Case Studies

Auditing Case Studies

Fresh Food Direct Company!

Our client has built its reputation by shipping only the freshest premium lobsters right to your door. They insure this freshness by getting their product to the customer overnight. However, this in-turn creates logistical nightmares and large shipping costs.

They asked for our help. Their goals were to streamline and better understand their shipping costs, eliminate all service failures, eliminate overcharges, and ensure that they were only paying what they should. Sure they could have done it themselves manually, hiring additional people to do the work. But they’re in the lobster business, not the freight audit business.

The first quarter PPA saved them almost 20% off their shipping costs. And the savings were generated before they paid their bill, increasing their cash flow by thousands of dollars.

That’s sure a lot of Clams!

The Heavy Load Company!

Selling personal computers over the TV is an interesting business. And this customer has been doing it fast and furious for over 10 years. With PC’s weighing in excess of 70lbs, that computes into big shipping costs for the company…almost $5 million dollars a year!

So they asked PPA to confirm their FedEx shipments to make sure they are only paying for what they should…eliminating any service failures and/or overcharges. SureTrak reduced their bill by almost 4%…that’s a savings of about $120,000! And our free “Shipments per Zip Code” report allowed their marketing department to do more informative and efficient media buys, increasing their overall sales.

Personally compute those savings!

The 1,000,000 Package Company A multi-billion dollar shipper of pharmaceuticals has tremendous shipping regulations. In addition, they pride themselves on an efficient cost and cost allocation process. When you ship thousands of packages a day, to thousands of places, in hundreds of different cities: keeping track of problem shipping routes and back allocating costs can be VERY difficult!

Well, not when you’re using PPA’s SureTrak. We analyze all routes that the drugs take and communicate back any legs that seem to have delay issues….weekly! In addition, we cost allocate billing to individual departments and we set it up so then can up load the data into their accounting system for easy dissemination.

An audit a day keeps the doctor away!

Rate Negotiation Support Case Study:

Services
» Shipping Tend modeling
» Contract Comparison Analysis
» Rate Comparison

A clients’ small parcel carrier contract that was set to expire in a month. He did not necessarily want to change carriers, but he felt his rates were too high and couldn’t seem to get the carrier to give him a better price structure.

He was especially adamant on better pricing because his volume was set to increase by roughly 20% and he wanted that taken into account with the new contract. In an attempt to gain further leverage, the client also requested a competing offer from one of the other major freight carriers.

However, when the client reviewed the competitive offer, he thought it was a better deal, but he was not completely sure. When he shared the competitive proposal with his existing carrier, they returned an analysis outlining that the current rate structure was still better by 5%.

Unfortunately, because the clients existing carrier knew the client did not have the ability to manipulate his current shipping data against the competitive proposal, they would not budge.

When PPA modeled the client’s shipments we outlined that the competing offer was 24% better at the current volume levels. Additionally, there were three areas PPA pointed out that were the main reason the offer was better. The client pushed his carrier in those specific areas.

As a result, PPA was able to help the client keep the existing carrier, while lowering their rates an average of 12% or roughly $1.9 Million in annual savings.