If your company makes or sells a physical good, you know just how important good logistics is to your business’s success. This point was driven home for everyone during the height of the COVID-19 pandemic when supply line disruptions led to empty store shelves and rising prices. However, if you’re starting your business or looking for freight transportation for the first time, choosing the right provider can feel like a daunting task. There are more than a million freight companies across the United States after all, with many of them offering similar services and advertising similar benefits.
It’s not easy to decide which company will meet your needs the best. You will need to carefully consider your freight needs, the company’s safety record, its driver qualifications, reputation, and available fleet in order to make the best decision for your business.
You will likely be tempted to base your decision mostly on costs. However, the cheapest option is not necessarily the trucking company you should choose. A lot more goes into effective freight transport, as you will learn below.
1. What Are Your Freight Needs?
There are several types of freight companies, each specializing in a different type of cargo.
- Refrigerated goods
- Dry goods
- Oversized loads
- Hazardous materials
Where you’re shipping from and where you’re shipping to also play a big factor in which company to go with. Freight companies are always trying to economize their routes so if your cargo is in the right place, you can save a significant amount of money.
Finally, the amount and frequency of your shipments are very important. Regularly sending full trucks will often get you a lower quote.
2. The Trucking Company’s Safety Record
Review each trucking company’s safety record before deciding. Unsafe driving will end up costing you time, money, and potentially your goods. Fortunately, the Federal Motor Carrier Association maintains a publicly available database of every company’s safety scores determined by roadside inspections.
FMCA’s Safety Management System scores companies based on the following factors:
- Safe driving history
- Vehicle maintenance
- Hours of service compliance
- Driver fitness
Choosing a safe company will save you from costly delays and unforeseen expenses.
3. Driver Standards and Qualifications
Factor the freight company’s recruiting philosophy into your decision on a shipping company. Some companies work primarily on volume, meaning they value quantity over quality when hiring drivers. Other companies are more selective in the drivers they hire.
Volume shippers can offer lower rates and more routes while more expensive companies with better drivers offer better safety and reliability.
4. Reputation for Reliability
Never choose a logistics company without doing your own research and reading reviews from current and past customers. Check with employee forums to read reviews from drivers and staff. Quality cargo shippers treat their customers and employees well. Enquire into on-time delivery percentages to gauge reliability.
5. Their Fleet of Trucks
The equipment, technology, and trucks used by a cargo shipper play a big part in their service quality. A load shipped on an old container, or on a truck with outdated technology is more prone to mishaps and delays. Newer equipment is safer and less likely to fail.
The number of trucks and trailers available is also a factor at play, particularly based on your freight needs. If you plan on sending a lot of cargo places, you’ll need a company with a large fleet.
Whichever logistics solution you use for your company will represent a significant investment and will impact your company’s bottom line. Don’t get sucked in by rock-bottom quotes. Do your own research into a company’s safety record, driver qualifications, fleet quality, and reputation to find the right carrier for your needs.
