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by James Thornton11 min read

Manufacturing TMS Case Study Colombia: 34% Cost Reduction in 11 Months

Discover how one Colombian manufacturer transformed its logistics using a modern TMS. This BOFU case study includes exact metrics, implementation lessons, and clear next steps for companies ready to replicate these results.

When a Medellín-based manufacturer of industrial machinery faced rising freight costs and declining on-time delivery performance, they turned to a comprehensive TMS implementation. The results exceeded expectations and delivered a verified 4.8x ROI within the first year.

Company Background

The company operates three manufacturing plants across Antioquia and ships both domestically and to 14 countries throughout Latin America. Prior to the TMS project, they managed transportation through a combination of Excel, phone calls, and three different carrier portals.

Project Objectives (2025–2026)

  • Reduce transportation spend by minimum 20%
  • Increase on-time-in-full delivery rate from 81% to above 95%
  • Gain real-time visibility of all shipments
  • Reduce manual administrative work by 70%
  • Improve carrier compliance and performance measurement

Solution Selected

The company selected a cloud-native TMS with strong manufacturing templates, robust ERP integration capabilities (SAP), and local Colombian regulatory compliance features. Implementation was completed in 19 weeks using a phased approach.

Results After 11 Months of Operation

  • Transportation cost reduction: 34.2% ($1.87 million USD annually)
  • OTIF performance: Improved from 81% to 97.4%
  • Empty miles: Reduced from 29% to 11%
  • Administrative time: Reduced by 76%
  • Carrier invoice accuracy: Improved to 98.7%
  • Carbon emissions per ton-km: Reduced by 19%

Key Success Factors

  1. Executive sponsorship from both Operations and Finance
  2. Strong project governance with weekly steering committee meetings
  3. Phased implementation beginning with domestic full-truckload moves
  4. Comprehensive user training program with local Spanish materials
  5. Clear KPIs established before go-live with automated dashboard reporting

Lessons Learned

The company noted that investing in change management was as important as the technology itself. They also discovered that their carrier partners were more willing to collaborate than expected once real performance data was shared transparently.

See how other manufacturers calculate TMS ROI using similar metrics

Is This Achievable for Your Operation?

While every situation is different, the fundamental challenges this manufacturer faced — fragmented visibility, inefficient routing, poor carrier management, and lack of data — are common across Colombian manufacturing.

The technologies and implementation frameworks used in this case study are available to mid-sized manufacturers today.

Ready to write your own success story?

Book a 45-minute discovery call with our manufacturing logistics specialists. We will review your current transportation spend and delivery performance and provide an initial estimate of potential savings and implementation timeline.

Schedule Your Discovery Call Today →

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