How this automotive manufacturer meets OEM deadlines and cuts unplanned shipments by 34% with Uber Freight

In the automotive parts industry, every second counts. Even a single delayed part can disrupt production, which can be costly.

Original equipment manufacturers (OEMs) often operate on tight shipping timelines, which can present challenges for their automotive suppliers. A Tier 1 automotive manufacturer in Europe was finding that issues like discrepancies in shipping times, carrier compliance, and a lack of real-time visibility into their supply chain was making it difficult to ensure on-time delivery of parts to OEMs.

This uncertainty often forced them to make tough decisions. For example, while expediting parts by air freight is expensive, it was often more cost-effective than the consequences of a plant shutdown—which could result in up to $25,000 per hour in penalties due to late parts. The situation could become even more challenging if a machine broke down at one of the manufacturer’s plants, requiring the rerouting of materials to other facilities to keep production running. To prevent further disruptions, the company recognized the need for enhanced visibility and streamlined processes.

The auto manufacturer began looking for a logistics partner that offered real-time visibility, reliable execution, and immediate assistance. Unlike their previous logistics provider, Uber Freight offered 24/7 support. With around-the-clock assistance, the manufacturer was confident that no matter when or where an issue popped up, they had a team ready to step in and keep shipments on track.

One of the biggest game-changers was implementing a Plan For Every Part (PFEP) process and contingency plans, which gave the company better visibility and control, especially when challenges occurred. If a machine broke down or production stalled, they could quickly adjust and reroute materials with the help of Uber Freight’s experts and dynamic route planning, ensuring that operations kept running with minimal disruption.

Uber Freight also helped the auto manufacturer improve overall efficiency with TMS-powered insights and process standardization. With Uber Freight’s TMS, they had access to in-depth dashboards and reports, giving them a holistic, transparent view of costs and insight into KPIs, ensuring continuous improvement. Additionally, by standardizing its carrier pool and ensuring better adherence to shipping dates, the company gained much-needed reliability and fewer surprises.

Since partnering with Uber Freight, the manufacturer has significantly reduced costs. By improving shipping compliance and reducing waste, they saved nearly $2 million in 2024.

One of the biggest wins? Drastically cutting down on unplanned shipments. Before working with Uber Freight, 40% of the manufacturer’s shipments were unplanned. That number dropped to just 6% after working with Uber Freight.

Compliance and primary tender acceptance also saw a huge boost, jumping from 43% to 98%, ensuring better adherence to schedules and more reliable deliveries. Plus, with improved primary tender acceptance, the company gained more consistency and cost certainty in its carrier network.

Perhaps most importantly, the manufacturer found a logistics partner they could truly rely on. With Uber Freight’s expert support, they no longer have to scramble when the unexpected happens. Instead, they have a steady, dependable system in place—one that keeps their supply chain moving on time.

Talk to an expert today to find out how your business can benefit from one of the largest managed transportation and logistics networks with Uber Freight.