LTL 101:Confirming BOLs and Avoiding Disputes

Please remember LTL carriers employ “weight & inspection coordinators” whose sole responsibility is to catch the “bad guys” who list an inaccurate weight or class on their BOL?

  • They keep an eye out for any shipments whose description on the BOL doesn’t seem to match up with its appearance.
  • They will physically examine your freight, and if they deem it necessary to inspect the contents or check the weight, they’ll issue an inspection certificate.
  • You will foot the bill for the additional inspection.

It is for this reason we need to make sure our shippers understand the follow:

  • It is imperative to make sure the weight and class on the BOL are accurate.
  • Don’t just guess, and don’t try to be sneaky, either! You can’t classify furniture as lumber, even though it was once lumber… (Yes, believe it or not, people actually do this!)
  • Include the weight of your pallets in the total weight calculation of your shipment.
  • If you forget multiple pallets, they could add up to an additional 500 pounds or more; that’s not just a few pounds off.
  • Most LTL carriers have scales installed right on their forklifts that double-check the weight listed on the BOL automatically.
  • Make sure you are measuring the freight with extreme accuracy (to the nearest inch)
  • Some LTL carriers make it mandatory for drivers to carry a tape measure and measure the freight at the time of pick up.
  • A couple of inches can add up to hundreds of dollars when classifying freight.
  • Shippers who misrepresent freight need to understand carriers are not taking any more chances and the time to do the right thing is now!
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Training Tuesday:Setting SMART Goals

Setting goals for each sales call is a crucial part of the sales process. A goal helps you prepare for the sales visit and gives structure to your entire presentation, but it is important to set “S.M.A.R.T.” goals. In order for a goal to be a useful tool in preparing for a sales call, it should follow the “S.M.A.R.T.” method.

This means that a goal should be:

Specific: The goal should not be too broad, but rather, it should be focused in on something. In sales, for example, it should be “I want the prospect to agree to another meeting” or “I want the prospect to agree to use our services for 3 months” rather than just “I want to earn this client’s business.”

Measurable: Similar to a goal being specific, it must be able to be measured in some quantitative or concrete sense. This goes hand in hand with the next component, which is achievability of the goal.

Achievable: It is important to make sure that your goal is realistically achievable in the parameters you set for it. If you goal is to make a specific number of sales to this client (thus making it both specific and measurable) you should also make sure that it is a reasonable, achievable goal, and not something like 1000 sales in 2 weeks. Otherwise, you are setting yourself up to fail, and that can be very disheartening.

Relevant: A goal is relevant if it is worthwhile to a larger plan and to your own personal job duties and planning. Additionally, it should be something that makes sense for you to be working towards. If you are supposed to work in an accounting capacity, then a goal for a number of sales calls will be less relevant to you. You should also consider if the timing is good for this particular goal in your overall business plan as well as in the current economic, social, and business climates.

Time-Bound: If you do not have a set of parameters in which your goal should be completed, you don’t really have a planned goal. It is easy to say “I want to be a successful sales person one day” but unless you start adding timelines, like 6 months, or 1 year, or even 5 years, you won’t actually have any frame to work towards achieving that goal. The time component of a goal is essential to finding the proper motivation to achieve it and also to keeping it in line with the other components of smart goals.

Setting goals according to the “S.M.A.R.T.” method can help you to achieve more, make real progress towards success, and reduce stress.

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LTL 101:Reconsignment and Fees

Reconsignment – Here’s a shipping term that you might be familiar with if you’ve ever had a change of plans with your freight. A reconsignment happens when freight that is already in transit is re-directed from one delivery location to another. This charge can vary based on how far apart the delivery locations are. For instance, if the new location is just down the street, the charge will probably be minimal. However, if freight was heading to California and is being reconsigned to Florida, you will be in for a hefty reconsignment fee.

We get a lot of groans when we have to quote people for the cost of a reconsignment so we wanted to highlight the process so you can educate your customers as well:

  1. We have to send written authorization to make the change to the carrier. A Bill of Lading is a legal contract, so any changes made must be in writing. Authorization must be made by the shipper or paying party always.
  2. The carrier will enter the information into their online system and image your authorization.
  3. A rating analyst reviews the request, verifies that we have authorization to make the change, and completes the request.
  4. Notification is sent to the terminal who currently has, or if it is in transit, who will have the freight.
  5. New labels have to be generated and put on the freight.

Typically, your charges end up being broken down into the cost from origin to reconsignment point, and reconsignment point to new destination, and fees for marking and tagging of the freight. If your freight has to backtrack, you will pay for every mile it has traveled.

GREAT EXAMPLE: If it was originally to go from NY to CA, but then once it reached Chicago you turned it back around to PA, you are paying NY to Chicago and Chicago to PA, not just NY to PA.

Important points to note as well:

  • If you are not the shipper or paying party, you cannot use your authorization to make changes to the BOL.
  • If your name doesn’t appear anywhere on the BOL, see #1 above.
  • If the driver arrives and you say that it needs to go to a different address across town, this constitutes both reconsignment AND redelivery. And it can’t be done without authorization, as above.

This process actually represents a significant amount of labor time and fuel. Even a local reconsignment (change in address within a local terminal service area) requires these steps.

All carriers want to make money on this deal. Nothing is done at cost.

But time is money, and the cheapest option is to always do it right the first time.

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Training Tuesday:Structuring the Sales Call

Without structure to the sales call, a salesperson is just a tourist. In order to have a successful sales call, you must stay organized and on-track. That means planning and structuring your visit to a prospect so that you can get the most out of each call. Below are our top things to keep in mind when planning a sales call:

  • The pre-call objective/setting an objective for every call. You should set an objective or goal for every call. This gives you direction for the actual sales tactics that will be most effective.
  • Make your goal specific. It is important to remember to set specific and reasonable goals so that you can accomplish them without being overwhelmed.
  • Be focused AND flexible. Yes, this really is possible! It’s important to not allow your focus to cloud your ability to flex and adjust the sales presentation to the reactions and needs of the prospect.
  • Ask the customer for feedback. You can ask specific questions here, like “Did I cover everything sufficiently?” or “Would you like more details on anything we’ve discussed?”
  • Ask for the business. You will reach a point in the sales call where it is not only reasonable, but expected, to ask the prospect for their business. You cannot avoid this step and consider it a successful call. You must ask for the business you want.

Remember it is just as important to set goals and plan your sales visit to a previously visited a prospect as it is to plan for a first impression. Every visit to a prospect or customer makes a lasting impression about you and the company you are representing. Plan, set goals, and succeed!

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