22 May 2017
SMART Auditors to the Rescue
At AMTR, we address the complexities of freight costs for our customers on a daily basis. These complexities are many and varied and consistently impact the movement and subsequent invoicing for freight. From billing errors, to innocent typos, to inaccurate interpretation of contract wording, no company is immune. Even the implementation of pre-audit and/or use of transportation management systems cannot guarantee error-free execution. Why? Problems are often unique and multifaceted, as the following examples demonstrate:
Example 1: Billing problem. A carrier’s standard rules tariff allows them to combine shipments between the same shipper and consignee on the same day. Each shipment is originally given a pro number, but the carrier may cancel one number and bill for both shipments on another. In another case, both freight bill numbers might be canceled and a master bill created. Either scenario may result in multiple payments. AMTR frequently recovers $1,000 or more per freight bill based on this issue.
Example 2: Publication errors or typos. AMTR has been instrumental in detecting missing lanes that were previously included in rate items or rates that seem to be in the wrong columns within a pricing document. We work with the carrier to get these errors adjusted in the next revision of the tariff. However, if both the carrier and the client load the wrong rates, then overcharges are virtually impossible to detect. We were able to recover over $35,000 for a client who paid the wrong rates while their lanes were being corrected.
Example 3: Inaccurate interpretation. The difference between “and” and “or” in rate condition notes can be great. An “or” statement means that two different instances can apply but many computer programs do not apply such logic correctly and humans often miss the intent of the condition statement. In one instance, the word “or” was worth a $70,000.00 overcharge claim!
The SMART auditors at AMTR know these scenarios–and countless others–well. We use expert knowledge and years of experience enabled by leading-edge IT to determine the correct freight costs for our customers. If you need a freight cost “rescue,” give us a call or email us today.