case studies

Transforming Parcel Spend Management for a Leading Manufacturer

Success stories

Client Overview

A leading manufacturing company with extensive shipping needs relied on FedEx and UPS but lacked visibility into its indirect spending, leading to fragmented carrier relationships, fluctuating costs, and limited internal bandwidth for strategic negotiations.

the challenge

The Client faced several key issues

  • Lack of Spend Visibility

No clear understanding of total spending across FedEx and UPS.

  • Fragmented Carrier Relationships

No engagement with assigned FedEx and UPS representatives.

  • Diverse & Unstructured Spending

The company lacked a consolidated approach to parcel logistics.

  • Unpredictable Costs

Monthly invoices fluctuated due to accessorial charges.

  • Limited Internal Resources

The organization lacked the expertise and time to negotiate better agreements.

Sourcing Insights' Solution

At Sourcing Insights, we implemented a data-driven, strategic approach to optimize parcel spend and carrier relationships:

  • Comprehensive Spend Analysis

Mapped the client’s existing parcel spend, identified inefficiencies, and outlined cost-saving opportunities.

  • Strategic Partner Alignment

Secured a trusted partner specializing in parcel logistics for enhanced visibility and efficiency.

  • Tailored Negotiation Strategy

Designed and executed a custom contract strategy to secure a dedicated, long-term agreement with the optimal carrier.

  • Technology-Driven Oversight

Implemented a weekly reporting system to monitor charges and ensure compliance with negotiated rates.

Results & Impact

The Sourcing Insights strategy delivered immediate and measurable cost savings

  • 30% Cost Reduction

Saved $450,000 annually by optimizing
parcel spend and securing better rates.

  • Improved Cost Transparency

Implemented real-time spend tracking
and accessorial charge monitoring.

  • Strategic Contract Negotiation

Saved $450,000 annually by optimizing
parcel spend and securing better rates.

  • Enhanced Supplier Relationships

Strengthened engagement with dedicated carrier representatives for ongoing optimization.

Strategic Takeaway

With Sourcing Insights, the client transformed its parcel logistics strategy, reducing costs while gaining unparalleled visibility, control, and efficiency. Our expert negotiation, strategic partnerships, and data-driven insights ensured that the company’s parcel program remains optimized for long-term success. Ready to optimize your parcel spend? Contact Sourcing Insights today!

other case studies

Find and Apply the Data Relevant to Your Business

Optimizing Waste Management Costs for a Leading Manufacturer
A leading manufacturing company struggled with escalating waste management expenses tied to...
LEARN MORE
Transforming Parcel Spend Management for a Leading Manufacturer
A leading manufacturing company with extensive shipping needs relied on FedEx and...
LEARN MORE
Client – LTL Spend
What was the nature of the problem? Rising costs in the transportation...
LEARN MORE