Leading Logistics Company in Greater China Moves Into The … · 2008-03-16 · Integration Co Ltd...
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CaseStudy EXECUTIVE SUMMARY Customer Name • T.join Transportation Co., Ltd. Country • Taiwan Industry • Transportation and logistics Business Challenge • Improve reliability of communications infrastructure to support growing and complex business needs • Need for advanced communication channels beyond traditional PABX system Network Solution • Cisco Unified Communications Business Value • 20% savings on monthly telecommuni- cations costs • Better management of distributed network for improved operational efficiency • Improved information access and internal communications • Better customer service Leading Logistics Company in Greater China Moves Into The Speed Lane. T.join Transportation Co. Ltd, one of Greater China’s leading transportation and logistics provider, slashes telecommunications costs by 20 percent, improves operational efficiency and customer service with Cisco Unified Communications. T.join is a first-tier integrated logistics service provider in Taiwan. Established in 1954 as a less-than-truck-load (LTL) transportation service provider with just NT$170,000 capital and 10 trucks, T.join has grown to become the foremost logistics centre for large transportation and delivery in Taiwan boasting 5,000 employees, 3,600 trucks and an annual income of NT$5,600 millions. To create value for its customers and shareholders, T.join has transformed itself into a service oriented company since early 1990s. No longer just a trucking company, T.join offers complete logistics and professional delivery services from the time the client’s product leaves the factory to the point it arrives at its destination. This covers the simple one-day express delivery services for both consumer and business sectors to the more complex customized third party logistics services and integrated logistics that combines warehousing, purchase/sale order processing, inventory management and other value-added services executed through an e-JOIN electronic service platform. T.join hopes to establish itself as the No.1 integrated logistics and transportation service provider in the Greater China region providing efficient, cost-effective and convenient service to its customers. Business Challenge As the only logistics service provider that uses a logistic centre system and the first company in Taiwan to adopt a hub-and-spoke truck transportation system to increase the efficiency of its delivery network of 160 service depots located across the country, T.join needed to continuously implement and utilize advanced technology solutions to stay on top of its expanding and complex operations.
Transcript of Leading Logistics Company in Greater China Moves Into The … · 2008-03-16 · Integration Co Ltd...
CaseStudy
EXECUTIVE SUMMARY
Customer Name• T.joinTransportationCo.,Ltd.
Country• Taiwan
Industry• Transportationandlogistics
Business Challenge• Improvereliabilityofcommunications
infrastructuretosupportgrowingandcomplexbusinessneeds
• NeedforadvancedcommunicationchannelsbeyondtraditionalPABXsystem
Network Solution• CiscoUnifiedCommunications
Business Value• 20%savingsonmonthlytelecommuni-
cationscosts
• Bettermanagementofdistributednetworkforimprovedoperationalefficiency
• Improvedinformationaccessandinternalcommunications
• Bettercustomerservice
LeadingLogisticsCompanyinGreaterChinaMovesIntoTheSpeedLane.
T.joinTransportationCo.Ltd,oneofGreaterChina’sleadingtransportationandlogisticsprovider,slashestelecommunicationscostsby20percent,improvesoperationalefficiencyandcustomerservicewithCiscoUnifiedCommunications.
T.joinisafirst-tierintegratedlogisticsserviceproviderinTaiwan.Establishedin1954asaless-than-truck-load(LTL)transportationserviceproviderwithjustNT$170,000capitaland10trucks,T.joinhasgrowntobecometheforemostlogisticscentreforlargetransportationanddeliveryinTaiwanboasting5,000employees,3,600trucksandanannualincomeofNT$5,600millions.
Tocreatevalueforitscustomersandshareholders,T.joinhastransformeditselfintoaserviceorientedcompanysinceearly1990s.Nolongerjustatruckingcompany,T.joinofferscompletelogisticsandprofessionaldeliveryservicesfromthetimetheclient’sproductleavesthefactorytothepointitarrivesatitsdestination.
Thiscoversthesimpleone-dayexpressdeliveryservicesforbothconsumerandbusinesssectorstothemorecomplexcustomizedthirdpartylogisticsservicesandintegratedlogisticsthatcombineswarehousing,purchase/saleorderprocessing,inventorymanagementandothervalue-addedservicesexecutedthroughane-JOINelectronicserviceplatform.
