Freight Forwarding and International Transport...

International transport often has great untapped potential for cost savings in businesses, because of the lack of specialist knowledge at a senior level.

There are different modes of transport and many different techniques for moving goods in a cost effective manner, and many companies retain the same processes and approach for many years without review because the subject does not feature high on the business agenda.

Companies often accept their freight and customs duty costs without questioning the basis of the calculations. The fixed percentage of material costs is rarely challenged in management reporting data and appears year after year in the preparation of budgets. This is usually happens because senior management is often less experienced in this specialist area and cannot devote the time to acquire the necessary level of knowledge.

The Air / Sea Freight Forwarding and the International Transport markets are large, fragmented and operationally complex. The further issues of transfer pricing, application of currency exchange rates, appointment of agents, payment of customs duties, payment of suppliers and documentation requirements often involves several internal functions blurring the central issue of "ownership of cost control". Often the lack of in house expertise and experience at a management level means there is no effective review of the total processes and potential cost savings are lost.

Bisham can help by :-

• Reviewing your existing supplier contracts at a detailed component cost level to ensure cost effectiveness against current market rates.
• Reviewing Transfer Pricing strategies to maximise financial gain.
• Auditing Customs Classifications and Duty Payments to minimise liabilities.
• Preparing and structuring Contract / Bid Tenders to obtain the optimum service levels at competitive and cost effective rates.
• Provide support to manage the successful implementation of new supplier contracts and procedures.
• Review primary regions to understand the implications of "who pays the freight"
• Analyse shipping line and forwarder service offerings
• Identify the best gateway port contracts and intermodal opportunities

< previous