Freight Management Archives - GlobalTranz

What to Do When Your Freight Gets Rejected

James Greenlaw — Mon, 28 Oct 2024 17:15:21 +0000

"Rejected freight" is a phrase no shipper ever wants to hear. For small and mid-sized businesses (SMBs), rejected freight is an unwanted and unwelcome proposition, and it's equally painful for the recipient and the carrier as well.

Unfortunately, while freight rejection rates are fairly low, refused loads do happen. At the end of 2023, the rate of U.S. freight rejections was about 4% for non-perishable shipments and nearly 9% for refrigerated freight.¹

So what should you do if your less-than-truckload (LTL) or full truckload (FTL) shipping gets rejected? First of all: don't panic! We'll walk you through the most likely reasons your freight might be rejected, as well as how to effectively and efficiently respond.

Reasons freight can be rejected

There are lots of reasons a consignee may decide to reject a freight delivery. These include:

Errors or discrepancies on the bill of lading (BOL)
Damaged goods
Freight that shifted in transit and may be unsafe to unload
Temperature-sensitive freight deviations
Delivery that is late or unscheduled
An excessive or short number of the expected goods
Unprepared recipients
A broken trailer seal

Regardless of the reason your freight was rejected, the most urgent items to address are determining who is at fault and then taking the necessary steps to resolve the issue. Once that's taken care of, you can then put practices in place to avoid future rejections.

Determine who is at fault for the rejected freight

The first thing to do is assess the situation by learning as much as you can from the consignee and carrier about why the freight was rejected in the first place. Knowing the reason will help you address the problem effectively and understand who's responsible.

What to do if the carrier is at fault

If the carrier missed their delivery commitment, or photographic evidence proves the freight is in a different condition from when it left your facility, then it's likely the carrier is at fault.

If this is the case, you should do the following:

Request an explanation: If the freight rejection was due to carrier error, ask for a detailed explanation of what went wrong. Understanding their perspective can help you navigate the situation more effectively.
Manage the freight: Regardless of how the matter of responsibility is settled, something still needs to be done with the cargo itself. We'll explore a few different options for dealing with the shipment below.
Review contract terms: Carefully check through your shipping contract to make sure the carrier is indeed at fault according to the agreement. Specifically, check for any clauses related to freight rejections and/or liability.
Seek compensation: If the carrier is responsible for the rejection, you'll want them to reimburse you for the failed delivery, plus any additional costs incurred as a result. This could include reshipping fees, storage charges or dwell times. You'll likely want to file a claim to settle the matter. For better protection of your valuable shipments, consider shipping insurance through a third-party logistics provider like GlobalTranz. Carrier liability limits differ and often fall short, making shipping insurance a cost-effective solution for safeguarding your freight.
Consider alternative carriers: If this isn't the first issue you've had with this carrier, it might be time to explore other options. Look for a reliable carrier with a track record of handling freight efficiently and professionally. A third-party logistics (3PL) provider like Worldwide Express can connect you with a vast network of vetted carriers and can help you communicate with them in the event of any issues.

What to do if you're at fault

The steps you take to deal with a refused load will be different if you determine that you're at fault. For example, if you made errors in documentation or in the contents of the shipment itself, the rejection is likely your responsibility.

If you determine that you or your team are at fault for the freight rejection, you should:

Communicate with your customer and the carrier: Immediately contacting your customer and apologizing is vital to your relationship. Tell them you're determined to fix the situation, tell them exactly what steps you'll be taking to fix it and explain how you will ensure that it never happens again. You should also reach out to the carrier promptly to discuss the rejection. Be honest about any mistakes on your end and inquire about their specific requirements for accepting the freight.
Manage the freight: Once you've identified the problem, take immediate action to rectify it. Full details on managing the freight are in the following section.
Follow up with your customer: Thoroughly communicating throughout the process and ensuring that the situation is fully resolved can help regain trust and confidence and increase your chances of retaining the customer. Clear communication and follow-through can turn a bad situation into much better one.
Conduct a "post-mortem": Once the immediate situation has been resolved, it's important to identify what went wrong on your end and make any necessary adjustments to prevent the same mistake from happening again. Again, it's worth exploring whether a 3PL could help you streamline your shipping processes and minimize potential missteps.

How to manage rejected freight

Regardless of who was at fault, there are several ways to deal with a refused load. Carefully weigh your options to decide what will be best for your customer and help you recoup as much money as possible — or at least keep extra costs to a minimum.

Possible management methods include:

Negotiating: If the shipment is incomplete or incorrect but does contain some of the expected goods, can you get the recipient to accept it with a discount?
Reworking: Whether it's correcting labeling issues, updating documentation or repackaging the freight, make sure everything follows carrier guidelines and recipient requirements. Keep in mind that you'll likely need to pay to hire lumpers (freight handling specialists) to help resolve the shipment problem, either by fixing packaging, restacking freight, addressing labeling errors or handling damaged goods.
Rescheduling: If the rejection was due to timing issues for the recipient, you could possibly arrange a new delivery window. Double-check that everything is in order this time to prevent another rejection. You may also need to find somewhere to store the load temporarily until it's time to re-deliver it.
Disposal: If there's no way to get the recipient to accept the freight, you'll need to figure out what else to do with it. Each of these solutions will likely mean extra costs, but are better than being stuck with unwanted, rejected freight. Your disposal options include:
- Shipping back to origin: The carrier can bring the shipment back to your location so you can return the goods to your inventory for reselling or recycling.
- Shipping somewhere else: You may be able to find another customer to take the unwanted goods.
- Disposal of the load: If all else fails, the shipment may need to be disposed of — either by donating it somewhere, recycling the materials or sending the items to a landfill.

