Exerts from the LAA 2011 Finalist review:-
“The Hilti Group relies heavily on next-day deliveries countrywide and when its 3PL liquidated, the challenge was to find a suitable and reliable partner that could offer the same level of service with the same solutions that were specific to the business.
The Hilti Group is one of the leading global companies providing products, systems and services to the construction industry.
Time was of the essence and going out to tender was not an option. Additionally there was risk with the stock being in the possession of the third party.
Hilti approached distribution partners who had a vested interest in purchasing 3PL and over a three-day period all details in the contract were worked out, with a three-month review period to solve the current problems. Existing sub-contractor contracts were renegotiated and additional vehicles were placed from their existing fleets to covers Hilti’s distribution requirements.
A delivery footprint was detailed, with a smooth handover to existing customers and a partnership with City Couriers was established.
The result has been a significant improvement in supply chain productivity and delivery KPIs. The total spaces that was used by the 3PL was halved and the other was rented out to City Couriers, resulting in a rental saving of 50 per cent.
The learnings have been that everything is possible provided you partner with the right company and people and always be ready for unforeseen circumstance”.
Hilti received the bronze Logistics Achiever Award; City Couriers congratulates Hilti and thanks them for the recognition of being such a valuable service provider.