REVISED – AHF Products® Projects $600K Reduction of Detention & Demurrage Fees through Partnership with ITS Logistics
AHF Products® reduces accessorial fees by 40% per container in first full month with ITS Logistics
RENO, Nev., June 01, 2023 (GLOBE NEWSWIRE) — AHF Products® has been selling quality hard surface flooring for nearly a century. Following the disruptions of the pandemic, AHF Products® partnered with ITS Logistics, enabling them to reduce accessorial fees by 40% per container in the first full month after the company lost about $1,000,000 on detention and demurrage in 2022.
“We needed assistance navigating through the new challenges brought on by the pandemic,” said Paul Polkinghorn, VP of Supply Chain for AHF Products®. “We were working tirelessly to achieve low wait times. The congestion of ocean freight continued to build up at ports, particularly in Cambodia, causing complications getting our containers out, along with having empty containers returned—negatively affecting our customers and warehouses.”
AHF Products® made the strategic decision to partner with ITS Logistics to build a long-term solution. In late December 2022, AHF Products® transferred all their container drayage operations to ITS and booked all their containers to the CY or ramp as opposed to the door. ITS quickly developed SOPs that solidified the communication and operations plans, seamlessly integrated with their purchase management system, and provided a tech platform, giving them complete visibility into tracking their shipments across their supply chain.
“AHF transferred all of their container drayage operations to ITS with the goal of keeping their detention and demurrage numbers below $25,000 after already spending $1M on D&D fees that year,” said Paul Brashier, VP of Drayage and Intermodal at ITS Logistics. “We created a clear outline of operations plans for AHF with ready-made solutions to any potential challenges. Our tech platform was able to launch seamlessly, and it provided complete visibility into tracking their shipments as well as tying into their purchasing system.”
ITS provided a single platform to oversee AHF’s ocean freight and drayage operations, resulting in peace of mind for their customers and warehouse operations. Before ITS’ resolution, the port congestion was negatively impacting both customers and warehouses simultaneously.
“We were looking for people that are really going to work with us and give us a high level of service. The ITS team gets it, and they’ve worked hard to form a long-term partnership,” continued Polkinghorn.
AHF Products® projects that they will save roughly $600,000 in the first full year together and looks forward to the evolution of their long-term strategic partnership.
ITS Logistics provides national omnichannel distribution and fulfillment services to 95% of the U.S. population within a two-day delivery timeframe. To read the entire case study and learn more about additional ways ITS was able to reduce accessorial fees and increase savings for AHF, visit ITS Logistics.
About AHF Products
AHF Products is a leading hard surface flooring manufacturer in the USA with a family of trusted brands serving the residential and commercial hardwood and vinyl flooring markets. With decades of experience in award-winning flooring design, product development, manufacturing, and service, we create quality flooring to last for generations through inspiring designs, innovation, and a deep commitment to outstanding customer service. Our residential flooring brands include Bruce®, Armstrong Flooring ™, Hartco®, Robbins®, LM Flooring ®, Capella®, HomerWood®, Hearthwood®, Raintree®, Autograph™, Emily Morrow Home™ and tmbr®. Our commercial brands include Bruce Contract™, Hartco Contract™, AHF Contract™, Armstrong Flooring™ and Parterre®. Headquartered in Mountville, Pennsylvania, with manufacturing operations across the United States and in Cambodia, AHF Products employs over 2,000 dedicated team members. www.AHFProducts.com
Armstrong Flooring™ and the Armstrong Flooring™ logo are under license from AWI Licensing, LLC. All other marks belong to AHF, LLC, its affiliates, or subsidiaries. All rights reserved.
About ITS Logistics
ITS Logistics is a premier Third-Party Logistics company that provides creative supply chain solutions with an asset-lite transportation division ranked #23 in North America, the #11 drayage and intermodal provider, a top-tier asset-based dedicated fleet, and innovative omnichannel distribution and fulfillment services. With the highest level of service, unmatched industry experience and work ethic, and a laser focus on innovation and technology–our purpose is to improve the quality of life by delivering excellence in everything we do.
www.its4logistics.com
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