Case 1 – Short term Project

Design a standard tariff book for a transportation company,
specialized in B-2-B transportation within the UK

Started as a family business in 1933, this transportation company is nowadays  one of the leading privately owned  multi-service transport organizations in the UK. They built their reputation on efficiency, trust and quality over many years and they recognize that innovation is a vital aspect and a key feature right from the word go.

Today they have more than 400 employees – and counting – as well as over 200 vehicles.  The head office is the central coordination tower for their network of strategically located regional depots, which report directly to the board of directors.

Some facts

•   Focus on transportation of palletized (hazardous) goods within the
    B-2-B market in the UK

•   Sales department draws up offers for (inter)national customers, per request
    and including all requirements and wishes from the requester

•   Limited clarity on price underlying constraints

•   The company has a modern order process system in place that can capture
    multi-dimensional  rate structures

The challenge

Reduce the workload for the sales department by creating a standardized blue print document for building up a robust tariff book.

The solution

Design a country covering rate structure, based on:

•   a matrix

•   their depot structure

•   cross country traffic

•   most commonly known load- characteristics

•   user friendliness

•   a transparent rate structure and depending on the internal operational
    considerations, the content has to be easily adjustable

•   exclusion of all variable cost-elements which are to be captured in an
    additional surcharges section

Outcome

A ‘self-explaining’ rate book containing:

√   General instructions

√   Standard rates

√   Additional fees

√   Customer specific costs

√   Rate matrix is connectable to operational data for analyzing purposes

√   Decrease in ad hoc calculations

√   Decrease in up and forward communication with 4PL organizations without
     losing the advantage of participating in offers on complete European
     solutions via these 4PL’s.

√   Expansion of access to larger shippers via 4PL organizations

√   Increase in domestic UK-volume flows allocated by new EU-mainland
     customers