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I. C. C. FOURTH SECTION ORDERS
3. The fact that a point is a large producing or consuming market and that intermediate points are not consuming or producing points is not considered by the Commission as a sufficient reason for relief from the Fourth Section. Rule 77 of Tariff Circular 18-A was promulgated for the purpose of covering such situations and obviating the necessity of publishing "paper" rates from or to intermediate points.
4. Applications which upon analysis are found to contain incomplete and inaccurate or unreliable data will be denied forthwith without prejudice to the filing of a new application.
5. If the Commission denies an application and the carrier presents a new application based upon new or additional facts in justification of the proposed rates, fares, or charges, such facts should be clearly indicated as such, and the modified application must specifically refer to the previous application and the number of the order denying the same.
6. Applications should be in the following form, on a durable quality of paper, 8 by 1142 inches:
The (name of carrier) (see note), by (name of officer or agent), its (official title), hereby petitions the Interstate Commerce Commission for authority to establish rates (or fares or charges or classifications) hereinafter set forth without observing the long-and-short-haul (or aggregate-of-intermediates) provision of the Fourth Section of the Interstate Commerce Act.
NOTE.—If rates are to apply over lines of more than one carrier, application should show that it is made for and on behalf of all of such carriers, naming them, or if made for and on behalf of all carriers parties to a particular tariff, reference may be made by I. C. C. number to the said tariff for the names of such carriers. I.
(State fully the rates, fares, charges, etc., which it is desired to establish, the routes over, and the articles or classes upon, which
they are to apply, and names or description of the points of origin and destination. See Note A.)
(State fully names or description of intermediate points at which it is desired to maintain higher rates, fares, or charges, and
the rates, fares, or charges at such points or a sufficient number of such points to illustrate the situation, including the points at which the
highest and lowest rates, fares, or charges in excess of those at more distant points would apply. Distances between all points shown should
III. This application is based upon the following facts, which present all of the circumstances and conditions relied upon by your petitioner in justification of the relief herein prayed:
(Make a complete and accurate statement as to the necessity for the proposed changes and all of the circumstances and conditions relied
upon as justifying the relief prayed. See Note A.)
(Give specific reference to any proceeding pending before or which has been adjudicated by the Commission, by docket number,
and report citation, if any, which may have any bearing upon or be in any wise related to the rates, etc., sought to be established. If none,
state that fact.)
I. C. C. FOURTH SECTION ORDERS
Note A.—When more convenient, this information may be given in an exhibit or exhibits and he referred to "As stated in exhibit or exhibits
attached to and made a part hereof Information required under each numbered section should be shown in a separate exhibit.
VERIFICATION. The foregoing application must be verified by the oath of an authorized officer of the applicant. Und provisions of Section 20 of the act to regulate commerce, “the oath required * may be taken before any authorized to administer an oath by the laws of the State in which the same is taken.”
that he has knowledge of the matters and things set forth (Insert here the exact legal title or name of the applicant.) foregoing application; to the best of his knowledge and belief the matters and things therein contained are t: he verily believes.
NOTICE.See pages 363, 364, 365 and 366 hereof for detailed instructions.
The important fact that the transportation of goods begins in the shipping department of the consignor and ends in the receiving department of the consignee, is one which is oftern overlooked by those who pay charges for transportation service. A great many enterprises spend much time, energy and money on questions of slight increases in rail rates without even keeping a Cost Accounting System covering their trucking. It might be surprising to find that with little effort one could save on trucking in many cases more than the freight increases which cause them considerable worry.
Some give little attention to trucking, due to the fact that only a few trucks INTRODUCTORY are operated; but if trucking is handled poorly or with the wrong kind of equipment,
large losses will occur both through loss of business, due to poor handling or late deliveries, and through higher trucking costs than are necessary. Trucking costs range approximately from $12.00 to $20.00 per day, so that the elimination of only one truck might be a saving of thousands of dollars yearly.
In the larger enterprises the mistake frequently made is that of entirely divorcing the trucking department from the traffic department. The handling of goods by truck must necessarily be an integral part of the transportation of the goods and the full handling of the goods, whether by truck or rail, and should be vested in one department in order that all activities in connection therewith may be brought into full coordination and cooperation. The separation of these functions result in costly errors such, for instance, as the handling of import or export freight by truck instead of rail and lighter, when the cost of the latter method of shipping would be less.
To properly handle trucking problems, the following factors must be taken into consideration:
(a) Contact of traffic and shipping departments.
The shipping department should be under the direct control of the traffic department. All documents and instructions should be handled by the traffic department, so that the possibility of errors may be minimized. All routing of freight should
be done by the traffic department, which should also check freight classification for CONTACT OF TRAFFIC AND the products shipped, and give instructions to the shipping department in the matter DEPARTMENTS of the preparation of bills of lading. The traffic department should make a com
plete study of the best methods of handling the products being shipped, as to routing, rates, classification, proper packing, loading of carload shipments, etc., and issue instructions concerning them for the guidance of the shipping department.
OF THE SHIPPING DEPARTMENT
The personnel of the shipping departments of different organizations necessarily varies with the size of the organization and the character and quantity of goods handled, but in the average organization the shipping department should consist of one or more shipping clerks with the complement of packers, markers, luggers, checkers, drivers and stablemen or automobile mechanics. A head shipping clerk should be in charge and responsible for the proper cooperation of effort among the various employees in the department. If the packers and markers or the stablemen or automobile mechanics are under separate supervision, conflict will certainly result, and all such conflicts affect costs.
