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COLUMBUS: Identifying Potential and Reducing Transport Costs for the Long Term

Wassermann AG Service Solution shines through the Fog of Rates in the Distribution Logistics Sector

(PresseBox) (Munich, ) In Germany, the cost of transporting goods by land, sea and air has been put at almost €90 billion for 2009. Here's an aspect of business where great potential for optimization exists for industrial customers. COLUMBUS, the service solution provided by Wassermann AG, the Munich-based consultants for supply chain excellence, enables greater transparency to be achieved when it comes to the cost of distribution logistics and, in doing so, helps companies to readily identify and exploit potential savings. Another special feature: At the customer's request, service fees can be based on the savings generated.

With operational logistics typically accounting for five to twenty percent of overall costs, the costs incurred in transporting goods constitute a considerable proportion of expenditure. Optimizing the cost of transportation by land, air, ocean, express and packaged freight to production sites, warehouses, branches and customers therefore harbors significant potential for cost savings. However, rates charged in the transportation sector are quite complex and thus generally show high deviances in costs and service level at the same time. With its new service COLUMBUS, Wassermann AG is now offering an integrated service concept to help companies to readily optimize transport costs also for the long-term.

This service includes software-aided analysis, recommendations for action and support in realizing the potential for savings identified. Using the software tool, the best possible freight tariff is determined for each consignment. The scope of Wassermann's COLUMBUS service goes even further, fully integrating all stages of the global freight process from planning (rate card visualization, what-if simulations) and management (interactive analysis, evaluation of potential) right through to control (KPI monitoring, cost reduction).

Long-term Optimization of Freight Tariffs with Quick Return on Investment

"COLUMBUS delivers quick, long-term cost savings. The percentages saved can reach double figures within a few weeks. The generation of a matrix indicating the best freight tariffs benefits the entire distribution logistics process, including efficiency and quality. And the risk involved is minimal, as the fees charged by Wassermann's management consultants are based on the level of success achieved," explains Thomas Mathives, Partner and Head of Distribution, Logistics & After Sales at Wassermann AG, in setting out the benefits of the service.

Costs often are reduced by ten percent after four weeks (Stage 1: Optimization with existing service providers) and up to twenty percent after a further two to eight weeks (Stage 2: Optimization through benchmarking and switching providers).

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Wassermann AG

Wassermann AG offers software solutions and management consulting for supply chain excellence. For more than 20 years, Wassermann has been supporting medium-sized production companies and international corporations alike to optimize their value-added chains and increase their logistical performance.

The approach adopted by the Wassermann Management Consultants combines industry best practices with innovative consulting concepts and extensive IT expertise. Wassermann offers consulting in the fields of smart manufacturing, distribution and after-sales services, procurement management, and information technology, with measurable and sustainable benefits for its customers always having top priority.

In the field of software solutions, the way standard software adds valuable SCM functionality to ERP applications. This leads to integrated overall solutions, enabling vertically and horizontally integrated process planning and controlling. The result: Companies become more efficient, more transparent, and more profitable.