Pacific Great Lakes Logistics (PGLL)

Steel and Heavy Metals' 3PL

As a privately-held third party logistics provider located in Cleveland, Ohio, PGLL specializes in the international movement of steel and heavy metals through comprehensive point-to-point shipping via any port or terminal and by all delivery methods.

PGLL provides complete services around the development and execution of logistics projects to insure their customers receive the best level of service available in the industry at a competitive price. It is the primary provider of logistics and traffic services for its customers, arranges routing, warehousing and billing, as well as providing insurance for materials en route.

PGLL provides its customers with the information and services required to manage their businesses efficiently and effectively. PGLL proactive insures their customers obtain on demand, real time visibility into the position of inventory in the supply pipeline, so that they can meet their objectives in manufacturing and/or distribution.

Pacific Great Lakes Logistics (PGLL) faces the business challenge of being the "virtual traffic department" for its customers.

To be successful as an outsourced, virtual traffic department, PGLL must provide services to its customers that exceed those offered by an in-house traffic department and at lower costs. PGLL's challenges can only be met if it rapidly responds to customer enquiries for quotations on simple point-to-point or complex multi-lane/multi-leg routes, and provides on-demand access to information on the status of its customer's products within the pipeline.

PGLL required an information technology solution that could run its operations enterprise-wide. Its IT solution would have to support operators' business activities with emphasis on customer service. It must provide management with operational, accounting and financial information. To compete successfully, PGLL believes it must provide the 3PL industry's highest levels of service to its customers. To achieve its objectives, PGLL required a solution that makes information available in timely, accurate and in meaningful formats.

PGLL's information technology solution had to:

• Quickly develop and cost multi-lane/multi leg routes across many vendors and provide its customers with one quote for a project.
• Manage in-transit inventory during multi-mode, multi-lane/leg projects supporting customers' logistics cost minimization initiatives.
• Provide inventory visibility and traceability information "on demand" and in real time to its customers.
• Support elaborate multi-currency accounting processes and prompt, accurate financial reporting.
• Completely integrate and provide accurate data to users and decision-makers in a real time environment.
  

Most importantly, PGLL needed a software provider that could help it meet its mission and provide its customers with simple logistics' solutions for their complex domestic and international logistics needs.

After and extensive search to find the appropriate software, PGLL selected BSI's 3rdwave Logistics. BSI was selected because 3rdwave could handle complex quoting and costing environments and provide operators with the ability to respond quickly in a demanding customer service environment. BSI demonstrated that it understood PGLL's project and business processes were committed to delivering a solution that completely met its crucial needs.

PGLL is a non-asset based third party logistics (3PL) provider. The non-asset based 3PL business is labor-intensive and subject to unpredictable conditions and services. A carrier might commit to pick up product from a location on one day and promise delivery to a manufacturer or distributor at specified time. But if the wrong equipment is dispatched and can only carry a partial load, the contracting factory or distributor may be forced to alter its plans or shut down operations completely due to the short delivery. Weather conditions, mechanical problems, varying State regulations and other unpredictable factors affect each job that a 3PL undertakes.

A typical job for PGLL involves moving a charter vessel of steel for a mill in Europe to multiple customers in the United States. A customer often has multiple locations requiring different modes of transportation for delivery of its complete orders. PGLL must coordinate the services related to the moves across a vast network of transportation companies (air, barge, truck and/or rail) and other service providers (stevedores, marine terminals and multiple warehouses).

For the solution to be a success, 3rdwave's application had to:

• allow PGLL to react quickly to unpredictable situations;
• advise customers immediately of exceptions to the plans;
• create alternate logistic solutions; and
• maintain strict cost control and provide visibility over all accounting elements of its projects.