Uponor relies on TenderEasy to drive their transport procurement strategy and define best practice

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TenderEasy has taken us a step closer to having a full view of our transport costs. It’s enhanced our knowledge of market prices and means we always know what represents good value.”

Working in transport means there’s always lots of pressure to improve processes. Shorter lead times, more accurate data, lower costs… On the other hand, we’re dealing with bulky goods, multiple warehouses and carriers, and it’s a real challenge to benchmark and streamline in those conditions. TenderEasy has helped us make great strides in those areas.”

Thomas Arlid,
Sourcing Manager at Uponor

Background

Uponor is a leading international provider of systems and solutions for safe drinking water delivery, energy-efficient radiant heating and cooling and reliable infrastructure.

The company serves a variety of building markets, including residential, commercial, and industrial and civil engineering. It counts more than 4,000 employees, in 30 countries around the world. Their head office is in Vantaa, Finland. In 2018, net sales reached €1.2 billion and Uponor is listed on Nasdaq Helsinki.

 

“Working in transport means there’s always lots of pressure to improve processes. Shorter lead times, more accurate data, lower costs… On the other hand, we’re dealing with bulky goods, multiple warehouses and carriers, and it’s a real challenge to benchmark and streamline in those conditions. TenderEasy has helped us make great strides in those areas.”

 

Understanding what good value looks like

"Our challenges are similar to those facing many other companies,” explains Arlid. “It is difficult to pull together an accurate view of your complete transportation costs and determine whether they constitute good value.” Uponor has also consolidated its warehouse footprint which, despite its many benefits, led to longer lead times for deliveries.

“We also ship to a lot of different locations and in order to get a good understanding of your costs, you need to really drill down into your tenders.” That’s where TenderEasy came in. “What I really like about the solution is how we can run simulations to understand what theoretically, represents the best possible outcome for us.”

Arlid also expressed his satisfaction with the tender management element of TenderEasy. “Being able to track and trace the status of the tender is really valuable. It also lets me communicate easily with the carriers and make sure everything is going to plan.”

 

Building on best case scenarios

TenderEasy enables Uponor to simulate RFQs and then build their expectations based on the results. This also allows the business to understand factors such as how many carriers they need to work with to achieve these results.

In a specific territory, Uponor was unsure how to define optimum cost as part of their tendering process. By running a number of detailed tender simulations they were able to see that four carriers represented the best possible solution. “But, that wasn’t enough,” explains Arlid. “We needed a more granular split to make sure we were really achieving full value.” He and his team ran more complex scenarios through TenderEasy and tried splitting by load, postcode and other relevant metrics, before identifying load as the optimal split.

“TenderEasy helped us understand the best way forward in that territory and it’s a process we can replicate in other areas when the need arises.” This type of example shows just how valuable, both in terms of cost and time savings, the platform is."

 

Defining transport success

Using TenderEasy to run different scenarios means Uponor is able to quickly and confidently understand how to best manage RFQ processes. Add to this the insights brought about by historical data and the business is quickly able to understand what represents good value. In a world where transportation costs and KPIs are under increasing scrutiny that’s a big win.

 

“TenderEasy has played an important role in helping Uponor define what success in transport looks like. We rely on its tender simulation and management features to understand the best options for us on the market and devise our negotiation and RFQ strategy accordingly.”

 

TenderEasy

TenderEasy is a provider of market-leading technology for transport sourcing, freight tendering and freight spot request/ spot bidding.

As part of the Alpega group, TenderEasy provides access to Alpega’s carrier pool (80.000+ carriers) and seamless integration to Alpega’s TMS solutions. Our vision is to help our customers take advantage of the opportunities made possible by the digitalization of logistics and make one of the world's largest industries more efficient and sustainable.

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