LeanTMS® Hits the Ground Running for Pharmaceutical Giant
One of the largest research-based pharmaceutical and health care product manufacturers in the world, this company operates four divisions with products sold in more than 145 countries. And a need for on-time delivery is mission critical in a successful retail and healthcare demand chain where dock space is a premium.
Business Process and Problem Definition
It’s no secret that penalties for not meeting scheduled delivery appointments create strained relationships, poor performance reports and often result in significant charge-backs for high value goods, such as pharmaceuticals. This is especially true during peak shipping times or when scheduling multiple LTL deliveries. The company knew that most delivery issues could be avoided if the staff was empowered with visibility and event management tools.
Process Improvement – SaaS Solution
The supply chain team knew that the required tools were part of the right TMS, a solution that would improve service by helping staff meet the growing expectations of both internal and external customers. It would also reduce costs in transportation spend and appointment penalties. The opportunity was there for improved on-time delivery, plus cost reduction through better planning and load consolidation. Legacy systems, however, limited the ability to optimize planning decisions or to collaborate with carriers and customers. In addition, transportation costs were rising due to fuel surcharges. The company evaluated ten (10) TMS vendors, including installed software systems and on-demand solutions. In selecting LeanLogistics, the company cited:
- Greater opportunities with LeanTMS® (SaaS) technology
- Shorter time to implement
- Ongoing system support
- Planning and event management
The initial go-live focused on transportation planning of customer shipments for the company’s Consumer Healthcare division. Shipment visibility, viewed as having the greatest opportunity across the organization, was rolled out to all users shortly thereafter. Shipment visibility and event management has made their customer service organizations more effective, allowing them to proactively act on delivery exceptions. LeanTMS® gives logistics and customer service teams a single source for shipment status, with proactive knowledge of exceptions, including matching appointment with the expected delivery date, confirming deliveries and quickly reconciling any order that is over, short, or damaged.
While the company has selected LeanTMS for several reasons, the system’s Appointment Scheduling function has proved particularly valuable. Appointment Scheduling defines a facility’s dock configuration, calendar, and loading/unloading rules and times. The system maintains a master dock schedule and usage, as well as appointment history. This allows appointment requestors to schedule appointments in open slots without approval or requiring confirmation to schedule appointments. Once scheduled, all collaborative users — the company, customers, and carriers — have web-based visibility to the appointment. LeanTMS Appointment Scheduling also provides complete dock schedule reporting (print or display), including views of an entire day: receiving, shipping, and miscellaneous dock schedules independently, date/time ranges, and the summary of an appointed load. The company achieved the desired shipment visibility, increasing on-time delivery, reducing penalties for missed or late appointments, and improving carrier performance. Moving forward, the company will deploy LeanTMS to the pharmaceutical division along with taking advantage of additional capabilities.
- Deploy solution to other areas of the organization
- Work with LeanLogistics to enhance parcel capabilities
- Deploy inter-facility continuous moves capabilities
- Implement inbound scheduling capabilities
- Take more advantage of carrier and customer collaboration
- Evaluate global opportunities
Download the “LeanTMS® Enhances Planning And Shipment Visibility” case study.