Why you should Hug a Mover in 2020

The most critical aspect of relocation is by far the moving of household goods. Before being tagged as a luddite, let me give you 3 reasons why.

Technology is great, reports are great, analytics are great but what happens when all the fancy dashboards show “no service” on your household goods move? In the relocation industry we are seeing more organization concentrating on technology and the need for quick reports and access to information, with little or no concern about the low-tech job of moving folks. In my opinion the focus for anyone relocating employees should be on the physical aspects of the relocation rather than technology.

I want to drill a little deeper into why the moving of household goods is such a precarious aspect of the relocation process. Some reasons you may have heard before, others may be food for thought, so please stay with me. We have all heard that technology cannot move a piano, pack a piece of crystal, carry goods up three floors or calm a disgruntled employee. But there is a deeper current flowing under the industry. Anyone who knows anything about relocation will tell you the Achilles heel of the entire relocation industry is the transportation sector, but the manual aspect seems to be in the rear-view mirror of the new Tech revolution.

If you are dealing with an RMC they may play down this reality or they may, quite frankly, not know the situation exists. When I sign off from my videos with “Hug a Mover”, what I am really saying is to get to know an “Agent”. Find out about their operation, their self-haul capabilities, their track record with corporation and if you like what they have to offer, cozy-up with them.

Here are three reasons why:

1) The agent is the one that performs the actual move. The manual labour, the packing, the driving and storing of the transferee’s goods. The actual move is done by the agents not the Van Line. The Van Line is the collective network of agents, like the RMC and their suppliers. The Van Line manages the brand, offers long haul dispatching services, and provide a network of independent agents to cross sell and service the moves.

The agents are the ones doing the physical work, this is important to know. The Van Line like the RMC own the brand, not the trucks and with that we have seen some lofty RMC and Van Line promises fall short when it comes to the actual execution. The reason being is that neither of them own trucks, do the labour or have warehouses.

2) Amazon is looking for the same people as the Movers. We all know the industry is having very serious problems attracting labour and drivers to a very physically demanding and difficult customer service industry. The added pressure is that this labour we are looking for is being fought over with the ecommerce world. Movers are looking for the same talent as the distribution centers and networks needed for warehousing, shipping and delivery of items purchased online.

The very stressful and physically demanding job of moving household goods is shrinking every year, not only by attrition but also from competition. The logistics of getting stuff moved is the weakest link in most every industry. Should your attention be focused on the ease of getting a one-off report, or should the schlepping of stuff be your real concern? (talk to your traffic manager)

3) The formation of tribes. To unpack this situation just a little more. With little or no organic growth relocation companies are merging. In doing so relocation companies are meshing suppliers or eliminating suppliers. My long-term prediction will be that this will form “supplier tribes”. I keep harping on this, but to reiterate. Volume is not a selling point when you have a capacity issue. Turning the water pressure up higher on the fire hydrant does not make it easier to drink from it. Given this supply and demand and the meshing of relocation companies, I predict agents will become more selective as to who they work with, not for but with.

With the increase in demand and decrease in supply and the predicted tribes being formed, the agents will be utilizing their trucks, manpower and building in a much more strategic fashion. The moving industry is not made up of a homogenous, ukulele playing, campfire choir. We all ride for our own brands. So If you are not using me year-round, or if you are a competitor, another Van Line, or a booking agent for another Van Line , or even worse if you are unfairly using me to shore up your shortcomings in an account. Why would I utilize my limited assets to help you out? This tribal mentality coupled with the over demand and under supply will make supply chain selection far more important and strategic than a nice pie chart. Do you know who is currently riding for your brand?

All these factors will make the relationship with agents the pivotal point for each relocation firm and corporation. Keeping in mind who does the work, owns the trucks, has the labour and owns the buildings. Technology has a roll to play in relocation but there are a lot of people wearing white hard hats and not enough folks wearing yellow ones. Technology can help manage projects but without the labour to do the work there is nothing to manage.

The above is my opinion, some folks may not like or agree with what I say. That is a good thing, it is important to hear various views on the industry and not to get caught up in any one orbit. My point, my reality, is that the moving portion of the relocation program should be your number one focus and concern going forward. Perhaps it is better to revisit your mobility strategy than to see a red flashing light on the dashboard. If you are responsible for, or care about, risk aversion, Hug a Mover! (message me if interested in further discussion)