To meet a CEO-mandated directive to reduce network costs by 15%, a global steel manufacturer needed to establish a more strategic approach to sourcing and carrier management.
By partnering with Transplace Supply Chain Consulting Practice (TSCC) to execute a Strategic Transportation Optimization (STO) project, the steel manufacturer was able to:
- Create a freight spend baseline
- Develop a comprehensive capacity sourcing RFP and execute a multi-round sourcing event
- Produce an optimized routing strategy
- Provide freight audit and payment solution for data availability, collection and accuracy for operations in Mexico
- Generate 17% (over $9.7MM) in annual savings