Freight forwarding SOP (Standard Operating Procedure)

What is SOP?

SOP stands for standard operating procedure. with related to freight forwarding SOP refers to a documented set of standardized guidelines, processes, procedures tasks, and operations related to freight forwarding services in a freight forwarding company.

if there is a well-fined SOP can minimize errors, enhance customer service, ensure freight and transport process security, and effectiveness of the process. With using

What is a freight forwarder?

Acting as an intermediary party between exporter, importer and carrier, and other stakeholders such as customs, port, cargo handling agencies

A freight forwarder is an agent of the shipper/exporter/importer or consignee.

further reading for freight forwarding you can read an article Freight Forwarder: Everything You Need To Know

What is the freight forwarding process?

client onboarding, cargo booking, documentation preparation, customs clearance, transportation, warehousing (if applicable), tracking, and more.

SOP for freight forwarding

Freight forwarding SOP stands for freight forwarding standard operating procedure. It includes a plan and all procedures should be followed in a freight forwarding company.

pre-preparation of shipment

for the preparation of shipment, we need to collect all the documents that are essential for shipping. (Commercial invoices, packing lists, customs declaration form-CUSDEC, import and export licenses, and authorities, country of origin certificate)

Packaging and labeling with a standard method

ensure that packaging is safe

Labeling needs to do with correct details of shipment information, and shipper’s and consignee’s contact details.

After collecting shipment-related documents you can call a quotation from a freight forwarder.

If you haven’t packaging facilities you can hand over your shipment from your premises to the freight forwarder, then they will arrange the right method of packaging and labeling.

Every shipment needs to be insured due to unexpected situations of transportation. Such as damages and loss during the transit. With the insurance, you canncoveer the financial loss of shipment. It is necessary to do insurance.

2. shipment booking

Next, you can book your shipment with a freight forwarder. Freight forwarders book space for your shipment on a ship, plane, or truck.

shipment picking and delivery arranged by a freight forwarder.

3. shipping

Track the shipment and update the shipment status to the customer.

4. custom clearance

The freight forwarder at the port of destination does the Customs clearance process.

arrange all the documentation parts for customs clearance.

also freight forwarder appoints a customs house agent for the clearing process on behalf of the consignee or cargo owner so that cha member pays customs duties and other taxes relevant to shipment.

after the customs clearance freight forwarder is liable to arrange logistics and transportation to the consignee’s place.

5. payment

The consignee is liable to pay all the freight charges to the freight forwarder.

Most of the time freight chargers are paying at the moment of the shipment delivery to the consignee’s doorstep.

other required details list

Mode of transportation
Weight and dimensions of the goods
Destination
labeling and packaging
security
communication
Documentation part
Insurance
customs clearance
Tax and VAT

Freight Forwarding SOP template

What is the Freight forwarding SOP template?

This is a template that can be used in freight forwarding companies for planning and execution regarding standard operation procedures.

Benefits of freight forwarding SOP template

All operations in a freight forwarding company ensure operations accuracy and consistency.
Giving clear guidelines for freight forwarding company employees, then increasing the efficiency
Reduce errors and mistakes
streamline company processes
New members can easily facilitate the training programs
customer satisfaction increases by providing reliable and on-time service
easy and better handling of tracking and monitoring shipments