The first blog in this series looked at the money saving opportunities for organizations that take control of Inbound Transportation. This blog will outline a series of steps that need to be taken to make this happen. A Commitment to Act In the last blog, it was highlighted that some vendors place a mark-up on […]
Managing Inbound Transportation – Part 2 – Action Steps to Save Money on Freight
Managing Inbound Freight Transportation – Part 1 – Identify the Cost Savings Opportunities
8 years ago
Managing Inbound Freight is often overlooked or not optimally managed as an opportunity for cost savings in many companies. This is a conclusion we have come to after working with a range of companies and industries over the past 13 years. When we are invited to meet with a manufacturer or distributor of freight, the […]
Understanding the Canadian Freight Market – Part 2 – Canada is America’s Top Trading Partner
8 years ago
In my last blog, I provided an overview of Canada’s economy and demographics. In this blog, I will outline the importance of trade to Canada, and the United States, and then touch on some of the key variables that facilitate the trading process. Canada has been a major trading nation for many years. Well before […]
Freight Management is a Team Sport
9 years ago
Freight costs represent between two and five percent of revenue in many manufacturers and distributors. They are typically the single largest supply chain expense. When transportation costs begin to escalate, the Transportation department and the Transportation leader can become the “whipping boys” for senior management. Over the years, we have observed that the companies that […]
Managing Accessorial Charges – Part 2
9 years ago
Once you gather the necessary data outlined in the previous blog (http://www.dantranscon.com/index.php/blog?view=entry&id=229 ), it is time to take action. Here is a set of steps to follow to save money on accessorial charges. Set up a cross-functional team As you will realize when you review your research notes, it will often take a number […]
Managing Accessorial Charges – Part 1
9 years ago
A couple of weeks ago, I wrote a blog about the new pricing processes that LTL (and small parcel) carriers are employing to improve the profitability of their operations. I noted that freight carriers are emulating some of the activities that have been undertaken by the airlines such as dynamic pricing (i.e. adjusting rates based […]
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 […]
The first part of this blog focused on the operational, service and equipment issues that constitute a strong shipper-carrier freight agreement. This blog will address the financial and business issues that need to carefully captured in detail. 6. Rates and Service Charges The rates, fuel surcharges and other accessorial charges need to inserted […]
Further 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 […]
Motor carrier agreements or contracts are documents signed between shippers and carriers that set out the parameters and processes under which two or more companies work together to provide freight transportation services. These documents, often prepared by lawyers (with input from freight management professionals), set out a range of service expectations and freight rates […]