So, you’ve made the decision to partner with a freight broker for your transportation needs and the “ink is dry” on the deal. You’ve put in the work to get to this point, including researching carriers and negotiating an arrangement that you feel will better position your company and improve efficiency. But don’t rest yet – while the bulk of the work is done, there are a few key considerations and best practices to help ensure a positive working relationship with your freight manager. In this post, we’ll share a few of those considerations, as well as best practices for working with a freight broker.
Secure a bond
Per federal requirements, freight brokers are required to protect their customers by carrying a freight broker bond or trust of at least $75,000. The bond serves as an insurance policy of sorts against claims made against the broker. A bond protects customers from any financial implications related to such claims. Be sure to verify that your freight broker has a bond by asking to review documentation.
Allow your broker to handle regulations and red tape
You hate red tape, right? Laws, regulations and bureaucratic processes are a few of the key reasons that many companies choose to outsource freight management. Freight brokers work with numerous clients and navigate the rules and regulations that govern shipping, import and export on a daily basis. So, let them put their experience to work and do it for you. You have enough to worry about in ensuring that your business runs smoothly – let your freight broker handle the regulatory environment so you can focus on all of the other moving parts.
Work at fostering a relationship
In business, building and maintaining positive working relationships is critical, and the relationship between a business and its freight broker is certainly no exception. Getting to know your freight broker – understanding his or her business and helping them better understand yours – will help ensure a positive and productive working relationship.
Build a foundation of trust
Building a relationship with your freight broker is essential, but once the groundwork for this relationship is laid, it is important to trust both the carrier and the process. This can often be easier said than done as it means relinquishing some degree of control. But if you’ve done your homework and chosen a competent and capable freight broker, trusting the process and letting your freight broker do their job will free up more of your time and positively impact your bottom line.
Ensure timely resolution of issues
Naturally, not every shipment will go smoothly and it is inevitable that issues will arise at some point. As time is of the essence in the world of transportation and logistics, it is critical that once identified, issues are addressed in a timely fashion. Communication between clients and freight brokers allows for the prompt and effective resolution of issues.
The saying, “communication is key” could not be truer than in the relationship between a company and its freight broker. Whether conveying issues as mentioned above, establishing expectations or simply discussing the details of a shipment, honest, open and consistent communication serves as the critical foundation of any freight broker-client relationship.
The bottom line
The relationship between freight broker and customer should not be a static one, but rather an ongoing dialogue and a partnership defined by communication and trust. Companies that implement these best practices will effectively maintain a positive and productive relationship with their freight broker that serves to ultimately improve profitability.
The Berger difference
Berger Transport is a trusted partner to a variety of companies seeking a dependable and effective freight management firm. We work with you throughout the entire freight management process and we’re available 24/7 to support your shipment. to learn more and receive a quote.