Case Study

Client Managed Transportation Solution (MTS) Case Study

CPG Vertical

Client Profile

Our client is a diversified frozen food manufacturer based in the United States with several well-known brands distributing more than 400 products in over 12 countries worldwide.

With a daily production capacity of over two million single-serve and multi-serve heat and eat entrées, snacks, side dishes, and specialty sauces, the company’s primary focus is using quality ingredients for optimal taste and nutrition.

THE CLIENT’S NEED

As the company expanded, they discovered that their supply chain management needed updating to improve efficiencies, reduce costs, and increase scalability. They needed to innovate their processes in order to stay competitive and needed to engage with a strategic partner that specialized in optimizing and managing modern, tech-based supply chains that fulfilled their requirements.

When they called upon Cedric Millar to potentially assist them, the team set up a discovery call to explore the possibilities.

“We had previously met one of our client’s senior-level executives at an industry networking event. When the opportunity arose to help optimize their supply chain, we were happy to get together again to discuss how we can help increase their profitability and streamline their supply chain with a customized solution.” – Brian Ware, Managing Director, Cedric Millar Integrated Solutions

 

CEDRIC MILLAR DISCOVERY SESSION

The Cedric Millar team met with the client to take a deep dive into their overall network, discover their “supply chain pain”, and talk through the Cedric Millar solution development process. We also explained who we are as a company and how we approach supply chain management.

Upon further review of their network, we identified several anomalies that were affecting their supply chain’s performance, including:

  • No financial reporting or metrics
  • Small, insufficient carrier base with which there were no strong relationships
  • Lack of operational reporting or metrics, leading to poor performance management with carrier base
  • No Transportation Management System (TMS) software
  • No Canadian manufacturing facilities or distribution centers
  • Rising costs without visibility into the cause, or a mechanism in place to minimize them
  • Inefficiencies as a result of manual processes
  • A high volume of damaged goods in their shipments
  • Large amounts of non-compliance fines from retailers
  • Lack of risk mitigation program to respond to global supply chain instability

“After our first meeting, we knew what needed to be done to help our client meet their business objectives. Our team worked together to create a customized supply chain optimization plan designed to the client’s exact specifications.” – Alejandra Burgueno, Manager Solutions Development, Cedric Millar Integrated Solutions

THE
CEDRIC MILLAR SOLUTION

Soon after the initial meeting, the Cedric Millar team developed their customized, tech-based Managed Transportation Solution (MTS), which featured:

  • Implementation of our CMIS Lighthouse® TMS, including seamless integration with the client’s ERP
  • Day-to-day operational execution of dispatching, track and trace, event management and recovery, and carrier performance management
  • Strategic management of:
    • Carrier sourcing and relationship management
    • RFP and sourcing initiatives
    • Performance monitoring
    • KPI reporting
  • Benchmarking of all current pricing to ensure our client was receiving the best possible costs
  • The addition of several carefully screened carriers to their database, which mitigated negative business impact to local, national, or global supply chain disruption
  • Continuous improvement framework, which included a commitment to ongoing innovation within the client’s network
  • Detailed business review framework, which included:
    • Review of operational performance and KPIs
    • Financial summary and metrics, including a savings tracker which kept Cedric Millar accountable to the savings presented in our MTS solution
    • Market and business update
    • Update and review of continuous improvement initiatives

During the presentation, the Cedric Millar team took the time to explain the solution in detail and answer all of our client’s questions. Once the Cedric Millar team got approval to implement the solution, they immediately started work.

THE RESULTS

Implementation and integration of Cedric Millar’s Lighthouse TMS replaced the client’s outdated supply chain technology and reduced or eliminated the need for manual processes.

Our managed solution and integrated technology also brought our client many more tangible benefits, including:

  • Cost savings in overall freight spend of 11 to 14 percent in year 1 and 8 to 12 percent in year 2
  • Ongoing improvement initiatives resulting in savings that surpassed Cedric Millar’s original estimates
  • Visible elevated customer service levels
  • Robust business intelligence framework, including daily, weekly, and monthly KPI’s and reporting supported by Cedric Millar’s Business Review Framework
  • Increased profits through the reduction in non-compliance fines and damages
  • A stable, efficient supply chain that mitigated risk and ensured the client remained competitive during the COVID-19 pandemic
  • Onboarding of additional suppliers to provide the client with a large supplier base to ensure operational continuity and risk aversion
  • Complete visibility to loads in transit and more efficient communication with the carriers

“We’re always pleased to see our clients reap the benefits of our solutions. At Cedric Millar, we don’t feel we’ve succeeded until the client has reached their objectives through our partnership.” – Milena Uribe, Manager 4PL Operations, Cedric Millar Integrated Solutions

ONGOING SUPPORT FROM CEDRIC MILLAR

Cedric Millar’s MTS is still an integral piece of the client’s supply chain management strategy. We continue to grow the partnership between our two companies, and even invited several of their client’s employees to our Lean White Belt training after they expressed an interest in the program.

The client was also the first client of our Pro-Fit® Placement Service, which helps guide supply chain talent to roles best suited to their skills, abilities, and personality. Our robust recruiting processes, combined with our comprehensive supply chain network, made us the ideal company to recruit for the client. Once the employee’s contract was complete, we brought the individual back to our head office to support the client on other strategic projects.

Overall, retaining Cedric Millar as their 4PL provider allowed the client to focus on other strategic aspects of their business, including making multiple new acquisitions that significantly grew their market position. We also engage with their associations, allowing us to continue providing mentorship and guidance to ensure their ongoing success.

“In our experience, the success of a project depends on a collaborative approach. We’ve built our business on relationships that demonstrate that Cedric Millar is more than a solution provider – we’re a partner in our client’s success.”– Sejal Sheth, Senior Director Technology & Integration, Cedric Millar Integrated Solutions

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