A distributor of manufacturing products uses less-than-truckload (LTL) shipping to receive their inbound orders from vendors. When the distributor hired a new transportation team it quickly realized it had zero visibility to their inbound orders and a lack of invoice accuracy. The distributor’s warehouse staff was often unprepared for the volume of shipments coming in, leading to disarray and inefficiencies within the warehouse. This resulted in a negative impact on customer experience. The distributor needed an immediate and sustainable solution to provide more visibility and mitigate the risk in their supply chain.
For years, the distributor had little visibility into its shipments, nor did it receive any reports on key performance indicators (KPIs). With no data to provide insights or opportunities for change, time was spent in all the wrong areas. The company was spending more time obtaining tracking updates, searching for data, attempting to create metrics, and chasing goals without business performance visibility instead of focusing on its core business.
Knowing there was an opportunity to improve its shipping process but unsure how to accomplish it, the distributor contacted Schneider. The company asked Schneider to help identify inefficiencies in its supply chain and provide the visibility and control it desperately needed.
Schneider immediately put its experts to work analyzing the distributor’s vendors’ shipping processes and engaging a network of LTL providers to handle regional and national transportation. The expertise and relationships Schneider has with the chosen carriers allowed Schneider to negotiate a single tariff and deliver a consolidated solution. The distributor was able to track shipments and access all vendor data through an online portal, OrangeHub powered by Schneider. Schneider also created a customized KPI report to provide crucial information on what mattered most to the customer: visibility to its supply chain, shipping costs, claims, cost avoidance and transit details.
Schneider quickly discovered a critical risk with various vendors’ data integrity and compliance to the distributor’s expectations. The analysis uncovered waste and redundancy in vendors’ shipping patterns and allowed the distributor to make strategic business decisions based on the increased visibility Schneider provided.
Schneider looked beyond the tariff and overhauled the vendors’ tendering processes, delivering the clear and streamlined data the distributor needed.
Schneider’s KPI reporting provided invaluable insight into the performance of the distributor’s supply chain. With regular reporting and analysis from the experts at Schneider, the distributor has a new, higher standard for service that is delivering a better, bigger bottom line.
Published June 2018
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