CASE STUDY

The $100M Supply Chain Data Story

How a Global Pharmaceutical Leader Turned Data into a Strategic Advantage

Since 2006, Trax Technologies has partnered with one of the world’s largest pharmaceutical companies to optimize its global supply chain. Over this time, Trax has helped the company save over $100 million in 2023 alone, navigating challenges such as acquisitions, complex freight spend, and sustainability goals. This case study highlights how Trax transformed fragmented data into a decision-making powerhouse, enabling operational efficiency and strategic growth across the enterprise.

100M-supply-Chain-Case Study

$740 million

managed freight spend

$100 million

validated cost savings in 2023

10,000+ SKUs 

granular cost allocation

115 carriers

logistics data integration

Trax_Case Study Transforming Global Supply Chain Operations-challenge
CHALLENGE

Overcoming Data and Operational Hurdles in a Complex Global Supply Chain

The pharmaceutical company’s global supply chain faced several challenges:

  • Data was trapped in disconnected spreadsheets and emails, making visibility and decision-making difficult.
  • Thousands of carrier rates were managed manually, leading to inefficiencies.
  • Distribution network inefficiencies increased costs and carbon emissions, especially for West Coast shipments.
  • Rapid integrations during mergers and acquisitions (M&A) were constrained by a lack of visibility and data control.
  • Granular cost tracking and allocation were limited, hindering profitability analysis by region and product line.
SOLUTIONS

Comprehensive Solutions for Supply Chain Efficiency

 

Global Freight Audit & Payment

Trax’s freight audit and payment solution provided full visibility across 21 countries, processing transactions in 19 currencies. The system managed 115 carrier relationships and allowed for complete cost allocation down to the SKU level, ensuring accurate tracking and reporting.

Innovative Cost-to-Serve Analysis

Trax enabled the company’s cost-to-serve team to use data for strategic decisions, such as evaluating minimum order requirements and understanding regional distribution costs. This analysis revealed profitability across 2,050 cost center combinations, offering greater decision-making precision.

R&D Optimization

In response to post-COVID market changes, Trax helped the Global Clinical Supply team gain visibility into transportation costs, breaking down freight, fuel, and accessorial expenses. Automated reporting supported budget management, while data-driven insights optimized cost-efficiency in product development.
Trax_Case Study Transforming Global Supply Chain Operations-results
RESULTS

Measurable Results Achieved Through Strategic Data Utilization

Through its partnership with Trax, the pharmaceutical company achieved significant, measurable results:

  • Cost Savings: Over $100 million saved in 2023 alone through optimized freight spend, automated processes, and improved carrier management.
  • Operational Efficiency: Eliminated manual processes and gained real-time visibility into logistics KPIs.
  • Strategic Insights: Leveraged data to optimize distribution networks, reduce carbon emissions, and refine pricing strategies by region and product line.
  • Scalable Integration: Reduced time to integrate new business units during M&A from years to weeks.
  • Cross-Functional Value: Data-driven insights empowered finance, operations, R&D, and commercial teams to improve performance and decision-making across the board.

Learn How Trax Can Transform Your Supply Chain

Trax’s data management and analytics solutions have helped companies optimize their supply chains, reduce costs, and improve operational efficiency. By leveraging these tools, the pharmaceutical company achieved significant savings and gained valuable strategic insights.

Download the full case study to learn more about the transformative potential of our solutions.

100M-supply-Chain-Case Study

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