JAS’s customer is a multinational automotive manufacturing corporation consistently ranked among the top global automakers. With a strong international presence, it operates across various markets and manages a complex supply chain involving numerous suppliers and distribution channels.
The customer faced a significant challenge related to air freight costs incurred when receiving parts from a Tier 1 supplier. The customer hoped to reduce air freight expenses, enhance packaging efficiency, and streamline its overall process for transportation logistics.
Leveraging the team’s extensive industry knowledge and attention to detail, JAS conducted a thorough analysis of the customer’s current processes. This review included inspecting the current packaging design and assessing the load configurations used by the Tier 1 supplier for part transportation. The analysis identified opportunities to enhance cargo density, emphasizing the importance of maximizing every inch of packaging space. Based on these findings, JAS proposed a solution to improve the customer’s packaging efficiency and optimize its load engineering strategies.
By increasing the parts per package by 14%, the previously unused space within the Tier 1 supplier’s packaging was fully utilized. The more efficient packaging led to a customer-estimated savings of $150,000 in air freight costs, positively impacting the company’s supply chain expenses and improving its overall financial performance.