Blue Yonder Case Studies SPDL Reduces Its Annual Logistics Costs by $1.2 Million With JDA Transportation Modeler

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	SPDL Reduces Its Annual Logistics Costs by $1.2 Million With JDA Transportation Modeler Blue Yonder

SPDL Reduces Its Annual Logistics Costs by $1.2 Million With JDA Transportation Modeler

Blue Yonder

Technology Category	Functional Applications - Fleet Management Systems (FMS)
Applicable Functions	Logistics & Transportation
Use Cases	Fleet Management
Challenge	São Paulo Distribuição e Logistica (SPDL), a strategic venture between two of Brazil's largest newspaper groups, O Estado de São Paulo and Folha de São Paulo, was facing the challenge of continuously optimizing their distribution costs in the face of skyrocketing fuel costs and the proliferation of online news sources. SPDL's transportation network serves more than 900 cities, as well as 700,000 last-mile distribution locations, with 1,250 vehicles traveling more than 100,000 kilometers each day. Despite having a mature operation, SPDL was seeking greater levels of efficiency. They were relying on spreadsheets and manual analysis techniques, and there were no additional savings opportunities that they could identify. They had systematically and thoroughly reviewed every truck route, using the tools they had available. Read More
About Customer	São Paulo Distribuição e Logistica (SPDL) is a strategic venture between two of Brazil's largest newspaper groups, O Estado de São Paulo and Folha de São Paulo. The company was founded in 2002 and has since created a daily distribution operation that serves more than 900 cities, as well as 700,000 last-mile distribution locations, with 1,250 vehicles traveling more than 100,000 kilometers each day. SPDL's main goal is to minimize transportation costs while maintaining the newspaper delivery service levels that readers expect. Read More
Solution	SPDL decided to implement JDA Transportation Modeler from JDA Software’s Intelligent Fulfillment™ suite to take its logistics analysis to the next level. The company defined an ambitious goal for its JDA implementation: a 5 percent reduction in the costs associated with running trucks from printing sites to country-wide distributors. After using JDA Transportation Modeler for nearly a year, SPDL has already achieved its 5 percent cost-reduction target, and then exceeded it. JDA Transportation Modeler uncovered new opportunities that resulted in a potential total transportation savings of 12.7 percent — representing an annual cost improvement of $1.2 million. A key factor to achieving this high return was the improved speed and depth of SPDL’s analysis, thanks to JDA Transportation Modeler. Read More Log in to view content
Contents

Technology Category

Functional Applications - Fleet Management Systems (FMS)

Applicable Functions

Logistics & Transportation

Use Cases

Fleet Management

Challenge

São Paulo Distribuição e Logistica (SPDL), a strategic venture between two of Brazil's largest newspaper groups, O Estado de São Paulo and Folha de São Paulo, was facing the challenge of continuously optimizing their distribution costs in the face of skyrocketing fuel costs and the proliferation of online news sources. SPDL's transportation network serves more than 900 cities, as well as 700,000 last-mile distribution locations, with 1,250 vehicles traveling more than 100,000 kilometers each day. Despite having a mature operation, SPDL was seeking greater levels of efficiency. They were relying on spreadsheets and manual analysis techniques, and there were no additional savings opportunities that they could identify. They had systematically and thoroughly reviewed every truck route, using the tools they had available.

About Customer

São Paulo Distribuição e Logistica (SPDL) is a strategic venture between two of Brazil's largest newspaper groups, O Estado de São Paulo and Folha de São Paulo. The company was founded in 2002 and has since created a daily distribution operation that serves more than 900 cities, as well as 700,000 last-mile distribution locations, with 1,250 vehicles traveling more than 100,000 kilometers each day. SPDL's main goal is to minimize transportation costs while maintaining the newspaper delivery service levels that readers expect.

Solution

SPDL decided to implement JDA Transportation Modeler from JDA Software’s Intelligent Fulfillment™ suite to take its logistics analysis to the next level. The company defined an ambitious goal for its JDA implementation: a 5 percent reduction in the costs associated with running trucks from printing sites to country-wide distributors. After using JDA Transportation Modeler for nearly a year, SPDL has already achieved its 5 percent cost-reduction target, and then exceeded it. JDA Transportation Modeler uncovered new opportunities that resulted in a potential total transportation savings of 12.7 percent — representing an annual cost improvement of $1.2 million. A key factor to achieving this high return was the improved speed and depth of SPDL’s analysis, thanks to JDA Transportation Modeler.

Impact #1	Saved $1.2 million in annual transportation costs
Impact #2	Exceeded initial target of 5 percent cost savings, instead achieving 12.7 percent
Impact #3	Reduced overall travel distances by 20 percent

Impact #1

Saved $1.2 million in annual transportation costs

Impact #2

Exceeded initial target of 5 percent cost savings, instead achieving 12.7 percent

Impact #3

Reduced overall travel distances by 20 percent

Benefit #1	Potential total transportation savings of 12.7 percent
Benefit #2	Annual cost improvement of $1.2 million
Benefit #3	Travel distances reduced by 20 percent

Benefit #1

Potential total transportation savings of 12.7 percent

Benefit #2

Annual cost improvement of $1.2 million

Benefit #3

Travel distances reduced by 20 percent

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Overview

SPDL Reduces Its Annual Logistics Costs by $1.2 Million With JDA Transportation Modeler

Operational Impact

Quantitative Benefit