How an EPC improved megaproject efficiency and productivity, and reduced costs

Case Study

For one of the world’s leading Engineering, Procurement and Construction (EPC) companies, executing complex domestic and international logistics for megaprojects on a single technology platform streamlined processes and increased visibility, resulting in: 

  • 55% efficiency and productivity improvement
  • 12% reduction in logistics costs

The absence of a single technology platform to execute complex domestic and international logistics for megaprojects was leading to high costs and severely impacted timelines.

Our customer is one of the world’s leading EPC companies, executing megaprojects across the globe. Logistics planning, procurement, and execution for these multi-billion-dollar projects entails a high degree of complexity and demands the highest degree of competency and expertise from people and technology.

Before e2log, the company:

  • Could not find a single technology solution that could meet their wide spectrum of challenging needs, due to the complexity and sophistication of their project operations
  • Was executing all projects using homegrown tools, backed by an arduous process that included emails, spreadsheets and phone calls
  • Was deploying several people to accomplish these tasks, which were being handled in a fragmented manner, leading to hemorrhaging of costs and process efficiencies
  • Suffered due to project manager’s lack of visibility and control of orders through their lifecycle, which directly impacted their ability to execute projects on schedule and on budget

This broken technology stack resulted in a badly fractured logistics operation which lacked efficiency, transparency, visibility, control and agility.

A unified platform was rapidly deployed to modernize logistics operations and eliminate manual processes

Data-driven and armed with powerful automation tools, e2log could be rapidly deployed to unify logistics planning, procurement, execution and freight auditing.

  • Real-time data and logistics execution in one place: A simple ingestion solution was deployed to digitally twin Purchase Order and Expediting data from the customer’s Material Management System into e2log. With real-time data now being easily accessible for the first time, supply chain personnel could finally orchestrate logistics planning, procurement, and execution activities in one place.
  • Upstream visibility improves logistics execution: Logistics teams gained visibility of the upstream ordering and expediting activities, which helped them better plan for logistics execution. All user groups were able to work cohesively with a single set of data.
  • Single source of truth powers better future planning: Data – now democratized across project teams to generate a true single source of truth – could then be pushed back to planning and material management systems to enable better planning and decision making for future activities.

A single platform designed to handle the complexities of megaproject logistics helped dramatically improve execution while reducing costs and workforce requirements.

  • Streamlined operations: Replacing the chaos of emails, spreadsheets and phone calls with a single cloud-based platform drove a new, more intuitive orchestration of complex project logistics operations.
  • Improved efficiency and productivity: Logistics teams were empowered with technology which drove automation, helping dramatically improve overall efficiency and productivity by ~55%.
  • Decreased logistics costs: A powerful procurement solution, enabling the company to easily obtain spot rates in a private competitive bidding environment, coupled with freight buy consolidation and optimal utilization of rate contracts, better change order management, and freight auditing tools, all contributed to a ~12% decrease in total logistics costs.

 

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