Forest products company launches business process improvement initiative for global ocean freight using on-demand, Web-based technology platform
Alameda, CA — January 24, 2006 — Weyerhaeuser Co. has selected the software firm GT Nexus to provide the global logistics data hub, integration technology and business process software to centrally manage and control worldwide ocean freight services for the $23 billion forest products company.
Weyerhaeuser's operations incorporate 11 business units and a network of 43 ocean carriers, as well as a company-owned shipping line.
The GT Nexus platform is expected to provide a single, collaborative Web-based system within which Weyerhaeuser will conduct procurement of global ocean transportation services, manage freight rates, optimize contracts and transportation plans, execute shipments with shipping lines, and measure performance.
By deploying a control center for global ocean freight, Weyerhaeuser said it is instituting an integrated management process incorporating several business-critical transportation functions. These include:
- Standardized, online procurement and negotiation of ocean freight proposals
- Analysis and optimization of global transportation service contracts to meet cost, service, capacity and business risk requirements
- Strategic allocation of global freight volumes across its ocean carrier network
- Provisioning of transportation agreements as structured, digitized contracts in a central data store with secure access and real-time updating
- Centralized, online management of rate requests, contract amendments and compliance with capacity commitments
- Integrated, online shipment execution and document management (submitting bookings and shipping instructions electronically) with ocean carrier partners
- A central repository for shipment data and reporting tools for trend and freight spend analytics, performance monitoring and management. As a hosted software service, Weyerhaeuser, its business units and partners will use the system via a common Web browser, with the service provisioned directly over the Internet, requiring no installation of hardware or software on premise at the customer
On-demand technology is enabling new, more efficient methods for delivering global logistics solutions, creating networks that benefit entire communities of participants, said Aaron Sasson, chairman and CEO of GT Nexus. Weyerhaeuser is embracing the innovation of this model to drive efficiencies and competitive advantage into its business. We are committed to their success and proud to welcome them as a customer.
Sasson added that Weyerhaeuser joins a growing list of global corporations that are using GT Nexus software and services for global transportation and logistics, document management or supply chain visibility activities, such as DuPont, The Home Depot, Procter & Gamble and Xerox.
Additional Articles of Interest
- — For more information on the latest trends in the logistics space, see the article "The Analyst Corner: Fulfillment & Logistics" in the August/September 2005 issue of Supply & Demand Chain Executive.