A prospective logistics provider must be knowledgable in the specific service area that meets your company’s needs. If a transportation company has a lot of knowledge of logistics, then they can offer you safe and highly efficient logistics services.
In addition to the service area, the company should prove that it is capable of meeting your short-term and long-term requirements.
2. Customer service
Find out if the logistics provider can prioritize and solve your problems fast and effectively. Make sure to do some research online to see what previous clients have to say about the company. If the feedback you get is positive, then you can hire them.
3. Determine the Safety Records of the Company
Due to the ever-changing landscape of safety regulations, it is imperative that you select a logistics provider with a strong safety record.
4. Company stability
Whether your supply chain is simple or complex, select a logistics provider with overall company stability. Top suppliers are consistent suppliers. How long has the company been around?
Furthermore, if one high-liability event occurs and your provider cannot withstand the fallout, the liability often shifts, in effect, to you the shipper. This concern can be eased if the provider’s “word”, name and reputation have remained intact through decades of market turbulence and economic uncertainty.
5. Company reputation
In a new business arrangement, you can rest assured that at some point the relationship will be tested
Often it as at this juncture, that the character of the service provider’s leadership will be revealed. Before it is too late, investigate whether the provider is likely to respond with integrity and honor. Time will reveal whether the firm has a good, bad, or ugly reputation with customers, suppliers, and employees.
- How do they treat their suppliers and employees?
- Are they an active and positive force within their community?
- What type of reviews do they have online?
- What are the consistent themes that appear again and again in their marketing material?
- How long have they been in business?
The answers will go a long way to determining how the provider will be as a supplier and partner.