Gaylord Container Corp., headquartered in Deerfield, IL, is a top ten national manufacturer and distributor of brown paper packaging products. The company operates three mills and 26 converting facilities throughout the United States, employing over 5,200 people. Their offerings include corrugated containers and sheets, containerboard, and retail bags. The company had net sales of $870.6 million in 1999 and is listed on the American Stock Exchange (AMEX: GCR).
The Client Need:
Gaylord Container needed to re-evaluate its carrier selection process. The company wanted to cut shipping costs, but it was imperative that changes to their process did not interrupt ongoing operations. Gaylord Container needed an experienced team that could evaluate their current situation, make changes and ensure a smooth, gradual shift to a new logistics strategy.
The Concentrek Solution:
Bringing aboard three employees as part of a three-year contract, Concentrek first analyzed the way Gaylord Container selected carriers for any given shipment. Upon completing the evaluation, the team implemented their carrier optimization plan, utilizing eFrame technology to better select carriers.
Concentrek’s impact was immediate. Gaylord Container’s shipping costs dropped 3% the first month. Additionally, Concentrek was able to continue shipping Gaylord Container products without disruption, even while implementing key process changes.
“Concentrek came out charging for us, right from the start,” said Mike McCurdy, Operations Director at Gaylord. “Even during the startup of operations, they achieved 97.2 percent on-time pick up–-a key measure of success for us. We’re very pleased.”
Concentrek will continue to manage day-to-day logistics operations for Gaylord Container, looking to build on current successes to further improve shipping performance and reduce costs.