Optimize your shipping with GlobalTranz to minimize rejected freight

While occasional freight rejections are a reality of the shipping world, being informed and handling them in the best possible way can lead to a better experience for you, the carrier and your customer. Staying calm, addressing the issue promptly and following the preceding tips will go a long way. You can also use the rejection as an opportunity to improve your shipping practices for future customers.

For the best possible support for all aspects of your LTL and FTL freight shipping, there's no substitute for partnering with a 3PL like GlobalTranz. We've helped tens of thousands of shippers just like yours minimize their rejected freight and improve their overall shipping operations. Request a custom shipping consultation today!

¹ Arrivelogistics.com (2023). Freight Market Update – November 2023

The post What to Do When Your Freight Gets Rejected appeared first on GlobalTranz.

3PL vs. In-House Logistics: When to Switch to Managed Transportation

Annie Graupner — Tue, 25 Jul 2023 13:00:55 +0000

Why do companies outsource logistics? It's simple: the modern supply chain is constantly evolving, and the standards used to regulate logistics management services are far more data- and technology-driven than those of the past. And as market volatility, delivery expectations and customer experiences impact supply chain strategies, shippers are looking for new ways to drive operational and competitive advantage from external expertise.

5 Signs That It's Time to Outsource Logistics

Recognizing the opportune time to outsource logistics can be crucial for business stability and growth. When weighing third-party logistics (3PL) transportation management vs. in-house logistics for your business, consider the following five signs that it may be time to add an outsourced managed logistics transportation services provider.

1. It's hard to track inventory from start to finish.

If you're having difficulty tracking your inventory from intake through the final mile, it may be time to consider switching from in-house logistics to logistics management services from a trusted 3PL. Poor visibility leads to additional delays in executing shipments, difficulty sharing updates with network partners and adverse impacts on customer experience. To have a fully optimized supply chain, you must have full visibility and inventory tracking over all your shipments from their first mile to their last. You'll also gain visibility from when you source materials through your shipments' white-glove delivery with a reliable 3PL transportation management system (TMS).

2. Freight spend keeps climbing.

Rising freight spend is a surefire indicator that it may be time to trust a 3PL with your logistics and transportation management. During times of high market volatility, freight spend will inevitably grow faster than anticipated. However, tendering shipments at higher rates in low volatility markets would suggest overspending, and for some shippers, those areas of excess spending may not necessarily be easy to identify. Gradually increasing freight spend that seems out of pace with the current expansion of your network and shipment volume is the defining indicator that it is time to consider outsourcing.

In a well set up managed logistics solution, a 3PL should serve as a strategic partner and ensure financial controls are in place across various levels, point of execution through financial forecasting, auditing and delivery.

3. Obtaining coverage is costing your workers too much time.

A top issue within a tightened capacity market is that it becomes difficult to get coverage for shipments. This is another great indicator that it may be time to outsource your logistics and transportation management. Depending on the typical workflows in your organization, spending too much time trying to get coverage for a load will lead to added back-office expenses.

For example, if it takes a team member 20 minutes to obtain coverage for a given shipment, that effectively limits the number of shipments covered for a week to 116. Now, let's assume that that team member makes an hourly wage of $20. That amounts to $800 in cost just for finding coverage across 116 shipments. Meanwhile, an automated tendering process within a TMS that could reduce the time needed down to mere minutes, such as five, would have the net effect of increasing the total volume of shipments tendered to 464 without necessarily increasing the back-office cost for that team member.

That's where automation within 3PL-driven systems can add value. A tech-enabled 3PL will be able to utilize and leverage modern software and streamline your processes, saving you both time and money. This allows for the exponential growth of profit margins by saving on back-office processes to execute more shipments and avoid delays.

4. You're missing opportunities or key details due to expanded responsibilities.

It's no secret that expanding responsibilities can lead to missed opportunities for oversight of partnerships and limited auditing of freight invoices. Depending on the source in question, most freight invoices contain some form of discrepancy.

Not all freight invoices are erroneous enough to the point where shippers are overbilled and underbilled. Discrepancies over time can impact overall performance ratings and adversely affect customer experiences. The worst-case scenario is excess freight spend for shipments that did not technically exist because they are duplicates. If your company is not actively auditing and filing claims against errors on invoices, you're leaving money on the table. To make the most of your efforts and ensure none of your hard-earned money is getting left behind, you'll likely want to partner with a trusted 3PL for logistics management services.

5. Your in-house logistics team struggles with strategic planning for freight management.

In-house logistics teams often tender more shipments in the spot market than with contracted carriers. In other words, your in-house team members are continuously putting shipments to the spot market and not taking advantage of the volume commitments and discounts associated with contracts. This may not necessarily be a problem, but it occurs as duties expand. Moreover, carriers may simply lack capacity or be experiencing other stressors. Rather than staying reactive and opening the door to significant risk and massive delays in overall shipment execution, it's best to let someone else handle the day-to-day of transportation through managed logistics.

