Damco is one of the world’s leading providers of supply chain management and freight forwarding services. For more than 100 years, They have been providing customers with logistics solutions that support the way they want to do business, wherever they are in the world. Their strategic approach and hands-on services are extensive and tailored; whether it’s a competitive rate for an urgent shipment or a strategic solution to create short-term efficiencies and build up long-term competitiveness. Damco is part of the Maersk Group. More information on Damco and Damco services can be found on http://www.damco.com.
A European manufacturer and its US subsidiary were struggling to manage their supply chain. Deliveries were arriving either too early or too late in the US. Anxious to find a permanent solution, the customer approached their Supply Chain Development team for help. A value assessment was conducted through myDamco, their supply chain visibility tool. The results indicated potential savings of EUR 600,000 within the first year.
THE CHALLENGE:
The customer is one of the largest exporters in its field from Europe to the US, with an estimated volume of over 4,000 TEUs. It is vital that its customers within this key market have accurate and reliable information about when their merchandise is expected to arrive. As the company receives payment on delivery, there is a limit to the number of containers each customer can receive per week. It became clear that the customer was incurring excessive demurrage at US ports of entry, which resulted in extended credit terms to their customers. Also, while some deliveries arrived too soon, others required expensive rush trucking in order to arrive on time. The situation clearly required a solution that enhanced visibility within the customer’s supply chain.
THE SOLUTION:
A customized myDamco solution – providing the ability to monitor, measure and manage the supply chain – was proposed, along with an implementation plan. The solution focused on three key enablers: • Greater visibility of the supply chain • On-time, in-full order reliability • Measurement capabilities. A dedicated myDamco support group was set up at the destination to oversee the implementation process.
THE RESULT:
Together, Damco and the customer have estimated the value of this solution at over EUR 600,000 for the first year alone. The customer also anticipates increased revenue thanks to improved product availability.
Their online integrated supply chain management toolbox provides everything you need to manage your supply chain easily and conveniently through a central dashboard, whenever you want, wherever you are, Also their solutions are supported by our full suite of information management systems. These systems effectively manage daily operations, automate processes and events, maximize visibility and distribution of information, and minimize errors and delays.
Two years ago, Henning Goldmann joined Damco, a global logistics services provider, to optimize its processes and embrace new tech as its CIO.
“The digital app is intended to show different levels of the market what we could do,” said Goldmann. “It lets decision-makers see purchase order data correlated with potential supply chain disruptions, like weather, and empowers them to adjust their order timing, etc. We can also automate aspects of that decision-making, and apply user ratings to iterate the tool’s intelligence.”
“The app doesn’t rely on structured data or ERP databases. We can download and process data in a few hours that traditionally can take months, so it takes the pain out of data integration.”
Customer feedback has been positive, and Damco is already looking for ways to use this door opener to develop additional digitally-enabled process improvements. Goldmann sees a combination of market reach, people, and such tech as enablers of what he calls “provocations” that can keep Damco a step ahead of its competitors.
Lessons for Others
The best part of social media communication is that it’s live and active, it’s bright and visual. There’s room for humor and gravity, information and emotion, objectivity and subjectivity, facts and anecdotes. Social media reaches both males and females, with 73% of males engaging with social media, and 80% of females.
Social media creates a community. Comments and feedback allow for a certain sense of intimacy. Allowing for a two-way street can help employees, clients, and partners to feel engaged and invested. It might also end up being fun!
The supply chain makes the world go round. In order to be one of the leaders in the chain, it’s important to remember that internet users make up nearly half of the world’s population and that social media is on the rise. Don’t miss that boat.
Organization:
DAMCO
Industry:
Supply Chain Solutions
Name of Organization Contact:
Mikkel Rasmussen,Europe CEO
Authored by: Hersh Fadi
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