Situation
Automotive supplier B operates production sites in several European countries. The in-bound transportation of our own suppliers is mainly handled by a freight forwarder. B has no overview of the costs per trip.
2 interim experts from the fields of logistics/purchasing and transportation put individual trips out to tender to test the market for transportation. They found that savings of more than 30% per journey are possible.
The challenge
There is no data on the individual journeys. All data is entered at the forwarding agent, who then invoices the journeys. First of all, the interim experts have to collect data from the locations in Europe and evaluate the journeys. Which routes are taken and what is the composition?
A transport management system (TMS) must then be selected. The TMS must be adapted to the needs of B. It also needs an interface to SAP. All participants in Europe must then be trained in the operation of the TMS.
Action
The contract with the freight forwarder was renegotiated. The journeys are advertised digitally and several haulage companies are admitted to participate. A transport purchasing controlling system is introduced. All employees are trained and supported throughout Europe in using the TMS.
Result
The introduction of the TMS will save a 7-digit sum. The costs are transparent. The costs of the interim experts are amortized in less than 12 months.