Maximize Your Efforts with Managed Transportation Services from GlobalTranz

Day-to-day operations may seem in jeopardy when the business falls solely on in-house transportation services. Overwhelmed teams, time, and money can slip through the cracks if not managed appropriately. Managed logistics service from GlobalTranz will help businesses and customers to ship seamlessly and access the technology needed for growth. Whether you're shipping less-than-truckload (LTL) or full-truckload (FTL) freight, we have the solutions your business needs. Find out how your team could benefit from increased efficiency and value through managed logistics by connecting with a GlobalTranz expert now.

The post 3PL vs. In-House Logistics: When to Switch to Managed Transportation appeared first on GlobalTranz.

9 Tips for Continuous Transportation Optimization

mzugovic — Tue, 16 May 2023 05:00:00 +0000

The goals of transportation optimization should include the reduction of costs and creation of greater operational efficiencies, all while increasing customer satisfaction. Not a small task, and one that requires constant analysis and monitoring. But luckily, you're not alone. Trusted third-party logistics (3PL) providers like GlobalTranz offer managed transportation services, along with expert support and guidance, to assist you in optimizing your transportation strategy.

9 Tips for Logistics and Transportation Optimization

Businesses can maximize value by identifying opportunities across all aspects of their shipping operations - read on to discover nine tactics to help you achieve logistics and transportation optimization.

1. Routinely evaluate your shipping strategy and use KPIs to measure logistics performance.

How do you know if your logistics and transportation optimization efforts are working if you don't track them? Analyze your shipping strategy regularly — keeping in mind any recent changes — and utilize key performance indicators (KPIs) to identify the shifts that are working and which parts of your operation require additional attention.

2. Consider alternative modes, like rail instead of air, to save on costs when possible.

It may even benefit you to consider different services within the same mode, like booking a cargo plane rather than a charter plane. This may require some additional planning, since more affordable modes often have longer transit times. Make sure to keep your shipping schedule up-to-date and work with a 3PL to ensure your shipments will all make it to their destinations on time and on budget while also managing freight costs.

3. Use a TMS to compare rates, coordinate shipments, automate processes and gather data all in one convenient location.

When looking to optimize your transportation services, you'll undoubtedly want to execute all of your daily tasks on one platform. Luckily, that ability is exactly what a reputable TMS can provide! Talk to your managed transportation provider or 3PL about whether their TMS will allow you to search for carriers, track shipments, provide one comprehensive billing statement and more, all with a single login.

4. Regularly assess carriers for dependability, preferred services and comparable rates.

It's no secret that rates constantly change. With inflation on the rise and shipping conditions that shift daily, it's important that you continuously monitor your preferred carrier's rates and reviews. Mind you, constantly monitoring carrier's performance and rates is a big job. Partner with a 3PL that offers managed transportation services, as GlobalTranz does, and let them do the heavy lifting!

5. Use alternative solutions like freight pooling and aggregate shipping to save on costs.

One tried-and-true way to save on shipping costs that many managed transportation providers suggest is to consolidate shipments wherever possible. Shipment consolidation solutions, like freight pooling and aggregate shipping, are options where multiple LTL orders are combined so that the truck's capacity is maximized. Some alternative solutions like these may require extra time, so plan ahead.

6. Alternate between FTL and LTL freight.

Did you know that you can save money by customizing the shipping services you use? It's true — you can use less-than-truckload (LTL) for greater cost savings on smaller loads, and full truckload (FTL) for specialized equipment, extra attention for shipments and to meet urgent delivery needs.

7. Track shipments and optimize routes in real time to avoid traffic, weather disruptions and construction.

Weather and road conditions are unpredictable, so staying informed will help you make the best choices for your shipments in a timely manner. Work with a 3PL that offers solutions with real-time tracking to help you avoid potential hazards.

8. Find backhaul opportunities to save on costs.

Backhaul trucking occurs when, after a driver delivers goods from point A to point B, they then return to point A with a new load of goods. This helps both shippers and carriers save as it eliminates a good portion of the driver's empty truck miles and capitalizes on the number of miles driven.

9. Consider a multi-warehouse approach to reduce supply chain transit time and save on shipping costs.

A multi-warehouse approach helps you spread your goods out over a broader geographical area, which subsequently helps cut shipping costs. For example, a shipment stored in Colorado will cost less to ship to Utah than if it was stored in Florida. Don't have the budget to open multiple warehouses? Many 3PLs, like GlobalTranz, offer customized transportation services that include warehousing solutions, making it easier for you to save.

Industry-Leading Managed Transportation Solutions from GlobalTranz

If your transportation operations need some TLC, you're not alone. Partner with a trusted 3PL like GlobalTranz to gain access to top freight solutions, expert support, and innovative technologies that will help you optimize your shipping and logistics. Reach out today to learn more about how we can help maximize your efforts.

Connect with an Expert

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The Value of a TMS for Multimodal Shipping

Annie Graupner — Thu, 06 Apr 2023 14:00:05 +0000

Regardless of how big (or small) your company is, cutting costs, improving delivery times and maintaining high customer satisfaction are bound to be at the top of your list of priorities. Luckily, working with a trusted third-party logistics (3PL) provider like GlobalTranz can help you to reach all these goals and more and allow you to focus on growing your business. And not only will a 3PL partner connect you with top carriers and support you throughout all your supply chain processes, but they should also provide access to a transportation management system (TMS) to facilitate your multimodal freight shipping.

