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, which is 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 commercial director Gary Whittle said: “This has been a unique project made possible through joint collaboration and forward thinking.
“Ensuring the effective flow of goods is not only vital to Carnival’s cruise operations, but can also have a big impact on the city of Southampton in terms of traffic movements. 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 sq ft 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.
“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 Meachers, while delivering tangible savings.”
Meachers Global 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.