Steel Co. Cost Savings Analysis

A steel manufacturing company in the Netherlands seeks cost-saving opportunities in their transportation methods. The case analyzes four transport options: railways, trucks, vessels, and barges. Key findings include $7.3M potential savings through better capacity utilization across transport modes and $540K savings from improved inventory management for vessel shipments. The case explores optimizing vessel loading, modifying KPIs, and gradually reducing truck usage. Recommendations include implementing these cost-saving measures, continuing development of an advanced analytics tool for inventory prediction, and considering contract renegotiations. Risks and next steps are also outlined, emphasizing the importance of data accuracy and strategic implementation of proposed changes.