New car contracts

But at Ford, at least, all the contract awards are done by Ford itself, UPSA only handles everything after that.

I think I could you get the contact we used to get us in, don't remember exactly how much we paid him, but it wasn't cheap. Once you have your foot in the door, it's much easier, but that initial entry is tough.

 

So is that enough info to get Railhead out of your system?

 

Everywhere I have been (& paid to learn btw) has all been paper with proper coding & SIGNATURES no matter what the lazy yard supervisor says. If no one is available to sign, you either need a replacement unit or roll w/o that one. Can screw up a day. Have found most yards differ on what is deliverable to be fixed by dealer & others that want it fixed prior to shipping. Screw that up & the damage claim is on the carrier regardless.

 

Big Sky, you may learn some helpful information about how the new car logistics process works by subscribing to the industry magazine Automotive Logistics and it's sister publication Finished Vehicle Logistics, both are free subscriptions. I am an information junkie and find these periodicals absolutely fascinating as they cover the worldwide automotive industry not just the small North American market. In reality it is all tied together anyhow.
http://automotivelogistics.media/magazines/finished-vehicle-logistics

Lastly, listen to Slant and Hammer, they are goldmines for real world information. Getting a direct contract with an OEM is not the golden ticket as many think it is, as they have said and I know from personal experience you become responsible for everything, so you better be ready to move 100 units one day and 3 the next, have a lot of dependable drivers and surplus equipment available. It is not something for a one or two truck operation to even think about getting into. There is a reason the broker takes the piece of the pie they do, they have most of the risk exposure. Just think about what it costs if one of your drivers misses a damage, it may be high enough in value you just bought a brand new car! Diminished value insurance policies are getting harder to get and the railroad is vicious in blaming the trucking carrier for everything.

For the extra money you receive, if any, you will have much more responsibility. New car manufacturers expect us to bid on entire facilities or areas and you get it all, even the cars that you lose money on to deliver. You don't bid a rate per mile per unit, you bid a rate that covers the expected volume and hope to be able to build loads that make you money. You do not get the chance to say, sorry that doesn't fit my route, you have to figure it out. I am not trying to discourage you, just make sure you know what you are getting into, as I did not know when I made my first bid and lost my shirt!

 

I am now at the point in my career where I am bidding new contracts. My advice bid the small ones first. My wife is a terminal manager for a major carrier at at big ramp so I got to watch a lot of inner workings. My advice, lease on to a carrier running new cars. Watch how the operation works for a couple years. Try a couple spot buys first. Remember, you are bidding the WHOLE contract. You are truly swimming in the deep end