Five key factors to a stress-free and ... - Freight · PDF filesuccessful freight forwarding project All stakeholders need to understand the full scope of the project and need to be

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    Moving freight can be a stressful time for any mining or resources

    operation especially when it comes to major projects involving

    the transportation of capital equipment worth hundreds of

    thousands or millions of dollars.

    Therefore, its not only important to partner with a professional freight

    forwarder its essential that both parties collaborate and communicate to

    achieve the goal of moving freight on time and on budget and free of

    injury and damage to freight, property and equipment.

    Here are five key factors to a stress free and successful freight forwarding

    project:

    Townley Group International managing director Peter Townley: see the freight forwarder as an integral part of your team.

    By Peter Townley

    Five key factors to a stress-free and successful freight forwarding project

    All stakeholders need to understand the full scope of the project and need to be involved right from the outset especially the financial controller.

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    1. Meet the team

    A part from the obvious thing of getting to know people, meeting each

    team is essential to understanding each stakeholders perception about

    whats involved in moving freight.

    In my experience theres often a large void between the client or end user

    and the freight forwarder on what has to happen.

    When engineering companies are buying from a fabrication company they

    meet with those teams and discuss everything to the nth degree on the

    angles and the weight of the steel. But if the freight forwarder never meets

    the client or only meets an individual that doesnt know the full scope of

    whats required then things can very easily go wrong.

    All stakeholders need to understand the full scope of the project and need

    to be involved right from the outset especially the financial controller.

    The key thing here is to see the freight forwarder as an integral part of

    YOUR team.

    The other key reason for stakeholders to meet is to discuss potential risks

    and hazards.

    Safety is paramount and the sooner potential risks and hazards are

    identified the better for all concerned.

    If the relevant stakeholders dont meet potential risks and hazards can

    easily be overlooked. This could result in not just additional costs and

    delays, but serious injury or fatality. Damage to public and private

    property could also land your company in hot water with authorities

    notwithstanding the legal ramifications.

    A professional freight forwarder should be

    completing a risk analysis and risk register and

    handing that to you before work starts.

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    Avoid these nightmares by ensuring all relevant stakeholders meet as early

    as possible.

    Good forward planning means great execution; piss poor planning equals

    piss poor performance.

    2. Define roles of forwarder and client

    One of the biggest mistakes that stakeholders in a freight forwarding

    project can make is not clarifying roles, responsibilities and accountabilities.

    This can create confusion, tension and frustration between both parties that

    can easily boil over into conflict.

    In many instances end users of freight forwarding services expect that the

    forwarders going to do something and vice versa.

    A professional freight forwarder will sit with your team and ask questions

    about the scope of work and constraints so they fully understand whats

    required and who is responsible for each task.

    Does the freight forwarder need to provide cranes, labour, quarantine

    inspection et cetera et cetera?

    Safety is paramount and the sooner potential risks and hazards are identified the better for all concerned.

    If something goes wrong its not just the risk of fatality or major injury, but also the risk of major damage to public or private property.

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    A key piece of advice I would impart to anyone requiring freight

    forwarding services is that if you dont understand something ask the

    freight forwarder. This will avoid any ambiguity.

    A professional freight forwarder should also have a check sheet that

    serves as a pro forma to guide both parties through the freight forwarding

    process. This will assist in clarifying roles and responsibilities.

    The check sheet has an export check sheet and an import check sheet.

    A professional freight forwarder will review the scope of works for the

    project and determine whether or not they need to provide lashings,

    customs clearance or pre-inspections among many other things.

    If the freight forwarder has all that information not only will you get clear

    and accurate pricing on the job, youll get a full and detailed program of

    whats involved including who will do X and who will do Y.

    3. Develop an accurate work statement

    A work statement is a document that basically says what the project will

    entail and who will provide what.

    The work statement should be developed collaboratively between the

    freight forwarder and the end user.

    A work statement is a

    document that basically says what the

    project will entail and

    who will provide what.

    There are many links in the logistics chain and a professional freight forwarder should be across all of them.

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    It doesnt have to be a lengthy, long-winded document, but it does need to

    clarify each step of the freight forwarding process and who is responsible for

    each task or requirement.

    A work statement may involve in more detail, say, a transport method

    statement, a crane method statement or a safety method statement. Its

    important to give due care and consideration to the work statement, as it will

    also specify responsibilities and accountabilities.

    4. Agree and sign off on freight charges well in advance

    Freight charges, such as the customs clearance rate, terminal rates, cartage

    rates and labour rates should be agreed and signed off by both parties before

    proceeding with any freight forwarding project.

    For any unforseen freight charges, the freight forwarder should stipulate in

    advance a set rate at the cost price of the unforseen charge plus a fixed

    percentage.

    The freight forwarder may agree for instance to provide their client with three

    quotes for the unforseen service charge then add their fixed percentage to the

    Its important to give due care and consideration to the work statement, as it will also specify responsibilities and accountabilities.

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    quote accepted by the client. This is an easy, smart and transparent

    measure to account for any unforseen costs.

    The key message though is that a professional freight forwarder should

    SAVE YOU MONEY providing there is agreement and sign off on

    freight charges in advance.

    Once the freight forwarder has agreement and sign off they can then fix

    freight charges at lower rates.

    5. Clear lines of communication

    Without clear lines of communication there is the potential for all sorts of

    mixed messages.

    A professional freight forwarder should appoint a project team leader and

    all communication should be funnelled through that person.

    Conversely, the client or end user must nominate a project team leader.

    Having multiple people communicating will create havoc and confusion,

    so its essential that ONLY the freight forwarders team leader and the

    end users team leader communicate and collaborate to achieve the project

    outcomes.

    Having a 2IC under each project team leader is also a prudent measure.

    Ideally, each project leader should have very good oral and written

    communication skills and the maturity to take responsibility and

    accountability for all tasks under their remit.

    Contact between both team leaders should only pertain to what is essential

    and appropriate and third party personnel only brought in if

    circumstances require.

    Importantly, keep information factual and if something is unclear dont

    assume that the other party is clear about it or aware of it.

    Whats equally important is declaring any problems to the other party as

    quickly as possible. Things dont always go according to plan and hiding

    problems or mistakes from your team and the other party will just

    exacerbate the problem.

    When things go wrong finger pointing from either party will just create

    conflict and division and wont solve the problem. n

    Only deal with a professional project forwarder that understands all the risks.

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    A professional freight forwarder

    should convey confidence in

    their capabilities and clearly

    explain what should be done

    and how to do it.

    When choosing a freight forwarder ask for a capability statement and ask questions

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    About TGI

    TGI specialises in the worldwide logistics and freight forwarding

    industry and understands client needs at every level.

    Services include: project and out of gauge cargo; freight forwarding

    by air and sea; aircraft charters; vessel charters shipping; salvage;

    customs clearance marshalling, warehousing and consolidations;

    worldwide tracking, GPS tracking, and RFID and asset management.

    To date TGI has moved over half a million cubic metres of cargo

    and travelled over 8 million kilometres wi