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Wednesday, October 12, 2011

Are you collecting all possible revenue?

LoadTrek.net clients are reporting to me that they are charging (and collecting) more accessorial charges than before.  Virtually all freight and bulk shippers agree to pay some accessorial charges other than fuel surcharge; detention, demurrage, extra stops, extra services, etc.  You just have to prove it and document it.  An article in the Journal of Commerce tells us the same thing

In LoadTrek's billing validation; make sure you are charging (or at least attempting to charge) for actual miles instead of book miles. 

Are you using "Tasks"?  These can be anything related to loading or unloading; extra hoses, pump charges, mall deliveries, hand-sort and stack, etc.  You'll make certain you are paying the driver correctly, monitor driver productivity, and correctly bill the customer. 

When you use the Analyzer to look at the profitability of loads and customers, add and remove distance and time to reflect the nature of these extra services you provide.  You'll clearly see what these extra services cost. 

I am not running a fleet any more.  But if I was, maximizing collection of accessorials would be a top priority. 

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