Reducing freight costs by 25% through logistics efficiencies | HCLTech

Reducing freight costs by 25% through logistics efficiencies

HCLTech delivered greater visibility and efficiency to streamline supply chain operations for a leading brewery group
5 min read
5 min read

Our client, one of the world's leading brewery groups, operates in over 150 markets with a diverse portfolio of beer and beverage brands. Utilizing the for years, they have achieved notable cost reductions, productivity growth and superior customer service.

The Challenge

Addressing visibility, efficiency and cost challenges

Amid surging market demand and evolving operational dynamics, our client faced challenges in improving speed and agility in managing delivery expectations and costs. Key challenges included:

  • Limited visibility into supply chain processes across trading partners and customers
  • Inefficiencies in dock scheduling, load building and equipment availability, impacting transportation agility and cost-effectiveness
  • Complexity in existing tariff models, hindering competitiveness in the market
  • Manual tasks in transportation operations leading to inefficiencies and delays

The Objective

Streamlining transportation operations

The primary objective was to enhance speed, agility and cost-effectiveness in transportation operations. The key objectives were to:

  • Increase visibility into the supply chain process across trading partners and customers
  • Enhance transportation agility by optimizing dock scheduling, load building and equipment availability
  • Simplify existing tariff models to improve competitiveness
  • Automate transportation-related tasks to streamline operations
The Objective

The Solution

Upgraded TMS for enhanced control and efficiency

To meet these objectives, HCLTech analyzed the existing configuration and recommended upgrading to the latest version of Blue Yonder (BY) TMS. In addition, our solution included:

  • Migrating from BY TMS 8.X version to the 2018 version, unlocking new functionalities and control in transportation systems
  • Implementing of cloud-based managed services for a customizable environment and low total cost of ownership
  • Driving efficiency in business operations while maintaining SLA services
  • Configurable new functionalities to improve time-to-value and meet customer needs

The Impact

Achieving operational excellence with BY TMS upgrade

The implementation of the upgraded BY TMS solution delivered significant business impact. Our client has overcome logistical challenges, enhanced operational efficiency and achieved significant cost savings, positioning them for continued success in the competitive market landscape. Additionally, they achieved:

  • Improved visibility into their supply chain operations, enhancing transparency and collaboration
  • Flexible business rules and automation of repetitive transportation tasks, driving efficiency and reducing manual efforts
  • Optimization of tariff models, enhancing competitiveness in the market
  • Increased truck capacity utilization, maximizing resource efficiency
  • Overall, a 25% reduction in annual freight costs, resulting in substantial cost savings and improved profitability