Jaypee Group cements better margins through improved logistics using SAS for operations research
The executive team at Jaypee Group investigated ways to improve margins and profitability related to cement production and sales. The cement line of business contributes a significant portion of revenue to the group's overall performance and, with costs such as fuel on the rise, the company turned to SAS to help optimize its transportation logistics and improve its bottom line.
A route to better logistics
"SAS provided tremendous visibility into our transportation costs and enabled us to analyze and segregate profitable routes from nonprofitable ones," Singh says. "A key result was an optimized plan to ferry our products from our plants and warehouses to the major consumer markets, thereby contributing significant cost savings to the company."
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R.B. Singh, Chief Financial Officer
To counter rising transportation and fuel costs, Jaypee Group needed to optimize its logistics to improve margins and profitability of its cement business
“Now, faster than ever, we can determine the best combinations of mode and route to ship our products. The net ROI is huge – it's automated decision making in real time.”
Chief Financial Officer