Should you tender your freight transportation requirements and if so how do you generate a RFP to cover this vital piece of your business? Like it or not your transportation service provider is an arm or is part of your business. Picking the right vendor to move your product to and from your business should garner more attention from the purchasing department than what it typically does.

Many organizations just go with the company that has always managed their freight and often very little due diligence has been completed to determine the most suitable carrier for their business. Poor quality service for incoming freight can hurt or shutdown your business if it is not delivered on time and in one piece. If your goods are sensitive to the environment you will want to do everything you can to mitigate liabilities and show due diligence in the event you are included in a legal battle as to who was and is responsible for the goods while in transit. Good article here on FOB Points.

On our arterial roads and highways, the trucking industry moves million of tons of merchandise daily. It is truly one of the largest and most important industries to our economy. The scope or significance of this industry is staggering and yet many companies do not give it a second thought or serious consideration when it comes to who they should partner with. Part of this might be the buyers uncertainty on how to tender or quote this service.

To properly quote your freight requirements your RFP should include a section which provides the bidders a good picture of the amount and type of freight you move in any given year or twelve (12) month period.

EXAMPLE:

The estimated annual LTL (Less than Truckload) tonnage is Read the rest of this entry