A summary
of the projects that Informa ShipNet
Services has been assigned over the past
several months are outlined for your
review. The central theme that we
have been receiving from our clients has
been twofold; developing strategies to
improve freight costs and develop
contingency plans for the movement of
domestic and export shipments. A main
concern many of our clients have is
trying to establish benchmarks to
measure effectiveness in cost and
service improvements. With the ever
increasing rise in fuel, we are all
challenged with managing costs more
effectively.
Projects
Transportation Process Evaluation of
Multiple Business Units A
commodity based company required
consolidation of its transportation
operations to reduce overhead and
cost. This involved evaluating each
individual business unit's
operations and process flow. It
required a baseline process for
determining the costs for all its
owned and leased transportation
equipment and defining the volume
for outside third party operators.
Seasonal flow of products impacted
the utilization factor of its owned
equipment and a program was designed
to level out the highs and lows of
shipping volume to reduce costs for
non-utilization of equipment.
National Dry Van Truck Load RFP
(Request for Proposal) – This
assignment involved management of
the overall project, developing
templates, communication to the
carrier community, historical data
base development, categorizing rate
lanes, compiling rates in routing
guide format, identifying low cost
providers, developing rate
agreements for carriers, develop
fuel surcharge matrix, and summary
of the final output (savings).
Developed implementation program and
established on-going management
process to protect savings and
monitor carrier performance. Project
generated 11% annualized cost
savings. ROI for the client 10:1
ratio.
Logistics Benchmarking –
(Evaluating Freight Costs and
Transportation Processes vs.
Industry Standards) – The client’s
objective was to evaluate its
current processes and rates against
industry standards in developing
score card measurements. This
involved analyzing and mapping the
transportation process from order
entry to final delivery. Multi-modes
of transportation were analyzed and
benchmarked; (i.e. dry van
truckloads, rail and export
container shipments). Industry
standards were utilized to measure
effectiveness of current processes.
Risk assessments were developed with
recommendations for improvements.
ROI for the client 8:1 ratio.
Transportation Management System
(TMS) Evaluation – Develop scope
and parameters for selection process
of implementing a TMS. Scorecard
developed for evaluating cost and
service criteria for selected
vendors.
Short
Term Projects
Terminal Project – Expanding
scope of bulk terminal services for
domestic distributor to identify new
locations for improved effectiveness
of product distribution and defining
expanded scope of product offerings.
Import Bulk Commodities –
Develop transportation cost and
service model for the import of
liquid bulk products. Identify
distribution network and cost
analysis.
Export Bulk Commodities –
Identify and develop an export
transportation model for the export
of a dry bulk commodity. This
involved developing a total
transportation model for the
domestic transportation (rail and
barge), transfer operation and
export vessel sizing. A total blend
of cost and service was integrated
for the client.
Freight Services
Rate
quotes and service requirements were
developed involving establishment of new
shipping lanes and or adjustments in
modes of service (truck vs. rail) for
the following requests:
Agricultural produce grower –
refrigerated truck load rates and
services, pricing and services for
new export container markets.
Domestic pet food provider – dry van
truck load services.
Food
service company – provided
refrigerated and dry van truck load
services and rates for
non-traditional lanes.
Steel/industrial wire company –
Implemented dedicated flat bed truck
service for barge to truck transfer
operation. Set up national flat bed
truck services and rates as well as
export container rates and service.
Cotton seed exports – Outlined an
export logistics model
(containerequipment and contract
rates) for the export of large
volume of cotton seed.
Yellow grease export – Provided
total transportation analysis for
the export of yellow grease in bulk
(flexi-tanks in containers) which
included domestic freight,
flexi-tank pricing and export
container pricing.
Retail dry goods distributor –
Provided rates and service
requirements on a dedicated lane
basis for a large retail
distributor.
Please
contact Jim Pacileo to inquire about our
services.
