John D. Boyd | Mar 25, 2010 4:21PM EDT
Heavy truck and engine maker Navistar is bringing Menlo Worldwide Logistics in to help manage its domestic as well as its global supply chain, thereby expanding their partnership to cut the manufacturer’s costs.
Navistar in 2008 tapped Menlo as its lead logistics provider outside North America. Now it is extending Menlo’s role to be its broader “network manager” and help lower domestic supply costs as well.
Their initial partnership has already brought annual logistics costs down 5 percent, Navistar said, and the manufacturer now aims to slice 25 percent off its supply chain spending by 2013.
It also said “the new program will reduce domestic freight transportation costs by nearly 20 percent annually while improving on-time delivery and transit time reliability. “
Menlo’s expanded partnership, Navistar said, is part of a “long-term mission to convert the company's U.S. and global supply chain into not just a cost-efficient, high-performing operation, but a competitive asset that accelerates Navistar's growth strategies and plans for global market expansion.”
Contact John D. Boyd at jboyd@joc.com.
