Biotechnology
Interim Assistance
The CFO came to Heimdall for assistance with minimizing waste in their domestic truck fleet operations. They worked with specialized materials that required a high degree of visibility and handling care, and thus ran a small fleet to ensure quality during transportation. The problem was, the trucks were running empty 50% of the time; after delivery, the truck had to return to the warehouse to be reloaded.
Heimdall worked to establish a strategy of taking the backhaul capacity to the market, to generate revenue for the business from what would otherwise be waste.
While the idea was simple enough, it was extremely challenging in practice. Firstly, the fleet had a primary purpose of serving internal demand, thus the loads accepted from the market had to fit a precise criteria, shrinking the market substantially. Moreover, competition in the domestic trucking space is historically fierce, where customers demand tight delivery windows and live tracking.
The focus of Heimdall’s work was to maximize flexibility in the fleet network in order to provide optionality in when internal loads had to move, as well as adaptability to meet the needs of the trucking market; ultimately, it was a strategy seeking a harmonious balance between the two. This goal was fundamentally achieved through the implementation of a Transportation Management System (TMS) which allowed proactive load planing as opposed to being purely reactive, which was substantially complemented via the implementation of live fleet analytics tools, embedded in each truck. The utilization of this technology facilitated active GPS monitoring, safety compliance and predictive maintenance scheduling, which combined, increased asset utilization by 6%.
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