Enhancing Cost Allocation for a Global Athletic Retailer
How a Global Athletic Retailer Automated Freight Cost Allocation
A global athletic retailer needed to improve the accuracy and efficiency of its freight cost allocation process across multiple product lines and departments. Faced with rising labor costs and a lack of visibility into freight spend, the company partnered with Trax to implement a scalable, automated solution.
THE CHALLENGE
The Hidden Cost of Manual Freight Allocation
As the retailer expanded operations across regions and product lines, its finance and logistics teams became overwhelmed by the task of allocating shipping costs using outdated manual methods. The lack of automation led to inefficiencies, limited visibility, and an inability to scale. This created:
Inaccurate cost allocation across multiple business units, geographies, and carriers
Rising operational costs due to labor-intensive manual processes
Limited insight into true freight spend, hindering financial decision-making
Inflexibility in adapting to business rule changes or evolving needs
THE TRAX SOLUTION
A Smarter, More Scalable Allocation Process
Trax began by mapping the client’s existing process and identifying key areas for automation. From there, they designed a precise, rules-based methodology to reduce manual work and improve accuracy, delivering a solution that included:
Enhanced Process Accuracy
Identified and implemented enhancements to create an automated process that accurately assigns cost-allocation codes to millions of shipments, with over 98% accuracy.
Customizable Coding Engine
Developed a dynamic, customized, rules-based, table-driven coding engine, designed for easy and efficient updates, even for the most complex requirements.
Empowered Client Control
Provided the client with a secure portal to quickly and easily update business rules, supported by a thorough annual review for continuous process optimization.
THE RESULTS
Delivering Precision and Performance at Scale
Trax’s automated solution delivered:
Seamless handling of high shipment volumes across modes and carriers
Over 98% accuracy in cost allocation
Automated, shipment-level code assignment
On-time vendor payments aligned with contract terms
Ready to Take Control of Your Freight Spend?
Download the full case study to learn how Trax helped this global brand streamline freight cost allocation, reduce manual effort, and unlock new savings—at scale.
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