3GTMS Case Studies Shipping the Nation’s Most Popular Meat And keeping operations lean with hearty transportation management software

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	Shipping the Nation’s Most Popular Meat And keeping operations lean with hearty transportation management software 3GTMS

Shipping the Nation’s Most Popular Meat And keeping operations lean with hearty transportation management software

3GTMS

Technology Category	Functional Applications - Transportation Management Systems (TMS)
Applicable Industries	Food & Beverage
Applicable Functions	Logistics & Transportation
Use Cases	Fleet Management Supply Chain Visibility
Services	System Integration
Challenge	Koch Foods, one of America’s largest chicken producers, decided to implement its first TMS after decades of reliance on analog processes. As a $5 billion+ company, with around $200 million in annual outbound freight spend and multiple business units, a TMS was needed to consolidate and modernize transportation processes. Koch Foods’ immediate TMS objective was taking a control tower approach to freight transportation. With enhanced visibility into carrier rates & performance, and the ability to isolate time-consuming bottlenecks, the transportation team was able to identify opportunities for more efficient use of resources and provide new sources of value for both Koch and its customers. Read More
About Customer	Koch Foods is one of America’s largest chicken producers. In 2017, the company decided to implement its first Transportation Management System (TMS) after decades of reliance on analog processes. As a $5 billion+ company, with around $200 million in annual outbound freight spend and multiple business units, a TMS was needed to consolidate and modernize transportation processes. The company pursued a dedicated procurement initiative, during which numerous TMS offerings were vetted. In the end, 3G’s TMS was selected because it presented the best-class-in its capabilities, flexibility, and cost. Read More
Solution	The data derived from the TMS made it easier for Koch to not only assess carrier performance, but also to manage a larger carrier network. The ability to benchmark paid rates against the broader freight market for all component divisions has led to better, and continually evolving, procurement controls. Simultaneously, a growing broker and carrier network has enabled significant flexibility to use the right mix of contract and spot market rates. Rate analysis, review, and routing guide processes using 3G’s TMS have allowed Koch Foods to identify opportunities to reduce spend. Through a combination of dedicated lanes, rate analysis, procurement controls, and internal spot market performance KPIs the company realized a substantial savings in freight spend within the first year! Read More Log in to view content
Contents

Technology Category

Functional Applications - Transportation Management Systems (TMS)

Applicable Industries

Food & Beverage

Applicable Functions

Logistics & Transportation

Use Cases

Fleet Management

Supply Chain Visibility

Services

System Integration

Challenge

Koch Foods, one of America’s largest chicken producers, decided to implement its first TMS after decades of reliance on analog processes. As a $5 billion+ company, with around $200 million in annual outbound freight spend and multiple business units, a TMS was needed to consolidate and modernize transportation processes. Koch Foods’ immediate TMS objective was taking a control tower approach to freight transportation. With enhanced visibility into carrier rates & performance, and the ability to isolate time-consuming bottlenecks, the transportation team was able to identify opportunities for more efficient use of resources and provide new sources of value for both Koch and its customers.

About Customer

Koch Foods is one of America’s largest chicken producers. In 2017, the company decided to implement its first Transportation Management System (TMS) after decades of reliance on analog processes. As a $5 billion+ company, with around $200 million in annual outbound freight spend and multiple business units, a TMS was needed to consolidate and modernize transportation processes. The company pursued a dedicated procurement initiative, during which numerous TMS offerings were vetted. In the end, 3G’s TMS was selected because it presented the best-class-in its capabilities, flexibility, and cost.

Solution

The data derived from the TMS made it easier for Koch to not only assess carrier performance, but also to manage a larger carrier network. The ability to benchmark paid rates against the broader freight market for all component divisions has led to better, and continually evolving, procurement controls. Simultaneously, a growing broker and carrier network has enabled significant flexibility to use the right mix of contract and spot market rates. Rate analysis, review, and routing guide processes using 3G’s TMS have allowed Koch Foods to identify opportunities to reduce spend. Through a combination of dedicated lanes, rate analysis, procurement controls, and internal spot market performance KPIs the company realized a substantial savings in freight spend within the first year!

Impact #1	The TMS helped the company to minimize cost increases during a hot freight market as well as uncover unexpected factors that were increasing costs.
Impact #2	The TMS has brought the Koch Foods’ transportation operation forward by leaps and bounds.
Impact #3	With a solution in place, the company is in a better position to operate efficiently in any set of market conditions.

Impact #1

The TMS helped the company to minimize cost increases during a hot freight market as well as uncover unexpected factors that were increasing costs.

Impact #2

The TMS has brought the Koch Foods’ transportation operation forward by leaps and bounds.

Impact #3

With a solution in place, the company is in a better position to operate efficiently in any set of market conditions.

Benefit #1	Billions of dollars worth of product moved via 3G
Benefit #2	Double Digit percentage reduction in freight spend
Benefit #3	Top 5 cost center meaningfully impacted with technology

Benefit #1

Billions of dollars worth of product moved via 3G

Benefit #2

Double Digit percentage reduction in freight spend

Benefit #3

Top 5 cost center meaningfully impacted with technology

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Overview

Shipping the Nation’s Most Popular Meat And keeping operations lean with hearty transportation management software

Operational Impact

Quantitative Benefit