If you run a business that relies on transporting goods, then you already know how much of a drain on finances this aspect of your business can be. Fortunately, with a little effort and some professional insight, you can cut these costs significantly and put money back into your cash flow while getting your business transportation running smoother than ever before.
- Ensure You Adhere to All Regulations
Commercial transportation – particularly trucking – is one of the most heavily regulated industries in the modern economy. They cover nearly every detail of the transport process, including how long a driver may be on the road in a single stretch, the weight of freight and the maintenance schedule of the transporting vehicle. Failure to adhere to these federal regulations will result in heavy fines which will prove a huge drain on your business finances. Working with a team of professionals allows you to assess your practices alongside current regulations to ensure all of your operations are up to speed.
- Optimize Your Drivers’ Routes
It’s estimated that the average cost of commercial transportation within the United States is around $1.82 per mile traveled. This figure is rising every year, and with some trips requiring hundreds of miles, it’s imperative to make the trips as efficient as you possibly can. While finding the most direct routes from the source to the destination is, of course, imperative, other issues such as traffic, toll expenses and more must be taken into consideration. This detail-oriented task may seem time consuming at first, but it’s well worth it to save hundreds or even thousands of dollars on your transportation costs.
- Seek Professional Guidance
You run your business confidently and successfully. However, no one can be an expert in every aspect. Never hesitate to reach out to a team of professionals who specialize in any particular aspect of your business. Investing in transportation consulting is an excellent way to receive clean, clear feedback and guidance on your transportation practices and gives you an excellent foundation upon which to build better systems that benefit your bottom line.
A team of trained professionals can:
- Run system benchmarks to determine efficiency of equipment
- Create optimized routes for each of your individual transportation needs
- Create models of fleets for more accurate results
- Create plans based on the type of shipping you’re doing (grocery, electronic, or others)
- Update Your Systems
Often, making your fleet more efficient means making an up-front investment. Upgrading or updating the systems you use to track and communicate your fleets may cost you some cash up front, but allows you to seriously save in the long run. By keeping better track of both your drivers and your cargo, you’re better able to identify potential pitfalls in your current transport practices so you can make the necessary changes. Furthermore, it’s crucial to tailor these systems to your specific shipping needs, a task which a team of consultants can help you with to ensure you’re covering all your most important bases.
- Create a Roadmap
Enhancing your transportation practices doesn’t have to be a stressful undertaking. Once you’ve gone through the process of figuring out which areas need improvement, work with a team of consultants to create a roadmap for implementing those changes. This way, you can prioritize the most pressing issues to promote faster results while giving yourself more time to reallocate incoming cash flow to future improvements. As is the case with every aspect of your business, thorough planning is key.
- Vet Your Drivers
You should always be heavily selective about the professionals you trust to transport your cargo. Hiring responsible drivers not only ensures your cargo arrives at its destination on time and in pristine condition, but also allows you to cut down on a number of costs such as administration expenses and insurance payments. Pair a responsible driver with new on-board technology and you have a recipe for success.
Transportation is more important than ever before for modern business owners, but the cost is rising annually. Take the steps to make your transportation practices more efficient to maximize your cash flow and ensure the future stability of your company.
