SHIP-TO VS. SHIP-THRU ORDERING

Factory ordered trucks often require some form of upfitting after the body is produced.  There are two primary methods for this.  One option is to have the truck go through the manufacture’s SHIP-THRU program so that the completed upfit vehicle returns to the manufacture and is then shipped to the delivering dealer.  With the other option, called SHIP-TO, the truck is shipped directly to a body company, and the completed upfit vehicle is transported directly to the customer location. 

Production time and expense must be considered when determining the upfit method.  For instance, the distance from the manufacturer to the body company determines the factory freight surcharge.  Add to that the cost to deliver the completed vehicle to the delivery dealer or customer location.   Another consideration is the equipment’s overall height & width restrictions, which determines whether the completed vehicle can be shipped by rail or carrier.  

ARI has vast experience with nearly every upfit scenario, relationships with a full variety of upfitters and can provide customer guidance on the best way to process the order.

SHIP-THRU ORDERING
SHIP-THRU ordering is the best way to handle equipment installation for a decentralized, dispersed fleet with common specifications. Manufacturing synergies produce consistent quality and competitive prices for all types of equipment.

Body companies must be reviewed and approved by the manufacture in order to be considered as a ship-thru installer.  Once certified, the body company is assigned a ship-thru code.  The ship-thru body company is designated when the vehicle is factory ordered, and the ship-thru identification code becomes part of the chassis order.  When the chassis is produced, the ship-thru code serves as notification that a transportation company is required to move the unit from the plant to the body company. 

Transportation time from the factory to the body company is approximately 5 days. Once received,  the chassis is checked in, and the schedule date for production is determined.   Generally, production of a van interior, simple service body, or  platform body requires two weeks.   Volume orders can affect this timeframe as well as delays in receiving upfit material or specialized equipment.  Again, it takes, on average, five days for the transportation company to pick up the completed vehicle and return it to the manufacturer for final shipping.   The vehicle is then placed into the normal factory transportation system, which adds an additional two weeks for delivery to the dealer. 

Advantages Consistent installations.  This is the installer’s only business.  Consistent labor rates as opposed to regional labor rates (California $100.00 per hour vs. Alabama $30.00 per hour).   One point of contact for inquires vs. many contacts. The majority of ship-thru vendors provide electronic status to the Fleet Management companies.  Invoicing is simpler with one company vs. many.

Disadvantages The time factor must be considered. The dollar amount of the upfit along with the time factor begs that you ask the question, is it worth it for a toolbox?  Large orders or large increases in business can delay the production time and may also cause quality problems.

Ford Truck Approved Ship-thru Locations

General Motors Approved Ship-thru Locations

Dailmler-Chrysler Approved Ship-thru Locations

SHIP-TO ORDERING
Major body installers have SHIP-TO codes similar to ship-thru codes.   Most medium-duty and stripped chassis, specialty equipment installations and dry freight van bodies fall outside the ship-thru envelope, and are designated as ship-to orders. Other examples are bucket trucks, crane trucks, service bodies with canopies, etc.   Having a reliable drive-away service that can manage the delivery of the truck from the body company and acquire the title and registration en route to the delivery location is an ideal scenario.  This provides a road ready / work ready truck when delivered to the end user.