Holland, Mich., November 2, 2009 —How fast can you expect a healthy return on your supply chain technology investment? If you’re American Hotel Register, the answer is “way fast.” The premier supplier to the hospitality industry, American Hotel Register Company, called on LeanLogistics, a global leader in innovative on-demand transportation technology and supply chain services, for a one, two, three solution to reducing their transportation spend, and the results have been remarkable.
The company’s new relationship with LeanLogistics takes advantage of three offerings: one, implementation of On-Demand TMS®, LeanLogistics market-leading transportation management system (TMS); two, employing LeanLogistics Managed Transportation Services; and three, conducting a LeanLogistics Procurement Event.
“Our goal was to save a gross of $2,000 a day right out of the gate,” said Ruta Ladd, VP of Distribution and Logistics, “with the first two months exceeding $100,000. That's big savings compared to our total transportation budget. A real surprise was the results from the LeanLogistics Procurement Event, where RFP numbers for next year are exceeding a 10% savings. We’re very pleased with that level of savings and return on our investment. The LeanLogistics technology and services are delivering on their promise.”
In addition to implementing LeanLogistics On-Demand TMS®, American Hotel Register has a LeanLogistics team managing all American Hotel inbound transportation, including consolidating loads and tendering to qualified carriers within the transportation ‘cloud’. With more than 40,000 products moving through 7 distribution centers, American Hotel’s ratio of LTL was fairly high. By combining those moves into efficient truckload and continuous moves, together with the better pricing afforded by higher visibility to available rates, LeanLogistics was able to significantly reduce transportation spend, achieve higher on-time performance while reducing American Hotel’s administrative burden. The LeanLogistics Procurement Event, designed to achieve best-in-class status with the lowest operational cost, further reduces American Hotel’s transportation spend by benchmarking rates against the On-Demand TMS® network to identify procurement opportunities and out-of-tolerance conditions.
ABOUT AMERICAN HOTEL REGISTER COMPANY
American Hotel Register Company offers the world's largest selection of hospitality products and services. As the premier supplier to the hospitality industry for nearly 145 years, American Hotel Register Company serves business customers worldwide through its extensive sales force, Buying Guide, and website, americanhotel.com. Company divisions include Government, International, American Funeral Supply Company, and American Health Care Supply. Distribution centers are located in California, Florida, Hawaii, Illinois, Nevada, New Jersey, Texas, Washington, Puerto Rico, and Canada. To learn more about American Hotel Register, call 800.323.5686, or visit www.americanhotel.com.
LeanLogistics is a global leader in innovative on-demand transportation technology and supply chain services. LeanLogistics On-Demand TMS® delivers complete transportation planning, execution, settlement, and procurement functions that improve business processes, increase operating efficiency, and reduce costs. On-Demand TMS® currently processes millions of shipments per year representing over $5 billion in annual freight spend. Across this largest transportation network, more than 32,000 shippers, suppliers and trading partners interact with over 5,500 carriers, processing millions of transactions.
For companies outsourcing their transportation management process, LeanLogistics provides Supply Chain Services, combining the power of the On-Demand TMS® network, software as a service, and best practices to ensure clients receive maximum value.
LeanLogistics is consistently ranked among top logistics solutions providers and has won numerous awards for customer service. Clients include Ace Hardware, Barilla America, Chiquita, ICL Performance Products, Meijer, Northwest Pipe, Otis Spunkmeyer, Pinnacle Foods, Rich Products, Stryker and Unilever.