A remarkable success story… in the summer of 2000, BNSF Railway Company and MGM Business Partners, Inc. joined efforts in a strategic alliance to outsource the marketing, risk management, and accounting associated with BNSF freight claim products. A new entity, Partnershipping, Inc., was created!
Our goals were to provide BNSF similar net proceeds for their freight claim products, manage risk, reduce liability exposure, guarantee collections, and allow BNSF to substantially reduce internal costs and reallocate company resources.
The outcome far exceeded the goals! Not only did Partnershipping achieve its goals, net proceeds to BNSF improved. The innovative, calculated risk quickly became a stunning success!
A Simple Turnkey Process
As soon as a product becomes a freight claim matter, the available information is transmitted electronically to Partnershipping. From that point forward, Partnershipping dedicates its skilled staff to secure additional information, assess potential risk, evaluate the best marketing solutions, and execute the sale. Disposition is monitored and final payment along with all supporting data are remitted electronically to BNSF to populate their claim records. This outsourcing arrangement and electronic exchange of information is designed and executed so well that BNSF and Partnershipping rarely need to communicate.
Our Proven Business Model
Once we are notified of the formal rejection we implement a regimented internal process from discovery through execution:
- Inspect the salvage for quality or count when necessary.
- Determine the proper fitness for consumptive use.
- Have an internal group discussion to determine the best plan of execution.
- Identify the best sale opportunities, including a contingency plan.
- If the best sale opportunity doesn’t meet predetermined minimum criteria, return to step 3 for additional discussion.
- Sell the product then issue a sale contract that includes all terms and conditions agreed upon between buyer and seller.
- Transfer or recover product if necessary, deliver product to buyer, and monitor disposition throughout the process.
- Immediately collect payment from the buyer, complete all accounting functions and reconcile the file.
- Report predetermined segments of information and provide payment to rail partner (both handled electronically).
- Retain a completed file with all supporting documents which are available for audit at any time upon request.