Parcel auditing is critical to ensuring your shipping company only caters to actual expenses incurred and not additional costs resulting from errors caused by service vendors and carriers. However, as your business grows, the freight invoices become more complex, and so do the parcel auditing and payment. This makes it more challenging to track and analyze your expenses. The following are five benefits of outsourcing your parcel audit.
1. Saves time
From tracking all shipments, waiting for
invoices to arrive, finding initial quotes, filing claims, reviewing ledger
codes, verifying delivery proof, monitoring credit, and validating payment
data, to initiating payment, parcel auditing is tedious and time-consuming. By
outsourcing to trustworthy parcel auditing service providers, you remove the responsibility for the audit operation
from you. This frees up your time, allowing you to focus on other core duties
directly linked to achieving your company’s bottom line.
2. Monetary returns
Outsourcing your parcel audit enables you to
partner with industry professionals with the relevant knowledge and experience
to recover lost funds. Outsourced parcel auditors can inspect and analyze up to
60 points of your shipping invoices to determine areas where you could recover
lost resources. Such points include:
- Late deliveries
- Manifested products that were not shipped
- Incorrect residential fees
3. Cost savings
Leaving the parcel auditing work to a third party
can result in significant cost savings. For starters, it keeps you from
spending a load of cash on advertising an opening, recruitment, interviewing,
and training candidates to get a qualified in-house parcel auditor. You will
also not provide bonuses, paid holidays, and sick leaves, among other employee
benefits.
Outsourced auditors also have the tech tools
required to perform an audit successfully. This means you will not invest in IT
systems like accounting systems and rate management systems that are expensive
to purchase. IT systems also need regular maintenance and upgrades, which
increases expenses.
If your accountants handle parcel auditing
alongside other accounting responsibilities, they are likely to make errors
that could result in losses. Working with a third-party auditor minimizes the
risk of errors, enabling you to save money.
4. Reporting
To provide a reliable company audit, outsourced
parcel auditors analyze every aspect of the shipping process. This means they
will likely provide an accurate and detailed report at the end of the audit. An
outsourced auditor’s report provides helpful insights into the parcel
distributions, enables you to negotiate with FedEx and UPS vendors, reduce expenses, optimize the supply chain, and standardize the shipping process.
5. Scalability
If you maintain an in-house auditing team, you
must invest in employee training or recruit and hire new talent as the business grows to meet the company's demands. This can be
time-consuming and expensive. Third-party parcel auditing companies hire
experts at every industry level so they can quickly scale with your business.
Endnote
While keeping your company’s parcel auditing may appear like a great option, it is time-consuming and tedious. Outsourcing can enable you to save time and improve efficiency, provide monetary returns, save costs and enhance reporting. Be sure to conduct research, read reviews, compare pricing and ask for referrals to a trustworthy, reliable, and experienced parcel auditing service provider.