Transplace’s third acquisition of 2020 advances the company’s strategic mission of supply chain visibility, innovation and optimization.
Since the pandemic and global shutdowns, manufacturers face challenges such as too much inventory or the inability to scale to customer demand. Logistics leaders are seeking new strategies for inventory management and improving inbound logistics. Transplace’s latest acquisition, LeanCor Supply Chain Group, aligns lean manufacturing principles with Transplace’s capabilities, helping to cut costs and optimize the supply chain.
“Transplace continues to expand into more verticals where inventory management and visibility are important. Having LeanCor’s expertise is critical for finding the balance of lean principles while being nimble and flexible enough to respond to changing market conditions,” said Frank McGuigan, CEO of Transplace.
The economic effects of the coronavirus have forced shippers to move from “just-in-time” to “just-in-case” inventory levels. Lean manufacturing makes the most of working capital, optimizing supply chain strategies and supporting movement across complex supplier networks. With a focus on continuous improvement and waste reduction for manufacturing clients, the LeanCor acquisition expands Transplace’s value to retail, CPG, automotive, electronics and technology clients, offering great opportunities to benefit from lean principles.
Shippers will benefit from the newly combined organization’s Transportation Management System (TMS). The industry-leading TMS breaks down supply chain silos, drives unmatched accountability with suppliers and carriers, and drives smart decision making with real-time data and visibility.
As part of the acquisition, Transplace acquired LeanCor’s powerful proprietary software, Plan For Every Part (PFEP). PFEP, a materials handling management system based on lean principles, provides an extensive list of data attributes on every part coming from suppliers and every finished good going to customers. With all the information necessary to make informed decisions about transportation, packaging, inventory, placement, ordering quantities and handling, the software significantly reduces material shortages, inventories, supply chain complexity and cost.
While both companies’ consulting business is similar in size, there’s very little overlap, presenting our clients with the opportunity for a unique end-to-end supply chain assessment. Transplace’s consulting practice is recognized for optiziming transportation network performance. LeanCor complements the offering with a more focused approach on lean manufacturing. Combined with training on upgraded processes, clients will gain greater control of supply chain budgets, their transportation netwok and overall logistics strategies.
Transplace clients are benefiting from the Lanehub and ScanData acquisitions, finalized earlier this year. With LaneHub, Transplace gains the ability to collaborate with other shippers at the load level to optimize routes, streamline logistics, increase sustainability and save transportation costs. The ScanData acquisition introduced powerful tools to support clients’ Direct to Consumer efforts, including the integration of the parcel transportation management solution (PTMS) with the Transplace Technology Platform.
The acquisition of LeanCor incorporates a stronger focus for manufacturing clients, including LeanCor’s expertise in lean manufacturing, helping to streamline supply chains, support inventory management and inbound logistics.
LeanCor’s clients will have access to Transplace’s $11+ billion in freight under management, the Transplace Control Tower, predictive analytics and real-time visibility. A cross-functional team of Transplace and LeanCor employees will handle the software integration, which is expected to take less than a year.
Is your manufacturing organization having challenges meeting customer demand?
Connect with a Transplace expert to learn more about our logistics management solutions, including additional technology innovations from our recent acquisitions: transplace.com/contact/customer-shipper-carrrier-support/.