by Cliff Lynch
b8b82d50-595e-46fc-9909-d1098a79997f|0|.0 14. May 2013 08:00

Arguably, one of the most overworked words in the English language is networking, particularly in business. Most of us talk about building a network, networking, etc. but many of us don't have a grasp of what it really means. Webster defines it as the cultivation of productive relationships for employment or business. In my mind, the operative word in this definition is cultivation, but many of us don't spend a lot of time focusing on that key element. This was brought home to me in a personal way just last month when I received a call from someone I will call "Bob".
My phone rang and when I answered, I found Bob on the other end of the line. Bob said, "It has been a while, and I just wanted to touch base. I am networking". I thought to myself.............Oh boy, here we go.
Now I haven't talked to Bob since 2006 when I submitted a consulting proposal to him, and my primary recollection is that he never called me back after several attempts to reach him. Before he even said anything, I knew what he wanted. Bob is currently out of work and engaged in a crash program to establish a network. He might as well forget it. It won't work.
Building relationships is a lifelong, never ending project, and cannot be accomplished overnight. As a provider of services for much of my career, I have often been frustrated by the failure of many supply chain managers to extend the simple courtesy of returning phone calls. This frustration turns to bemusement when the telephone rings and one of these same individuals is now out of work and suddenly my new best friend.
I am not a relationship expert by any means, but over the years I have tried to develop circles of friends and associates who can be relied on for help, to share ideas, or offer advice. The circles are concentric and some are closer than others. Some people I talk to every week or month. Others maybe every six months or so.
Regardless of the frequency, you should not get in touch only when you or your company are in trouble or need a favor. Relationships are important but they require a lot of communication and effort. If you wait until there is a crisis in your career or your personal life before you attempt to develop a network of people who care, you are too late. If you build it carefully though, and nurture it properly, when you are in need, your network will support you through your difficulties.
by Cliff Lynch
c3551806-3832-45d4-8fea-44bbe1c2c4f8|0|.0 29. April 2013 08:00
There probably was dancing on the tracks when Jay Rockefeller, the Democratic senator from West Virginia, announced that he would not run again in 2014. Rockefeller has been one of the major proponents of re-introducing regulation to the rail industry, in spite of the tremendous success we have experienced since the passage of the Staggers Act in 1980, which removed most of the stifling regulation under which the rail carriers had been operating since 1887.
The Consumers United for Rail Equality (CURE), an organization composed of rail shippers, has been lobbying hard in Congress for some time now, and Rockefeller has been a strong supporter of their efforts. The major issue revolves around those industries that are served by only one railroad, referred to as "captive shippers". They want the ability to have a choice in the rail carriers they use which is often impossible because of their single railroad locations. Many of these are coal mines, and many of those are located in West Virginia, which suggests that Mr. Rockefeller knows who butters his bread.
I believe that all shippers should be treated fairly, but to regulate the railroads would throw us back into the chaotic bureaucracy that existed before 1980. Most members of Congress were not in office then, but those of us who worked in the industry in the regulated environment can recite a litany of horror stories. It took months or even years to get new rates approved by the Interstate Commerce Commission. A carrier needed permission to get into the business, and then it needed permission to get out. Carriers were losing millions of dollars and capital improvements were a fantasy. Since 1980, however, the nation's railroads have invested over $500 million in plant and equipment, and the Class I railroads in the country all are making a profit. Many railroad employees during the era of regulation spent their entire careers at one carrier, and never saw a profit.
The NIT League is working with the Surface Transportation Board toward an equitable solution, but the worst thing that could happen is for Congress to jump in and try to fix things. More often than not, they are simply a solution looking for a problem.
by Misty Farmer Koopman
6b68c686-01a7-458d-acc7-84fd715d30ac|0|.0 11. April 2013 15:19