What is a TMS?

A TMS, or transportation management system, is an operating platform that helps shippers and agents plan and manage shipments. While a good TMS will help you streamline and organize your shipping processes, a great TMS will help you improve transportation efficiency, control costs and grow your business by providing end-to-end supply chain visibility, critical business insights and helpful process automation.

Partnering with a 3PL that offers efficient TMS managed shipping will help you:

Gain control of your shipping costs and logistics operations
Quote and load tender across all shipping modes
View real-time statistics about your supply chain
Access top rates from a proven network of carriers
Manage all your logistics in one convenient location
Store and organize records and invoices on one platform
Automate your work flow and additional management processes

Benefits of Transportation Management for Multimodal Shipping

A TMS can help you manage your multimodal freight shipping in a variety of ways - like comparing rates, accessing centralized billing and gaining real-time insights into your supply chain.

Compare rates across all modes

When shipping multimodal freight, you've most likely done your research on affordable and effective transportation modes. But did you know that a 3PL can use their combined buying power to grant you access to top rates you may not have been able to get on your own? A TMS will allow you to instantly compare rates across all modes and carriers so you can make sure that you're getting the most bang for your buck.

Access Consolidation Benefits

It's no secret that multimodal shipping is a great way to save money, but it's also an effective way to cut down on cargo damage and highway congestion and increase energy savings.

Access centralized invoicing

Multimodal shipping involves the use of multiple carriers across two or more modes, all detailed in one bill of lading (BOL). Not only will a TMS help you accurately craft and safely store your BOL, but it also provides you access to one centralized document management page. This means that you can pay invoices and manage your books for all your carrier partners from one convenient TMS platform.

Get real-time reports and analytics

Perhaps one of the most helpful tools offered by a trusty TMS is the real-time reporting it can provide. Access to a business intelligence dashboard for actionable business efficiencies and insights will help you identify efficiencies and hurdles as they arise, and maximize your productivity. Add in scalable integration solutions and you've got the perfect recipe for taking your business to new heights.

Intermodal vs. Multimodal vs. Single Mode Shipping

Of course, full-featured TMS software can help with more than just your multimodal shipments. To determine which shipping methods are right for you, here's how a TMS can help you manage additional shipping modes:

Intermodal and Multimodal Shipping

Where multimodal shipping requires a single BOL that includes multiple carriers and modes, intermodal shipping requires a separate BOL for each mode utilized to transport a shipment. A TMS can help you keep these BOLs organized and provide you with one comprehensive invoice to help simplify your freight shipping experience.

Single Mode Shipping

Single mode shipping, on the other hand, involves only one shipping mode. These shipments are typically transported via trucks, as trucks are most often used for package pickup and delivery. A TMS can help you obtain quotes and book shipments for all your single-mode freight transportation needs.

Industry-leading 3PL Transportation Management from GlobalTranz

At GlobalTranz, we know that logistics strategy starts long before a package is picked up from your facility. That's why we offer best-in-class shipper support from a team of dedicated logistics professionals and a full suite of tools and resources, like GlobalTranz TMS. Whether simple or complex, supply chains should be transparent and easy to manage. With GlobalTranz, we take the guess work out of multimodal freight shipping and more, allowing you to focus on what really matters. Connect with an expert today to see how GlobalTranz can transform your company's logistics.

The post The Value of a TMS for Multimodal Shipping appeared first on GlobalTranz.

10 Factors That Determine LTL Shipping Rates

mzugovic — Tue, 04 Apr 2023 05:00:00 +0000

In today's increasingly competitive transportation marketplace, business shippers are always looking for creative ways to save on freight costs. However, with so many factors that go into calculating rates, it can be a challenge to determine the best freight shipping and transportation options for your bottom line.

With so many contributing factors, less-than-truckload shipping rates can be especially unpredictable. Luckily, the numerous variables that affect LTL freight pricing also give you more ways to adjust and optimize your shipping strategy to determine the most cost-effective solution. But before you can control your freight costs, you'll need to understand how each factor impacts your final rate.

What is LTL shipping?

Less-than-truckload shipping is the perfect solution for shipments that are too large to be sent as parcel but too small to fill an entire truckload. With LTL freight shipping, carriers collect pallets from multiple shippers before consolidating the freight onto trailers for line-haul. By consolidating multiple freight shipments onto one truck, you can minimize your shipping costs by only paying for the space you occupy on the truck.

Factors That Determine LTL Freight Rates

Freight pricing can be very confusing, due to the whole host of factors that go into determining your final costs. And since missing or incorrect freight information can lead to rate increases down the road, it's important for you to control shipping costs by understanding exactly what goes into your LTL pricing from the start:

1. Base freight rates

To begin calculating LTL shipping prices, you must look at the carrier's base rate. Base rates determine the carrier's starting rate per 100 pounds, which is then adjusted based on the shipment's volume, freight classification, origin and destination. You will often hear this calculation referred to as centum weight (CWT) or hundredweight.
Since every carrier establishes their own starting rates, base rates vary between carriers and may be modified regularly based on each carrier's current capacity. It's important to note that base rates can also differ lane to lane, according to the carrier's availability.

