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You are here: Case Studies  / Production  / Manufacturing (FMCG) company

Initial State

A manufacturing company owns a nationwide sales network and operates more than 200 vehicles accordingly. The fleet consists of small commercial vehicles as well as passenger cars. Some of the workers and leaders have the option to choose a vehicle up to the value limit associated with their position.

Project

As requested by our client, we analyzed the mileage, costs and  the market price of used cars. Using our analysis and other data. we put forward an optimal mileage recommendation. 

We then asked potential suppliers to submit their offers and apply pre-defined fixed flat rates for certain items of vehicle operating costs. 

Through further negotiations, we reduced the number of potential suppliers and carried on detailed and multi-round discussions with those selected. 

Result

      • The number of car types used was reduced
      • Applying the principle of total costs in the calculation, savings exceeded more than 20 percent
      • We succeeded to turn a significant part of the costs to fixed costs, passing on any associated risks to the supplier
      • Buy-back prices were fixed in advance
      • Costs became transparent and manageable