CASE STUDY

How Procurement Market Intelligence Solution Improved Logistics Management Process for a Retail Firm – A SpendEdge Case Study

Mar 29, 2019

The Business Challenge

The client, a leading retail company with convenience stores spread across the United States, wanted to focus on the “last mile” delivery of groceries ordered online. They sought to manage merchandise and inventory to ensure steady sales of stock and reduce chances of stock reduction. They also realized the need to handle problems related to the distribution network that were resulting in wastage of time and money. This compelled them to engage with SpendEdge and closely scrutinize their distribution network to ensure effective logistics management and achieve the following objectives :

  • Analyze market size and growth rate, manufacturing process, and critical-to-quality factors.
  • Evaluate costs associated with materials, labor, transportation, energy, overhead, profit, and other cost components.
  • Critically evaluate available suppliers, their characteristics, and location where suppliers of the category are situated.

Wondering how better logistics management can improve customer services? Request a free proposal below and access our complete portfolio of procurement market intelligence solutions.

Request Free Proposal

Solutions Offered

The experts at SpendEdge worked closely with the client to address the challenges of logistics management and distribution network. They identified demand and price drivers that determined price and availability of products and provided real-time insights to determine appropriate supply markets. This highly focused approach helped the client to design facilities to manage an increase in SKUs and variety of order profiles.

The solutions offered improved the logistics management capabilities for the client and allowed them to incorporate strategies such as cross-docking. This enabled them to improve supply chain logistics capabilities and accelerate the velocity of inventory. Additionally, this improved the logistics management process for the client and ensured quick deliveries in minimum time and cost. The systemized logistics management process considerably reduced the cost of carrying inventory, material handling, transportation, and other related activities of distribution for the client.

SpendEdge’s solutions allowed the client to be more responsive to customers’ demand, speed time to market, and avoid the cost of carrying and managing a heavy volume of safety stock. The comprehensive market research  approach focused on the best practices to improve supply chain logistics and helped the client to react in quick time to changing trends in customers’ demands. They were also able to better gauge consumer sentiment based on both online and offline trends to improve logistics management capabilities and reduce strain on supply chain networks.

Want to know how better logistics management can boost profitability for companies?

Contact Us

Key Findings

In a span of six weeks, the solutions delivered by SpendEdge minimized the cost of physical distribution of the products by 29%. This enabled the client to attract additional customers by offering better services at lower prices. Moreover, an improvement in logistics management capabilities helped reduce the wastage occurring in the supply chain and streamlined the flow of the products to the end consumers.

The procurement market intelligence solutions offered by SpendEdge delivered an array of critical benefits, including reducing costs of distribution, improving customer service, and reducing chances of “no-stock” situations among others. It redefined the process of logistics management, saving time that was lost in making urgent deliveries and reducing the cost of inventory. Integrating distribution networks proactively also helped the client to ensure the smooth transition of products from manufacturers to retailers to meet customer demands on time.

What are Three Methods for Managing Logistics?

As logistics management plays a vital role in increasing the performance of the business, companies need to find ways to manage supply chain logistics. They can adopt various strategies according to their business needs. Here, we have compiled three key steps that can improve the logistics management process:

  • Inventory management: This is one of the most crucial steps in logistics management. An efficiently managed inventory helps identify a minimum stock level and keeps goods shelved to implement FIFO, or first-in, first-out, especially in the case of perishable inventory.
  • Automating processes: Automating the logistics management process helps companies to unlock value in supply chain logistics and streamlines operations in the long run. It also ensures that operations such as finance and accounting, logistics and supply chain management, and customer services are tightly coordinated to boost efficiency.
  • Planning and communication: As convenience product distributors work in a highly competitive environment, planning is vital to make scheduled deliveries and avoid no-stock situations. With an effective logistics management process in place, companies can easily communicate regular updates to delivery personnel in advance.

Recent Case Studies

Industries

Services

Getting Down To Business

We are offering Free Trials to all our customers or prospects who have been impacted positively or negatively by Covid-19 and are looking to connect with prospect buyers immediately.

Contact us

Sourcing and Procurement Market Intelligence Services

Products and Tools

Featured

Services Overview

Category Market Intelligence

Supply Market Analysis

Low-Cost/Best-Cost Country Sourcing

Benchmarking

Spend Analysis

Cost Modeling and Should-Cost Analysis

Total Cost of Ownership (TCO) Analysis

Supplier Risk Analysis

Supply Chain Risk Assessment

Supplier Sustainability Assessment

Commodity Price Forecasting

Category Management

Supplier Negotiations

Contract Management

Procurement Store

Purchase Ready-to-use Reports

SEinsightsTM

Our Robust Procurement Platform

BizVibeTM

Suppliers and Buyers Marketplace

SUPPLY MARKET ANALYSIS FOR A METAL MANUFACTURING COMPANY HELPS ACHIEVE ANNUAL SAVINGS OF $15 MILLION

Industries

Industries Overview

Automotive and Tire

Banking, Financial Services and Insurance

Biotechnology, Pharmaceutical and Life Sciences

Chemicals

Energy

Food and Beverage

Industrial and Manufacturing

ICT, Media and Entertainment

Mining, Metals and Minerals

Retail and CPG

Transportation

INCREASING LOCAL PROCUREMENT BY 28% FOR A COMPANY IN THE METALS AND MINING INDUSTRY – A CASE STUDY BY SPENDEDGE

Resources

Featured

Resources Overview

COVID-19 Resources

Blogs

Case Studies

Whitepapers

Webinars

Press Releases and Media Mentions

5 KEY CORONAVIRUS RISK ASSESSMENT STRATEGIES TO OVERCOME HEALTHCARE SUPPLY CHAIN CHALLENGES

IDENTIFYING STRATEGIC PURCHASING PRACTICES FOR A COMPANY IN THE US FOOD SERVICE INDUSTRY | SPENDEDGE’S LATEST SUCCESS STORY

COVID-19

Featured

Overview

Buyers

Diagnostic Test Kit

Additional Resources
Contact

A LOOK INTO THE FUTURE OF THE FOOD AND BEVERAGE INDUSTRY AFTER THE COVID-19 PANDEMIC

Identifying the Top 100 Coronavirus (COVID-19) Test Kit Manufacturers Across Regions

Clients

Featured

Clients Overview

Who We Serve

Case Studies

SUPPLY CHAIN MANAGEMENT HELPS AN IMPORT AND EXPORT INDUSTRY CLIENT ENHANCE SUPPLY CHAIN VISIBILITY

REALIZING SAVINGS OF $15 MILLION IN PACKAGING SPEND FOR AN FMCG CLIENT – PACKAGING SOURCING STRATEGY

About Us

News

About SpendEdge
Why SpendEdge?
Vision, Mission and Values
Clients
Social Impact
Global Offices

Press Releases and Media Mentions

Upcoming Events & Webinars
Request Free Proposal