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Success Story - "Small Package Freight"

Company Description

Small Emerging Fast Growing Pharmacy Benefits Company

Company Situation and Problem

  • High number of small air freight shipments with volume of Express shipments increasing rapidly to improve customer service and inventory turns
  • Single carrier with imbedded processes
  • Significant existing volume discounts from carriers

Paladin Actions & Recommendations

  • Gathered historical usage data and pricing
  • Reviewed and analyzed contract and pricing
  • Benchmarked pricing with other contracts
  • Obtained usage forecasts and service level requirements
  • Negotiated with current carrier to improve discounts and reduce assessorial charge

Client Results

  • Immediate 5% price reduction
  • Maintained current carrier – no switching costs
  • New 5 year contract with additional discounts for volume growth

Impressive Savings Without Switching Carriers