Meachers Global Logistics has worked in partnership with Carnival UK, the operating line for Cunard and P&O Cruises, to significantly reduce its logistics costs by conducting a collaborative efficiency review with the firm’s suppliers.
Carnival UK, who are part of the world’s largest cruise operator, and Meachers facilitated a series of workshops across the country to evaluate opportunities to make the supply of goods to Carnival UK’s fleet of 10 ships more efficient. More than 50 of Carnival’s key suppliers attended the sessions where all parties were able to discuss opportunities to work together more effectively, covering subjects such as, lead times, consignment sizes, forecasting, and the consolidation of goods.
The exercise has lead to the more efficient and cost effective storage and delivery of goods bound for Carnival’s fleet of ships in Southampton or wherever they are in the world.
Carnival estimates that the efficiencies have reduced the cost of their logistics supply chain by approximately 20%. These savings have been shared with Carnival’s suppliers as part of the firm’s gain share scheme.
Meachers Global Logistics Commercial Director, Gary Whittle, said: “This has been a unique project made possible through joint collaboration and forward thinking. Carnival’s gain share approach has been hugely successful in encouraging everyone to work towards a common goal.
“By implementing new supply chain concepts, such as the consolidation model, we have been able to take greater control of the many thousands of products received into and dispatched from our 50,000 square foot dedicated warehousing space in Southampton.”
Carnival UK Supply Manager, Richard Brooksbank, said: "The supply chain for the cruise industry is a potentially complex business that requires precise planning and the coordination of many suppliers. Our constant focus is delivering the most reliable and cost effective supply chain service to our fleet however; we must do this in such a way that the end quality of our product is never compromised.
“Projects such as this add real value to the delivery of our ongoing supply chain strategy. It has delivered significant step change improvement in the way we collaborate with our suppliers and our Logistics Provider Meachers Global Logistics whilst delivering tangible savings”.
Meachers Global Logistics has a long-standing relationship with Carnival UK, providing logistics support to Carnival UK’s fleet, which involves inventory control, warehousing, consolidation, pick and pack, back office support and the containerisation and export of products to meet their ships requirements worldwide.