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Case Studies > Aeroflex Improves Efficiency and Lowers Costs With Affordable, Cloud-Based TMS

Aeroflex Improves Efficiency and Lowers Costs With Affordable, Cloud-Based TMS

Technology Category
  • Functional Applications - Transportation Management Systems (TMS)
  • Application Infrastructure & Middleware - Data Exchange & Integration
  • Platform as a Service (PaaS) - Connectivity Platforms
Applicable Functions
  • Logistics & Transportation
  • Warehouse & Inventory Management
Use Cases
  • Supply Chain Visibility
  • Fleet Management
  • Predictive Maintenance
Services
  • Cloud Planning, Design & Implementation Services
  • System Integration
  • Training
The Challenge
Aeroflex USA, a building products manufacturer, faced significant challenges in managing its complex global logistics network. The company relied on manual processes and traditional communication methods like phone, fax, and email to handle truckload (TL), less-than-truckload (LTL), and ocean shipments across multiple distribution centers. Despite having invested in a Microsoft Dynamics solution for material requirements planning (MRP), Aeroflex found traditional transportation management systems (TMS) to be prohibitively expensive. The company needed a cost-effective, user-friendly TMS that required minimal IT overhead to improve supply chain efficiency.
About The Customer
Aeroflex USA, Inc. is a global manufacturer specializing in building products, particularly insulation tubes and sheets marketed under the Aerocel® brand. These products are used in commercial pipe and duct systems to save energy and prevent condensation in heating, ventilation, air conditioning (HVAC), and refrigeration systems worldwide. The company operates a complex logistics network involving truckload (TL), less-than-truckload (LTL), and ocean shipments through multiple distribution centers. Aeroflex USA is committed to improving its supply chain efficiency and reducing logistics costs while maintaining high standards of customer service and product quality.
The Solution
Aeroflex selected Cloud Logistics by e2open, a cloud-based TMS solution, to address its logistics challenges. The new system was implemented within 90 days, offering configurable process workflows, unique user experiences, alerts, dashboard widgets, and ad-hoc reporting. Cloud Logistics provided a self-service (SaaSS) solution that automated most logistics processes, from order processing to tendering, rating, tracking, and freight payment. The system allowed Aeroflex to see customer orders and last-minute revisions in real-time, manage orders via email or text alerts, and conduct centralized automated carrier selection and tendering. Additionally, the solution enabled the company to consolidate orders, create shipping documents, connect directly to carriers via EDI, and generate reports on carrier costs and shipping data.
Operational Impact
  • Aeroflex achieved streamlined supply chain processes and improved efficiency with the implementation of Cloud Logistics.
  • The company automated most logistics processes, reducing the need for manual intervention and minimizing errors.
  • Aeroflex could now rate deliveries immediately upon tendering to carriers, ensuring accurate landed costs that include freight rates, accessorials, and discounts.
Quantitative Benefit
  • Achieved a 90-day ROI after the go-live in late 2012.
  • Reduced logistics costs significantly through automated carrier selection and order consolidation.
  • Increased operational efficiency by automating manual logistics processes.

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