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Scheduling and Routing Software Improves Delivery Operations – Customer
Service – and Employee Productivity for Nation’s Leading
Recycled Auto Parts Distributor
Concord, N.C. -- Sept. 9, 2003 -- Traditionally, the practice
of networked logistics technology and elaborate transportation
management wasn’t a part of the day-to-day operations for
GreenLeaf Automotive Recyclers (www.greenleafauto.com), the leading
distributor of recycled auto parts in the U.S. However, since implementing
a new software and routing software solution – powered by
Cardinal Logistics Management- their business has seen a dramatic
upturn resulting in streamlined operations, dramatic reduction
in customer “re-deliveries” and decreased damage-in-transit
credits of 70% and higher.
With more than 38 facilities in 28 states across the country,
GreenLeaf enjoys a significant market share in the salvaged and
recycled automotive parts industry. Philip Montalto, General Manager
of the GreenLeaf – New England operation, last year took
a hard look at his business and discovered some operational inefficiencies
that he hoped a trained eye in the third-party logistics arena
could help him solve.
Customer Re-Deliveries a Mounting Problem
On an average day, GreenLeaf – New England scheduled 120 – 200
local customer deliveries. Comprising a diverse group, GreenLeaf
customers ranged from large, high volume clients, such as state
insurance carriers to small, local garages and body shops that
require delivery of select auto parts for repair work.
Last May, Montalto began seeing a recurring problem of customer “re-deliveries.” Drivers
were returning at the end of the day sometimes with up to 15% of
products they originated with that were either rejected by the
customer because product was damaged due to improper loading or
his drivers were not completing their planned number of stops due
to an inefficient and antiquated manual routing system. Montalto
wanted to see those numbers change.
The Cardinal Solution
After a thorough investigation of 3PL firms, GreenLeaf-New England
selected Cardinal Logistics Management (www.cardlog.com) – a
leading third-party logistics and transportation management solutions
provider – and their comprehensive scheduling and routing
software solution to refocus their business and customer service
strategy.
“When we first contacted a 3PL firm we were primarily looking
at how and where we could improve on our local deliveries,” explains
Montalto. “What we found is not only could we make our routing
and scheduling more efficient but we could also use Cardinal’s
technology to help us manage our product loads more effectively
resulting in less damage during transit. This aspect allowed us
to dramatically reduce the number of re-deliveries we were experiencing
from 15% to less than 3% and decrease ‘damage in transit’ credits
by more than 70%.”
According to GreenLeaf, Cardinal offered a cost neutral solution
to maximize capabilities for their New England operations that
included: replacing and upgrading fleet assets with no capital
expenditures; implementing high caliber logistics technology software;
and putting into place an on-site management team to assist in
running the daily operations.
Improved customer service and satisfaction
Improved customer satisfaction and continuity with customers, according
to Montalto, also has been a successful byproduct of their relationship
with Cardinal.
“Cardinal helped us reach a guarantee for ‘next day
delivery’ to our customer base,” he says. “They
showed us how we could reduce our fleet and number of hourly wage
drivers from 15 to 10 and yet still meet and exceed customer delivery
expectations. Employee productivity and satisfaction has improved
allowing for better communication between our company, drivers
and customers at a level that we once only aspired to.”
Montalto noted that delivery overlap, excessive overtime and a
high employee turn over rate has all but been eliminated within
company ranks. He also reports that on-time delivery exceeds 99%.
Diverse tracking and report generation
And Montalto admits Cardinal has provided his company with much
more than he had initially bargained for. “Cardinal’s
technology solutions have played a key role in our relationship,” he
said. “The level and diversity of reports we are now able
to generate has given us new insight into our business that has
resulted in an definite paradigm shift for our organization.”
Through Cardinal’s dynamic routing and scheduling tools,
GreenLeaf customer service representatives are able to access via
the Internet real-time status reports on where and when products
are expected to arrive at a customer site. The SQL data systems
put into place allows drivers to be more proactive when it comes
to resolving customer service issues and more accountable for the
condition of products upon arrival at a customer site. Visual product
inspections, now an integral part of a company’s quality
process, are made and recorded daily before drivers leave to begin
their stops. Another factor that contributes to an overall reduction
in the number of customer re-deliveries that once saddled the company.
About Cardinal Logistics Management Corporation
Headquartered in Concord, N.C., Cardinal is one of the country’s leading dedicated transportation solution providers. Cardinal's logistics experts work directly with clients to optimize their supply chains by developing and implementing customized transportation solutions including specialized equipment and handling, and integrated technology. Cardinal’s services include dedicated contract carriage, home and jobsite delivery, transportation management, supply chain consulting, warehousing and distribution for companies like AutoZone, Eastman Kodak Company, KraftMaid Cabinetry and Office Depot.
Amanda Pelfrey
Marketing Manager
Cardinal Logistics Management Corporation
1000 Old Roswell Lakes Parkway, Suite 300
Roswell, GA 30076
770-993-5662 x32
apelfrey@cardlog.com
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