Port Diversification on Tight Timeline

Background: Port Congestion Causes Manufacturer to Move Its Freight to Meet Customer's Need

For many years, the vast majority of imported freight sold by one of the largest retailers in the U.S. hit American shores at the ports of Los Angeles and Long Beach. When congestion began to worsen at those ports, it impacted the flow of goods to the retailer’s regional distribution centers – and thereby, its stores – in the interior of the U.S.

port-diversification-1To get more control over its supply chain, the retailer asked its top 100 vendors to reposition freight so that more of its inventory was being stored closer to its distribution centers. This directive meant a large bike manufacturer quickly needed to shift 60 percent of its shipped product from the West Coast to the East Coast.

Situation: Moving Product Cross-Country Quickly

The manufacturer needed to move more than half of its product cross-country from its warehousing provider in L.A., and it needed to happen in only 60 days. To complicate matters even further, the manufacturer did not have anyone on the East Coast to assume the dray and warehouse work once the product arrived.

Schneider, who was familiar with the manufacturer and its business needs, responded to the call for help with a dray and warehouse solution to move the product once it reached the East Coast while meeting the tight deadline. Additionally, prior to the official start-up, Schneider moved several intermodal loads of the manufacturer’s products from the East Coast to balance inventory needs.

Schneider's Solution: Providing Ample Space and Service

port-diversification-02With 330,000 square feet of warehouse available in Savannah, GA, Schneider provided the manufacturer with the storage and dray services to move the product once it reached the East Coast. The warehouse space required was larger than the original footprint, Schneider was able to provide additional space to accomodate the customer’s needs.

Throughout the move, Schneider brought extensive knowledge of the importer’s retail link system and demonstrated excellent customer service in managing the orders within the system, identifying issues and offering viable solutions when needed. Combined, these factors facilitated a successful port diversification strategy in less than 60 days.

Results: Devised and Implemented a Relocation Strategy

port-diversification-03To complete a successful port diversification strategy, Schneider:

  • Moved 3,718 containers from Los Angeles to Savannah
  • Provided 333,000-square-foot of storage
  • In-house dray team provided service that was on time and damage free
  • Delivered expert customer service and communication throughout the 60-day move

Faced with a tight deadline to move a significant amount of freight, the manufacturer turned to Schneider in its time of need. With proven warehouse and dray experience, Schneider showed it could handle the job and delivered the results the customer needed in order for the shipper to remain a top vendor with an important customer.

Published March 2016

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