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What is Transportation Cost Management? A Proven and Measured Approach Reduces Transportation Costs (between 8-15% or more) Optimizes choice for low cost.

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Presentation on theme: "What is Transportation Cost Management? A Proven and Measured Approach Reduces Transportation Costs (between 8-15% or more) Optimizes choice for low cost."— Presentation transcript:

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2 What is Transportation Cost Management? A Proven and Measured Approach Reduces Transportation Costs (between 8-15% or more) Optimizes choice for low cost carrier selection and service modes Improves Cash Flow (4-8% additional savings) Uses detailed analytics to ensure continued savings

3 3 Years and $15MM to build proven approach focusing on 4 Key Drivers for Total Cost Management Developed Contracted Rates with Multiple Carriers utilizing single rate base Web-based carrier selection tool for lowest cost, best service decisions on each shipment Recapture lost cash flow with 40 point visual pre- audit/freight payment process Utilize analytical data to ensure measured success and highlight areas for improvement Management Reporting Audit & Freight Payment Optimize Carrier Selection Volume Discounted Pricing TransportationCostManagement Why Capital Transportation Logistics?

4 Next Steps to consider: Determine baseline of current costs (No Cost Analysis) Use volume leverage to negotiate contracted carrier discounts Focus on best choice carriers for your specific transportation needs Perform visual audit to ensure accuracy on all freight bill charges Use management reports to verify compliance and potential opportunities for additional savings

5 Why move forward immediately? Assume a $1.0 million dollar annual freight spend A 12% savings would return $120,000 immediately to your bottom line. If you wait 1 week to begin implementing you have lost $2,500 If you wait 1 month to begin implementing, you have just lost $10,000 Recover that money today! Let us evaluate 1 months’ worth of your freight bills to demonstrate a proven level of measured savings.


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