Challenge:

When we approached this tyre manufacturer they were utilising 30+ transport companies for their deliveries which was a significant administrative burden to the business. As a consequence it was also near impossible to manage efficiently. A manual dispatch process was in place which was prone to human error and a manual invoicing process required that each state authorise each invoice before it was then sent back to head office for processing.

Solution:

We selected a supplier that specialised in automotive freight and consolidated all transport with this carrier. We implemented the new supplier through a phased process that included  thorough training for all warehousing staff and set clear service levels. As part of our solution we installed an electronic dispatch and invoicing system supported by a centralised customer service centre. Our client now has a simplified national rate card and receives a single invoice once a week.

Results:

A reduction in transport costs of 10% has been achieved. Furthermore, there has been a reduction in invoicing processing time and a reduction in labour costs in the warehouse. This has all been achieved while the tyre manufacturer has reached a delivery in full on time (DIFOT) of 98%.

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