How Saskatchewan Mining and Minerals is Committed to Shipping and Distribution

Delivery and distribution is a value proposition

It is as simple as this: our customers place a high value on delivery and distribution. So, it is critical that we have the best partners and the right pricing to ensure that the proper containers are delivered on time to the correct locations. It’s why we begin negotiating early with the right partners.

On an annual basis, Saskatchewan Minerals either goes out for quotes or re-negotiates with approved suppliers and carriers. Prior to starting the process, we define a negotiation strategy roadmap.

Information is Power

The best preparation is to be as knowledgeable as possible. Gathering freight rates is an ongoing activity at Saskatchewan Minerals, with major negotiations starting in August. That’s when our logistics department begins identifying the different distribution lanes we plan to use in the upcoming year. Using software data and industry knowledge, we identify expected freight increases or decreases.

Keeping the focus on customers

We join industry discussion groups and are guided by the various transportation action committees who lobby with governing bodies. We also listen to specific challenges identified by our customers. Then, nearing the end of the year, we start direct negotiations with the carriers. Working against the current trend of monthly or quarterly pricing, we establish the best rates for our customer lanes and lock those rates in (excluding FSC) for one year. This allows us to offer stable pricing to our customers for the entire year.

Setting Realistic Objectives

Before entering negotiations, we set goals and targets using the information we obtain about the anticipated cost increases or decreases on our major shipping lanes, and the specific challenges our customers are facing. With these targets in mind, we enter negotiations understanding not only what is necessary or desirable, but also what is realistic.

Working to win-win-win

We realize that we are negotiating for ourselves and on behalf of our customers. Recognizing the importance of arriving at an outcome that is acceptable to Saskatchewan Minerals, our customers, and our logistics partners, we enter into all our negotiations with this objective at the forefront.

Why Saskatchewan Minerals prices are so stable

Whether Saskatchewan Minerals negotiates with trucking companies or railways, we do it with the customers in mind. Our ISO platform allows for close monitoring of our service providers. When analyzing our rate quotes we also consider the level of service provided by the individual carrier. We pride ourselves in keeping prices as stable as possible and offering service our customers can count on!