Defining “Freight Forwarder”
A freight forwarder is a company that coordinates the shipments of goods from one place to another for other individuals and/or corporations. These shipments are carried out through single or multiple carrier types including rail, trucks, airplanes, and ships. Freight forwarders are experts in the supply chain management process and act as the “travel agent” for all cargos and shipments during transport. There are both domestic forwarders and international freight forwarders that handle products and shipments between countries.
History of the Freight Forwarding Service
One of the first established freight forwarders was Thomas Meadows and Company Limited of London, England, founded in 1836. Originally innkeepers, Thomas Meadows established the first international freight forwarding company that re-forwarded the personal items of hotel guests. They arranged carriage by contracting with various carriers in the area. Forwarder responsibilities included advising and managing documentation and customer goods, ensuring all customs requirements were met in the destination country.
Moving forward to today, the freight forwarder retains and carries the same responsibilities. The forwarder operates as a domestic carrier or collaborates with an overseas agent for global coverage. In a single transaction, the forwarder will either act as the carrier or as an agent for the customer. In some cases, they will fulfill both roles.
Principles of Success with Freight Forwarding
To succeed in the freight forwarding process, individuals and companies must ensure goods and products are maintained in good condition throughout their journeys, using the most cost-effective and least-problematic transportation methods. Successful freight forwarders must be experts in managing logistics, movement of goods & products, and understanding the freight shipping process. This involves having the right tools and systems readily available at all stages of the process.
Negotiating tariffs, customs regulations, and being knowledgeable about carrier requirements are crucial factors to manage the risks and benefits of shipping, both domestically and internationally. Navigating regulations requires expertise for the smooth transport of customer goods. This also involves collaborating with committed individuals who share the commitment to excellence and customer satisfaction.
For more insights into effective freight forwarding, visit our page on freight forwarding services.
