Freight auditing is a critical process for companies that rely on shipping services to transport goods. The goal of freight auditing is to ensure that companies are not overcharged for shipping services by identifying and correcting errors and discrepancies in freight bills. In this article, we will discuss the most important data sources for conducting a freight audit.
Freight invoices are the primary source of data for conducting a freight audit. These invoices provide information about the shipment, such as the carrier, the shipment date, the origin and destination, the weight and dimensions of the shipment, and the cost of the shipping service. Freight invoices should be carefully reviewed to ensure that they accurately reflect the services provided and the agreed-upon rates.
- Bills of Lading:
Bills of lading are legal documents that serve as a receipt for the shipment and a contract between the shipper and the carrier. These documents provide detailed information about the shipment, including the contents of the shipment, the weight and dimensions, and the pickup and delivery locations. Bills of lading should be reviewed to ensure that they accurately reflect the shipment and that the carrier has fulfilled its obligations.
- Carrier Contracts:
Carrier contracts are agreements between the shipper and the carrier that define the terms and conditions of the shipping service. These contracts typically include information about the rates, services provided, liability, and dispute resolution. Carrier contracts should be reviewed to ensure that the carrier is adhering to the agreed-upon terms and that the shipper is receiving the agreed-upon services.
- Proof of Delivery:
Proof of delivery is a document that confirms that the shipment has been delivered to its destination. These documents provide information about the delivery date, time, and location, as well as the name and signature of the person who received the shipment. Proof of delivery should be reviewed to ensure that the shipment was delivered to the correct location and that the correct person received the shipment.
- Shipping Records:
Shipping records include all records related to the shipment, including order forms, packing slips, and tracking information. These records can be used to verify the accuracy of the freight invoices and bills of lading. Shipping records should be reviewed to ensure that they match the information provided on the invoices and bills of lading.
In conclusion, conducting a thorough freight audit requires access to multiple data sources, including invoices, bills of lading, carrier contracts, proof of delivery, and shipping records. By carefully reviewing these data sources, companies can identify and correct errors and discrepancies in their freight bills and ensure that they are not overcharged for shipping services.