2. Negotiated freight rates

Luckily, shippers are not relegated simply to a carrier's base rates. LTL carriers often offer discounts on certain tariffs depending on their service area. For example, national carriers may offer better rates for long-haul, cross-country shipping lanes, while a regional carrier may offer better rates on a local short-haul lane.
If you have a good understanding of your freight shipping activity by lane, you can negotiate with your carriers to get different rates for different lanes. By balancing your most efficient lanes with lanes that may be less attractive to the carrier, you can receive the best less-than-truckload rates possible and ensure you're not leaving any money on the table.

3. Less-than-truckload weight limits

LTL shipments typically weigh between 150 and 20,000 pounds. Generally speaking, the more your shipment weighs, the more it will cost to ship. However, carriers will often apply "weight break" discounts as your freight moves up in weight group. This is essentially a bulk discount, meaning the more you ship, the less you pay (per hundred pounds). Be aware of your carrier's rates per weight group, especially if your shipment is bordering on the weight range for the next highest group.

4. Freight classification

A shipment's freight classification (or "class") is used to help streamline LTL shipping rates across the industry. Designated by the National Motor Freight Traffic Association (NMFTA), goods are categorized into one of 18 freight classes based on the commodity's density, stowability, handling and liability. These classes run from 50 (the least expensive) to 500 (the most expensive). LTL shipping rates can vary significantly depending on your cargo's freight classification, which is why it's important to understand how to determine the correct freight class for your shipments. A simple mistake could lead to a frustrating reclassification fee down the road.

5. Freight All Kinds

If your shipment is made up of goods from multiple freight classes, you can negotiate an arrangement with the carrier called Freight All Kinds (FAK). This allows your products to be shipped and billed at the same freight class — saving you time on paperwork as well as money on freight costs. For example, if you need to ship multiple commodities ranging from 50 to 100, you could negotiate a FAK with the carrier to rate all items at class 70 (reducing the amount you pay for higher class shipments).

6. Calculate density

Your LTL rate is also impacted by the density of your shipment (or how heavy the freight is relative to its size). Typically, lower freight density equates to higher freight class (and cost). That's because the lower your shipment's density, the more space it will take up on the carrier's truck.
In order to get an accurate quote, it's important to know the right way to calculate a shipment's density. You can find a freight density calculator online, or simply divide the total weight of your shipment (in pounds) by its total volume (in cubic feet). If your shipment is palletized, weight and length measurements should include the pallet and any additional packaging.

7. Shipping distance

Generally speaking, the further your freight needs to travel, the higher your less-than-truckload rates will be. This helps cover carrier costs — such as fuel, equipment maintenance and driver pay — that increase with longer hauls. Your freight shipping costs can also be impacted by the origin and destination of your freight, since it typically costs more to ship to rural, less-populated areas.
It's important to be aware of which zip codes your carrier operates within, since many LTL carriers operate within specific regions. If your shipment's destination is outside of the carrier's service area, they may transfer it to another carrier for final delivery — a practice known as "interlining" — which will likely result in higher costs.

8. Minimum charges

Every carrier has an absolute minimum charge (AMC), which is the lowest price they will offer a customer. No matter how far or how much you need to ship, your cost will never be lower than the carrier's AMC. LTL carrier minimums tend to increase over time especially when capacity is limited.

9. Accessorial fees

If your LTL freight shipping requires additional services beyond the carrier's standard pick-up and delivery offerings, you will likely incur additional fees (or "accessorials"). Common examples of these service upcharges include liftgate service, residential pick-up or delivery, inside delivery and limited access locations (i.e., schools, storage units, etc.). If you do not clearly communicate your service requirements with the carrier upfront, these charges won't be included on your original quote and will be an unhappy surprise on your final invoice.

10. Negotiated freight shipping rate discounts

Many LTL carriers are willing to shave an additional percentage off of their base rates if it will increase their business. While shippers can negotiate account-specific discounts with carriers, you are more likely to benefit from the negotiating power of a respected third-party logistics (3PL) provider. These companies use the combined volume and buying power of their customers' shipments — not to mention their deep industry relationships — to negotiate higher discounts than you may be able to access on your own.

Get Help Managing Your LTL Freight Shipping Costs

Globaltranz is an industry-leading 3PL that helps shippers manage rising freight rates and find the most cost-effective solutions for shipping LTL no matter the load, including hazmat, trade show or produce shipping. We're here to empower shippers like you with LTL stability, no matter the state of the current market. GlobalTranz enables shippers with an exhaustive range of shipping solutions, innovative technology and decades of industry expertise.

Request a freight shipping quote today to see how GlobalTranz can move you forward with great rates.

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How To Choose an International Ocean Freight Shipping Port

James Greenlaw — Mon, 03 Apr 2023 19:51:17 +0000

In the United States, there are many shipping ports to choose from — each with their own strengths and weaknesses. That's why it's imperative for shippers to do their research and find the ports that best fit their international freight shipping needs.

GlobalTranz, a leading third-party logistics (3PL) provider, helps shippers of all sizes with their international shipping strategy. Our e-guide, 13 Considerations for Choosing a Port for Your International Ocean Freight Shipping, is designed to provide insights and tips on port selection.

