Achieving Chemical Supply Chain Optimization with CLX LaneLogix
Chemical manufacturers and their transportation and supply chain partners are under constant pressure to reduce spending and increase margins. Our client (the Company), is a large Dutch chemical company with over 100 million in annual transport expenditure over multiple modes and covering European FTL, LTL packed and liquid, and dry bulk shipments. The Company has large chemical locations and operations throughout Europe, and sought to compare their transportation rates with those of their competitors in an effort to make optimizations.
Client Challenges
The Company needed to better understand their rates in comparison with the market on a granular level with regards to specific lanes, equipment types, and special requirements. They also recognized the need to look beyond their own data, and wished for experienced input on their procurement strategy. Finally, they wanted to understand the conformity of rate hikes they were observing among their carriers at the time.
The CLX Logistics Solution
CLX Logistics implemented CLX LaneLogix to increase supply chain visibility and enable faster, more optimized bidding, benchmarking, and procurement solutions. CLX LaneLogix allowed CLX to quickly gather actionable insights into the Company’s contracts compared to the market, even for completed projects. With easy integration into the Company’s existing systems and data sources, CLX LaneLogix enabled the Company to analyze, optimize, and adapt their chemical supply chain fast and effectively with a full suite of advanced capabilities, including:
Planning and Preparation
- Evaluate carriers
- Validate and analyze data
- Determine bidding strategies
- Create a request for proposal (RFP)
- Set up a bid-hosting environment
Rate Benchmarking
- Develop clearer contract terms
- Easily identify contract validity
- Manage special requirements
- Make data-driven tender negotiations
- Drive better procurement strategies
Procurement & Bid Management
- World-class logistics support
- State-of-the-art bidding tools
- Best-in-class supply chain data
- More competitive bidding environments
- Greater savings achieved faster
Results to Date
CLX LaneLogix identified 9 million Euros in potential savings for the Company. The Company was able to identify savings without spending extra time and money going to market, and could intelligently reallocate resources to more productive avenues. They also no longer had to perform full tenders, as CLX LaneLogix easily filters out any carriers that don’t provide competitive rates.
- Increased the value of transportation spend faster
- Reduced IT involvement in data analysis processes
- Reduced costs and complexity in combining and managing disparate systems
- Provided actionable supply chain visibility for all modes across the global network
- Optimized performance based on data-driven recommendations
- Reduced risk and enabled enhanced decision-making
About CLX Logistics, LLC
CLX Logistics is the world leader in chemical 4PL and supply chain solutions. A seasoned provider of global transportation management, technology, and supply chain consulting services, CLX Logistics delivers economic value to your entire supply chain and accelerates success for both you and your customers. Download this case study!
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