Wednesday, November 7, 2007

Top 10 Shipping Mistakes

Shipping is one part of your business you probably don't think much about. But most small business owners who ship freight make mistakes they're not even aware of which could cost thousands of profit dollars every year. Are you one of these people?



1. Mr. ButterKnife: (Using the same service for mail as freight)



You've heard the phrase, "Use the right tool for the right job." (My husband repeats this every time I try to substitute a butter knife for a flat-head screwdriver). You may be able to get the job done, but there are usually ramifications for using the wrong tool. Freight has different characteristics than a letter or something that can fit in a "flat-rate" kind of box, so you have to use the right company to handle freight. A freight broker not only has access to hundreds of transport companies in their network, they have the know-how to match your freight and service level with the right one.



2. Mr. Trip Over a Dollar to Save a Nickel: (Calling big trucking companies directly)




Most of the freight travels in the US by truck. Unless you know which companies cover what areas of the country, the size of their fleet, and have a continuous large volume of freight being shipped regularly, you will spend huge amounts of time calling these companies individually trying to price shop and facilitate shipments. If you use a freight broker, you'll get a much better rate and a few brokers actually let you comparison-shop and book entirely online.



3. Mr. Uberowner: (Trying to do it all)



As a small business owner, you wear many hats. The more jobs you do, the less time you have to concentrate on why you got into business in the first place. No matter how much money you make, time is finite, and if you try to do it all, you will make mistakes and overlook things. So outsource! Using a freight broker to handle your shipping needs who has knowledgeable agents and great customer service can make the complicated easier. The broker should be able to answer questions about anything in the freight shipping process.



4. Mr. How Hard Could It Be: (Not understanding the process)



There are specifics when it comes to what you should look for, how many copies you need, and who gets them at what time. There could also be other documentation needed for dangerous contents, unusual items, or Customs. A freight broker does all this paperwork for you and instructs you on what goes where.



5. Mr. Shaky Memory: (Improper labeling)



Shipping labels should go on the top of the package. Make sure to double-check the address, most importantly the postal code, of both the sender and receiver. If you reuse a box that's still in good shape, remove or cross out any old labels or other marks. It's also a good idea to include info inside the box as well; an invoice or duplicate packing slip will work. If you are sending more than one box as part of a shipment, label them individually. This comes in handy in case they get separated (see #8).



6. Mr. 5lbs of Stuff in a 2lb Box: (Improper packing)



Using a freight broker's service will save you money, but you must properly protect your items to prevent damage in transit. The best thing you can use when packing your freight is common sense. Your best option is to use only new boxes with adequate packaging materials. Seal all cartons tightly with appropriate tape. For a heavy or fragile item, a wooden crate is recommended.



7. Mr. Let it Ride: (Not Buying Insurance)



If you are shipping something of exceptional fragility, monetary, or sentimental value, you may want to purchase additional insurance. Though most carriers try to take the utmost care when transporting your goods, accidents do happen. If you incur damage and must file a claim, there is very limited carrier liability based on your shipment's weight that in most cases won't cover your loss. A broker will be able to direct you to an insurance agent; better safe than sorry!



8. Mr. Puzzle: (Shipping Multiple Pieces)



Smaller boxes as part of a larger shipment could be packaged together on a pallet with an effective method of keeping pieces together. To prevent the shipment from shifting or slipping off of the pallet, be sure to include it when wrapping the shipments by starting at the bottom of the pallet and wrapping upward around the load.



9. Mr. Eyeball It: (Inaccurate Descriptions and Weights)



When booking your shipment, make sure you have an accurate weight for your item including any packaging material and pallet. If there is a discrepancy between the listed weight and the actual package, the transport company may reweigh your item and charge you the difference.



10. Mr. Is He Here Already: (Not Planning Ahead)



The only way to eliminate mistakes before they happen is to plan ahead. If you have scheduled a pickup, make sure your shipment and its accompanying paperwork is ready to go. Do not overnight something unless it must be somewhere tomorrow; the price to expedite something is exponentially higher than regular rate.



If this is you or someone you know, the good news is that it's never too late to change! Recognizing the signs can turn you into Mr. Right Decision before you know it.




Linda Athans has over fifteen years of experience in the advertsing, marketing, and promotions fields. Through assessment of business processes and programs, she has helped many clients streamline their organizations to recognize their full business potential. Ms. Athans is currently a marketing specialist for FreightCenter, a logistics company and freight brokerage.


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