Case Bidfood

Reducing overruns through TMS: Bidfood distributor's experience in logistics optimization

Bidfood is a leader in retail, wholesale, and HoReCa food distribution. The company's product range includes more than 2,400 items.

Distributor

  • 11%

    Reduction in delivery costs

  • 18%

    Reduction in mileage

Reducing overruns through TMS: Bidfood distributor's experience in logistics optimization

Bidfood boasts ownership of several successful brands, including Nowac, the second most sought-after frozen fish brand, alongside NowaMeat, Nowaco Exclusive, and Nowaco Horeca Exclusive. Moreover, Bidfood serves as a representative for numerous esteemed international brands. 

With a current assortment comprising approximately 2,400 brands and 12,000 SKUs, the company continually broadens its offerings. Distribution is seamless across the Baltic countries, facilitated by both Bidfood's fleet and contracted partners. Orders are efficiently processed around the clock, ensuring prompt service.

Challenges faced by Bidfood before implementation 

  • Before implementing the system, the company lacked analytics on delivery routes. There was no way to identify weaknesses in planning, which made it impossible to eliminate logistics problems. 
  • Also, Bidfood needed a TMS that could customize delivery based on the priority of individual customers without losing service.
  • The previous planning tool did not meet the company's new requirements in the face of constant growth. A new system was needed that was flexible enough to adapt to new needs.

Implementation process 

Study of the customer's transport management processes

We collected primary information on how the processes related to transport logistics worked. We found out the specifics of warehouse operations and delivery of goods to points, as well as the processes of controlling the targeted use of transport. We identified a list of parameters to consider when planning routes. 

Setting up data exchange

We implemented the technical specification for data exchange between the accounting system and LEAFIO Rinkai TMS, as well as between LEAFIO Rinkai TMS and the control system that receives and accumulates information from GPS trackers. At the same time, LEAFIO Rinkai TMS created a set of user records, warehouses, and transport units that are necessary for route planning.

Training the team to work in the system

We held three training sessions to explain the methodology and mechanisms for using LEAFIO Rinkai TMS tools to our employees. The team practically learned how to track discrepancies between the plan and the actual situation, analyze statistics, and make adjustments to the input data to improve the quality of planning. 

A training session was held for the company's management on how to work with analytical tools, which help identify bottlenecks and less efficient areas of transport logistics processes in the shortest possible time.

Testing and launching routing in LEAFIO Rinkai TMS

The implementation consultant and the client's employees assessed the correctness of the initial data and corrected inaccuracies in the initial data for planning. We piloted the routes created by the system, analyzed the feedback on the realism of the routes, and then adjusted the settings. The system was put into operation. 

Implementation results 

As a result of the implementation, we managed to automate the route planning process and minimize the influence of the human factor. This increased the speed and accuracy of the route planning process. 

The level of customer service and loyalty to the company has increased. This resulted in an increase in the number of orders, while the company did not have to significantly increase its vehicle fleet or expand its logistics staff.   

The company optimized the use of vehicles: 

  • the vehicle fleet decreased by 4%, 
  • the level of overruns decreased by 18% with the same volume of delivered goods. 

The analytical module of the LEAFIO Rinkai TMS system has increased the level of control over route execution. Now the comparison of planned and actual routes is carried out automatically in real time.

LEAFIO AI Retail Platform LEAFIO AI Retail Platform
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Transportation management
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