Analyzing 3rd-party carrier bids will cut your cost and risk
Profit Procurement™ for Carrier Selection is a powerful and easy to use procurement application for manufacturers and distributors that outsource their shipping to 3rd party carriers. The software provides transportation analysts and procurement managers unsurpassed ability to quickly analyze carrier bids.
Most large manufacturers have hundreds of carriers and transportation lanes options available to ship products from their manufacturing and distribution centers to their customers. Most procurement managers rely on their strong intuitive sense of how much pricing flexibility a carrier can offer. But it can become an overwhelming task to continue to manually analyze the multiple bids from their carriers, many with conflicting and complex conditions.
Profit Procurement™ simultaneously analyzes all bids, including complex and often competing scenarios and then recommends the lowest-cost solution of lane assignments. Profit Carrier Selection provides the hard data you need to succeed in negotiations. Using Profit Procurement simplifies the selection process and lowers the overall transportation costs associated with carrier shipping.
- Profit Procurement™ allows you to optimize across thousands of lanes and multiple source points.
- You can enter conditions to limit the number of carriers per site.
- You have enormous flexibility in defining your lane requirements. You can easily create categories defined by break weights, modes, or conditions like refrigeration.
- It’s easy to enter conditions: You can create zones (groups of lanes) or regions (groups of zip codes). For example, if a customer requires a specific carrier, you can create a zone for just that customer’s sites, and assign the carrier to that zone. Or if a carrier requires 80% of your business into the Southeast, you can define a region as all the zip codes in that area.
- The final lane assignments can be loaded directly into other systems, saving
- administrative time and manual re-entry.
- Profit Procurement™ handles rail, truck (bulk, packaged, and LTL), and marine bids.
- You can limit total number of carriers
- Pre-assign carriers to lanes
- Designate single carrier lanes
- Include continuous move options
- Reduction of transportation costs
- Simplification of the transportation procurement process
- Reduction in the number of carriers
- Analyze cost trade offs
- Strengthening of relationships with core carriers
- Use strength of linear programming to make the optimal decisions around transportation contracts
- Reduce contract management costs
- Quickly make lane assignments
- Find lowest cost combination of carriers
- Understand cost of carriers’ conditions
- Have reliable data to use in negotiating transportation service contracts