freight management case study

MD Anderson Reinvents Their Freight Management Program With VPL

MD Anderson Cancer Center Freight Management Case Study with VPL

The No. 1-ranked cancer care center in the U.S., MD Anderson, needed to manage 50,000 incoming parcels a year, but they had some concerns. Would the shipping fees on their invoices be accurate? Could their deliveries be consolidated? And most importantly, was there any way they could charge freight costs directly to specific accounts?

With these questions top of mind, MD Anderson issued an RFI for freight management services, and we’re proud to say they chose VPL as their freight management provider. Although we were in competition with larger companies, they recognized us as the company leading the way in the industry.

MD Anderson was thrilled that technical implementation of our program was completed in just one day, and that staff involvement was less than ten hours.

“The system runs seamlessly,” says Kyle Barton, Contracts Manager for the University of Texas System Supply Chain Alliance. “VPL offers single, consolidated weekly invoicing, delivered electronically, with 100 percent of the shipping charges pre-allocated to the appropriate GL accounts. Our AP team has no human touch points in receiving, loading, processing or paying the VPL invoice.”

Even more importantly, in 2018 alone, MD Anderson saved more than $800,000 with the VPL freight management program.

“One of the best things about the VPL program is there’s no disruption for our end users. While it runs in the background, we realize savings. And, as one of our chancellors says, ‘A dollar saved is a dollar toward our mission.’”

A look at the VPL/MD Anderson program by the numbers

  • $1.8 million in savings
  • 104,763 shipments managed
  • 1,615 unique suppliers that have used MD Anderson’s FedEx account
  • 0.58 customer issues/questions per 1,000 VPL shipping charges billed

 You can read the entire case study here.