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Mexico Last-Mile Program Achieved 99.5% On-Schedule Delivery with Minimal Demurrage
A retail customer in Mexico needed tighter control over last-mile services tied to equipment availability, yard congestion, and distribution center execution. A dedicated equipment and container-management program improved delivery performance and sharply limited demurrage.
Table of contents
Customer Overview
Challenges
Solution
Results
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Customer Overview
- Relationship with APL Logistics began in 2006
- Annual business volume in 2012: 14,500 FEU
- Global origins serving distribution centers in Mexico
Challenges
- No fixed delivery timing for equipment
- Peak-volume congestion in docks and yards
- Limited power units and chassis, plus a need to control demurrage and equipment availability
Solution
- Coordinated on-time deliveries to Mexico DCs by purchase order and container
- Managed equipment availability, yard activity, empty returns, documents, KPI tracking, and container control
- Added dedicated chassis, power units, terminal management, dock distribution management, and in-house DC management
Results
- 100% on-time daily delivery KPI performance
- 99.5% on-schedule deliveries
- 0.049% demurrage on empty returns
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