Optimize Your Container Shipping With 3PL Freight Services

With more than 300 ports nationwide, it can be difficult to determine which one is the best option for you. In our international ocean freight guide, we address the questions you need to answer when selecting a shipping port, including:

What kind of products are you shipping?
Does the port fit your timing needs?
What is the origin and destination of the shipments?
Does the port have reliable technology?
What are the different types of ports and why does it matter?

Additionally, we cover why working with a 3PL like GlobalTranz can help you optimize your port selection and overall international shipping strategy.

Download Now!

Maximize Your International Freight Shipping and Port Selection Processes Today

There are uncountable challenges related to international ocean freight. Customs, packaging, mode selection and documentation are just a few. But selecting the right port can be the most difficult and important decision you can make for your international freight shipping.

Download 13 Considerations for Choosing a Port for Your International Ocean Freight Shipping today and learn how selecting the right port can save you money, reduce hassle, help you meet deadlines and keep customers happy.

GlobalTranz Is a Leader in International 3PL Freight Services

Our international ocean freight team is here to help you navigate all of the shipping challenges related to the complex world of importing, exporting and container shipping. From selecting the right mode, carrier and port to completing the customs process, our team will ensure your goods get to their destination country efficiently and safely.

Reach out for a consultation today!

The post How To Choose an International Ocean Freight Shipping Port appeared first on GlobalTranz.

Why Accuracy Matters in Your Bill of Lading

mzugovic — Thu, 16 Mar 2023 05:00:00 +0000

When it comes to freight shipping, the Bill of Lading is one of the most important documents shippers use. However, making sure that it is both complete and accurate can get confusing. That's why we've addressed many common BOL-related questions below to help you feel comfortable and confident when booking your freight shipments. And, as always, GlobalTranz is here to help make sense of even the most complex shipments and help you focus on growing your business.

What is a Bill of Lading?

A Bill of Lading (BOL) is a legally binding document that details the value, measurements, quantities, and special considerations for a freight shipment. It is the most important document for freight shipments and provides the framework for all services, considerations and records for a shipment's delivery and beyond. It is vital that a BOL be both complete and accurate to ensure you have evidence of a contract of carriage, a receipt of goods, and a document of title for each of your freight shipments. A complete BOL should include:

Names and addresses for both the shipper and the receiver (consignee)
Purchase order or account numbers used between businesses
Special instructions or requirements required for delivery (e.g. expedited delivery)
Shipment pickup date
Number of units being shipped
Description of commodities including material type and common name, size of pallets and any additional identifiers
Description of freight packaging (e.g. pallets, skids, boxes, etc.)
Any important specifications for in-transit care (e.g. for refrigerated or hazardous commodities)
NMFC freight classification
Shipment weight and measured dimensions
Declared value of shipment

Are there different types of BOLs?

Yes! Depending on which shipping mode you're using and what details you and your consignee have agreed upon, you may need to use a specific type of BOL. Here are the most common:

Straight Bill of Lading

A Straight BOL is a non-negotiable document that identifies the consignee as the designated owner of the goods. This is the typical BOL form you will see when shipping freight.

To Order Bill of Lading

A To Order BOL is a negotiable document that shows that the shipment has not been paid for in advance, meaning the end-used has not been specified.

Blind Bill of Lading

A Blind BOL is needed when the shipper and/or consignee are kept confidential and are not included on the Bill of Lading. The driver is given a separate and complete BOL with full delivery instructions.

Ocean Bill of Lading (OBL)

OBLs are used for international shipping via ocean.

Airway Bill of Lading (AWB)

AWBs are used for air transport service, and may be used for domestic or international shipments.

ProBill

ProBills are used for ground transport service, also known as GTS.

What happens if my BOL is incorrect or incomplete?

A BOL with missing or incorrect information may cause inconvenient and costly issues, and may even cause your business harm. Make sure to double-check all your details to avoid negative outcomes, such as:

Delivery to the wrong address, or failed delivery attempts due to inaccurate drop off detail
Spoiled perishable goods from inadequate temperature control
Damaged goods from mishandling or improper care in transit
Loss of insurance coverage or limited liability
Criminal prosecution for improper management of dangerous or hazardous goods
Loss of customers due to dissatisfaction from damaged or incorrect goods

How are BOLs used in claims litigation?

A BOL is a legally binding agreement between a shipper and a consignee, so it can help in claims litigation as long as it has been completed properly. For example, when shipping commodities require special handling — think valuable and fragile items, perishables, dangerous and hazardous goods, etc. — the shipper should note the condition of the shipment at pickup on the BOL and have the driver sign as confirmation. This alleviates any question of whether the damage incurred was the fault of the shipper and places the burden of proof wholly on the carrier should a claim be submitted for damage or loss.

How can a 3PL help avoid mistakes on BOLs?

A reliable third-party logistics (3PL) provider can help you properly fill and file your BOLs in a variety of ways. At GlobalTranz, we offer a robust transportation management system (TMS) with autofill capabilities to help eliminate errors, and built-in file storage allows for easy safekeeping of all your important documents. Our innovative TMS technology can:

Use the data entered to create an electronic BOL
Autofill a BOL with frequently used data to minimize data entry errors
Calculate and include the correct classification and NMFC codes, decreasing the chance for reweigh or remeasure costs
Store BOLs for safe recordkeeping and claims documentation
Retrieve stored BOLs for easy printing or sharing

3PLs can also guide shippers on the proper way to complete a BOL that will help reduce surcharges and can answer shippers' questions on packaging requirements and best practices.

