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Case Histories
Case History I
Recently, Capital Transportation Services completed the installation
of our "Transportation Cost Management" program for the leading
manufacturer of drilling and anchoring systems in North America.
This manufacturer is now able to enjoy significant savings on
freight costs and improved accounting productivity. CTS manages all
LTL transportation for this 200 million dollar manufacturer and
distributor. Utilizing our Transportation Cost Management process,
we developed the best cost/service routing options for all inbound
and outbound products for three distribution centers and 28 shipping
locations throughout the United States. CTS serves as a single
source for all of their facilities regarding costing, routing,
expediting, claims processing and other transportation activities.
CTS provides monthly quality measurements to our customer for all of
it's facilities. We report on service, cost and claims activity by
location. Our logistics coordinator works with the distribution and
manufacturing channels to constantly search for potential
improvements in the quality process to assure that any given product
is being delivered complete, on time and intact.
Case History II
A freight bill audit was performed for a multiple location candy
manufacturer. The first thing that was determined was that although
they had decent discount programs in place, they did not always use
the lowest cost carriers. The next thing we noticed was that they
had many carriers in place for similar shipping lanes. This company
had discount programs with over 50 carriers. It was determined by
CTS that spreading their product amongst so many carriers severely
reduced their buying power. CTS was able to reduce the number of
program carriers to twelve while still providing back up carriers in
all lanes. Because of this reduction in carriers, and combining the
clients volumes with other CTS clients, we were able to reduce their
transportation costs by over 20%. Administrative costs were also
greatly reduced through our freight bill audit and payment program.
Case History III
A large company dealing in printed materials contracted with CTS to
assist their traffic department in negotiating rates with ground and
air carriers. Once again combining the Client's products with other
CTS customers, we were able to reduce their overall transportation
expenditures by over 18%. This resulted in a savings to the customer
of over $250,000.00 in the first year of the program. Additional
savings were identified by asking why the client used what we
considered to be an excess of second day and economy air shipments.
The client stated that they wanted to be sure their major accounts
were receiving their product in a timely manner. CTS provided rating
and routing software to the client, which showed how to move product
by ground, in a more economical fashion, and still receive the
service they were getting by using air.
Case History IV
A young business that was starting to experience rapid growth in
demand for their products began using CTS to route their shipments
for them. This was done with CTS rates and contracts and was
basically handled by telephone from the client to CTS whenever they
had product to ship. Over the course of the next three years, this
company went through a phenomenal growth spurt and became a very
large distributor. As they were comfortable with the way CTS handled
their account when they were small and then through their growth
periods, they saw no need to install a large traffic department.
Instead, CTS installed systems and technology in the customers
facility on an as needed basis which allowed them to focus on their
core business and not have to worry about getting their products
delivered. CTS was also able to provide additional warehouse space
for this client and has instituted a full freight bill audit and
payment program. |
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