The Challenge
Royal Philips faced a growing, costly problem: millions of dollars spent annually on uncontrolled expedited air freight. Their global teams lacked:
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- Visibility into when and why expedited shipments were occurring.
- Approval processes to evaluate and control these costs.
- Timely access to shipment data, often learning of the expenses months after they occurred.
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This resulted in unnecessary use of air freight, lost profits, and major supply chain disruptions.
The Solution: Powered by nVision Global
Royal Philips turned to nVision Global, leveraging our deep expertise in global freight visibility and logistics technology. Within months, we designed and deployed a custom global solution used by hundreds of users worldwide, providing real-time control and transparency across all expedited freight activity.
Key Components of the Solution:
1. Dynamic Market Pricing Tool
- A live, online rating marketplace for users to compare:
- Contractual rates
- On-demand quotes from current market conditions
- Enabled competitive bidding in a controlled environment, in real time
2. Multi-Tiered Electronic Approval Workflow.
- Email-based approval chain triggered by shipment dollar value
- Gave management the power to approve, delay, or deny high-cost expedited moves before they occurred
3. Integrated Tendering & Shipment Execution
- Once approved, users could instantly select carriers and electronically tender shipments
- Ensured immediate visibility and auditable control across all freight activity
The Results
- Immediate visibility and control over expedited shipments
- Substantial time and cost savings through reduced reliance on unnecessary air freight
- Significant operational efficiency gains across procurement and logistics teams
- Projected savings: tens of millions of dollars in year one alone
A Solution That Moves at the Speed of Business
Royal Philips’ new Expedited Freight e-Bidding & Approval Platform, developed by nVision Global, is now a core part of their global supply chain strategy. It delivers the speed, transparency, and financial discipline required to operate in today’s fast-paced, cost-sensitive environment.