Challenge
A manufacturer spent more than $37 million a year on transportation without consistent routing, carrier performance data, or strategic sourcing. Its truck count exceeded driver capacity by more than 30%, adding unnecessary ownership costs.
Response
PMO Partners established a cost baseline, benchmarked common lanes, and examined carrier concentration. About 25 carriers represented 80% of costs, while the top 20 lanes accounted for more than half of shipments. The team developed a routing guide and recommended scorecards, service agreements, quarterly reviews, and selective consolidation.
Outcome
The analysis identified $3.5 million in potential annual savings through carrier leverage, lane optimization, and fleet reduction. These were identified opportunities, rather than confirmed realized savings. The manufacturer also gained a framework for stronger sourcing decisions and ongoing service oversight.
An edited client story. Outcomes and figures describe the reported engagement, rather than a promise of results for another organization.