When a motor coach has to be pulled off the road because it needs a new part, those days of lost service can have a significant impact on a business’s bottom line. Whether that business is a tour operator, a charter company, a municipality or any type of public or private entity that needs to transport people, a disabled coach is of no use. Compounding the problem is the relative scarcity of spare parts distributors.
This is the predicament one U.S. motor coach manufacturer faced in servicing the growing number of its vehicles now in use throughout Canada. The manufacturer needed to find a way to ensure that a full inventory of replacement parts could be readily available to dealers and repair centers within a very short timeframe. The company established what it thought would be a workable solution, but serious inefficiencies soon became apparent.
The manufacturer called on Purolator International to see if a better solution was available. Purolator responded with a customized logistics plan that not only met delivery expectations but did so at a reduced cost. And, as an added benefit, the manufacturer enjoys Purolator’s commitment to customer service and personalized attention.
The challenge
The manufacturer maintains an ironclad promise to its customers of same-day shipping for any “critical” part, and next day shipping for most other SKUs. If a “critical” part fails to arrive within its scheduled window, the manufacturer will refund one-half of the product’s cost, up to $150. This in turn puts pressure on the manufacturer’s logistics and transportation provider to perform.
The company sources inventory bound for eastern and midwestern Canada from its large Louisville, KY distribution center. The company contracted with an international service provider to manage its Louisville-based shipments. In signing with a globally recognized company, the manufacturer assumed it would receive a world-class solution. Instead, the manufacturer was disappointed to see a higher-than-acceptable rate of late deliveries, and a warehouse management system that seemed terribly outdated.
Aside from the disappointing service, the manufacturer was really taken aback by the transportation provider’s seeming lack of concern. The provider was aware that deliveries were being missed, but did not seem to want to find a solution. The manufacturer’s customers were being disappointed, parts were not being delivered, and the transportation provider seemed okay with maintaining the status quo.
We proposed a daily consolidated line haul to pick up shipments from the Louisville facility and transport them directly to our processing center in Detroit. There, they are sorted and consolidated for faster, less expensive customs processing.
Once in Canada, shipments are routed to our Toronto facility for courier delivery. This ground solution guarantees delivery to Canada within two days, meeting the time-sensitive needs of the manufacturer.
For situations where expedited service is needed, or to reach Canada’s outer provinces and territories, the solution takes advantage of PuroExpress. This air service option provides an extra layer of flexibility.
We provided a detailed list of all Canadian postal codes with corresponding service times and estimated freight costs for each. This gave the manufacturer a clear and transparent view of the value our solution offered.
The results
From the onset, the manufacturer made it very clear that delivering on its promises to customers was its highest priority. That meant having proper inventory in place, regardless of where in Canada the parts were needed.
The company has been very satisfied with Purolator’s solution and attention to detail. In a sure sign of its high level of satisfaction, the company recently renewed its service contract and looks forward to Purolator’s continued suggestions for possible service innovations.
“We knew pretty much right away that we could provide a better solution,” says Betty Jo Rodey, Purolator International’s Strategic Account Executive. “No one else has the access to the Canadian market that Purolator does, so we went to work to deliver the solution this company wanted in the first place.”
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We believe in proactive account management and a true partnership approach. If you’re tired of a lack of concern from your current provider, let us show you how our commitment to customer service makes all the difference.
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