Carrier Contract Negotiation

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Small Parcel Freight Shipping Contract Negotiation & Analysis

The most effective way to reduce freight shipping costs is to modify your current small parcel freight contracts. It is common knowledge that the small parcel carriers sell freight shipping contracts that maximize carrier profit. UPS contracts and FedEx contracts include numerous variables that determine the final small parcel freight shipping costs of a package. A small change in an accessorial charge, carrier tariff schedule, service incentive, deferred incentive, minimum net charge, or carrier surcharge can substantially reduce shipping costs. The carrier contract pricing experts at Source Consulting use highly developed analytic software and industry knowledge to analyze and compare current FedEx contracts and UPS contracts. Source Consulting's freight contract negotiation team will help your company modify current freight contracts, resulting in reduced freight costs.

Source Consulting employs the carrier pricing expertise of former UPS, FedEx and DHL employees with innovative small parcel freight shipping rate analytic technology to maximize freight cost savings. Due to our extensive knowledge and understanding of the industry's complex pricing environment (both domestic shipping rates and international shipping rates), we are able to effectively analyze and benchmark carrier proposals, resulting in reduced shipping costs for our clients.

What Source Consulting Will Do To Reduce Shipping Costs:

Our carrier pricing experts will perform an analysis of current shipping contracts to determine small parcel freight cost reduction opportunities. Source Consulting's carrier pricing analytics, freight cost benchmarking knowledge, carrier negotiation expertise, and shipping industry experience enable our team to precisely identify areas of opportunity to improve your existing small parcel freight contracts. We will develop a customized strategy to optimize your shipping contract incentives and structure. Source Consulting will manage the UPS contract and FedEx contract negotiation process on your company's behalf. On average, our customers experience a 12% small parcel freight cost reduction after our carrier pricing and negotiation team executes the following steps:

  1. Gather customer shipping data and develop shipping profile
  2. Expert analysis of current small parcel freight shipping contracts
  3. Develop carrier negotiation strategy and set freight contract goals
  4. Submit customized Formal Request for Quotation (RFQ) to UPS and FedEx
  5. Freight rate negotiation with small parcel carriers
  6. Analyze and compare UPS and FedEx proposals
  7. Continued freight contract negotiation with carriers
  8. Implementation of new small parcel freight shipping contract
  9. Monitor carrier performance and freight contract compliance

Why Source Consulting?

Source Consulting employs the freight bill audit resources of highly experienced former UPS, FedEx and DHL employees with innovative logistics audit technology to deliver maximum freight cost savings results. Of all freight audit companies we believe our freight auditing solutions are most effective in reducing shipping costs. As your UPS auditor and FedEx auditor, Source Consulting will guarantee freight cost reduction. Our fees are performance-based, meaning our compensation is a contingent share of actual freight cost savings produced by our freight bill audit services. Employing the logistics audit technology and carrier audit pricing expertise of Source Consulting will dramatically reduce your shipping costs and increase operational efficiencies.