Today's Buying, Selling and Pricing of Transportation Services
Day 1
Likes and dislikes of buying and selling transportation services
- Program orientation, attendee introductions and challenges
- Positioning transportation in logistics and supply chain management
- The practical meaning of the four Cs for today’s buying and selling of transportation and extended logistics services
- A process methodology to provider/user negotiations for transportation services
- Developments in transportation services and administrative options
- Ensure a cost-of-quality process is in place
How a more competitive transportation environment changes the nature and process of pricing and carrier selection
- Overcoming regulated thinking
- Understanding the real nature of what’s being bought and sold
- Going beyond quality, service and price to create value-added services
- Avoiding getting trapped in the commodity zone
- Effectively communicating needs and properly understanding what’s being communicated
- Basing purchase decisions on mutual economic gain rather than operational excellence
Today’s shipper/carrier/LSP economics
- Assessing carrier financial viability with case studies
- Key financial cost drivers for negotiations
- Escalation/de-escalation pricing adjustment procedures and policies
- Shipper supply chain economic evaluations in using alternative transportation services — shipper/carrier/receiver costs of providing services
Day 2
Defining performance requirements and use of Activity-Based Management (ABM) of shipper/carrier services
- Defining shipper performance requirements for requests-for-solutions from carriers and LSPs
- Use of ABM in assessing carrier/LSP solutions
- Applying Activity-Based Costing (ABC) — when to apply full, variable and out-of-pocket costs
- Contribution: a key concept
- Key negotiable items for shippers and carriers
The regulatory and competitive environment in the buying and selling of transportation services — applications to motor carrier, rail, air and intermodal
- Future without regulation and possible change in the law
- Who assumes the risks of transportation — the shipper, the carrier, the third-party or the receiver?
- Impact and continuing ramifications of recent acts and court decisions
- Use of bills of lading and potential legal problems
- Contracts and their uses
- Pricing systems developments and alternatives
- Potential antitrust and discrimination problems
Putting the transportation/business relationships together: trading partner alliances — just talk or reality?
- An overview of the University of Wisconsin-Madison’s CASM process
- Productivity opportunities — what shippers and carriers are doing or seeking to do
- Pointers in putting business relationships together
- Who controls pricing — the shipper or the carrier?
Putting your pricing “action plan” together
- A structure for improving pricing strategy and determination
- Identifying HOT issues and action items for take-home implementation
Schedule
Evening before course — Optional dinner for those arriving early
Days 1 & 2 — 8:30 a.m. – 5:00 p.m. Session
Day 3 — 8:00 a.m. – 4:00 p.m. Session
The University of Wisconsin–Madison, as a member of the University Continuing Education Association (UCEA), authorizes this course for 1.4 Continuing Education Units (CEUs) or 14 hours.
dtransue@exed.wisc.edu