Driving To Deliver Your Business

A Guide to Choosing Freight Forwarder

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When selecting an international freight forwarder, some of the factors that top the list of most individuals are price, reliability, and security. Auctions have gained popularity with freight contractors choosing the lowest bidder. However, deciding on price alone can leave a business shortchanged.

In the decision process, factors like capability, value, service, and IT support have to be considered as well. Below is a helpful step-by-step guide:

1. Identify the requirements of your business in general. Look at brokerage, distribution, imports, and exports. Be very clear regarding the objectives of your business and equally compare freight forwarders responses. Consider overall cost, not just the transportation cost by lane. Determine if you want a large or small forwarding agent. Study the coverage essential in supporting your business, as well as information technology, customer service, and reporting needs.

2. Get the support and commitment of your team. This can be tough. Make sure they are committed to making this change, and see to it that your internal organisation also supports the decision.

3. Make sure you are prepared for the negotiating meeting. Determine your demands. Elaborate your objectives and why you are looking for a new partner. Present a goal start date. Have the information on terms of sale, commodities, and density. Know your volumes by lane and your criteria. Know the product and service levels your company needs.

4. Do your homework. Research at least three shipping companies. Find out their financial stability, local office, and coverage. Talk to other businessmen in your market about which shipping company work with and why.

5. Meet with the freight forwarders. Invite them to see you. Ask what information you have to provide to help them deliver the best shipping solutions.

6. Build your Request for Quote (RFQ). See to it that it s comprehensive and updated. Provide sample terms and conditions and agreements.

7. Be selective. Provide RFQs only to freight forwarders who you see qualified after your initial screening. For successful export, work only with an experienced freight forwarder Perth2.

8. Set a feasible time frame. Identify a reasonable time frame for them to respond to your RFQ. Have a question and answer period with a minimum of 21 days for them to provide complete responses.

9. Narrow down the choices you have. Go through your filled out request forms and invite those who ve met your criteria to a follow-up meeting. It s best to have a conversation with them before hand to better address all your concerns. Listen actively to their presentation, but ask questions based on the responses you got from your RFQs.

10. Negotiate and make your choice. Starting to work with a new international freight forwarding agent is as critical as the selection process, so set a realistic time frame and designate a team to get it done.

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  1. ^ RSS feed (ageideal.com)
  2. ^ an experienced freight forwarder Perth (www.youtube.com)
  3. ^ (www.halftraining.info)
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