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Holcim
Holcim uses Automated to find the best carrier for every shipment
CUSTOMER
Holcim, a member of LafargeHolcim, has been delivering construction materials in Australia since 1901. The company is a leading supplier of aggregates, concrete (readymix) and concrete pipe and products. Holcim supplies concrete from a network of more than 150 concrete plants, 900 mixer trucks and mobile and on site facilities – as well as 12 precast concrete factories. Its 65 quarry operations provide consistent, quality products for a diverse range of customers and applications, while its contracting business services serve major mining and infrastructure projects.
"Our precast concrete business is largely cost sensitive but requires knowledgeable, pre-selected transport partners. Finding the best carrier rate on the market for all our shipments is key. Automated allows us doing just that: we only need to upload the transport orders in the application and all notifications including to the winner and other participants to a bid are updated automatically, in real time. As a matter of fact, we don't even have to move a finger to find the best carrier for any shipment."
ABDULLA SALMAN, SUPPLY CHAIN BUYER
HOLCIM, AUSTRALIA
CHALLENGES
> We had no systemic approach to manage spot transport sourcing so we had to rely mostly on contracted transport rates which besides not being the most cost efficient also meant that in most cases our carriers used their subcontractors to execute our orders, leading to even less visibility in our supply chain
> Even if we did spot transport sourcing, compiling and comparing offers and then informing all participating carriers of the results was highly time-consuming and not efficient at all
> We maintained a supply chain backoffice that was becoming bigger and bigger and it just couldn't support our production and sales because it couldn't scale
SOLUTION
We introduced Automated's spot transport sourcing module, set up our custom closed carrier groups and now have a single communications channel with all our precast concrete transport service providers. If we are sure our fixed rate contract offers the best price, we use the 'direct allocation' mechanism without spot bidding, otherwise the application can automatically find the best rate for all our shipments without our staff being involved, also using the 'limit price' and/or 'instant price' functionalities.
RESULTS
THE BEST TRANSPORT COST
For any and all shipments, with little to no involvement in the process
EASIER REPORTING
More control, better analytics
AUTOMATIC CARRIER PRICE RANGE FEEDBACK
Carriers submitting a bid get notified instantly of the results
FULL SUPPLY CHAIN SCALABILITY
Supporting production and sales
REDUCED WORKFORCE
Less supply chain backoffice thanks to large scale process automation
BUILDING MATERIALS
CONCRETE
CHF 21.7 BILLION
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