Improving Network Efficiency And Visibility
Transplace helped Huhtamaki reduce costs while improving customer service.
As a producer of Chinet® disposable tableware products, ice cream containers, as well as paper and plastic cups and packaging, Huhtamaki is a leading supplier to the consumer goods, retail and food service industries.
With a diverse customer base that includes club and grocery retailers, foodservice operators, fast food restaurants, and more, service is critical. So it is important for Huhtamaki to maintain a smooth, on-time supply chain.
To help achieve this goal, Huhtamaki wanted to improve network efficiency and visibility, while also finding ways to reduce transportation costs across its entire U.S. operations.
Having previously improved its supply chain operations by outsourcing the domestic transportation management of its consumer goods business to Transplace, Huhtamaki decided to outsource this function for the food service and retail business units as well. This included the daily planning and execution of all outbound shipments from the company's facilities to customers, as well as shipments between the company's internal facilities.
By managing all three business units, Transplace was able to centrally locate the entire team, all business units, in one center of excellence. This allowed for easier cross pollination of best practices, benchmarking, and idea sharing with their business, as well as with other like shippers.
Employing Transplace's proprietary Transportation Management System (TMS) allowed Huhtamaki to automate the daily execution of all transportation activities and take advantage of optimization opportunities, including consolidating freight, converting over-the-road shipments to intermodal, and securing competitive rates through annual procurement events. As a result, Huhtamaki has been able to reduce its cost per unit, while improving customer service and creating certainty in its supply chain.
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