In 2019, IFCO made the decision to take control of their fuel spend by implementing Fuel Recovery. Traditional fuel surcharges use an average index price, obscuring true fuel costs, and leave shippers susceptible to market swings, which costs them millions in overpayment every year.
Initial Cost Benefits Give Way to Enduring Strategic Value
With the help of real-time, lane-level data, the Breakthrough team provided IFCO with a business case that clearly outlined the projected value a Fuel Recovery program could create for IFCO. This is a standard process Breakthrough offers prospective clients, but it is always tailored specifically to your network needs.
“It was easy to present the value that Breakthrough could provide for IFCO Systems. And the value proposition that Breakthrough was able to show and demonstrate through their analysis definitely led us to using Breakthrough at IFCO Systems” Brian Smolenyak, Director of Pool Management & Transportation.
When clients are ready to run with the actionable strategies Breakthrough offers, ROI on the relationship becomes clear quickly. Once initial cost benefits were calculated, Breakthrough elevated IFCO’s strategy, providing additional benchmarking, insights, and analysis that increased efficiencies and continues to drive additional savings across their network. Today, their program has expanded to include additional transportation modes and new geographies, always looking to expand.
“It’s more than just the day-to-day management of our fuel, it’s really looking at where do you want to be in the future.”
A Strategic Partnership that Sees the Big Picture
What the IFCO team didn’t expect, and many clients cite as one of the most valuable aspects of a Breakthrough relationship, is that they were getting more than just a fuel management strategy.
“The Breakthrough folks, they know their stuff,” said Smolenyak. He later goes on to say, “…you can see it throughout the organization in that it is not something that’s proprietary to a few, it’s a culture…And they haven’t missed a beat.”
Breakthrough is proud of our meaningful client interactions how they push us to pursue relentless innovation. Over the course of IFCO’s relationship, the Breakthrough team has continued to act as an extension of their team.
Because of this close relationship, IFCO remains confident that regardless of how the market or the industry evolves or changes, Breakthrough helps keep them on the leading edge of it.
For more information about how your organization can create value with Breakthrough, contact us!