Q:How have customers reacted to Tariff 400-N?
A: Customers welcomed Tariff 400-N enthusiastically. The private transferee
(COD) customer has certainly benefited. This customer is often already traumatized
by moving and becomes even more confused by the pricing, terminology and paperwork.
The simpler, less confusing process was a relief. Tariff 400-N has made it much
more difficult for unscrupulous movers to exploit customers through confusing estimating
and pricing methods.
Government customers—both DOD and GSA—have adopted Tariff 400-N for their personal
property procurement programs. These agencies sought simplified pricing, and Tariff
400-N satisfies their needs. As an example, the DOD had already used the per hundred
pound weight (cwt) basis on packing that the HGCB Committee developed for the DOD’s
re-engineering test pilot.
Corporate account customers have also embraced Tariff 400-N for the same primary
reasons as other customers. For several years, the expertise of corporate customers
had been shifting from the traffic department to human resources. Many were uncomfortable
with a “tariff,” and when they tried to comprehend its terms and methods, they concluded
there must be a “better, simpler way.”
A simpler pricing mechanism has saved national account customers time and expense
associated with paperwork, billing, contracts, RFP’s and auditing. These same types
of cost savings were also experienced by movers. The whole process was more efficient,
and less cumbersome.
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Q: Have movers offered the same discounts under Tariff 400-N?
A: Yes. Tariff 400-N has restructured rates to accurately reflect actual
costs. The base rates were adjusted to reflect 400-M rates as of 1/1/2001 plus cost
changes through early 2002 as determined by two specific government indices.
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