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Consumer Goods Logistics Blog


Realizing Supply Chain Cost Reduction Through Collaboration

Published by Colleen Carter on October 20, 2013

Every day across America, consumer packaged goods (CPGs) products make their way to the warehouses of the country's largest retailers. Different products all going to the same locations, but each following its own line of supply and, in the process, blocking up our roads, polluting the planet, and driving up logistics costs.

This week, Michael Marlowe, from third party logistics (3PL) provider Kane Is Able (KANE), and Sean Vasquez, from Sun-Maid Growers of California, will co-present the session, "Realizing Supply Chain Cost Reduction Through Collaboration," at the CSCMP Annual Global Conference in Denver, Colorado. They will discuss the advantages of establishing collaborative warehouses for small- to mid-sized companies. These campuses house goods from like companies, such as grocery product vendors, shipping to the same retailers. The collaborative distribution strategy drives storage and transportation efficiencies as participants consolidate less-than-truckload (LTL) loads into multivendor full truckloads going to retail distribution centers (DCs).

This session will include a detailed case study of how Sun-Maid works with KANE to gain efficiencies, including a 62% reduction in outbound freight costs, that help the company compete with its largest rivals.

We hope to see you at CSCMP this week, but if you can't make, you can read about the case study here.

Filed under: Supply Chain Challenges| Collaborative Distribution