TwistedSifter

Boss Thought He Could Save Money By Firing The Domestic Importer, But He Ended Up Learning That It’s A Lot More Complicated Than He Realized

Container ship on the ocean

Pexels/Reddit

Bosses think that cutting costs is the most effective way to increase profit, but some go too far.

In this story, an employee’s new boss asked him to cancel the importer’s contract so he could save money by handling the import himself. His boss then took over the importer’s responsibilities, but he had no idea what he was doing.

Read the full story below for all the details.

My boss insisted we cut out the middleman to save 15%, so I let him handle the logistics of a 40-foot container

I work as a purchasing manager for a mid-sized home goods retailer.

We have used the same domestic importer for our seasonal decor for five years. They charge a markup, but they handle the customs, the quality checks, and the shipping. It is hassle-free.

My new Director of Operations is convinced that he is a business genius.

He called a meeting last month and lectured me about how we are hemorrhaging money by using a local distributor. He told me to cancel our contract for the holiday shipment and go direct to the source.

The boss wouldn’t listen.

I warned him. I told him that dealing with freight forwarders, tariffs, and port delays is a full-time job.

He told me I was just being lazy. He actually said, “Just get me the contacts, I’ll close the deal myself.”

So I did.

This employee watched his new boss make a fool of himself.

I spent a few days on Alibaba compiling a list of legitimate Chinese manufacturing companies that produce glass ornaments. I handed him a spreadsheet with twenty factory contacts, their MOQ (Minimum Order Quantity) requirements, and the time zone differences.

I sat back and watched the show.

He realized that FOB Price does not include shipping to our warehouse.

He learned his lesson the hard way.

He wired money to a supplier but forgot to hire a customs broker, so the shipment got flagged by CBP.

The container sat at the port for ten days because he didn’t understand what an ISF filing was. The demurrage fees (fines for not moving the container) alone cost more than the 15% he was trying to save.

He came to my desk yesterday, looking incredibly humbled, and asked if I still had the phone number for our old importer.

Lesson learned: some services are too critical to cut.

Let’s see what other people on Reddit have to say in the comments.

This person calls it madness.

A user shares an insider’s opinion.

Here’s a valid concern.

This is a good point.

Another user shares a related story.

Importing sounds so easy until you start doing it yourself.

If you liked this post, check out this story about an employee who got revenge on a co-worker who kept grading their work suspiciously low.

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