A large Midwest-based operator of metals service centers with over 14 facilities was seeking a solution for ongoing service concerns and high freight costs for their clients within the aerospace, automotive, chemical processing, consumer products, construction, electronics, and medical industries. They engaged PLG Consulting to execute a complete optimization analysis and assessment of their US road freight program to provide recommendations for improving efficiencies and market competitiveness.
PLG’s team of experts conducted a comprehensive US road freight analysis and delivered a freight contract review and spend analysis with benchmarking; evaluated service level requirements; reviewed processes and developed a set of process improvement and savings initiatives.
Services Provided
- Collected a detailed data sample of recent shipments
- Interviewed key internal and external stakeholders
- Mapped out freight planning, sourcing, and tendering processes
- Benchmarked the data
- Conducted a high-level network optimization study
- Synthesized the results and delivered a concise summary of findings and opportunities for improvement
Results
- Detailed recommendations for reducing the clients’ US road freight costs by 10 to 15%
- Recommended a revised organizational structure to increase efficiency and accountability
- Built a set of Key Performance Indicators (KPI’s) to monitor ongoing gains and evaluate risk
- Created an implementation plan to deliver recommended improvements
