Huge Cost Benefits Combined with Service Improvements
Expense Category
Freight and Couriers
Industry Segment
Online Retail
Client Overview
Our client is a major Australian marketing organisation with global reach. Their growing operation handles deliveries of hundreds of thousands of consignments to residential customers across the country each year.
Client’s Goal
While cost reductions are valuable in maintaining a competitive edge, reducing customer service issues arising from delivery problems was seen to be of paramount importance. Integration into the warehouse management system to remove the need for multiple entry systems was also seen as an advantage required from any new provider.
Project Overview
While it had been suspected that better, if not less expensive, solutions were available in the ever changing courier market, rapid growth and critical business requirements meant that the internal resources to embark on such a significant project were simply not available.
As the chosen consultant, Resources for Profit undertook the task of collecting and collating data from the numerous carriers that offered varying levels of service capabilities.
Once a profile was determined we then worked with key stakeholders to analyse and compare cost and service criteria that were derived from the numerous submissions.
In managing the evaluation and implementation processes, Resources for Profit was able to deliver results exceeding any expectation of the client, both in cost and customer experience terms.
Outcome
In implementing a new carrier for the bulk of domestic small parcels, savings have exceeded a whopping 23%.
Coupled with this, every measure of service, from first time deliveries, damages and returns to customer service queries has been improved. Furthermore, Resources for Profit has worked with the client and the carrier to provide useful management reporting that is used to drive further incremental savings and process improvements.
