Challenge: A food manufacturer's current transportation management structure was unable to scale and support their pace of growth. Their resources were also inadequate to support future growth, and they needed to gain better control of transportation expenses and delivery service.
The problem with many sales and operations planning efforts is that they don't match the "cadence" of all functions within a business, says Marko Pukkila, research director with Gartner Supply Chain Research.
Challenge: Procurement frequently relied upon expedite requests to meet sales orders to satisfy a "just-in-time" materials sourcing strategy. Consistent cost overruns due to inefficient use of expedited shipping and the resulting high premiums were not identified until month-end transportation audits. By then, the money had already been spent.
The latest supply-chain news, analysis, trends and tools for executives in the food and beverage industries. Learn how food and beverage companies and their suppliers around the world are managing the flow of products across all channels of the enterprise. Experts sound off on forecasting and demand planning, supply-chain visibility, logistics outsourcing, inventory optimization, transportation management, warehouse management, supply-chain security, corporate social responsibility and more.
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