Freight audit services involve reviewing and verifying freight bills and invoices to ensure accuracy and compliance with agreed-upon rates and terms. These services are essential in freight forwarding and logistics to help businesses manage shipping costs and identify discrepancies.
The primary purpose of freight audit services is to ensure that companies are not overcharged for shipping services. By carefully reviewing each invoice, auditors can identify billing errors, rate discrepancies, duplicate charges, and incorrect classifications.
The process typically involves:
- Collecting and analysing freight invoices.
- Comparing them against contracts and tariffs.
- Checking for any inconsistencies.
Advanced software and expert auditors are often used to streamline this process and provide detailed reports.
Example
A company regularly ships products internationally and receives numerous freight invoices. By using freight audit services, they discover several instances of overbilling and incorrect charges. The auditors correct these issues, saving the company money and ensuring accurate billing in the future.