Motor oil giant saved nearly 11% on overall freight spend and digitized its supply chain with GoComet's GoProcure platform after implementation
NEWARK, N.J., March 19, 2024 /PRNewswire-PRWeb/ -- GoComet, a leading supply chain visibility platform, today announced the results of Motul's digital supply chain initiative. At the end of the project, Motul reported a nearly 11% reduction in overall freight costs by leveraging GoComet's solutions.
Prior to adopting GoComet's solution, Motul, a manufacturer of motor oil for automobiles and motorcycles, relied on traditional methods like spreadsheets, email chains and phone calls to manage its import and export logistics for its major distribution units, which were spread across four countries. Additionally, tasks such as freight negotiation, document management and payment reconciliations were all siloed and conducted manually at a great expense.
"Our team put forth an incredible amount of effort prior to implementing GoComet's tools, but there was no efficiency. We needed a solution that could make things easier. GoComet has been instrumental in helping us digitize our end-to-end supply chain visibility," said Sanjeev Wangoo, Motul's Chief Manufacturing and Supply Chain Officer.
Leveraging GoComet's GoProcure platform, Motul's procurement teams improved efficiencies in freight procurement and freight payments and expanded their vendor pool by 70% while effectively managing a more competitive reverse negotiation. Relying on an automated negotiation process, Motul simplified both spot and contract negotiations and closed freight tenders faster with their forwarders, saving a net of 6.7 percent annually.
Further, automation enabled Motul to save an average of 1,008 man hours (approximately 15 days) on freight procurements and payment operations per country per month.
Leveraging its now digital rate contracts with their logistics service providers, Motul further reduced its freight spends by 3.5 percent. GoInvoice automatically reconciled overcharges, flagged overcharged and duplicate invoices and eliminated the need for manual verification.
Mr. Wangoo reported that most companies have a process of manually verifying the invoices as compared to the original contracts, and that due to the large number of line-items in the contracts, many overcharges go unnoticed or are paid without discussion due to sheer volume of invoices.
"GoComet's solution streamlines the procurement processes, eliminating the need for follow-ups. Vendors seamlessly integrate into the supply chain, ensuring agility and responsiveness. It also injects excitement into vendor negotiations, turning it into a strategic dance. This unique approach not only reduces costs but adds a dynamic element to the negotiation process, while the team needs to do less work due to automation," said Gautam Jain, GoComet CEO.
For additional information, visit www.gocomet.com
About GoComet: The world's most intuitive, easy-to-use supply chain visibility platform, GoComet is powered by AI and automates end-to-end logistics for manufacturing companies. It enables businesses to leverage cutting-edge technology to innovate logistics and reduce costs. Utilized by enterprises across industries, GoComet combines the power of data science with machine intelligence to maximize savings and make logistics management efficient and fast by reducing manual workloads, eliminating miscommunication and leveraging data. Users see efficiency and transparency in the freight procurement process and gain unique insights through its auto-generated reports for fast, data-driven decision-making. GoComet reports more than 500+ enterprises including Bazooka Candy, Lycra, Amcor and General Mills.
Media Contact
Lauren Schiffman, GoComet, 1 415-684-8080, [email protected], https://www.gocomet.com
SOURCE GoComet
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