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Magna Valor
Magna Valor

Transport tender management for a global white goods manufacurer

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Our client is a global white goods manufacturer with 36 locations across 10 countries worldwide

CapabilityTransport tender managementShare

Challenge

The company struggled with rising transport costs that heavily eroded profit margins. The main difficulties were tied to structural inefficiencies in logistics operations:

  • Inefficient and oversized carrier base
  • Underutilization of loading space
  • Lack of dynamic tools to optimize transport means availability

These issues not only drove up costs but also limited the company’s ability to scale operations and react quickly to market demands.

Actions

To reverse the negative trend, the company launched a structured transport optimization program, focusing on cost savings and efficiency improvements:

  • Carrier base reduction – thorough review and renegotiation of tariffs with selected partners, delivering an average 10% cost reduction
  • Implementation of e-bid tools – digital bidding platforms to ensure competitive pricing and better carrier availability
  • Carrier base profile adjustment – shift towards carriers providing higher space utilization, reaching a 7% increase in loading space usage
  • Turnover-based bonus scheme – incentives for carriers to maintain competitive rates and higher service levels in exchange for larger transport volumes

Results

The initiatives produced measurable and impactful results, both financially and operationally:

  • 2.8 million EUR in cost savings, directly boosting profit margins
  • Higher transport efficiency, with better alignment between carrier service quality, availability, and company needs
  • 7% better space utilization, reducing the number of trips and environmental impact
  • Stronger, loyalty-based carrier relationships through long-term incentive schemes

Short summary

By streamlining its transport network, the company achieved €2.8M in cost savings and major efficiency gains.

  • 10% tariff reduction after carrier renegotiations
  • 7% increase in loading space utilization
  • Long-term, incentive-based partnerships with carriers

This project highlights how targeted logistics strategies can simultaneously cut costs, boost efficiency, and strengthen cooperation across the transport ecosystem.