Logistics Improvement

About This Project

COMPANY

Multinational FMCG Manufacturer

DURATION

5 days

PROJECT

Investigate route costing vis actual invoices and frequency of jobs allocated to 4 approved transport contracting companies.  Uncovered trend in terms of preferential allocation of transport orders to one transport contractor with slightly elevated charges for route compared to other contracted transport contractors.  Forensic analysis proved US10c per km kickback was being paid by to Logistics Manager for preferential allocation by one transport contractor.

RESULT

Dismissal of Logistics Manager, Annualised US$265 000 cost saving.  Company settled with Logistics Manager and did not pursue criminal charges or recovery of kickbacks from dismissed Logistics Manager.

VALUE USD

$  265 957.45

Category
GapsResolved