Identifying errors like late deliveries and extra charges like residential delivery surcharges, address correction surcharges or Saturday fees can save companies money. Keeping up with regular small parcel auditing also builds trust with carriers and can help you leverage that into better rates and renegotiate contracts.

Data-driven audits can help you uncover savings opportunities and achieve sustained success in your shipping operations. Click Here to learn more.

The benefits of using a comprehensive parcel auditing process to identify and recover shipping charges are numerous. By identifying billing errors and contract violations, it’s possible to lower shipping costs and improve your bottom line. In fact, some shippers can save up to 15% of their total shipping spend through regular small parcel auditing. In addition to lowering costs, small parcel audits can help improve your overall shipping processes. They can also help you make better-informed decisions during carrier negotiations.

Before the advent of automated software, small parcel audits were a time-consuming and labor-intensive process. Employees would physically review invoices to look for billing errors, which could take up to an hour or more per shipment. This was an inefficient and costly way to manage your shipping expenses. In contrast, automated parcel auditing uses a specialized software program to analyze invoices and identify mistakes or inconsistencies. It’s a cost-effective method that can reduce your shipping costs, increase efficiency, and provide valuable insight into how you are using your carrier services.

Invoice errors are a common occurrence on carrier shipping invoices, and small parcel audits can catch these errors. These errors include overcharges, volumetric weight errors, incorrect shipment classifications, and more. Finding these errors can give you leverage during contract negotiations with your carrier and potentially get you refunds, credits, and other savings. Moreover, you can use these findings to optimize your shipping routes and streamline operations. For example, if you’re currently shipping goods that don’t need to be sent via ground transport, you can switch them over to air transport for significant cost savings.

A small parcel audit service can save your business money by identifying mistakes and discrepancies in your shipping bills. This will save you money and ensure that your company is complying with the terms of your contracts with carriers. In addition, the accuracy of an automated system will ensure that your business is receiving the best rates for your freight needs.

Outsourcing a 3rd party for your parcel audits will allow you to free up valuable resources and spend more time on tasks that are directly relevant to your company’s success. Instead of wasting your time tracking each shipment, filing claims, monitoring declinations, and ensuring that you receive credit for shipments, you can leave the work to a team of unbiased experts that will do it all for you.

Accuracy

Inaccurate shipping invoices waste money and slow down supply chains. They also create a divide between business expectations and actual profit, which is why it’s important to minimize these errors. One way to do this is by conducting a Small Parcel Audit. This process helps identify and recover overcharges and refunds from shipping carriers. In addition, it provides insights and data that can help businesses improve their logistics performance. This is why more and more companies are relying on a Small Parcel Audit solution.

Carrier invoices contain a treasure trove of information, including shipment details, delivery dates, package sizes, and more. However, these invoices are often complicated and difficult to understand. Moreover, they can be prone to human errors like duplicate charges and overcharges. To avoid this, shippers can turn to parcel auditing software to save time and money. The software analyzes each item on a carrier invoice and detects mistakes. It also streamlines the auditing process to improve accuracy.

Invoice analysis is a critical step in the supply chain process. It can uncover hidden charges and errors, which can lead to significant financial losses for your company. For example, an invoice might show a ground rate when a shipper should have used an air rate. This can be a result of inaccurate dimensional weight calculations or inaccuracies in zone-based pricing.

Another common mistake is billing for unnecessary services. For example, a shipping carrier may charge for unnecessarily expensive packaging or fuel surcharges. Another common error is a missed proof-of-delivery (POD). Using Small Parcel Audit can help you avoid these mistakes and reduce shipping costs.

Many of these errors can be a result of inaccurate dimensional and volumetric weight calculation. These mistakes can be easily corrected with the help of a Small Parcel Audit. The process is a great way to cut down on shipping expenses. It can also reveal the best possible shipping rates for your products.

It can be challenging for logistical businesses to keep up with changing consumer demands, tightening capacity, driver shortages, and rising fuel prices. Fortunately, with the help of Small Parcel Audit, it is possible to maximize profits and weather market instability more effectively.

Time-Saving

Small parcel audits save businesses time by eliminating tedious tasks like filing claims, disputing declination letters, and verifying promised credits. Additionally, they reveal errors and savings opportunities that can help businesses optimize shipping decisions, which leads to increased profit margins and customer satisfaction. In addition, they enable businesses to negotiate better rates with carriers, resulting in long-term financial benefits.

Parcel auditing services can save your business thousands of dollars by identifying and rectifying overcharges or billing discrepancies. In addition, they can verify additional charges such as storage fees or accessorial charges and ensure that the discounts you’re entitled to are applied correctly. In addition, they can also verify zone pricing to ensure that you’re paying only what you agreed to in your contract with the carrier.

Typically, a company that provides parcel auditing services will charge a fee for their service. This fee is often a percentage of the refunds they recover for clients. However, there are also providers that offer a flat monthly rate and guarantee refunds for invalid charges. These providers can be a great option for businesses that don’t want to pay a percentage of their refunds but still want the peace of mind of knowing they’re getting a quality service.

With specialized software, you can monitor the details of your shipping invoices for errors and overcharges. In addition, you can review the tracking information for each shipment to make sure it was delivered on-time and in good condition. These details can be used to collect a refund from your carrier or to use as leverage during future contract negotiations.

When choosing a parcel auditing provider, it’s important to look for one that offers a transparent pricing model and a full suite of software features. Some providers, such as Lojistic, have a flat monthly subscription and guarantee refunds for all invalid charges. Others have a sliding scale based on the complexity of each shipment. It’s important to choose a provider that offers the solution that works best for your business. In addition, be sure to consider the company’s experience and reputation within the industry.

Visibility

With the technology boom, consumers have more options than ever when it comes to shopping online. However, more choices mean increased competition and a more complex supply chain network. Keeping profit margins high and reducing costs are essential for businesses to stay competitive and profitable in the modern market. This is where parcel auditing services come in. These services help evaluate and monitor shipping operations to catch errors and inefficiencies, allowing companies to save money on unnecessary costs.

There are several types of parcel audits available, ranging from manual to automated software. Manual audits require companies to review their carrier invoices and search for mistakes, such as overcharges or unauthorized charges. This type of audit is best for small businesses with a more straightforward shipping setup who want complete control over their shipping costs. Automated parcel audits, on the other hand, are designed to identify errors in shipping invoices and other data-driven insights that may result in savings. The process compares rates negotiated with carriers against invoices for each shipment to detect problems like duplicate charges, overcharges, and misapplied discounts.

Whether it’s an address correction charge that doesn’t belong on an invoice or a phantom accessorial charge for dimension weight, these errors add up and cost businesses a lot of money. Fortunately, most carriers offer refund policies for these kinds of mistakes. A few well-timed, targeted requests for reimbursement can help companies recover a significant portion of their shipping spend.

Aside from saving money, regular parcel audits also help build and maintain strong relationships with carriers. It shows your carriers that you’re a reliable partner who takes the time to understand the details of their agreements, a quality that can be appreciated during times of economic uncertainty and market volatility. These relationships can also be useful when negotiating future contracts, as it provides carriers with the opportunity to advocate for conditions that match your business needs.

In addition to catching errors that could lead to costly overcharges, small parcel audits can also reveal other inefficiencies in your shipping processes. These findings can be used to improve your shipping practices and boost productivity in the future.