CPG TMS Selection & Implementation
Our client, a Russell 1000 CPG holding company, had just completed a leveraged bid across 4 divisions, but 4 months after was not achieving the cost savings as predicted by bid outcome
Our client's primary problem was their business units were not achieving the logistics savings that were communicated as part of shared services led leveraged bid. Our team developed several hypothesis as to why results were lagging expectations. Below is a summary of the project and the resultant impacts.
Hypothesis 1: The bid results were over estimated
Hypothesis 2: The Business units were not consistently following the routing guides.
Hypothesis 3: The carriers were not charging according the new agreed-up tariffs resulting in high prices.
Conduct an RFP
Select TMS suited for complex purpose
Implement TMS within a BU within 3 months
BU compliance to bid outcomes increased 300%
Implement across organization within 8 months
Power in Numbers