Prudent shippers check their transportation and logistics service providers for financial soundness. Now the Transportation Intermediaries Association is about to unveil a service that will rate shippers on their creditworthiness and promptness in payment.
Robert Voltmann, the TIA's executive director, said the association has been working with Transcredit to develop a database of information on shipper payments to transportation providers. Transcredit is a Jacksonville-based company that has provided credit reports, accounts payable and collections services to the transportation industry since 1987.
The numbers will be crunched to score shippers on their credit and days payable to transportation providers. Voltmann says that although other credit-rating services are available, this will be the first that is transportation-specific.
Voltmann noted the new service when speaking to the 35th annual conference of the Transportation & Logistics Council and the Transportation Loss Prevention and Security Association. He said the TIA plans to unveil the new service at its annual meeting April 1 in San Antonio.
The service could find a ready market. Especially in tight financial times, transportation middlemen often encounter problems with slow payment by companies trying to stretch their accounts receivable to maximize cash flow.
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Many transportation managers have a thick book, "Freight Claims in Plain English," on their bookshelf (or the CD version near their computers).Since its first publication in 1979 by the late attorney William J. Augello, this text has been a widely used resource for transportation and logistics professionals involved in claims for loss or damage in transit.
Now the book has been updated by George Carl Pezold in a fourth edition edited by Brent William Primus. The book is available in two volumes -- the 592-page first volume contains the text and index; Volume 2 contains the appendices and is 705 pages. It's also available in CD-Rom format. For more information, go to www.transportlawtexts.com <http://www.transportlawtexts.com>