There are a lot of reasons carriers will owe parcel shipping companies money, and good parcel auditing services will look for them all. Often, parcel auditing looks mainly for late deliveries, and while it’s an important aspect of a parcel audit, there are more savings to be found. A good parcel auditing company will evaluate the invoice for every shipment, and from all carriers, including the major parcel carriers (FedEx, UPS, DHL). By combing through every invoice, good parcel auditing services will find every dollar that parcel shipping companies are owed. There are more ways to save money shipping through parcel auditing than can be discussed right now, but let’s go over a few.
A very common issue that parcel auditing discovers is with incorrect residential accessorials. What qualifies as a residential delivery and what gets called a residential delivery isn’t always the same. Many carriers add an additional fee for making a delivery at a residential address, and whether it’s residential could be determined by databases, or by the delivery driver. This leaves room for errors, which parcel auditing can uncover. Databases can have businesses like stores or offices incorrectly marked as residences, and sometimes delivery drivers can even be mistaken. Residential delivery charges can range from a couple dollars to over $100. Of course, if there are terms outlined in contracts, this will need to be reviewed, but parcel auditing can help optimize your supply chain with these parcel shipping savings.
UPS and FedEx aren’t the only people who can make mistakes, though. Parcel auditing can also discover ways to save money shipping on accidental shipments that you never actually sent. It’s common for parcel shipping companies to create labels that they never use for shipping. These printed labels still get charged to shippers even though they never get shipped. Parcel auditing can discover these errors and get the money back. Without parcel auditing, carriers don’t have an interest in letting you know of these often-unnoticed errors. This not only helps parcel shipping companies save money shipping, but parcel auditing service providers can help avoid these issues altogether to optimize supply chains.
Corrections to addresses are another common issue. These charges can change from around $10 to just under $100 for any correction to an address. The only problem with this is that even correct addresses are often corrected. Parcel auditing services can look at what constitutes an address correction, and get refunds for any charges that shouldn’t be there. Delivery drivers will do their best to deliver to an incorrect or incomplete address, but if the parcel shipping company left out something of significant importance, like the zip code, the charge is valid. The reason parcel auditing is necessary for address correction charges, though, because often common-sense address discrepancies are marked as invalid addresses. Some carriers will end up marking things wrong if street is abbreviated to St., and some will mark it incorrect for the reverse.
Parcel shipping companies will get this charge added on to invoices by some carriers when they didn’t request it. If your package just happens to arrive on a Saturday, but you didn’t request that it be delivered on a Saturday, you’ll still receive an additional charge for extra services. Parcel auditing can get back around $20 per package delivered on a Saturday when you didn’t request those services. Even if the package was otherwise delivered on time, or even early, the additional charge for delivery on Saturday will be discovered by parcel auditing services, and a refund will be filed for to help save money shipping.
Parcel auditing services not only help parcel shipping companies save money shipping, but they help to optimize supply chains through the savings and improved carrier performance they help shape. These are only a few examples of what parcel auditing can uncover in savings, though. There are many more things that can constitute refunds from parcel carriers like UPS and FedEx. It’s important not to settle for extra charges that aren’t yours to pay. Supply chain optimization matters in the shipping industry, and parcel auditing is a fantastic way to save money shipping and improve your parcel shipping performance at lower costs.