A shipper's guide: how to win in the sport of freight transportation.

AuthorGerhart, Clifford
PositionShipping trade in Alaska

Yikes! Soon you'll need to ship 20 consignments of your hot-from-the-manufacturer widgets to points throughout Alaska and the Lower 48.

Relax. Although the Great Land's distances, scattered population centers and remoteness from the Lower 48 can pose difficult distribution problems, carriers and freight middlemen offer a wide range of ways to move your goods by land, water and air. Whether shipping to or from Alaska, you'll fare better in the sport of transportation if you develop a strategy for success.

Start by taking an inventory of your shipping needs. Consider whether the goods require special handling, such as refrigeration; the weight, value and dimension of freight; how often transport is anticipated; the number and proximity of destinations; and how fast delivery must be accomplished.

Next, be sure to resolve the obligations of buyer and seller. Determine who is responsible for loading and shipping goods, at exactly what point ownership changes hands, and who is responsible for filing claims for any damage or loss. A variety of free on board -- popularly called FOB and meaning the seller agrees to load the freight for free -- arrangements are possible.

Discuss with customers and suppliers which would be best for particular freight movements. Remember that an Outside supplier might not know the most efficient way to ship to Alaska and may pass the cost on to you.

When evaluating carriers or agents, make sure the businesses can make the necessary connections with the appropriate equipment. Ask if the company offers conveniences such as single billing, rather than bills from all the carriers along the route, and door-to-door service. Also consider how long the enterprise has been in business, its policy and track record on damage claims, and its ability to trace shipments.

Sean O'Hare, sales manager for Alaska Fish & Farm of Anchorage, advises shippers that the cheapest rate available may not always be suitable for the purpose. Alaska Fish & Farm ships foods from the Lower 48 to Anchorage and then to Fairbanks, Kenai Peninsula and Bush locations. O'Hare points out that if slow but inexpensive shipment causes workers to be idle because they don't have the equipment they need, your shipping costs may total more than you think.

One of the most important decisions is resolving how quickly the goods must arrive at a destination. Because speed costs money, planning ahead to prevent rush shipments can reduce costs.

If the shipment must be delivered a substantial distance overnight, air freight is required. When the cargo is not particularly time-sensitive, barge or steamship transport will minimize freight costs.

WAYS & MEANS

Air. For freight that must move quickly, and for some Bush locations that are not accessible by road, air shipment is the only solution. Also, many fragile cargoes, such as works of art or sensitive electronic gear, travel best by air.

Linda Close, senior account executive with Lynden Air Freight of Seattle, reminds shippers who do not require overnight airborne service to consider second-day air or deferred service of three to five days. Rates drop 50 percent for each level of service, she advises. For shipments weighing from 1 to 70...

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