Follow us on Twitter!
Blog Header Logo
DG&A's Transportation Consulting Blog
Subscribe to this list via RSS Blog posts tagged in shipper-carrier contracts

b2ap3_thumbnail_dreamstime_xl_58379129.jpg

The essence of successful freight rate negotiations is an honest exchange of information. Carriers count on shippers to supply them with complete and accurate information on shipment weights, dimensions, volumes by lane, seasonal spikes and any special service (i.e. job site deliveries, weekend pickups etc.) requirements. Shippers expect carriers to be able to supply them with the correct types of equipment to pick up their freight at the designated time, to provide adequate amounts of equipment at the right time to move their loads, to meet their designated transit times over 95% of the time and to provide good customer service and quality information as they outlined in their submission and interview.

While this all seems so straight-forward and reasonable, there are a host of challenges that get in the way of committed shipper-carrier relationships. Here are a few to consider.

Changes in Shipment Volumes

Business conditions are constantly changing. There are ebbs and flows in the general economy that can impact on many industries, including both shippers and carriers. There is ongoing competition in the market where shippers win or lose customers every day. Then there are mergers and acquisitions and new product launches (or old product cancellations) that can lead to rationalization of locations for factories or distribution facilities. The net impact of these changes is that the shipment volumes discussed in an RFP may not come to pass or the actual volumes by lane may vary over time.

...
Hits: 755
0
Continue reading 0 Comments

b2ap3_thumbnail_dreamstime_l_19275327.jpgFurther to the last blog, a well written motor carrier agreement can be a powerful tool in promoting partnerships between shippers and freight companies. Listed below are some of the major components of a comprehensive contract.

1. Parties to the Agreement

The document must clearly identify the parties to the agreement, including the use of any third parties or sub-contractors. This is very important since it is critical that all transport companies that perform services for the shipper have the same licenses, insurance and service levels as the primary party to the agreement. In other words, they must be a replica of the primary party or any differences must be so stated. The agreement must also make clear that the parties to the agreement are independent contractors. Neither Shipper nor Carrier shall have the right to enter into contracts or pledge the credit of or incur expenses or liabilities on behalf of the other party.

2. Services

a) Types of services

...
Hits: 819
0
Continue reading 0 Comments

Most Recent Posts

Search


Tag Cloud

Consulting Comey FMCSA Success rail safety TransForce Rail freight audit 2014 freight forecast Warehousing Grocery consumer centric capacity shortage Adrian Gonzalez cheap oil truck driver ShipMax Canadian economy transportation newspaper dynamic pricing hiring process tanker cars solutions provider Transplace Surety bond Business skills Trucking trucking company acquisitions Masters in Logistics Doug Nix freight transportation in 2011 Celadon Wal-Mart drones Swift CN energy efficiency Tracy Matura Muhammad Ali Politics Twitter Global experience freight broker Canada 3PL employee termination Packaging Canada U.S. trade CN Rail shipper-carrier collaboration the future of transportation FCPC driver shortages IANA Stephen Harper Trade Vision USA Truck online shopping Werner ProMiles Conway CSX Carriers freight payment Social Media in Transportation freight cost savings truck drivers Failure bulk shipping Canadian Transportation & Logistics 2014 economic forecast Canadian freight market transportation news US Housing Market Distribution business start-up driver coaching freight payment freight audit selling trucking companies freight transportation conference Schneider Logistics 360ideaspace Accessorial Charges Whole Foods economy Fire Phone 3PLTL Broker CSA economic forecasts for 2012 Hudsons Bay Company Map-21 Shipper Freight Shuttle System Rotman School of Business $75000 bond New York Times Freight contracts derailments e-commerce FMS driverless Career Advice transportation audit carrier conference Freight Recession routing guide financial management network optimization Transloading Sales Management Retail CP Rail capacity shortages Facebook robotics US Manufacturing Harper Davos speech Derek Singleton APL Management Canada-U.S. trade agreement YRC Social Media Entrepreneur Right Shoring Climate Change 2012 Transportation Business Strategies. Jugaad Reshoring Freight Capacity RFP buying trucking companies Toronto NMFC Transportation US Election Scott Monty Leadership MBA 2013 Economic Forecast 2014 freight volumes Transport Capital Partners (TCP) Freight Rates Horizontal Supply Chain Collaboration David Tuttle CSA scores customer engagement home delibery Loblaw Inbound Transportation Ferromex Emergent Strategy freight transportation freight costs NCC freight agreements Associates peak season freight bid shipping wine Freight Carriers Association of Canada Trump US Economy Microsoft Yield Improvement Freight Matching CRM Software Advice Deferred Packaging Life Lessons LCV's Load broker NAFTA KCS Canadian truckers Dedicated Contract Carriage Outsourcing Sales professional drivers intermodal Driver Shortage Job satisfaction Education Freight US Auto Sales Driving for Profit Canada's global strategy Sales Training NS MPG FCA Spanx Rate per Mile shipper-carrier contracts Transportation service Crisis management LTL Finance and Transportation BNSF Truckload broker bonds Infrastructure Keystone Pipeline Training Sales Training New Hires Retail transportation Business Transformation Strategy marketing FuelQuest Transportation Buying Trends Survey shipper-carrier roundtable Transcom Fleet Leasing University of Tennessee Otto small business Railway Association of Canada freight forwarders President Obama Freight Management BlueGrace Logistics Business Strategy automation Global Transportation Hub Doug Davis freight RFP Colilers International Regina TMS Omni Channel Amazon dimensional pricing Cleveland Cavaliers UP fuel surcharge last mile delivery Blogging EBOR Donald Trump 2015 Economic Forecast JB Hunt broker security mentoring freight rate increases LinkedIn Search engine optimization Crude Oil by Rail shipping future of freight industry Dan Goodwill CITA Shipper Pulse Survey autonomous vehicles Load Boards Dedicated Trucking home delivery TMP Worldwide trade pipelines Bobby Harris Success failure entrepreneur

Blog Archives