There are billions of dollars being circulated around the world for the movement of goods. Some companies spend more on transportation costs than any other expense.
Accounting departments should treat invoices from carriers much differently than the ones from any other vendor. To pay freight bills, it requires knowledge in logistics -- tariffs, bills of lading, carrier contracts, etc.
These invoices need special attention because 3-5% of the time there are overcharges and duplicate charges. Also, by outsourcing freight bill audit and payment, companies pay one-tenth of the cost and get the reconciliation and reporting to better manage their shipping activities.
With that being said, companies must carefully choose the freight bill audit and payment provider. There are a number of areas to review, but most importantly, financial stability. Performing due diligence on the vendor's financials not only protects the company's funds but also gives reassurance that they will not lose money and be indebted to any carrier.
This white paper, "Trust & Verify: Best Practices - Financial Due Diligence and the Outsourcing of Freight Bill Audit and Payment," highlights a number of steps that can be taken to ensure a successful relationship, protecting and minimizing the financial risk to the outsourcer.
Whitepaper authored by Clifford F. Lynch and sponsored by CTSI-Global.
by Cliff Lynch
8a027200-6920-46bd-8947-c63b7eb6331a|0|.0 2. April 2013 08:00

There is a continuing stream of press about the shortage of over-the-road truck drivers in the country today. Right now, the shortage is estimated at 125,000 fewer drivers than are necessary to meet demand. According to the Department of Labor and FTR Associates, this shortage will more than double by the end of 2013, the largest deficit in nine years. In 2012, turnover averaged 98% at the large carriers and 82% at the smaller operations.
Depending on which side of the fence you are sitting, the shortage is blamed on such things as CSA 2010 activity, reduced hours-of-service rules, and traffic delays caused by infrastructure. However, the most recent data shows that the average salary for an over-the-road driver in 2011 was $39,830. This is not exactly an overwhelming amount when you consider the hours, working conditions, bad food, and the impact on personal and family life. If the economy continues to improve, I suspect even more drivers will turn to other occupations where they can make an increased salary and be more like normal people.
While some carriers are trying to deal with the salary situation, it will take an industry-wide effort to make a significant impact. The carriers must be prepared to face cost increases; but more importantly, shippers must recognize that to get the service they need, they must pay more.
by Marly Hazen McQuillen
913dfd10-1057-4f78-9ccd-8d9692f83212|0|.0 1. April 2013 06:15

On March 22, the US Senate issued a symbolic endorsement of the Keystone XL pipeline, which would deliver crude oil extracted from Canadian tar sands to refineries in Texas. Proponents of the pipeline claim that it would provide US jobs and might lower the cost of gasoline.
Environmental groups have vocally opposed Keystone XL, asking President Obama to reject the proposed expansion of the Keystone Pipeline. On Wednesday, an estimated 1,000 demonstrators are expected to protest the pipeline during the president's fundraising trip to San Francisco.
Recently, many in Congress have expressed a desire to move past party lines. A growing group of Representatives now insists that a bipartisan solution is simple: Transport the oil without building a pipeline.
Eco-friendly alternative to pipeline construction
According to Rep. Elena Escarrà (D-CO), a member of the Natural Resources Committee, the most eco-friendly answer is to "upcycle" existing infrastructure, namely, the nation's largest waterway.
The proposal calls for the crude oil to be poured directly into the Mississippi River, where the current would carry it to collection stations in Illinois and Louisiana. Because oil floats, it can be skimmed without disturbing the river's ecosystem, asserted Escarrà. "Organisms living in the river will begin the process of digesting the crude. This extra step will provide us with cleaner oil at a lower cost."
More details of the proposed bill, nicknamed "Oil and Waterway" by several media outlets, are expected to surface later today. The unorthodox proposal is already receiving tweets of support as legislators from both parties rush to cosponsor the promising piece of legislation.
Rep. Glen Wilborne (R-IA), a member of the Committee on Transportation and Infrastructure, emphasized potential benefits for other areas of the logistics industry. "At its current depths, the Mississippi River is a rusty machine. Once we've oiled its surface, our barges will float with ease," said Wilborne. Consequently, dredging could be postponed "until actually needed."
Sustainable job creation
Calming the tide of environmentalist concern is only half the battle. How does the proposal stack up, jobwise?
Oil and Waterway proposes to create jobs to construct and operate the two oil collection centers. However, critics claim that the proposal could fall short of Keystone XL's job creation potential.
A spokesperson for the proposed bill says that its job creation would be driven by the transportation industry. The bulk of the new jobs would be added to deliver the collected oil to refineries in Texas.
Because no new pipeline will be built, Oil and Waterway proposes to bring the oil by tank trucks. One legislator reasoned that this pipeline-alternative proposal would create many new jobs for truckers, some of whom may have lost jobs in the aftermath of the Recession. "We pledge to end the truck driver job shortage," said Rep. Kelly McCroy (R-OH).
Editor's Note: Happy April Fool's Day!
|
|
|