Industry Best Practices Benchmarking Engagement: Uncovering Major Opportunities for Improvement for a Logistics Service Provider
Engagement Overview: A leading logistics service provider wanted to emphasize on the measurement of key performance metrics. To identify and focus on key performance metrics in several areas – customer satisfaction, technology investments, and other similar performance indicators, the logistics industry client approached SpendEdge to devise a comprehensive approach that would help them identify and […]READ MORE >>
A leading logistics service provider wanted to emphasize on the measurement of key performance metrics. To identify and focus on key performance metrics in several areas – customer satisfaction, technology investments, and other similar performance indicators, the logistics industry client approached SpendEdge to devise a comprehensive approach that would help them identify and benchmark the industry best practices. A detailed quantitative analysis of various categories within the supply chain was carried out to identify and benchmark the industry best practices to be followed.
About the Client:
A multinational company offering logistics services. The client is a leading player in the logistics industry specializing in offering non-pareil and technology-enabled solutions to the most complex SCM needs.
The logistics industry client was facing challenges in reconfiguring supply chain operations to meet the dynamic needs of their customers.
How did SpendEdge Help the Client?
- Step 1: Determined and analyzed the right global operating model in the logistics industry
The initial step involved the assessment of logistics models to determine the global model based on the client’s operations. It included the identification and classification of in-house logistics operations from the ones that required outsourcing. Leading logistics organizations now prefer the internal 4PL business model to effectively manage the service needs across various business categories.
- Step 2: Identification and alignment of KPI’s
The continuous monitoring of market performance led to the identification of key performance metrics and industry best practices. It also helped in aligning the payment terms with the KPI’s.
- Step 3: Devised a three-step approach to continuously analyze and monitor the logistics network design
The scrupulous approach helped in the constant monitoring of the logistics network, lane structures, capacity requirements, and capacity requirements. It also enabled the logistics industry firm to scrutinize their technology investments and drive profits.
Key questions answered in this industry best practices benchmarking engagement include:
Benefits of the Engagement:
The industry best practices engagement helped the logistics service provider to identify the key performance metrics and fine-tune their logistics strategy to boost savings. Our industry best practices experts worked as an extension of the firm to identify the success factors that uncovered major opportunities for improving their services.
Why incorporate industry best practices benchmarking?
To withstand the growing competitive pressure, players in the logistics industry must adopt better strategies and deliver better results at a comparatively lesser cost. To do so, companies employ strategic planning as apart of their organizational processes to identify the core business value and employ strategies to best achieve them.
Industry best practices benchmarking has become an integral part of operational improvements and strategic planning. Identifying and benchmarking industry best practices help companies to bridge gaps and improve performance using quantitative and qualitative information collected from various industry-specific resources.
Benchmarking industry best practices will enable organizations to increase competitiveness and enhance value from a customer’s perspective. If your organization is on the lookout for an objective way to enhance market growth, industry best practices benchmarking is the ideal approach to identify alternative and feasible ways to enhance performance.
Moreover, industry best practices benchmarking is an instrumental technique for enhancing business value and acts as a powerful vehicle for overturning the inertia that often sets in when businesses become inward-looking and cloistered.
To know more about our industry best practices benchmarking solutions
- Establishing New Functional Goals Through Best Practices Benchmarking for a Chemical Industry Client | A Spendedge Case Study
- Mining Major Improves Contracting Practices Through Peer Group Best Practices Benchmarking