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Communication is Job One

By Francis J. Quinn, Editorial Director -- Logistics Management, 10/1/2003

We learn from our earliest school days how important it is to communicate our thoughts clearly and concisely. Later in life, that message is repeated in management courses in college and hammered home at corporate training sessions.

Yet, somehow, despite all that education and continuous reinforcement, lack of communication remains at the heart of our most persistent problems.

In our jobs, we often see the fruits of poor communication everywhere … on congested loading docks, in warehouses stockpiled with excess inventory, at overburdened customer-support centers.

Communication begins at home. How well is your purchasing department communicating with logistics? If there's been a last-minute change to an inbound order, is that information transmitted in a timely manner? Or is it discovered only when the trailers start backing up to the loading docks?

How about the communication between sales and logistics? Is information about a big promotion communicated to the transportation staff so they can arrange for sufficient carrier resources at a competitive price? Or will they end up scrambling for whatever capacity is available at any price, just to meet their commitment to the customer?

Although communication begins at home, it doesn't end there. Effective communication with your external service providers is equally important. Happily, there are many examples of good external communication, several of which are recounted in this issue of Logistics Management.

The article on "Demystifying LTL Pricing," for example, underscores a critical point about communication. That is, you need to comprehensively communicate your shipping requirements to prospective carriers before you select one. As the rate experts point out in that article, the more a carrier knows about the freight you're shipping, the more accurately it can quote. And in most cases, more accurate information translates to a lower price because the carrier doesn't have to inflate the numbers to protect itself against surprises down the road.

Matt Ehlinger of NCH Corp., the NASSTRAC Shipper of the Year profiled in this issue, clearly understands the value of communicating with his carriers. He and his staff meet quarterly with their core carriers to discuss service requirements and identify areas for improvement on both sides. Obviously, that strategy is working as NCH is meeting its delivery commitments 98 percent of the time.

Bottom line: If the ability to communicate effectively isn't the most import qualification of today's logistics manager, then what is?

Francis J. Quinn, Editorial Director

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