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CONSULTING SERVICES FOR SHIPPERS OF CHEMICALS AND PLASTICS:

Our primary client base consists of shippers, large and small. This is because it is the shipper community with the greatest financial investment in distribution – shippers are normally the ones paying the freight bill, owning and leasing private railcars, and relying on transportation networks to satisfy their customers.

We have worked with all types of plastics and chemicals shippers, including large chemicals producers, brokers and distributors, and foreign producers with import activity in the US.

The range of services provided to shippers includes:

A. Total Logistics Assessment

The Total Logistics Assessment is perhaps the quickest and most effective way for your organization to benefit from a relationship with PLG. As part of the Assessment, we bring a team of experts to your headquarters to perform an in-depth analysis and benchmarking of all aspects of your logistics – modes, assets, freight spend, processes, technology, and distribution network. We then develop a plan to achieve improved efficiencies and cost reductions that are real and tangible. The final step is implementation, which we perform for you on a turnkey basis. The up-front costs are nominal, but the immediate and long-term benefits are significant.

The reason that the Total Logistics Assessment works is because virtually all shipper logistics departments are affected by one or both of two challenges: Either downsizing has shrunk the depth and breadth of internal logistics knowledge, or management is understaffed and overworked to an extent that it’s impossible to have the time or resources to really dig deep for improvement opportunities and at the same time keep up with evolving industry trends and best-practices. Through the Total Logistics Assessment and subsequent relationship with your company, PLG delivers efficiency, cost-reductions, process improvements, and a bolstering of your internal logistics knowledge and management skills.

B. Logistics planning & strategy
 

I. Distribution network design and optimization

We have experience in designing optimum distribution networks, including vendor relationships, value added services, multi-modal services, and key customer service plans. Chemicals and plastics present unique challenges in this area, since specialized material handling equipment and procedures are needed for safe and efficient distribution of these products.
Case studies

II . Logistics infrastructure
 
 

1. Plant facilities

One of the most critical phases of plant site selection, expansion, and planning is ensuring that your logistics infrastructure can support current and future business objectives. Obvious issues such as competitive rail access are but one of many considerations, in addition to logistics facilities investments, inventory control, feedstock supply, and modal flexibility/options. PLG can develop an optimized site logistics design and operating plan for any type of facility, from large chemical complexes to small processing plants. In addition, PLG can provide turnkey development of logistics infrastructure, including sale-leaseback and lease development financing.

2. Terminals/Distribution Centers

For some sensitive products and markets, shippers may choose to develop and operate their own private distribution centers. Such centers can include warehouses, rail terminals, and transloading facilities. PLG can provide site selection, design, operating plans, and turnkey development for such facilities, as well as assist in the overall distribution strategy for an internal facilities network.

  III. Logistics Assets
 

Private railcar fleet sizing & management

Accurate sizing of private railcar fleets requires a range of data inputs, including transit times, dwell times, hold times, consignment terms, product wheel/production schedules, and out-of-service rates. Our consultants have decades of experience in the proper sizing and deployment of private chemicals fleets.
Case studies

Private truck fleets

Strategies around private truck fleets can include trailer equipment, power units, or both. Certain specialized products will require specialized truck equipment. PLG can assist you in determining whether private or contract fleets are best suited for your business needs, as well as assist in establishing trucking operations.

C. Logistics procurement
  I. Transportation
   

1. Contract negotiations strategy & planning

Whether it’s rail, bulk truck, marine, TL/LTL, or warehousing/packaging, major contract negotiation events are a critical piece of your overall logistics spend and can impact your competitiveness for years. The critical advantage you can have in negotiations is PLG providing analysis, support, and strategies for success. Our team includes veterans of major contract negotiations from both the shipper and carrier sides of the table, and can bring a powerful combination of benchmarking, negotiations strategies, and industry expertise on your behalf.
Case studies

2. Cost benchmarking – Rail and Bulk Truck

Utilizing a variety of data sources, including the STB waybill sample, PLG can evaluate your current spend in the areas of rail and bulk trucking to determine your competitive position relative to the rest of the market.

Formal RFP Bid Processes

One of the keys to effective vendor negotiation, in addition to any reorganization or re-evaluation of a distribution network, is conducting a formal Request For Proposal bid process. The purpose of an RFP process, as opposed to less formal methods of procurement, is to ensure that all vendors compete on an equal footing and in an objective and competitive environment. PLG has expertise in conducting formal RFP procurement process events across all modes.
Case studies

D. Technology
  PLG can assist you in the effective use of technology, not only systems and software specifically for logistics, but also the integration of logistics functions and objectives with existing ERP systems such as SAP. We can bring your organization up to speed on systems for railcar management, fleet tracking, RFID, WMS, and supply/demand chain planning.
 
   

Headquarters: 610 Wesley Ave. Oak Park, IL 60304, 888-506-1584
With representatives in: Baltimore, Dallas, Houston, Milwaukee, New Jersey, and Philadelphia
Services available: Worldwide

Copyright 2002-2006 Plastics Logistics Group, LLC.
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