C-TPAT Survey of Quebec Exporters

A recent survey by CROP for the Quebec Ministry of Economic Development, Innovation and Export Trade reveals that close to half of Quebec exports will comply with the C-TPAT (Customs-Trade Partnership Against Terrorism) security initiative during the summer of 2007. The survey of 300 exporters reveals that 38% of respondents are currently certified C-TPAT, 18% are in the process of becoming certified, 24% intend to do so, while 21% have no intention to obtain C-TPAT certification.

According to the survey authors, close to 75% of respondents indicate they will be certified within one year.

Over 48% of certified respondents used the services of a consultant or a firm specializing in C-TPAT certification to help them in their accreditation process.

96% of respondents who used the services of a specialized third party deemed the experience positive.

Over 75% of respondents knew carriers that were already certified C-TPAT.

90% of C-TPAT-accredited respondents already used certified C-TPAT carriers.

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Source : Ministry of Economic Development, Innovation and Export Trade, Quebec

The World’s Largest Truck Convoy

On September 22, truckers from all over will converge in Trois-Rivières (Quebec) for Convoy 2007 to form greatest truck convoy in the world. The event aims to help the Quebec Special Olympics, a non-profit organization “whose mission is to enrich the lives of people with an intellectual disability through sport.”

Truckers who wish to participate may fill out a registration form, downloadable here. Festivities, a picnic, a BBQ, and prizes are planned in recognition of participating truckers and industry representatives.

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Source : Special Olympics Quebec

TransForce Announces Steady First Quarter Growth

TransForce Income Fund (TSX: TIF.UN), the leader in the Canadian transportation and logistics industry, announced April 24 continued growth in its financial results for the first quarter ended March 31, 2007.

The Fund increased quarterly revenues by 7% to $464.8 million compared with $433.8 million in the same period a year earlier. EBITDA (earnings before interest, taxes, depreciation and amortization and equivalent to operating income on TransForce’s financial statements) was $52.7 million for the quarter, an increase of 7% from the $49.1 million reported for the first quarter of fiscal 2006.

Cash flow from operating activities, before net change in non-cash working capital balances, was $45 million in the first quarter, compared with $41 million in the first quarter of 2006.

Although the Fund’s sustaining capital expenditures for 2007 overall are expected to be similar to 2006, they are more heavily weighted towards the first two quarters. In the first quarter of 2007, net capital expenditures were $13.1 million, compared with $4.6 million a year earlier. As a result, total distributable cash was $31.1 million compared with $33.2 million a year ago. TransForce increased its regular monthly distributions during the first quarter to $0.1325 per unit.

The Fund’s normal distribution payout ratio, or cash distributed as a percent of cash available for distribution, was 102.2% for the first quarter of 2007, compared with 87.8% for the same period last year.

“The first quarter is traditionally slower than the balance of the year and I am pleased that we were able to improve our year-over-year results in key areas in the latest quarter,” said Alain Bédard Chairman, President and CEO of TransForce Income Fund. “We were pleased to be able to increase our distributions in the quarter and remain confident that the capital investments we are making now will generate further increased value for our unitholders in the future.”

During the first quarter of 2007, TransForce completed the previously announced acquisition of Westfreight Systems Inc. and Westfreight Holdings (U.S.A.) Inc.

Westfreight specializes in over-dimensional and heavy haul transportation services as well as being a less-than-truckload and truckload van and flatbed service provider. With a focus on serving the oil and gas industry, its primary service lanes are between Alberta and the Texas and Oklahoma regions. Last year, the Company generated revenues of approximately $47 million.

This acquisition strengthens TransForce’s existing capabilities, offered through UTL Transportation Services, in the heavy-haul and full-load segment of the energy sector and complements the cross-border less-than-truckload service provided to the energy sector by Canadian Freightways.


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Source : TransForce

Mr. Emmanuel Thual, CEO, Clasquin Canada Inc.

Groupe Clasquin, a subsidiary of Groupe Clasquin SAS, specialized in air and maritime transportation with Europe and Asia, is happy to announce the appointment of Mr. Emmanuel Thual as Chief Executive Officer of its subsidiary, Clasquin Canada Inc. Mr. Thual graduated from France's “grandes écoles” of transportation and logistics, with over 15 years of experience in overseas transportation.

Please send us your notices of appointment
at info@transport411.com

Please send us your job offers at info@transport411.com

Calculate your Logistics and Supply Chain Management Costs

Statistics Canada, in partnership with Supply Chain and Logistics Association Canada (SCL), has published a new report aiming at helping corporate decision makers in establishing their logistics and supply chain management (SCM) costs. This document comes in support to an earlier report by the same author, which dealt with key performance indicators (KPI) relating to logistics and SCM costs across a range of manufacturing industries.

Logistics and SCM costs are important key performance indicators relating to business agility. Awareness of such costs allows businesses to compare themselves the standards of the industry and adjust accordingly. But logistics and SCM costs are often difficult to establish. The author of this report noticed that North-American businesses that do measure theses logistics and SCM KPIs perform better than competitors who don’t.

To get an overall picture of their logistics and SCM costs, businesses must evaluate three types of costs: internal, outsourcing and inventory carrying costs. The first step consists of separating internal from outsourcing costs, i.e., separating logistics and SCM activities such as customs clearance and inbound transportation (which are often outsourced), and warehousing and inventory management.

The document author has identified nine activity categories, internal or outsourced, involved in determining logistics and SCM costs:

• Inbound and outbound transportation
• Transport management
• Warehousing and materials handling
• Inventory management
• Logistics and SCM network design
• Supply and demand planning
• 3PL and SCM service provider management
• Customs brokerage and freight forwarding
• Sourcing and procurement (except purchase of goods costs)

For each one of theses activities, the author has also identified six aspects that can affect costs:

• Logistics and SCM infrastructure depreciation
• Transport equipment depreciation and related costs
• Logistics and SCM technology investment depreciation
• Logistics and SCM overhead (management) costs
• Logistics and SCM wages costs
• Training costs relating to logistics and SCM activities

Therefore, for each activity relating to logistics and SCM, e.g., inbound and outbound transportation, the report provides a detailed grid of internal and outsourcing costs for each of the six aspects described above.

With these tables, businesses will be able to establish their logistics and SCM costs and compare themselves to their respective industry standard, which can be found in a series of online sectorial reports here. To make matters more concrete, the author has also provided sample logistics and SCM costs in a case study—a fictitious company called “Sidekick” —and compared these with industry standards

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Source : Strategis — Industry Canada