When selecting a transportation execution solution provider for your organization's carrier management needs, you are not just choosing a vendor to help ship your goods. You are also selecting a solution that encompasses the look, feel, performance, reputation, flexibility, and support of their services. Additionally, you are selecting their ability to provide the carriers that your organization relies on for shipping its goods and the options they offer for scalability. In this article, we will focus on the process of carrier onboarding and explore the available options for adding new carriers, services, and origin locations.

Carrier onboarding is the process of adding a new carrier, carrier service, or geography to your transportation solution. This process requires gathering and inputting specific information about the carrier into the system. The information typically includes the carrier's full name, SCAC code and/or global carrier code, customer internal carrier "Ship Via" code, account number, carrier services, tracking number generation, carrier rates, negotiated rates, customer rates, accessorial charges, routing guide, geographical data, transit times, certified/accredited shipping labels, and end of day manifest/carrier closeout files. This comprehensive information ensures efficient and accurate carrier management within your transportation solution.

There are three main methods for onboarding a new carrier, each with its own pros and cons:

1. WEB SERVICE API – APPLICATION PROGRAMMING INTERFACE: With this method, the solution provider establishes a connection to the carrier's system using a web service API. The carrier maintains your rates, accessorial charges, routing guides, transit times, tracking numbers, and shipping label formats. This method is quick and ongoing compliance is handled by the carrier. However, response times from the carrier's system may vary and may not meet your speed requirements.
2. SYSTEM INTEGRATED: In this method, your solution provider builds and maintains carrier compliance within the transportation solution. This includes rates, services, routing guides, transit times, tracking numbers, accessorial charges, and shipping labels. Processing is fast and reliable, but it may require more time and effort from your solution provider to set up and maintain.
3. MANUAL ENTRY OR FILE CREATE AND LOAD: This method allows you to enter carrier data manually or create comma-separated value (CSV) files or spreadsheets to be loaded into the system. It is the least expensive option but can be time-consuming, especially for complex carriers with multiple rates, accessorial charges, services, routing guides, and transit times. Updates and testing can also be challenging with this method.

When selecting an approach for carrier onboarding, consider your shipping volume, processing speed requirements, and the complexity of the carriers you work with. If you are a high-volume shipper with critical carriers, a web service API or system-integrated method may be more suitable. If you are a low-volume shipper, a carrier web service API approach might be more cost-effective, although slower in processing. Ideally, your transportation execution solution provider should offer all three options to accommodate the specific needs of different carriers.

We provide access to an industry-leading global parcel carrier network. Our Carrier Onboarding Program ensures seamless integration of carriers, services, and origin locations for effective carrier management. We work closely with both carriers and customers to ensure agreement and define clear guidelines upfront. Our team of experienced solutions consultants will help you assess your current processes, leverage industry best practices, and provide a roadmap for achieving your objectives efficiently and cost-effectively.

Successful carrier management requires careful consideration of the carrier onboarding process. By choosing the right method for onboarding new carriers, services, and origin locations, you can streamline your shipping operations and ensure efficient and reliable transportation execution.