Case Study: a large North American automotive OEM cuts transportation costs by 20% with One Network Enterprises

Top 3 Automotive OEM Reduces Transportation Costs by 20% While Improving Service Levels

A large North American automotive OEM faced significant challenges with its aftermarket parts distribution, hampered by outdated systems that lacked integration and visibility. The OEM struggled with dynamic route planning, had no real-time insight into inbound parts from suppliers, and could not provide any visibility to its dealers or retail customers. This disjointed network, which managed a massive volume of shipments and an $800 million freight spend, was inefficient and costly. One Network Enterprises was engaged to help overcome these limitations.

One Network Enterprises, working with a 3PL partner, implemented a cloud-based, real-time network solution to replace the traditional, serial supply chain. The deployment involved extensive system integration and lean process improvements, including Kaizen events and sophisticated network modeling. This enabled the consolidation of shipments with a core carrier program, selected based on performance and cost. The solution reduced annual transportation costs by 20% while handling higher volumes and improving on-time service and transit time reliability.