A Parcel Audit Can Reveal the Costs of a Late Package Delivery Author: akecskes
May 29, 2011

Determining the actual cost of a package not delivered on time can get pretty complicated, since there are so many aspects to this "failure in service." A parcel audit using an experienced parcel auditor can help identify some of these costs.

A parcel auditor can help recover the economic loss of a late package. A parcel audit will identify packages delivered late, itemize the transportation costs, and file the refund claim. Late shipments may also have a cascading effect on other shipments, delaying work and pulling resources away from other jobs.

On the other side, there's the intangible cost of unhappy customers, something you know will affect your business. A parcel auditor probably knows you'll spend time on the phone responding to complaints from your customers. To keep a customer happy, will you may have to pay extra for a "rush" shipment. When you employ a third party parcel audit it will help reduce the hours you previously spent tracking packages and managing the claims process.

Experienced parcel auditors will tell you that you can't place a price on disgruntled customers. What's the cost of finding a potential customer, establishing a customer relationship, and maintaining that relationship? How many late shipments will your customers tolerate before they leave to find another supplier? These are the intangible problems a parcel audit may help to minimize.

Regardless of how you answer these and other questions, the impact that late shipments can have on your business can be substantial and, in some cases, lasting.

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