The Logistics Management Service
In today's transportation market place, effective logistics management is becoming a more viable means of meeting transportation needs for both shippers and motor carriers. Logistics management is not only cost effective, but are service oriented as a means of carrier control and shipper support. At BP Logistics, Inc. we combine the positive aspects of controlling our own fleet of trucks to retain flexibility in meeting customized needs of the shipping industry as well as utilizing a logistics management team to satisfy additional volume and cost effective transportation. The following are advantages for both the Shipper and Carrier when a Logistics Management Service is utilized.Advantages for the Shipper:
Billing
While utilizing the services of multiple carriers as a part of our logistics management to serve many locations, billing is received from one source, reducing paperwork and errors.
Claims
In many cases potential claims will be handled and eliminated upon delivery. When there is a justified claim, you deal with one company instead of multiple carriers. We take on the liability of the claim. Overall man hours will be saved and claims will be expedited.
Communication
When working with a Logistics Management Team you have less potential errors in scheduling the pick ups and deliveries helping you utilize your labor costs more effectively by:
1. Utilizing EDI load tendering
2. Load Tender via E-Mail and the Web
3. Utilizing “One Call Does It All” Services
Rate Negotiations
When working with a Logistics Management Service, the carrier is utilized in the lanes best suited for their operation and rates are negotiated accordingly. Other carriers are secured for the optional or irregular lanes by using regional or corporate fleet carriers. Our carrier is used to overcome failures and hot shipments while maintaining regular service to your customers. It is still the shipper that approves all carriers to be utilized in their transportation.
Service
Service is maintained by meeting carrier needs as well as the shippers. Examples of this are the carrier study by lane and the commitment of the shipper in a "partnership environment."
Advantages for the Carrier:
Sales Cost Reduction
Valuable time making sales calls are reduced when carrier selection is made on the criteria of his commitment to lane needs and service only. The shipper will also see the end result of this since he does not use his time giving additional interviews.
Carrier Selection Process
Carrier selection is based not only on the shippers needs but also the carriers needs. By allowing a carrier to quote his preferred lanes and not force others on him, his cost center is more often in line and service is at a high standard. Forcing a carrier to "take the good with the bad" is no longer a means of securing good service.
Team Commitment to the Carrier
Carriers have the opportunity to develop a "partnership within a partnership". The brokerage utilizes carriers all over the country as opposed to one facility. We load carriers based on service and rates to points that are their headhaul and backhaul. This develops a situation where the broker in essence becomes the carriers sales force. Both are committed to each other.
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