How to Choose a Freight Audit and Payment Provider

Freight audit and payment (FAP) providers streamline shipping billing and payment processes, analyzing invoices to identify where you may be overspending. They help enhance transparency, ensure billing accuracy and reduce costs in logistics.

Manufacturing, distribution, retail and e-commerce businesses depend on experienced FAP providers to audit invoices, consolidate & track payments, allocate costs, analyze spending and find areas for improvement. With advanced tools, cloud-based software and an expert team, you can automate invoicing processes and significantly reduce costs.

Importance of Freight Invoice Management

Freight invoice management services are essential. Freight audit and payment providers manage your company’s shipping costs, resulting in the following advantages:

• Effective budgeting: A FAP provider helps you budget effectively. FAP providers have the skills and experience to allocate your shipping funds accurately.
• Cost savings: You can depend on a reliable FAP provider to help you reduce costs. FAP providers carefully review your invoices for billing errors to help you avoid overpaying based on the invoice not matching your contractually agreed upon rates with the carriers. They can also negotiate with carriers to help you get the best prices.
• Streamlined processes for greater efficiency: FAP services streamline your payment processes. This gives you and your staff more time to focus on other important tasks, boosting productivity and efficiency.

How Do Freight Audit and Payment Pricing Services Work?

FAP services work in the following steps:

• Auditing: FAP providers review your invoices, ensuring they are accurate based on your carrier contract and comply with regulations. They review shipping data and contracts to compare your billed charges to the expected charges. Freight audit and payment pricing professionals ensure all of your charges are accurate, identifying potential overcharges to prevent you from overpaying.
• Payment: An FAP provider pays your carriers based on your contract terms. They all consolidate all your carrier invoices into one weekly payment, reducing the number of carrier payments made by either check or wire.
• Analysis: Your FAP provider analyzes your spending and identifies and recommends areas of improvement.

How to Choose a Freight Audit and Payment Provider

Choosing the right freight audit and payment provider is vital. An experienced provider has the background and skills to help you use your money wisely and get the most cost savings.

1. Ensure Expertise and Alignment

Internal and external audit managers must have a thorough understanding of your company’s business rules and processes. As well as having expertise in understanding carrier contracts and pricing (in all modes).Ensure all audit managers are knowledgeable about your industry and company specifics. This helps minimize inconsistencies and ensure accurate audits.

2. Define Scope Incrementally

Break your project down into smaller, clearly defined phases. This approach facilitates better focus, course correction and alignment among stakeholders.

3. Request Regular Reviews & Performance Reports

Regular quarterly reviews keep you informed so you can address potential issues proactively. Require quarterly report cards from your provider so you can evaluate their performance against agreed-upon metrics.

4. Create Comprehensive Requests for Proposals

Detailed requests for proposals (RFPs) help you assess these provider capabilities:

• • Data security
  • Compliance
  • Financial safeguards
  • Pricing structures

• References

5. Ensure the Provider Leverages Technology for the Best Results

Advanced technologies such as artificial intelligence (AI) and blockchain help ensure secure, efficient audits. Use automation and cloud-based tools to do the following:

• Invoice Trackability (EDI or other means of electronic invoice submittal)
• Streamline the audit process
• Identify discrepancies
• Improve accuracy

6. Monitor Freight Spend Patterns

Regularly analyzing freight spending data helps you identify trends, inefficiencies, and cost-saving opportunities. You can plan proactively with predictive analytics. Choose a provider that uses predictive analytics to optimize your processes. This ensures they offer the most accurate results and can help you save the most money.

7. Ensure the Provider Negotiates for Better Rates

Experienced FAP providers have benchmarking capabilities and can collaborate with carriers to secure more competitive rates and reduce costs. Choose a company that focuses on building long-term relationships with carriers to further increase your savings.

8. Gain Internal Buy-In

Explain the advantages of freight audit services to all stakeholders across your organization. Emphasize how FAP services can boost efficiency, profitability and financial control. When everyone is on the same page, you can make a collaborative decision about which FAP provider and services work best for your company.

9. Establish Clear Payment Policies

Clear payment terms and procedures help you avoid confusion. Ensure you make your company’s policies accessible and communicate them to all stakeholders. This ensures your FAP provider has the information they need to deliver the most accurate invoices, payment analyses and cost reduction opportunities.

Broussard Logistics Freight Bill Audit, Payment and Reporting Services

Broussard Logistics offers the following freight bill audit, payment and reporting solutions:

• Freight post-audit: Our professionals are experts at auditing freight charges, enabling us to identify overcharges on freight bills you previously paid as long as you submit them within 180 days. If our team catches errors, we can file claims with the carriers on your behalf and secure refunds for you.
• Freight invoice pre-audit: Auditing freight invoices before payment ensures your bills are paid correctly. We can address your company’s unique pricing requirements, automate the coding process and help you maintain accuracy. We also use a cloud-based reporting system to save time and eliminate paper.
• Parcel audit: UPS^® and FedEx^® offer a shipping charge refunds for Express shipments that arrive after their published transits, but tracking shipments and filing for late deliveries can be challenging and time consuming. Our advanced parcel data reporting software automatically detects late deliveries so we can file for and help you secure refunds/credits to your account.

Professionals at Broussard Logistics use an assessment tool to analyze your company’s logistics operations. This data-driven software platform identifies areas for improvement and potential cost savings. We offer this insightful assessment to help you understand your company’s existing logistics performance in comparison to industry benchmarks and estimate the potential return on investment (ROI) if you utilize our services.

Trust Broussard Logistics With Your Freight Audit and Payment Services

FAP services are crucial for balancing your company’s budget, reducing costs and boosting efficiency. Broussard Logistics offers Freight Bill Audit, Payment and Reporting Services to help you manage your billing and payments.

Since 1978, Broussard Logistics has strived to build a long-lasting relationship with each client. We offer excellent customer service with a personal touch, supporting you and your company with enhanced, client-specific reporting. Our dedicated account professionals are highly attentive to your needs and offer one-of-a-kind solutions to expand your bandwidth and lighten your workload.

We specialize in expense reduction and have over 45 years of experience helping clients save money. With advanced technological tools and a cloud-based reporting system, we help maintain accuracy and identify discrepancies quickly.

You can depend on Broussard Logistics to streamline your freight billing and payment processes and help your business run smoothly. Request a consultation to learn more about our services and how we can help you reduce overhead costs.