ships at port unloading shipping containers
CASE STUDY - OS & SHIPPING

Largest Tank Truck Transporter & Logistics Provider

6.7
Client savings
2
Spend Categories
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CCM conducted a contract optimization exercise of the Office Products and Small Parcel Shipping expenses resulting in significant savings.

Objectives

Bring visibility to spend and assess saving opportunity in two large spend categories. Create spend controls and leverage market best practices.

Challenges

  • Lack of market pricing and structure knowledge.
  • Inability to perform necessary ongoing category management tasks.
  • Lack of supplier governance processes and measures.
  • Limited competitive market knowledge.

Outcomes

Solutions

  • Established client goals, expectations and data request(s) during stakeholder kick off meetings.
  • Completed comprehensive analysis of daily SKU usage, shipping behavior, SLA’s and ‘best in class’ contracts.
  • Performed an in-depth vendor analysis and identified potential cost savings.
  • Presented new recommendations to client decision makers, on how to move forward, and guided client into a decision on which contract structures worked best in their environment.
  • Negotiate final pricing plans and contracts with incumbent vendors.
  • Optimize contractual terms to ensure maximum benefit to the client.

Results

  • 29% cost reduction.
  • $100K savings from eliminating contractual loopholes.
  • Removed pricing inconsistency.
  • Eliminated unnecessary services provided by vendor.

Lets see what you can save optimize manage scale