5 TIPS TO HELP YOU BETTER CONTROL YOUR FREIGHT COSTS

If you have your own trucking business, these 9 tips will help you cut down and start to better control your costs.

1. USE TMS and trucking dispatcher training
A good transportation management system (TMS) will help you manage cargo better, automate payroll, and make it easier to report fuel usage. The system will allow you to generate invoices and documents issued by the cargo carrier to its owner, while providing detailed reporting and statistics on your business. TMS will reduce the time you spend on office tasks and save you money. It may seem counterintuitive to save money by spending money on using TMS, but according to statistics, TMS users get an average of 12% more profit.

2. DETERMINE THE COST OF EACH KILOMETER
Knowing how much money you spend per kilometer driven by your vehicle is an important metric to help you better control costs. If you don’t know how much you’re spending, then you won’t be able to figure out where you can cut costs. Take the time to track your trucks on flights and calculate expenses.

3. TRACK YOUR BUDGET EVERY MONTH
You need to constantly monitor the entire cash flow in order to calculate the costs per kilometer and understand where they can be reduced. Look for things you no longer use, such as subscription services that have become outdated. Work with an accountant to calculate profit and loss at the end of the quarter and track the trend of expenses. It is much more profitable and easier to reduce them than to increase existing profits.

4. PROTECT YOUR CARGO
Cargo theft is one of the biggest crimes in Russia and poses a real danger to the entire country. Thieves are always coming up with new and daring ways to steal a trailer with a load. Be sure to familiarize yourself with the best ways to protect cargo and instruct drivers on this topic.

5. DEVELOP AN EFFECTIVE STRATEGY TO REDUCE FUEL CONSUMPTION
You can always limit downtime, but there are a few more effective ways to cut fuel costs, from keeping your tires properly inflated to installing a roof fairing. Make sure you’re using all the latest strategies to cut fuel costs.

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