While the recent economic issues have resulted in many small carrier companies and independent operators going out of business, there are still more than a few carriers to choose from. How does a shipper choose a good carrier for their freight? What are the most important things to look for in a carrier? Choosing at random and praying for the best isn’t smart, but here are some ideas to help find a carrier.
Reputation and Experience
Perhaps the single most important thing to look at when considering a carrier is their reputation. The best way to gauge the reputation of a carrier is by word of mouth. Ask other shippers who have done business with them before how they performed, if they were professional, what their general impressions were, etc. See if any of your current carriers have heard things, good or bad, about them. Just beware of bias when asking, as competitors may, sadly, bad mouth each other on occasion.
For a slightly less biased view of a carrier’s reputation, try looking them up on the internet. See if they are active on any load boards, and if they are, if the load board gives them any kind of review. Does a general search bring up any information that affects your opinion of the company?
Check for metrics of quality service. On-time delivery record, damage-free delivery record, etc. are all important tools to measuring a carrier company’s performance. Remember that speed is key in the transport industry. Gather information on how well the carrier has performed previously in regards to shipping goods on time and undamaged.
Find out how long a carrier company has been operating. More experienced companies are more likely to have more competition for their business and to charge a higher price, but you know that they know what they are doing and can do business with them more confidently. Newer carriers shouldn’t be ruled out entirely though, everyone has to start somewhere and a new company may provide you with good service at a much lower price than a more established company.
Routes and Location
You might not want to hire a carrier based in Alaska to transport something from Dallas to Philadelphia for you. Does the carrier provide service in the area you need? Carriers that are based around the location of either the origination or destination of your load(s) are going to have an easier time delivering.
Also consider the specific route(s) you need. Are there any difficulties particular to these routes that the carrier company might not have experience dealing with? If you foresee a need for special flexibility, find out how well the carrier can meet that need.
Trucks and Equipment
You’re considering this company to deliver freight for you. If their vehicles are not capable of hauling the load(s) you need, then you know not to hire that carrier. Do you only need full loads, or will you need carrier willing to take partial loads? Does the carrier have refrigerated trucks if you need them? Make sure the company has trucks that can handle any type of load you might need them to, whether it’s loose or break-bulk, partial or full.
If you can, do a physical inspection of a few of the company’s trucks. Make certain they are in good working condition, able to haul the load(s) you need as far as you need them to go. If you are looking for a carrier to transport many loads for you, make certain this carrier actually has enough available vehicles to do so. Trucks are no use without drivers, so be certain the carrier company has a loyal base of drivers working for them.
Other equipment used by carrier companies include fork lifts, portable dollies and hand jacks. Make sure the equipment the carrier is using to load and unload your freight is in good working condition, and the workers operating it are properly trained in their use.
Long Term
A carrier company can be a long-term business partner for a shipping company. If that is what you are looking for, not someone to just haul a few loads this one time, there are a few other qualities to look at.
Stability. Is the carrier company financially stable? A financially stable business partner is a must. Find out if they have a good history of reinvesting their profits into the company, repairing and upgrading their trucks, implementing better driver training, etc. Be certain the business is still healthily in the black, not on the verge of insolvency.
What does the company’s driver turn over rate look like? Turn over rates among truck drivers are high everywhere right now, but an abnormally high rate of turn overs may indicate unusual problems with the company.
Find out how technology friendly the company is. We live in a world constantly being changed by advances in technology, and you need a partner that will change with it to stay competitive. Can the carrier provide real-time shipment status? Do they have the tools to get advance warning of service failures and communicate them quickly?
If you need now, or might in the future, intermodal transport for worldwide transport, can the carrier support that? Find out if the carrier has good partnerships with reputable intermodal transport services that can get your freight wherever it needs to go, from mainland China to the Pacific Rim.
One more thing to consider is how environmentally friendly the carrier is. This may not be the most important factor in choosing to do business with a carrier company or not, but public concern over environmental welfare is high and still climbing. Freight transport has a large environmental impact so doing business with a carrier who takes steps to protect the environment, or not, may end up reflecting back onto your business.
Finally, it is best to look past the immediate cost of doing business with a particular carrier company to everything they have to offer. If they don’t bring much to the table but a high price tag, then don’t do business with them. However, if they are a little costlier than some other companies, but have more to offer you, perhaps they are the best choice.