Managing change orders
Customer Case Study
A global chemical distribution leader uncovered 7% in hidden costs by capturing and measuring change orders in a single system.
Outdated and disconnected processes obscured added costs
Our customer, a global chemical distributor, was moving large numbers of shipments without a clear understanding of what their end costs would be during the invoice process.
Many invoices included change orders that represented significant costs over and above what had been previously agreed, but these often went unnoticed.
The discovery of previously hidden costs led to an immediate reduction in unnecessary expenses
Within weeks, the team was now able to:
- See the nature of every change order and understand what types of changes were costing them additional money.
- Reduce unnecessary change order submissions by catching them in real time and rejecting change orders that didn’t match their needs.
- Vastly simplify invoice reconciliation, as costs were now visible from beginning to end.
Using e2log as a single source of truth for change order management revealed that while the organization believed change orders were rare, they actually had ~7% additional costs being incurred on average, costs that could now be eliminated while driving increased accountability among LSPs.
More real-world results
Outcomes: Electrical Equipment
improvement in LSP service levels
By capturing and visualizing all LSP activity, we helped realize a 46% improvement in logistics service provider performance for a leading electrical equipment manufacturer.
Outcomes: Heavy Engineering
increase in process efficiency
Through rapid deployment of logistics request automation and a flexible shipment builder, we helped a heavy engineering company operating on six continents improve dramatically the efficiency of their logistics operations.
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