There are many things to considering when hiring a transportation consultant. We have found there are ten critical issues you should use in your final analysis. In part 1 of our two part series we will cover the first 5.
Time is money. There are many advantages to hiring transportation consultants who take the long-term view, puts the client first and if the relationship works sticking with that consultant. How do you find such a consultant? Find one who has long term experiences with large or reputable companies. That typically means the company has found a trusted advisor, involved the transportation consultant in the process of implementation and listened to practical advice. You don't find that with transportation consultants who have a spotty record of one-night-stands with clients. Also by staying with a trusted transportation consultant there is no need to educate them about your company as new assignments arise. They already know you. It saves time and money and the benefit to you is that you can bounce ideas off of them often for free). In addition, they can provide you with new and spontaneous ideas when they hear about them that can save you money.
1. A good transportation consultant knows the difference between price and value. Transportation is not unlike any other service, the lowest cost is not always the best value. Up-front rate reductions, which are harder and harder to come by these days, are not the full story, as every manager who has been seeking trucks at month-end knows.
2.Transportation consultants need to understand how carriers incur costs and how to mitigate those costs there are so many things that can be done to save carrier money. By knowing these things, it is quite possible to generate the true win-win. I'd venture to say that most big companies have received much of their savings in the last few years by reducing their carriers' costs. Also, if your consultant knows the cost structures, they can also open up a broader range of options. For example, launching a private fleet.
3. A good transportation consultant knows the long-term viability of the carriers and the way to get last second concessions. They understand the competitive landscape and are respected by carriers. Because they have important knowledge in this area, they can quickly determine the companies that would be interested in your business and the structures that would most advantageous.
4.Using a strong understanding of the modes, good transportation consultants switch their clients among modes. Switching between modes has often been a great way to reduce costs. For example, when the automotive manufacturers are slow, many boxcars become available at very reasonable prices or when there is a high volume of imports, the shipping companies provide fantastic rates to get the containers back to the port.
5. Transportation contracts are very important, but too often an afterthought. Transportation consultants can create the contract that benefits the client. Often a client can miss the key points that can cost the client a ton of money. Transportation contracts are accustomed to the legal aspects of valid contracts and can catch the legal mumbo-jumbo. Also you want to get the contract ready in the beginning. Waiting can cost you additional dollars.
The remixing 5 steps to hiring a good transportation consultant will be covered next in part of our series.
Test your skills and see if you can effectively load a truck efficiently and manage cost savings by visiting www.transportationoptimization.com. While there schedule a free consultation with Thomas Moore and his associates. See why companies such as Proctor and Gamble and other top 50 fortune 500 companies continue to rely on the practical solutions provided that save them millions of dollars in transportation and warehouse savings. - 15478
Time is money. There are many advantages to hiring transportation consultants who take the long-term view, puts the client first and if the relationship works sticking with that consultant. How do you find such a consultant? Find one who has long term experiences with large or reputable companies. That typically means the company has found a trusted advisor, involved the transportation consultant in the process of implementation and listened to practical advice. You don't find that with transportation consultants who have a spotty record of one-night-stands with clients. Also by staying with a trusted transportation consultant there is no need to educate them about your company as new assignments arise. They already know you. It saves time and money and the benefit to you is that you can bounce ideas off of them often for free). In addition, they can provide you with new and spontaneous ideas when they hear about them that can save you money.
1. A good transportation consultant knows the difference between price and value. Transportation is not unlike any other service, the lowest cost is not always the best value. Up-front rate reductions, which are harder and harder to come by these days, are not the full story, as every manager who has been seeking trucks at month-end knows.
2.Transportation consultants need to understand how carriers incur costs and how to mitigate those costs there are so many things that can be done to save carrier money. By knowing these things, it is quite possible to generate the true win-win. I'd venture to say that most big companies have received much of their savings in the last few years by reducing their carriers' costs. Also, if your consultant knows the cost structures, they can also open up a broader range of options. For example, launching a private fleet.
3. A good transportation consultant knows the long-term viability of the carriers and the way to get last second concessions. They understand the competitive landscape and are respected by carriers. Because they have important knowledge in this area, they can quickly determine the companies that would be interested in your business and the structures that would most advantageous.
4.Using a strong understanding of the modes, good transportation consultants switch their clients among modes. Switching between modes has often been a great way to reduce costs. For example, when the automotive manufacturers are slow, many boxcars become available at very reasonable prices or when there is a high volume of imports, the shipping companies provide fantastic rates to get the containers back to the port.
5. Transportation contracts are very important, but too often an afterthought. Transportation consultants can create the contract that benefits the client. Often a client can miss the key points that can cost the client a ton of money. Transportation contracts are accustomed to the legal aspects of valid contracts and can catch the legal mumbo-jumbo. Also you want to get the contract ready in the beginning. Waiting can cost you additional dollars.
The remixing 5 steps to hiring a good transportation consultant will be covered next in part of our series.
Test your skills and see if you can effectively load a truck efficiently and manage cost savings by visiting www.transportationoptimization.com. While there schedule a free consultation with Thomas Moore and his associates. See why companies such as Proctor and Gamble and other top 50 fortune 500 companies continue to rely on the practical solutions provided that save them millions of dollars in transportation and warehouse savings. - 15478
About the Author:
Thomas Moore and his Associates at Transportation & Warehouse Optimization are premier Transportation Consultants.Working with respected companies like P&G and BP they offer Transportation Consulting solutions that save you money.
