Costly Mistakes When Managing a Shipping Company

If you’re in charge of managing a shipping company, you know the many challenges in the shipping and freight industry. One error can change the shipment’s destination and budget. This is why multiple procedures are in place to lower the chances of mishaps. By making frequent errors, you could decrease your customer satisfaction and lose out on business opportunities.

We’re here to help you put your best foot forward and optimize your shipping operations. Here are the top four costly mistakes you could make when managing a shipping company.

Listing the Incorrect Classification

One of the biggest mistakes you can make is listing the wrong weight or freight classification on a shipment. The classification and destiny of a shipment and other factors help determine the overall cost of the shipment. If you put the freight in the wrong class, it could greatly impact their operations and budget. To remain a trustworthy business, ensure you get the most accurate measurements.

Not Double-Checking the Shipping Label

You would be surprised how easy it is to mix up someone’s shipment and send it to the wrong address. You could get in a costly bind by not checking the shipping label. If you ship to the wrong location, you could endure rerouting fees and miss deadlines. Ultimately, you’ll have unsatisfied partners and customers. This small mistake can cause you to lose professional relationships and business.

To prevent this mistake from happening, make sure that you triple-check the shipping label to ensure that the shipment is going to the right place.

Running Out of Packing Supplies

Having a few packing supplies is a common but costly mistake when managing a shipping company. If your company offers packaging and shipment securement supplies, you need to have enough in your inventory. Running out of boxes, labels, tape, or bubble wrap can greatly diminish customer satisfaction.

Keeping these items on hand is important, especially when preparing for peak shipping season. You may need more boxes than you have ordered. If you don’t prepare in advance, that could lead to delayed deliveries and unhappy partners.

Offering Discounts You Can’t Afford

While customer satisfaction is essential for growth and success, offering promotional deals and discounts you can’t afford can run you out of business. It’s important to understand that you don’t have to provide things that don’t make financial sense. For example, you shouldn’t lowball your prices or offer free shipping in the name of “competitive pricing” if you can’t afford it. You’ll just end up hurting your business in the end. A quick evaluation of your accounting records will tell you if you need to make some adjustments.