Mainfreight USA - CASE STUDIES
Small Pack Canada Distribution - We will call them "Company A"
- Issue Presented: Company A wanted to hear about USA/CANADA DISTRIBUTION solutions. Currently they were using UPS small pack and every shipment they moved took at least 15 minutes on the UPS website. They had to fill out five different screens in the UPS system on each shipment as well as to make a separate commercial invoice for every shipment which incurred a separate clearance on every shipment. On top of all that, the brokerage team at UPS Supply Chain in New Brunswick was very tough to deal with and the service was extremely deferred sometimes with two weeks transit.
- Solution Suggested: We make Company A an NRI (Non-Resident Importer of Record) and save time and money on the shipping and clearance of the goods by doing one clearance and using one commercial invoice. Then manage the distribution out of Toronto. We then went to them and explained that all they would need to do was fill out a spreadsheet with their shipment information, instead of a different house bill for every shipment. Then we create a batch import in to our system and upload them all. We showed them how they could also use the same spreadsheet to create a commercial invoice.
- Final Results: What solving this problem ‘The Mainfreight Way’ did for Company A, was make them more efficient by taking over the majority of the shipping process and streamline their outgoing process. It freed the operators up to move more freight with the extra time this created. They have one clearance instead of 30-50 clearances which clearly saves them money, the transportation was also 10-15% cheaper, the broker we suggested is easier to deal with and the transit is never longer than a week. Because of the success of our small pack, they have started to also give us the bigger shipments that they were giving to LTL carriers and are thinking of using us for Domestic again and possibly the Ocean Import.
Military Sector Case Study
- Issue Presented: A US military division was in need of moving 110 crates, totaling 73,000 lbs., from the US to Afghanistan. This particular sector needed the crates delivered to the final destination within 5-7 days of the initial request, in order to execute a critical mission. Usually such a move is very possible, however, at the time there was a backlog into Afghanistan due to insurgent activity. Furthermore, the shipment was of very high visibility and required constant monitoring - all crates also required being delivered together.
- Solution Suggested: Mainfreight USA offers chartered aircraft services for very high profile and high visibility shipments, which is what we suggested for this particular customer’s scenario. With this special charter, we were able to route the customer’s freight around the problem area in Afghanistan. When the shipment arrived, Mainfreight trucks and armored guards were waiting, and then loaded the freight on to designated trucks. The trucks were then able to deliver the freight directly to the customer and arrived by the fifth day. Mainfreight USA’s operations team worked around the clock to insure that both parties of this shipment were kept informed by telephone & email every step of the way.
- Final Results: By taking into account the customers extremely time specific needs, Mainfreight USA was able to develop a specialized plan to meet the detailed requirements of this shipment. The freight was delivered in-full and on time to a mission critical event.
Packaging Company Case Study - We will call them "Company B"
- Issue Presented: Company B manufactures hard shell plastic overwrap cases for a variety of customers on the Eastern Seaboard. When importing, Company B would use one of two ocean transport methods.
- The first option: ocean carrier to Baltimore, Maryland - while inexpensive, this option added 10-15 days to the transit time of the goods. Upon arrival in Maryland, the containers would be delivered to Company B’s handling agent for re-palletizing and delivery. The second option: using the ocean line’s mini land bridge option out of California – this option was more expensive, but did reduce the transit time by about 10 days. The problem with this more expensive and efficient option however, was that the inland rail portion of the delivery was causing a problem.
- Overall, the transportation pricing in conjunction with timing were not meeting either end of the business to business supply chain needs. Any delay in the shipping schedule was causing much angst with both the customer as well as the client.
- Solution :Mainfreight USA suggested that the product be shipped via ocean from Long Beach CA, where it would then be cleared, drayed, stripped and palletized in the Mainfreight Los Angeles, CA warehouse. From there, our operations department would facilitate economy ground delivery to the end user via Mainfreight’s trucking network.
- Final Results: By utilizing Mainfreight’s in-house Customs House Brokerage, local trucking and the break-bulk warehouse in Los Angeles, we were able to provide a reliable, timely and cost effective solution to a customer’s problem. The total door to door cost to the end user ended up falling with the range of the original and cheapest option that the Company B was utilizing, and also offered a defined delivery schedule to the customer’s client base.
Luxury Handbag Company - We will call them “LHC”
- Issue Presented: It was becoming clear that the LHC supply chain was being compromised by transit time and visibility across the US/Mexico border. LHC was using traditional airfreight service to Mexico. The freight forwarder and airline would require a stop in Mexico City for the goods to be unloaded, cleared through customs and transferred for delivery to the final destination. The use of an exclusive truck for transportation to the point of delivery was adding even further costs to the airfreight rate.
- Solution Suggested: Mainfreight USA presented airfreight and ground options to LHC. Through discussion with the client, it was determined that LHC did not need to send their goods via Air, and through customs in Mexico City. Using Mainfreight Mexico Transborder service connecting the United States and Mexico, we were able to Meet LHC production and delivery requirements without time definite ground services.
- Final Results: By analyzing and understanding the LHC supply chain needs, Mainfreight was able to customize a specific ground routing solution. This new solution had a time definite accountability and opened up a window opportunity to begin customized tracking, give visibility on both sides of the border all while REDUCING TOTAL LANDED COST.