Case Studies
A leading provider of construction products increased savings by consolidating orders and improving visibility
Learn more about how Logward wrote success with industry leaders.
Contact us7.95 %
Cost savings
+150,000 USD
Saved in the first year
+300,000 USD
Saved from January 2020 to March 2022
Summary
By visualizing purchase orders and volume forecast per route through dashboards, the customer was able to choose cost- and time-efficient routes while planning transport. This resulted in +150,000 USD saved and improved operational efficiency in the first year.
Customer
A leading provider of award-winning construction products serving customers in over 100 countries and with fifty manufacturing sites worldwide. The company was facing difficulties and high costs to keep up its excellent OTIF standards in times of market fluctuations and global disruptions in supply chains.
Problem
The existing setup required regular manual updates and was plagued by poor data quality and consistency. This was in part because the company was using only Microsoft Excel to keep track of its operations. On top of that, decisions on transports were made in different countries, further increasing inefficiencies in logistics budgets and in monitoring additional costs. All these inefficiencies resulted in poor planning for FTL/LTL transports within Mexico, USA, and Central America. Trucks travelling long distances often weren’t fulfilling the minimum volume for a cost-effective transport and for providing a high service level to the company’s customers.
Solution
In 2020 the company started working with Logward by providing single order data. This allowed the company to identify the source of losses, and, consequently, production and transport planning could be optimized. This enabled them to increase savings while meeting customers’ expectations. Once this routine was established, the company was able to begin using order consolidation for overland transport, automating on-carriage transport, and restructuring routes. Additionally, through Logward’s platform the company can provide its customers with live ETA updates. This operational model was first successfully adopted in Mexico and later implemented in other South American countries, allowing the regional office to monitor and control activity and order fulfillment in several countries.
Results
Consolidating orders for overland transport led to 7.95 % cost savings. This is equal to +300,000 USD saved from January 2020 to March 2022 alone. It also improved forecasting and operational productivity.
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