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Transportation Cost

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HOW TO CONTROL COST OF TRANSPORTATION
Negotiate contracts
Negotiate contracts with shipping vendors annually or use an experienced partner do the negotiating for company. Then make sure the company is getting the most competitive rates for TL, LTL and other mailing services like co-mingling. Companies that are experts in transportation management and fulfilment have buying power due to the amount of business they do with shipping providers. Thus take the advantages of the relationships that come with working in a large scale fulfilment partner.
Evaluate packaging
Through marketers have packaging for their products in mind; this is not always the case for marketing fulfilment materials or product samples. are the materials the company send is in the most efficient way. When packing an order, the goal is to protect the materials being shipped and reduce packaging waste. Take a moment to think about the company materials is being shipped in and at the same time, how those materials is being received on the other side. Furthermore, an experienced from partner will be able to offer recommendations and also can pinpoint potential pitfalls before they are integrated into your program.
Implement the right software
Implement software in company order management system as that will determine the best shipping method and specialized requirements. Company transportation management system should also be tied to your order management system so when orders are shipped, the tracking information is automatically sent back to the order management system for confirmation that the order shipped giving the virtual to orders.
Choose a strategically located fulfilment centre
Make sure company select a fulfilment partner that has optimally located facilities. The company will not only lower shipping costs, but will also reduce the number of days in transit, getting materials out of the warehouse and into the field quicker.
Conclusion, conducting a review of materials, weight, volumes, ship to locations, time-in-transit, shipping frequency and mode is an initiative for company must take the consideration.

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