Sea, Air or Land: Understanding Transportation Modes and AlternativesSea, Air or Land: Understanding Transportation Modes and Alternatives

About Me

Sea, Air or Land: Understanding Transportation Modes and Alternatives

Hello and welcome to my blog. My name is Gina, and I love journeys. I can't even say I like to travel because in fact, I actually prefer staring out of train, boat or bus windows as the landscape or water rolls by. I also love the feeling of flying and the excitement levels in airports. However, I can't spend my whole life sitting in a transportation seat so I decided to start a blog about this passion. This blog contains everything I have learned about transportation, it looks at it from multiple angles and provides a fresh perspective. Please, read and enjoy!

Money Saving Tips: How to Avoid LTL Freight Classification Errors

The financial consequences of frequent shipping of goods can be extensive, especially for small and growing companies. You must ensure that your operation is capable of long-term efficiency through promoting economical practices. One of the main aspects in Less Than Truckload (LTL) shipping which leads to unnecessary losses is the freight classification.

LTL haulers have systems which help them to effectively categorise shipments and charge the rates according to the identified groups. If your business makes an error in the freight classification, you will incur extra charges. These costs are linked to re-classification, re-weighing and alteration of the shipment paperwork. Here are some tips to help you avoid these expenses.

Understand Freight Classification

Freight classification systems are complex schemes so you cannot rely primarily on the weight of your LTL shipments. The categories take into account the complete description of the cargo. The properties evaluated include the size and volume, the weight, value of the goods, stow ability and the density.

It is important to enquire about the policies imposed by your preferred carrier to avoid future confusion. Any oversight could be costly after re-classification so if necessary, engage an expert to assess and classify your standard loads. In addition, you will be able to negotiate the rates better with your carrier if you know exactly what you are talking about.

Incorporate Management Technology

You can utilise an automated freight management system to limit the risk of errors related to shipment classification. These computerised programs are designed capture, store and analyse the data to prevent simple but costly errors.

For instance, you can set up the system to compare common freight data with new inputs and to notify you of in case of irregularities. Furthermore, you can automate the classification of the shipment by predefining the grouping formula based on basic cargo data like dimensions and weight.

Audit the Freight Bills

You should ensure that thorough auditing of the freight bills is carried out for all the company shipments. This will prevent errors such as mismatched freight classification and base rates. The bills of lading, quotes and invoices should be routinely assessed by in-house employees. Also, make sure that your company is keeping up with changes in the LTL freight classes and rates.

Engage a Broker

A third party logistics expert can be a beneficial addition to your transportation management team. You will get an economical advantage because they will perform time-consuming tasks such as comparing local rates for specific freight classes, classifying your shipment and auditing the bills.

For more information on this process, contact companies like Jayde Transport.