March 16, 2020

Commonly Made Mistakes When Hiring Third Party Logistics Companies

A lot of people are making mistakes when they hire third party logistics companies. There are some simple rules that you can follow to avoid many of these mistakes and ensure that you hire the right logistics company.Start by defining your customer's needs before you discuss logistics with them. This way, you can get a handle on what is not necessary to meet their needs. It is best to consider things like the type of goods that you wish to ship and the number of trucks needed to get the products to customers.Many small business owners don't know that they have more flexibility when it comes to their own shipping needs. If you have a small amount of inventory, you can always order as much inventory as you need to supply your customers, plus more.Many third party logistics companies offer free quote assistance. Ask about this in advance and see if they have the ability to provide you with a free quote. If they don't think twice about sending your order to them.Don't forget that there are many options available for handling freight. You might want to contact local couriers like UPS, FedEx or USPS, or you can look at freight companies like DHL, Airmail, etc. These will all be able to help you with pricing and delivery options, depending on what your needs are.If you order several products, ask what shipping option will be most cost effective for you to fulfill your order. Think about how much space you have to store products. Most companies use local couriers, so that might be an option for you.Consider using a shipper with lower cargo shipping rates. This might be cheaper, but it can also mean your products arrive at your customers sooner. This will allow you to take advantage of lower prices that you can get, since you aren't paying overage fees.Some people are making mistakes when they think that third party logistics companies are easy to work with. Most of these companies are very organized and experienced at handling logistics. You just need to make sure that they are the right kind of company for your needs.When you hire a logistics company to help you with your customer's needs, make sure you are working with the right team. Try to get at least three quotes before you hire a team. Keep in mind that each quote should come from a different logistics company, so you are only paying for one quote.When you have a shipping process that has the same requirements for fulfillment, it will be easier to coordinate your shipping with them. Shipping companies have different processes and rules about what you can do, so ask about the options that they offer before you make your final decision. Make sure that you understand each option that they offer so that you can customize your package to fit their requirements.The first step to working with third party logistics companies is to look at the inventory you currently have. It may seem obvious, but you can tell what your logistics requirements are. Ask for shipping quotes from each company and look at how they compare to the requirements that you set forth.Making sure that you are aware of what third party logistics companies are offering will help you make the right decisions about who to work with. This will ensure that you can get what you need with very little effort on your part.