trucking companies Online grocery shopping China freight forwarders drones Canadian Transportation & Logistics Freight Capacity Social Media in Transportation e-commerce 2014 economic forecast Inbound Transportation Bobby Harris Canadian Protests Leadership Dan Goodwill Otto Search engine optimization customer engagement Failure Schneider Logistics TMS CSA Transplace Scott Monty President Obama Transloading ProMiles Transportation Business Transformation Strategy Truckload Driver Shortage KCS 2014 freight forecast Freight Management Business Development Freight Shuttle System marketing CP Rail IANA Canada's global strategy home delibery Regina US Manufacturing NMFC Freight contracts Hockey broker security supply chain management 2014 freight volumes Canadian freight market shipper-carrier collaboration Sales Training capacity shortages dark stores dimensional pricing hiring process NAFTA Spanx Muhammad Ali fuel surcharge shipping Carriers 3PL Training New Hires laptop Dedicated Contract Carriage autos broker bonds Training BNSF Justice Habs Global experience Adrian Gonzalez cars online shopping Job satisfaction Sales ELD Omni Channel cyber security Microsoft Dedicated Trucking FuelQuest pipelines 3PLTL Government Crude Oil by Rail Fire Phone bulk shipping University of Tennessee New York Times Emergent Strategy Doug Davis Global Transportation Hub Swift freight audit Load Boards Accessorial Charges YRCW USA Truck Packaging financial management truck driver Driving for Profit Coronavirus shipping wine US Economy Canada Conway Freight Matching David Tuttle transportation news computer security Geopolitics freight agreements recession asset management Masters in Logistics LinkedIn transportation audit Deferred Packaging Grocery CRM computer protection Trump last mile delivery Keystone Pipeline 2012 Transportation Business Strategies. Jugaad Rate per Mile freight broker Canadian economy Shipper Horizontal Supply Chain Collaboration Covid-19 APL Associates LTL computer Success failure entrepreneur MPG Freight Rates Blockchain driver economic forecasts for 2012 US Election Rotman School of Business Whole Foods Loblaw RFP freight rate increases Digitization employee termination Toronto shipper-carrier contracts technology freight payment freight audit CITA Shipper Pulse Survey Life Lessons Distribution Stephen Harper Trade Vision Amazon Freight Recession economic outlook Politics Warehousing Broker Blogging economy Success 360ideaspace Transcom Fleet Leasing Derek Singleton rail safety driverless coaching Consulting digital freight matching robotics Donald Trump peak season Celadon solutions provider Education cheap oil energy efficiency Cleveland Cavaliers LCV's intermodal Montreal Canadiens CSX Canada-U.S. trade agreement YRC Career Advice Twitter dynamic pricing natural disasters Tracy Matura Sales Strategy Digital Freight Networks freight marketplace Business Strategy Rail freight transportation in 2011 2015 Economic Forecast Management business security Right Shoring JB Hunt Retail transportation EBOR NCC General Motors Electric Vehicles Leafs driver shortages Map-21 professional drivers the future of transportation trade FMS freight transportation conference Value Proposition 2013 Economic Forecast Outsourcing Sales Sales Management Infrastructure routing guide FCPC UP Anti-Vax Transportation service Doug Nix Comey CSA scores trucking company acquisitions Uber Freight USMCA truck capacity tanker cars Trucker Protest Wal-Mart freight RFP freight cost savings consumer centric Facebook Retail Hudsons Bay Company TransForce freight transportation Colilers International freight costs Social Media Tariffs future of freight industry Reshoring Surety bond risk management TMP Worldwide Transport Capital Partners (TCP) Load broker $75000 bond mentoring Transportation Buying Trends Survey Finance and Transportation buying trucking companies small business Harper Davos speech automation

Blog Archives

March
February
December
October
September
August
June
May
April
March
January