Company: FlightSafety International
Challenge: FlightSafety, a global provider of aviation services and pilot training, recently experienced a sharp increase in shipping costs. The company also had concerns they weren’t receiving competitive discounts on their shipping volumes. Furthermore, while corporate headquarters used one primary transportation carrier, satellite offices and training centers used a mix of different carriers, making it difficult to manage spending and discounting.
Results: NPI analyzed spending with each carrier and confirmed that FlightSafety was not receiving competitive discounts. NPI worked with FlightSafety to create a new contract with their primary transportation carrier. The new contract drastically reduced the minimum shipment fee for international shipments by 30 percent, doubled the discount rate for all air shipments and provided for a 25 percent discount for all ground shipments. Additionally, NPI worked with more than half of the company’s satellite offices to create similar contracts with the same primary carrier. In just 90 days, NPI saved FlightSafety more than 21 percent of their total transportation spend.