Save Time and Money on BOL Shipping with GlobalTranz

At GlobalTranz, we pride ourselves on our ability to provide best-in-class support and award-winning solutions for our network of shippers across the nation. From helping rate and book shipments to ensuring your BOLs are complete and accurate, we're here to help kick your business shipping up a notch. Request a quote today to learn how partnering with GlobalTranz can save you both time and money on all your shipping needs.

The post Why Accuracy Matters in Your Bill of Lading appeared first on GlobalTranz.

7 Steps To Ensuring Your Product Is Approved for Cross-border Freight Shipping to Mexico

James Greenlaw — Tue, 07 Mar 2023 20:17:52 +0000

Expanding your international freight shipping strategy can help your company stay competitive and protect your bottom line. In fact, the U.S. Chamber of Commerce has reported that 45 percent of companies do business in other countries (that surely includes your competitors). Many of those U.S. shippers find great success in shipping to Mexico.

As a member of the U.S.-Mexico-Canada Agreement (USMCA), Mexico offers businesses free trade with low or no duties and taxes on most imported products. Plus, its proximity makes shipping from the U.S. to Mexico more cost-effective than sending products by air or ocean to other countries outside of North America.

Cross-border Shipping Regulations for Mexico

Like any importing country, Mexico has regulations on cross-border shipping, including what it accepts, the amount that can be imported and licensing requirements. The regulations may be based on public safety, agricultural, economic and/or political reasons. As a shipper, you're required to adhere to those regulations.

It's important for shippers to understand product limitations and requirements to ensure they experience few disruptions and unexpected fees. Finding an experienced third-party logistics (3PL) company can certainly help with your cross-border shipping. A 3PL can provide access to carriers, local expertise and ensure cross-border freight requirements are met.

Cross-border Freight Shipping: 7 Product Limitations and Requirements

To export to Mexico, you must first register with the country's Official Register of Importers. Then &mdash before lining up business and shipping to Mexico &mdash follow these guidelines to help ensure your cross-border freight complies with regulations and will be legally and culturally accepted into the country.

Visit the U.S. Bureau of Industry and Security to see if your product is on the commerce control list. If it's listed, check to see if an export license is required.
Ensure your product doesn't appear on Mexico's Prohibited Items List. Some products not allowed for importing include narcotics, electronic cigarettes, firearms and ammunition.
Determine if your product needs an export license from the U.S. government.
Verify if your product requires an import license or authorization from one of the departments within the Mexican government. These items are identified by their Harmonized System (HS) code number, a standardized classification method administered by the World Customs Organization that is used globally to establish tariff classification.
Follow all cross-border shipping regulations required for importing certain products. For instance, health care products have certain requirements, including the designation of a legally appointed representative for the product in Mexico. The product also needs to be registered with the Secretariat of Health.
Adapt your product to fit customs and language standards. You may need to repackage your product if the color has a negative connotation in Mexico. Products that will be sold in Mexico must be labeled in Spanish before importing.
Modify electrical products, as needed, to meet certification and accreditation requirements.

A 3PL Can Help With Cross-border Shipping Regulations for Mexico

Exporting into any country requires a great deal of knowledge and connections with the right sources of information. By optimizing your international freight shipping strategy and understanding what is required to ship to Mexico, companies can increase revenue and extend their global presence. It's difficult to achieve this alone. However, a 3PL like GlobalTranz can assist you with transportation solutions, documentation, international requirements and everything else you will need for successful cross-border freight shipping.

Our team of 3PL experts will help analyze your supply chain, allowing you to identify opportunities to save money, optimize operational efficiencies and maximize your international shipping.

Ready to speak to one of our cross-border freight shipping experts? Reach out for a free consultation today.

The post 7 Steps To Ensuring Your Product Is Approved for Cross-border Freight Shipping to Mexico appeared first on GlobalTranz.

Should you work with a freight forwarder or a freight agent?

Mon, 14 Nov 2022 21:09:21 +0000

It’s easy to feel overwhelmed when searching for a shipping partner, especially with so many options available like freight forwarding companies and freight broker agencies. That’s why we’ve broken down the benefits of working with a freight forwarder vs. a freight agent and have outlined why partnering with a third-party logistics (3PL) provider like GlobalTranz may turn out to be the best of both worlds.

Deciding Between a Shipping Agent vs Freight Forwarder

To fully understand whether a freight shipping forwarder or freight agent is the right partner for your business, it’s important to start with the basics and to consider all available options.

In this guide, Freight Forwarder vs Freight Agent: Which Is the Right LTL Shipping Partner for You, you’ll discover:

How working with a freight shipping forwarder or agent benefits your LTL shipping
How to determine whether freight brokering or freight forwarding is the right option
How a 3PL with an extensive agency network can take your business shipping to new heights

Download Now!

We’re More Than Your Average Freight Broker

At GlobalTranz, we pride ourselves on offering best-in-class support from a team of dedicated LTL freight professionals and agents who are ready to provide custom logistics shipping solutions for your business. Download our Shipping Agent vs. Freight Forwarder one-sheet today, and if you are ready to get started, connect with one of our shipping experts!