T.joinhopestoestablishitselfastheNo.1integratedlogisticsandtransportationserviceproviderintheGreaterChinaregionprovidingefficient,cost-effectiveandconvenientservicetoitscustomers.
Business ChallengeAstheonlylogisticsserviceproviderthatusesalogisticcentresystemandthefirstcompanyinTaiwantoadoptahub-and-spoketrucktransportationsystemtoincreasetheefficiencyofitsdeliverynetworkof160servicedepotslocatedacrossthecountry,T.joinneededtocontinuouslyimplementandutilizeadvancedtechnologysolutionstostayontopofitsexpandingandcomplexoperations.
CaseStudy
“Oneofthereasonsforourrapidgrowthhasbeenourwillingnesstouseleading-edgeinformationtechnologytomakecommunicationsevenmoreefficient,”saidYangZhiwen,InformationCentreManagerforT.join.“WehavealsoexpandedourzoneofoperationstoincludetheGreaterChinaregionsincewestartedour‘InternationalExpressDelivery’in1990andsetupfulloperationsinChinain2001.ThismeansthatourdataandvoicecommunicationsrequirementsalsoneedtoextendbeyondTaiwaneseborders.”
“PriortoSeptember2006,ourcompanyhadbeenusinga10-yearoldnetwork.Unfortunately,aswegrew,thenetworkgaveusmoreandmoreproblems,”explainedYang.“Itwasbecomingincreasinglyunreliableandwaspronetoslowdownsandevenstoppagesduringpeaktimes.Inaddition,itcouldalsonolongersupportourbasicrequirementsofmonitoringreal-timeoperatingprocessesofour160servicedepotsspreadacrossTaiwan.Acommunicationsbreakdownatanyofthesedepotswasbadforbusiness.”
Infact,T.joinhadalreadyexperienceddelaysinitsdeliveryserviceasaresultofcommunicationsnetworkdisruptionatitsservicedepots.Themanagementteamcouldaccessthenecessaryoperationalinformationfromaffecteddepotstofacilitatedecisionmaking.Ontopofthat,thecompany’sexistingPABXvoicesystemdidnotallowthemtoreachtherightpeoplefastenoughtoresolvetheproblems.GiventhewidegeographicspreadofT.join’snetwork,callsovertraditionaltrunklineswerealsoverycostly.Theseissuescompoundedeachotherandquicklyescalatedintohighlyunder-utilisedandmisallocatedresources.
“Whatweneededwasanadvancedandhighlyreliablecommunicationssolutionthatwouldallowustoimproveourinternalvoiceanddatacommunicationsbetweendepotsforbetterserviceanddeliveryquality,withoutincurringhighercosts.Thesystemhadtobeextremelyscalablesothatiscouldexpandwithourbusiness,yeteasytomanagesowecouldperformminorconfigurationsourselves,withminimaldowntime,”Yangremarked.
Network SolutionAfteranexhaustivereview,T.jointurnedtoCiscotorecommendchangestoitscommunicationsnetwork,andtoimplementthecomponentsneededtomeetthecompany’sbusinessneeds.GivenT.join’srequirementsforreal-timevoiceanddatatransmissionoverthesamenetwork,CiscoproposeditsUnifiedCommunicationssystem,andredesignedthecompany’snetworksothatitwouldbeabletoconvergebothvoiceanddataontoasingleinfrastructure.
Ciscoanditslocalimplementationpartner,PeaceSystemsIntegrationCoLtd,designedandinstalledanetworkoveraneightmonthperiodthatconsistedofCiscoUnifiedIPPhonessupportedby100unitsofCisco2801IntegratedServicesRouters(ISRs).Thesystemdeliversbothdataandvoiceonasingle,resilientplatformforfast,scalabledeliveryofT.join’sservicedepotrequirements.
Inaddition,acombinationCiscoCatalyst4500,3750and2950Switchesweredeployedatthecoreanddistributionlayersofthenetwork.Ciscoalsoprovidedstrongtechnicalconsultancysupportandplayedamajorroleintheinitialprogrammingoftheequipmentspecificationsandthenetwork’sfuturelayout.