It should be the duty of the shipping department to make out all shipping documents, such as bills of lading, dock receipts, ocean ladings, etc.; to see that all goods are properly packed and marked, and in the case of carload freight, that the freight
is properly stowed and braced. The watching of the proper packing and the proper ORGANIZATION
stowing of carload freight is very important in that careful checking of this phase of shipping will have a great deal to do with claims against the carrier. Claims, even if collected, are annoying to both the shipper and the customer. The customer wants to receive his goods, and to receive them in proper condition.
The shipping department should make a careful truck list each day for the following day's business, both as to deliveries and pick-ups (see Form 58). A great deal of discretion must be used in seeing that trucks are properly loaded and that they have full, but not excessive loads. A continuance of excessive loading has considerable effect on the life of the equipment. Careless handling and utilization of trucks will affect the cost per unit-haul very seriously. Extreme care should be taken to consolidate all goods going to, and coming from, one direction; and to see that all pick-ups are made on return of trucks so that it will not be necessary to make special trips.
The shipping department, through inefficiency in its operations, can increase the haulage and loading costs to a considerable extent.
The receiving department has relatively less important work to do, from the transportation standpoint, as compared to the shipping department. It only reports
the receipt of goods, quantity and condition on arrival. Of course, the information ORGANIZATION OF RECEIVING required is very valuable in that improper inbound checking, as to quantity and
condition, will seriously affect any claims that may be made. Adequate information concerning incoming shipments should, of course, be given by the traffic department to the receiving department, so that the receiving clerk will have something by which to verify his charges (see Form 59).
A proper truck follow-up is very essential as a great deal of time and money can be lost through truck delays. These delays may be caused simply by timekilling on the part of the drivers, through inefficient loading and unloading or through traffic congestion, including delays at ferries, railroads and steamship piers. The actual operation of trucks will of course vary with the location of an industry, the
topography of that location, the kind of product handled, and the size of individual FOLLOW-UP
If heavy articles, for instance, are to be handled, where it is necessary to load by cranes, a relatively longer time will be required in loading than in the case of coal or sand, where the loading is done from hoppers. The difference in the time of unloading commodities will be even greater when, as in the case of heavy steel articles, the delivery may have to be made at a place where there is no crane, thus making loading slow, as it would necessarily have to be done by hand. Coal or sand would be dumped and the unloading handled in a very short time.
In the case of steel articles, ten deliveries may be required as against one for coal and sand. In the case of a load of articles from a department store, hundreds of deliveries have to be made, with resulting delays and the necessity of properly following up the truck; but, on the whole, outside of a few industries, it will be found that the majority of loads, with but few exceptions, will go to or come from ten to thirty zones and, if the standard time is set for haulage to or from each zone, a fairly clear check can be had with follow-up cards (see Forms 60 and 61). These cards will reflect the time the truck arrives for loading, the length of time lost in the loading operations, and will then reflect the time the truck starts soving until it gets to its first destination, and also the time it is halted by traffic or other causes for long periods.
A daily summary of these cards will show the comparison of idle to moving time. If too much time is lost in loading, for instance, some means can be taken to eliminate these delays. By changing drivers, according to the various zones, from time to time, and sending a checker to follow the truck occasionally, good truck performances can be had without the use of outside men, who at best can cover the operations of but a few trucks unless all the trucks are operating within a radius of a very few miles. If a card system, such as outlined, is really properly followed and properly checked, the moral effect alone will deter many drivers from loafing, besides showing exactly where the time is lost. If this loss of time is at a certain railroad depot or customer's plant, some arrangements could be made to overcome the delays in future. The card system will also be of assistance in the general cost accounting system. It will show the efficiency or lack of efficiency of the various drivers.
A great many concerns keep no separate accounting of the cost of their shipping operations, seemingly thinking that, if they have five or ten trucks and all of them are constantly in operation, no elaborate bookkeeping should be necessary, since to them the bookkeeping apparently would not affect the results of their truck operations. It can be agreed that an elaborate truck cost accounting is not necessary. With the use of Forms 60 and 61, checked with the job or repair card, Form 62, and the weekly expense statement, Form 63, issued by the mechanical department, all the necessary elements are at hand to show the exact cost of operating each truck and these various elements can be lined up on the cost accounting sheet, which is outlined in Form 64. The latter statement will show exactly the cost of operation of each truck unit, and a recapitulation of this, as shown in Form 57, will show the total cost of operating all trucks per day, per week, per month; also the average cost of each truck per day.
Where several sizes of trucks are used for different operations, their cost should be run separately on Form 64, so that a complete analysis can be had for each type of equipment. This system will show a number of things, some of which are that the driver making the quickest deliveries and handling the most freight is not always the most efficient driver, as his repair cost if probably in direct ratio with his quickness of delivery and that the final cost per unit for deliveries made by his truck is actually higher than that of other drivers. The relative value of different makes of automobiles can be very closely gauged through the use of such a system and the relative value of the use of horse-drawn as against motor-drawn trucks can be shown.
Such a system will show clearly any carelessness of proper lubrication and will give a good comparison of gas mileage. This comparison will lead to measures being taken to get better results and will ultimately lower costs. Where the lubrication is left to mechanics or drivers solely, with no method of check-up, the life of the equip