Path: Services » Supply chain analysis/logistics advice » Transport and carrier optimisation

Transport and carrier optimisation

A high quality transport network is more than just the lowest rate on each individual lane. Given the significant share of transport costs within the overall supply chain spend within companies, reviewing the transport network and related carrier base is key.
BCI developed a strong competence in supporting clients in reducing the overall transport spend by sourcing the transport and by reviewing the transport network. Benefits for our clients typically include a reduced freight bill (up to 25%) and a more balanced transport network and carrier base.

Besides the financial aspect, other aspects that need to be taken into account are:

  • The optimal number of carriers (management effort)
  • The optimal routing through the network (e.g. drop-ship, break-bulk, and consolidation)
  • Coverage and reliability (guaranteed service across a geography)
  • Specific related industry capabilities (e.g. handling requirements, returns)
  • The overall lowest, sustainable cost (total landed cost)
  • The required flexibility and capacity in each lane
  • Internal management/control effort (e.g. freight auditing & payment, and transport order management)
  • Visibility offered (e.g. event management, and track and trace)

Transport and carrier optimisation approach

BCI developed a structured, proven and modular method to determine:

  • The optimum transport network structure
  • The optimum number of carriers
  • The overall lowest sustainable cost to serve
  • The optimal cost-quality trade-off

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