Business ValueWithinashortfivemonthsoftheimplementationoftheCiscoUnifiedCommunicationssystem,T.joinisalreadyreapingthebenefits.“Thewholeprojectwasdesignedtoachievesavingsinourvoiceanddatacommunications,andtoenablereal-timemonitoringrequirementsforouroperations,”Yangdeclared.“CiscoUnifiedCommunicationshaveachievedbothobjectivesextremelywell.”
Nowthatthesystemisoperational,T.joinisenjoyingavarietyofwide-reachingproductivitybenefitsthroughoutthecompany.
l 20% savings on monthly telecommunications costsThelargestandgreatestsourceofcostsavingscamefromT.join’sdailylong-distancecallingexpenditurebetweenitsdistributedservicelocations.Byusingcost-effectiveVoiceoverIP(VoIP)forinternalcommunications,T.joinreducedthecompany’smonthlytelecommunicationsexpenditurefromNT$1milliontoNT$0.8million.Additionalsavingsalsocamefromtheeliminationofdomesticconferencingtrafficandtollchargesrelatedtovoiceconferencing,aswellasdecreasedITstafftimeforadministration,troubleshootingandmaintenance.“Weareverysatisfiedwiththecostsavingssofar.Infact,ifweweretotakeintoaccounttheopportunitycoststhatwouldhaveresultedfromservicedisruptionsontheoldnetwork,thesavingswouldhavebeenevenhigher,”saidYang.
l Better management of distributed network for improved operational efficiencyThenetworkmonitoringandmanagementcapabilitiesofCiscoUnifiedCommunicationsimprovedthecompany’soverallmanagementefficiency.Yangsaid,“Now,wehaveclearvisibilityonwhat’sgoingoninthenetwork,sothatwecaneasilylocate,isolateandtroubleshootnetworkbottleneckissues.Thisboostsouroperationalandmanagementcapability.”ThisvisibilityhasgivenT.joinagreatersenseofcontrolandenhancedabilitytopre-emptproblemsoveritsnetwork.
“Inmanyways,CiscoUnifiedCommunicationshasresultedinhugesavingsforus.What’smore,thesystemhascreatedaplatformtoexecutenewbusinessstrategiesandexpansionplanssuccessfully.”
-YangZhiwen,InformationCentreManagerforT.join
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l Improved information access and internal communicationsThankstoCiscoUnifiedCommunications,T.joincanenjoyfasteraccesstovitaloperationalinformationatitsservicesdepots.Ontopofthat,T.joinemployeesspreadthroughoutthedistributedenterpriseareabletocommunicatewithreachandcollaboratewithanotherevenmoreeffectively.“Wehaveareal-timeviewofwhat’shappeningatourservicedepots,andouremployeescanreachoneanotherquicklyandeasily.Bothhavehadarealandpositiveimpactonourreactiontimetomeetingcustomerneeds.”
l Better customer serviceT.join’scustomershavealsobenefited.Withgreatervisibilityandfasteraccesstimeoveritsnetwork,thecompanyhasbeenabletoofferitscustomersbettertransparency,higher
Printed in Singapore (04/2007)
optimizationoftheirsupplychaininventory,andshortenedtimetomarket.Inaddition,thenewsystemhascomplementedT.join’sexistingadvancedlogisticscentretooffercustomersup-to-dateinformationonparcelmovements,whichcanbeaccessedthroughtheInternetoronasinglephonecall.ThankstoCiscoUnifiedCommunications,customersarenowabletoreachtherelevantsalesandservicestafffromtheveryfirstcall.
“Inmanyways,CiscoUnifiedCommunicationshasresultedinhugesavingsforus.What’smore,thesystemhascreatedaplatformtoexecutenewbusinessstrategiesandexpansionplanssuccessfully.Wealsodon’thavetoworryaboutthetechnicalaspectsofournetwork,”Yangsaid.“That’stherealvalueofourpartnershipwithCisco.”
For More InformationTofindoutmoreaboutCiscoUnifiedCommunications,gotowww.cisco.com/go/unifiedTofindoutmoreaboutT.joinTransportationCo.,Ltd.gotohttp://www.tjoin.com/e-company.htm
