5 Ways you can reduce your transportation costs by inbound transportation Strategy

Logistics firms often forget about the possibility of savings through an effective inbound logistics strategy. Unfortunately, this disconnect could be costing tens of thousands of their earnings. In addition to this, managing vendors and inbound logistics is a lot of work for such a small gain, yet the possible savings by opting an inbound logistics strategy can add up through these key ways.


  1. Lowest-Rate Carrier Selection Reduces Your Costs.
    Having the power to control inbound logistics is an obvious benefit. You choose the carrier, and avail specially negotiated rates. With the exception for critical shipments, you can lower your costs down by always ensuring the lowest rate carrier for your inbound shipments. You need to be sure that your business benefits from selection of the carrier & not your suppliers. Moreover, having controlled selection might make things easier for vendors because they will have even lesser responsibilities in sending shipments.

  2. Thorough auditing to avoid duplication
    Lack of visibility is one of the problems with not using an inbound logistics program. Where vendors control the processes & packages may show up without prior notice or on  un-preferred times. Furthermore, your company must pay the costs of shipping, which can be more than the carrier’s charges. Unfortunately, without controls in place, you will have traces to track about how you are not paying more than what you owe.Choose to new age technologies for support.

  3. Choose to new age technologies for support
    Modern day technologies are a big support to inbound logistics strategy which can be executed easier than believed by real-time order tracking. Order Management Metrics prevent overbilling and overpayment to vendors. Even if a shipment is overbilled or double-billed, software can identify the problem and issue a chargeback to the vendor or carrier.

  4. Streamlined Claims Processes Reduce the Amount of Time Correcting Issues

    Claims can be a result of many kinds of issues, including damage in transit, lost shipments, unforeseen delays and many more. Inbound logistics strategy harmonizes claim processes by keeping you in control of the procedure of the claims. Therefore, you can treat the load of work that goes into learning carrier requirements for claims and release payment for the approved claims faster.


  5. Freight Consolidation Enables Better Rates Through Volume Discounts.

    Carriers tend to charge less for shipments of greater weight and volume. However, working with multiple vendors might block you with the responsibility of managing thousands of small parcels. On the other hand, creating or implementing an effective inbound logistics program enables vendors to hold packages for pickup until the sum of all packages equates to full-truckload size.


    With this strategy, we will be able to optimize the process from the root level and streamline the structure of operations from the very start. Furthermore, these points, when taken into consideration while making cost reduction decisions; stand-alone, can help you treat a lot of uncertainty and chaos and unwanted clutter in the process.