Case Study – Circa 2010-2020 Timeframe
Supply Chain Synergies- Success Story
SUPPLY CHAIN SYNERGIES (SIGNIFICANT COST SAVINGS)
Cost Savings Initiatives
Investments in New capital types of equipment.
Lower costs structure
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- Harnessing of synergies between 2 supply chains: liquid products and solid bulk products.
- Synergies of 14% to 20% in overall supply chain costs reduction.
- Realization of cost savings of nearly 40% through synergies and efficiency.
POPULAR CASE STUDY
Thorough baseline to identify overlaps and practical synergies.
Through a combination of arrangements, there was the annual saving of up to $XX M without capital investment.
- Liquid from truck to rail.
- Liquid unit trains out of Canada.
- Bulk swap arrangement with Z.
- Bulk backhaul arrangement with W.
- Bulk rail rate negotiation on remaining volume.