MTMC continues direct booking expansion.

An increasing percentage of the Military Traffic Management Command's ocean cargo is now being booked directly by customers.

A test that began March 1 has expanded to other shippers, said Tom Hicks, Implementation Director.

"We are significantly improving the order-to-delivery cycle time of freight movement," said Hicks.

A consequence of the faster bookings is an improved relationship with ocean carriers, he said.

"Payment cycle time has decreased from three-plus days to two days under direct booking," said Hicks.

Under the Web-based concept, customers book their cargo directly with a sealift carrier by using carrier's Web-based booking system. Carrier payment via PowerTrack automated payment software captures the metrics of the movement. In the first nine months of the program, 1,042 containers have been booked under the test with $2.9 million paid to carriers.

To further expand direct booking, MTMC is working with PWC Consulting to develop a new pricing and documentation system called the Electronic Shipper System. The system will provide customers, who do not have a Web-based system, access to direct booking. It is a win win situation, said Hicks.

"We are getting instantaneous booking confirmation, timely carrier payments and accurate shipping documentation--all at once," said Hicks.

Ocean carrier representatives reacted positively to the initiative at a recent MTMC meeting with the commercial sealift industry.

"Maersk-Sealand is looking forward to this initiative," said Ken Gaulden, Vice-President, Government Marketing & Sales.

The early results of direct booking has been very positive, he said.

"This should improve the efficiency and effectiveness of shipping for everyone," said Gaulden. "Shippers, customers and the Military Traffic Management Command will all benefit."

Additional use of automation and direct customer-shipper communication will be the themes of the future, said Gaulden. Matson Navigation Co., Inc., is equally supportive.

"We like it a lot because it really forces everyone, including the shipper, to get the right information in the booking system the first time," said Mike Gavin, Director, Government Services.

"This leads to fewer errors, complete records and correct payments the first time through."

The overall work required in a transaction is much smoother, he said, when layers of bureaucracy are reduced and the shipper takes on the freight administration function directly with the carrier.