02/15/2008 - Damage, loss, and claims are an unfortunate part of logistics that can increase transportation costs as well as create unstable relationships between transportation freight brokers and clients. Therefore, minimizing shipping risk is in the best interest of all parties involved. Being proactive and following these few simple steps can avoid freight damage and claims.

Vendors and Suppliers:

Properly preparing freight is an important first step for any shipment. You should consistently check how well your vendors and suppliers adhere to proper procedures when packaging your shipments. Check items such as:

• Packaging: Containers should be suitable and never exceed the maximum gross weight. They should be large enough to allow for adequate cushioning material and should be in good condition. Each item should be wrapped separately, and the container should be closed and secured with strong tape.


• Shipping label: Properly labeling each container on the top of the box is important. Use only one label and remove all old labels. Always include a full return address.
  

Inbound/receiving:

The change of custody of your freight is a critical moment. When a shipment arrives, it should be inspected by trained staff. Items to consider include:

• Are the correct number of boxes accounted for as per the airbill or truck bill?


• Are there any damaged boxes?


• Is the freight being moved and stored properly?

More than anything, the best way to prevent loss and damage is to select qualified individuals to manage the process.

Carriers/Transportation Freight Brokers:

The final and perhaps most important step in minimizing damage is to partner with a reliable transportation freight broker. When considering a transportation partner, here are some questions to ask:

• What is the current claims rate?


• What quality standards, such as ISO9000, does it adhere to?


• How is cargo moved within the carrier's facility and is it secure?


• Does the carrier maintain separate shipping and receiving operations for security?


• Is the carrier's equipment state of the art?


• Does the carrier conduct dock checks?