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Case Studies
Case Study: (Liaoning-USA Corporation) ST/LT Distribution of gloves

Better Service for less money.

In order to compete for business in the Midwest, Liaoning-USA found they needed to cut the LTL delivery time to their customers. But, they also had to keep freight costs low.

For example, if over a two-week period, the company made one shipment of 12 pallets to Chicago, one shipment of 6 pallets to Paducah, KY, and two shipments of 3 pallets each to Sioux City and Fort Dodge, IA, the average cost would be about $130.00 per pallet. The cost was in their range, but delivers were taking 4-6 days.

By implementing TLC’s "Sort term/Long term" Distribution program, we were able to move all of Liaoning’s shipments to our inland distribution center at one time, and allow the company 15 days, to arrange final delivery. If they need another 30 days, it’s just $8 each for any undelivered pallets.

Their customers got the benefit of NEXT DAY delivery, and Liaoning was actually able to reduce shipping costs to $117 per pallet.

In addition, by shipping full containers directly to our service center, Liaoning was realizing substantial savings by avoiding drayage and handling and storage at its facility.

Finally, by reducing costs and providing customers with better service, Liaoning was able to begin developing more business.
 



 

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