Rail Cost Control is a product of Escalation Consultants, Inc.—serving railroad customers since 1979.
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Achieve Win-Win outcomes with railroads
The Cost Optimizer (CO) automatically determines the pivot point, which is the point where the railroad makes the most profit from decreasing your rates. Negotiations become more productive when you understand the pivot point for each of your railroad’s bids.
The Optimizer automatically creates RFP’s for Rule 11 and through movements for each railroad with one click. Maximize your pricing options for Rule 11 movements by creating RFP’s through multiple gateways at competitive and captive locations. Start generating RFP’s that work to reduce the rate structure for your movements today.
Analyze RFP’s the same day you get them back. Get better results by thinking and not crunching numbers. The Optimizer gets you thinking faster by loading RFP responses into the program as soon as you get them back form railroads. This means you understand what is good and bad about railroad’s bids the same day you get them back from railroads.
To obtain reasonable rates and successfully go after cost reductions, you must first know what reasonable rates are for all your moves. The Optimizer automatically shows each movement being priced higher than competitors in your markets. The Optimizer then summarizes results and shows the number of carloads and total spend with rates that put you at a competitive disadvantage in markets.
Always know the value of your least cost option. The Optimizer automatically quantifies the impact of “what if” scenarios on your expenses, as well as, on the railroad’s profit and revenue.
Simply looking at rate reductions on an individual railroad doesn’t show your true change in cost. The Optimizer provides the total reduction in your rail spend for each move under different scenarios, even when railroads or gateways change.
Enter the volume requirement the railroad wants, and the Optimizer shows how it affects your spend and the railroad’s profits. Quantifying what a minimum volume requirement costs you in relation to the benefit a railroad receives helps you build a strategic response for the railroad.
The industry is moving more and more to Rule 11 movements and with good reason. Maximize control over your rate structure while increasing your pricing options. With the click of a button you can create an RFP that converts your existing though movements to Rule 11 movements using the existing gateway or multiple gateways to increase your potential reductions.