Summary:
A prominent transportation and supply chain management company, boasting annual revenues of $7 billion and operating more than 675 locations with over 34,000 employees across North America, faced substantial challenges with their existing uniform rental provider.
With a uniform budget surpassing $4 million annually, they required a strategic uniform rental company who could effectively optimize their processes and reduce costs. By partnering with UniFirst, they benefited from customized solutions that significantly enhanced operational efficiency and reduced expenditures.
Challenge
The company struggled with the complexity of managing their national uniform rental and direct purchase programs due to several challenges:- RISING COSTS: A staggering 33% of their program budget was lost to garment losses and damages.
- UNIFORM SHORTAGES: Inventory mismanagement meant workers were without appropriate workwear.
- INCONSISTENT PROGRAM COMPLIANCE: Lack of adherence to safety requirements in the transportation industry threatened the safety of their employees as well as compliance to industry standards.
- POOR ACCOUNT MANAGEMENT: Operational inefficiencies caused wasteful spending and time inefficiencies.
- INACCURATE BILLING: Coupled with cumbersome payment processes, inaccurate billing exacerbated operational inefficiencies, which increased frustrations.
Solution
UniFirst’s VIP Cost Analysis Program® enabled a thorough evaluation of the company’s uniform rental and direct purchase strategies, pinpointing areas for improvement. UniFirst implemented the following key solutions:
- CUSTOMIZED RENTAL PROGRAM: UniFirst designed a custom program that aligned with the company’s financial and operational goals. Our experts identified hidden cost sources and optimized the program to significantly lower their total cost of ownership, which led to significant savings.
- VISIBILITY WORKWEAR: This brand is manufactured by UniFirst in our own ISO-9001 certified facilities to meet safety and image standards. The company used a combination of our ANSI-rated Spotlite LX® collection of high visibility garments, and our innovative Spotlite MV™ collection of enhanced visibility garments that combine style and comfort with reflective striping to improve safety and meet regulatory standards.
- CUSTOM “SHOP UNIFIRST” PROGRAM: This allowed for direct purchase management across their vast network, facilitating seamless integration with their core rental program.
- ADVANCED REPORTING TOOLS: These modern tools provided precise, actionable insights for improved uniform program management.
- PAYMENT SYSTEM SUPPORT: Ensuring smooth, timely, and transparent billing, the UniFirst payment system reduced financial strain.
Impact
The company experienced more than 20% total cost savings, optimizing cost structures and operational efficiencies across their vast network.
UniFirst’s solutions empowered the company to maintain strong control over workwear programs, boosting compliance while minimizing losses and damages.
The company achieved operational excellence in the transportation industry by reinforcing their commitment to safety, employee satisfaction, and fiscal responsibility.
The company experienced more than 20% total cost savings, optimizing cost structures and operational efficiencies across their vast network.
UniFirst's solutions empowered the company to maintain strong control over workwear programs, boosting compliance while minimizing losses and damages.
The company achieved operational excellence in the transportation industry by reinforcing their commitment to safety, employee satisfaction, and fiscal responsibility.
