XPO Logistics is a $7 billion global logistics company headquartered in Greenwich, Connecticut, with a robust presence in supply chain management and transportation management solutions. In Europe it has over 215 sites across 14 countries, with 1,000,000 sq meters of warehousing space, transporting 60 million pallets annually, operating 7,500 trucks and employing 14,000 people.
- XPO Logistics
Success Story
XPO Logistics
XPO Logistics Improves Stock Accuracy and Operational Efficiency with Blue Yonder
99.9% stock accuracy
Expanded use across 15 UK sites and deployment into European markets
Enhanced productivity and warehouse efficiency
The Company
The Business Challenge
As XPO Logistics expanded its European business, customer demands became increasingly complex, which meant the existing systems were no longer optimal in managing the intricate needs of its customers – such as the supersessions of parts in automotive inventory and real-time revision tracking. This led to challenges delivering the precision and efficiency outputs that customers had come to expect.
The Solution
To address these challenges, XPO Logistics implemented Blue Yonder Dispatcher, part of Blue Yonder Warehouse Management, to enhance accuracy and productivity. The solution helped XPO Logistics optimize pick and stock accuracy across multiple sites, reaching a 99.9% stock accuracy rate for some customers. In addition, the solution’s integration with other technologies bolstered warehouse and transportation synchronization, meeting the complex supply chain needs of XPO Logistics’ customers.
"We’ve seen unparalleled improvements in stock accuracy and productivity using Blue Yonder. It's become a key part of our growth and automation strategy."
– Nigel Rouch, SVP of Technology - Europe, XPO Logistics.
How XPO Logistics is modernizing its end-to-end, global logistics operations
Meeting high standards in complex operations
A leading name in supply chain and transportation, XPO Logistics serves clients with intricate and highly specific supply chain needs. The company needed to overcome challenges that arose from managing complex inventory revisions, especially in sectors with frequent parts supersession, such as automotive. As a result of continued business growth, its existing system could no longer meet the rigorous demand for accuracy and operational efficiency in these high-stakes environments.
A transformation seven years in the making
When XPO Logistics adopted Blue Yonder Warehouse Management nearly seven years ago, it was in search of a system that could simplify complex logistics processes. The solution facilitates precise management and tracking, enabling the accuracy required to match customer expectations and enhancing the overall supply chain experience. For instance, an automotive customer of XPO Logistics is benefiting from seamless revision tracking and supersession management, ensuring that accurate parts are always available, and customer satisfaction remains high.
Expanding efficiency and accuracy across operations
With the system, XPO Logistics is enhancing its pick and stock accuracy across 15 sites in the UK and is currently rolling out the solution across Europe, including new implementations in Spain and Ireland. This expanded use of Blue Yonder allows XPO Logistics to achieve near-perfect stock accuracy, exemplified by a 99.9% stock accuracy rate for one customer in the hard landscaping industry – this improvement sets an industry benchmark.
“The warehouse management system is helping our productivity in that we're able to leverage off other technologies in conjunction with Blue Yonder to make our pickers more productive, improve our accuracy, and our integration to our transportation solutions as well,” said Nigel Rouch, SVP of Technology – Europe, at XPO Logistics.
A solution for automation
Blue Yonder Warehouse Management serves as a foundational layer that has enabled XPO Logistics to enhance its automation strategy. By building on the system, the company integrates cobots and other robotic solutions into warehouses, boosting employee safety, and reducing the time required for manual processes. This automation not only increases efficiency, but also allows employees to engage more meaningfully on technical tasks, contributing to a more dynamic and safer work environment.
Achieving sustainability goals with technology
Sustainability also stands at the forefront of XPO Logistics’ values, and Blue Yonder plays a key role in helping the company meet these goals. With Warehouse Management, XPO Logistics optimizes warehouse space, minimizes packing materials, and reduces the number of transportation runs, leading to lower emissions and a smaller carbon footprint. Blue Yonder warehouse management’s efficiency gains contribute directly to XPO Logistics' sustainability initiatives, ensuring that both operational success and environmental responsibility go hand-in-hand.
Looking ahead
Blue Yonder continues to be an integral part of XPO Logistics' growth strategy as the company expands. XPO Logistics sees the warehouse management system as the foundational platform upon which to build more advanced automated systems and leverage other emerging technologies. With Blue Yonder as a strategic partner, XPO Logistics is well-positioned to continue meeting complex client demands, increasing its efficiency, and pioneering sustainable logistics solutions across new markets. “We drive a lot of the automation in our warehouses on Blue Yonder. More importantly, it is what allows us to deliver excellence to our clients,” concludes Rouch.