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.
Transportation Consultants should take the long-term view that puts you, the client, first. Select a transportation consultant who has worked for leading companies for a long time and avoid consultants who have had a number of one-night stands. Long-term relationships bring value in many forms. If the transportation consultant has had long term relationships, chances are the advice he/she provides is both practical and implemented. Keeping the same transportation consultant (Not just the company but the people) means there is no need to educate them with each new assignment saving time, and time is money in consulting, It allows you to bounce ideas off them between engagements (normally for free) and it enables them to bring you new ideas when they discover them.
1. The difference between price and value is something a good transportation consultant knows. The lowest cost is not always the best value. It is not unlike any other service. Every manager who has been seeking trucks at month end knows it is getting harder and harder to find up-front rate reductions. They know price is not the full story.
2. More than likely, many large companies have received much of their savings in the past few years by reducing their carrier costs by working with good transportation consultants. Informed transportation consultants understand how carriers' incur costs and how to mitigate those costs. There are many, many things that can be done to save carriers money. When companies know these things, it is possible to create a win-win situation. Also a good transportation consultant can suggest a broader range of options such as launching a private fleet if they, they know carrier cost structures. In the right situation, that can save you even more money.
3. A worthy guide knows the competitive landscape and is respected by the carriers By knowing the carriers, it is quickly possible to determine not only which companies would be interested in your business, but also the kind of structure that would be most advantageous. A good consultant knows the long-term viability of the carriers and the way to get last-second concessions.
4. Good transportation consultants switch their clients between modes, because it can save money. A good transportation consultant must have a solid understanding of each of the modes. Here is an example. Many boxcars become available at reasonable rates when automotive manufactures are slow. The boxcars become available at very reasonable rates. Also when we see high levels of imports, shipping companies need to get those containers back to port, so we see fantastic rates on shipping containers going to port areas.
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.
Fortune 50 companies such as Proctor and Gamble have worked with transportation consultant Thomas Moore and his associates for the past several years. P&G and other top companies know Transportation Warehouse Optimization take the long-term view and find practical solutions that result in saving the client millions of dollars. Ask for a free consultation. Visit their website at www.transportationoptimization.com. Be sure and TEST YOUR SKILLS and see if you can manage your companies cost savings by efficiently load a truck.
Transportation Consultants should take the long-term view that puts you, the client, first. Select a transportation consultant who has worked for leading companies for a long time and avoid consultants who have had a number of one-night stands. Long-term relationships bring value in many forms. If the transportation consultant has had long term relationships, chances are the advice he/she provides is both practical and implemented. Keeping the same transportation consultant (Not just the company but the people) means there is no need to educate them with each new assignment saving time, and time is money in consulting, It allows you to bounce ideas off them between engagements (normally for free) and it enables them to bring you new ideas when they discover them.
1. The difference between price and value is something a good transportation consultant knows. The lowest cost is not always the best value. It is not unlike any other service. Every manager who has been seeking trucks at month end knows it is getting harder and harder to find up-front rate reductions. They know price is not the full story.
2. More than likely, many large companies have received much of their savings in the past few years by reducing their carrier costs by working with good transportation consultants. Informed transportation consultants understand how carriers' incur costs and how to mitigate those costs. There are many, many things that can be done to save carriers money. When companies know these things, it is possible to create a win-win situation. Also a good transportation consultant can suggest a broader range of options such as launching a private fleet if they, they know carrier cost structures. In the right situation, that can save you even more money.
3. A worthy guide knows the competitive landscape and is respected by the carriers By knowing the carriers, it is quickly possible to determine not only which companies would be interested in your business, but also the kind of structure that would be most advantageous. A good consultant knows the long-term viability of the carriers and the way to get last-second concessions.
4. Good transportation consultants switch their clients between modes, because it can save money. A good transportation consultant must have a solid understanding of each of the modes. Here is an example. Many boxcars become available at reasonable rates when automotive manufactures are slow. The boxcars become available at very reasonable rates. Also when we see high levels of imports, shipping companies need to get those containers back to port, so we see fantastic rates on shipping containers going to port areas.
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.
Fortune 50 companies such as Proctor and Gamble have worked with transportation consultant Thomas Moore and his associates for the past several years. P&G and other top companies know Transportation Warehouse Optimization take the long-term view and find practical solutions that result in saving the client millions of dollars. Ask for a free consultation. Visit their website at www.transportationoptimization.com. Be sure and TEST YOUR SKILLS and see if you can manage your companies cost savings by efficiently load a truck.
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.
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