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  QS-9000
  Records of Premium Freight (4.6.2.2)

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Author Topic:   Records of Premium Freight (4.6.2.2)
Gordon
Forum Contributor

Posts: 10
From:Bartow, Florida
Registered: Feb 99

posted 19 March 1999 03:41 PM     Click Here to See the Profile for Gordon   Click Here to Email Gordon     Edit/Delete Message   Reply w/Quote
As stated in the QS9K 3rd Edition, "Records of premium freight shall include both supplier and subcontractor paid charges."

This sounds deceptively simple, but is endlessly complicated. My concern is that I may not know when my subcontractor is shipping under premium freight at his cost. He may have missed the normal shipping schedule and now wishes to expedite shipment to maintain his 100% On-Time delivery performance. When the shipment arrives, there is nothing on it or the packing slip that may indicates "Premium Freight."

Can anyone share how your company is tracking subcontractors' records?

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Marc Smith
Cheech Wizard

Posts: 4119
From:West Chester, OH, USA
Registered:

posted 22 March 1999 07:50 PM     Click Here to See the Profile for Marc Smith   Click Here to Email Marc Smith     Edit/Delete Message   Reply w/Quote
The only thing I can suggest is the 'Sanity' rule. That is, track what you can and leave the rest. I doubt your registrar will like this answer, however I wouldn't hesitate to call and ask what their 'expectations' are.

You can require (Ugghhh!) your supplier(s) to submit monthly Premium Freight reports to you.

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Tom Goetzinger
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Posts: 123
From:Milwaukee, WI USA
Registered: Mar 99

posted 23 March 1999 11:50 AM     Click Here to See the Profile for Tom Goetzinger   Click Here to Email Tom Goetzinger     Edit/Delete Message   Reply w/Quote
One thought is that you might have your receiving department log/flag/mark/track any shipments that come in via a premium method.
By comparing the information to your Premium Inbound Freight records, you could determine what you haven't captured yet. We're not quite that far in implementing yet, so this thought is all theory at this time.
Many companies are not very good at auditing inbound freight charges which are added to invoices for material; I wouldn't be surprised to find out that the guy who is shipping via premium methods to protect his 100% on time delivery performance is charging you for the premium freight. Not saying the supplier is dishonest, just may not have the mechanism in place to invoice the freight differently.
I'm glad this question was raised, as its something I hadn't addressed yet. Hope to see some input from some of those who have passed their certification audits.

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Marc Smith
Cheech Wizard

Posts: 4119
From:West Chester, OH, USA
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posted 23 March 1999 11:55 AM     Click Here to See the Profile for Marc Smith   Click Here to Email Marc Smith     Edit/Delete Message   Reply w/Quote
Thanks for the input Tom! Good ideas!

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Gordon
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Posts: 10
From:Bartow, Florida
Registered: Feb 99

posted 24 March 1999 08:37 AM     Click Here to See the Profile for Gordon   Click Here to Email Gordon     Edit/Delete Message   Reply w/Quote
Yes, thanks, Tom. I will check to see if the inbound freight charge reflects the premium that they (we?) are paying. One thought was to note that if the carrier is different then it is worth the investigation... but I didn't want to get into generating a list of common carrier each subcontractor is using. However, most subcontractors use freight services that also expedite shipments, so premium freight still comes in under the same carrier.

A brainstorming session came up with the idea of making the subcontractors responsible for maintaining the records of premium freight shipped at their cost. If the auditor asks for the record, we will simply call the subcontractors to send us their records. Will this work, QS9K gurus?

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Marc Smith
Cheech Wizard

Posts: 4119
From:West Chester, OH, USA
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posted 24 March 1999 08:47 AM     Click Here to See the Profile for Marc Smith   Click Here to Email Marc Smith     Edit/Delete Message   Reply w/Quote
I should think so. Or....
quote:
You can require (Ugghhh!) your supplier(s) to submit monthly (quarterly?) Premium Freight reports to you.

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