The post Should you work with a freight forwarder or a freight agent? appeared first on GlobalTranz.

6 Important Tips For Effective Logistics Management

mzugovic — Mon, 03 Oct 2022 16:22:49 +0000

Efficient management is the key to success, especially in supply chain management. There are various factors involved in effective logistics management — for example, automation and perfect coordination. But there is always a scope for improvising the logistics process. In times of growth, companies must find solutions to streamline logistics planning processes for improving output. GlobalTranz, a leading third-party logistics (3PL) company, is here to help and provides tips to manage logistics more effectively!

Effective logistics management and network optimization tips

How to make a plan

Planning encapsulates various factors. That includes procuring goods, storage facilities and delivery of products to the proper destination.

There are other parameters as well, including time, transportation and costs. A supply chain operative should be able to devise the flow chart for an entire shipping operation. The purpose of a logistics plan is to attain maximum work in the least possible time. This is especially important with project logistics . At the same time, the planning should aim at maximizing the profits.

Proper logistics planning is paramount, and an experienced manager will be able to prepare for unforeseen circumstances as well. These situations can be related to:

Quality control and availability of products
Ensuring space on trucks when capacity is tight
Issues within processes or the organization at large
Correctly selecting freight class and other essential tasks

For this, a contingency plan should be in place to avoid any logistics failure. Logistics planning process is incomplete without an emergency plan.

Adopt an automation logistics system

Technology plays a major role in increasing the efficiency of an organization. That includes automation, which plays a crucial role in business process optimization. There is valuable software that can be deployed in the logistics management processes.

Business process software, for example, can be integrated to provide timely updates regarding the movement of goods. The operator and the client will get details regarding:

Products and materials dispatched from the supplier
Procurement logistics for goods at the warehouse
Delivery of the shipment to the destination

This will save your company considerable time because manual interference is eliminated. Accurate tracking will also help improve overall process management.

Similarly, the account and employee details can be managed using software developed for these tasks. Therefore, the logistics firm should embrace technology for increased productivity.

Value relations and create a strong team

The team is essential to growth in your organization. If you manage logistics, you need to invest in the proper training of employees. Regular training workshops keep the employees updated with the latest trends in the logistics industry. This helps increase efficiency and satisfaction of the clients.

A logistics manager with impeccable interpersonal skills is crucial for the organization. There are times when things don’t work according to the plan. In this situation, instead of panicking, you need a reliable person who can sort out the issues with the utmost efficiency.

Moreover, the manager should have authoritative contacts in the logistics industry. This can be beneficial in tapping business opportunities.

Managing logistics means managing warehouse operations

Regarding supply chain processes, logistics management is incomplete without proper warehouse management . Warehouse operations are considerably dependent on the type of products and materials they store.

That means perishable goods, such as dairy products, need refrigeration facilities. Moisture-free environments are a must for grains. The specifications vary according to the products, and those accountable for logistics should develop warehouse strategies to minimum the waste of goods.

Overall, this means maximizing the storage capacity of the warehouse. Usage of vertical storage columns is recommended. Effective implementation of the software for sequencing the products is necessary because there should be no delay while locating the product when the order is placed.

In the end, it’s imperative that warehouse staff is fully trained and knowledgeable about all aspects of warehouse operations.

Efficient transportation impacts your logistics process

The transportation department can be analyzed to decrease the expenses of the logistics firm. At the same time, it can be revamped by reviewing different logistics solutions for faster delivery of the products. The following factors should be considered for efficient transportation:

Determining the best delivery route. A logistics firm should opt for the shortest yet safest route. This is beneficial for saving money as well as time.
Cost-effective packaging that ensures low investment and safety of goods as well. Optimize the packaging so that it occupies less volume, and it does not increase the weight of the package.

Your logistics plan should include measuring and improvising

Logistics network optimization is incomplete without integrating measurement, analysis and feedback. When you deploy new strategies in the system, you need to measure the output. This is important as it sometimes determines the success or failure of the strategy.

Measurement tools and software should be integrated that easily determines and classifies the information as per the requirement. Your future planning is heavily dependent on the measured information. Analyze the metrics related to different operations. This includes:

Cycle time metrics
Cost metrics
Service metrics

Generous feedback helps in improvising. The ideas and suggestions of the employees should be recorded periodically. This ensures that you generate a pool of ideas and at the same time, it reveals any flaws in the system.

Helping You Manage Logistics Efficiently

If you wish to succeed in shipping, you should adopt the latest technology and innovative approach. The aim of effective logistics management is to improve the efficiency of the operations, ensuring customer satisfaction and increase productivity.

These tips and strategies are necessary for process optimization. Every logistics firm that is struggling to boost its operations can incorporate these suggestions for logistics network optimization.

GlobalTranz can help you manage logistics challenges!

As a shipper, you have access to an enormous number of solutions and services to help you face today’s shipping challenges. And you don’t have to do it alone. GlobalTranz offers a quality carrier network, a leading transportation management system delivering data-driven insights, and a team of industry experts available around the clock for support. Connect with one of our experts today to improve your shipping practices so that your company can reduce save money and increase efficiency!

The post 6 Important Tips For Effective Logistics Management appeared first on GlobalTranz.