VEKA Boosts Operational Efficiency and Customer Service with Sunset Transportation Partnership
Sunset Transportation’s TMS solutions, strategic guidance and proactive communication enabled VEKA to bring the 2024 year-to-date claims ratio down to .000625%, while increasing on-time deliveries.
Client Overview
VEKA is the global leader in the PVC (polyvinyl chloride) profile systems industry, offering premium solutions for windows and doors. With 49 locations across four continents, VEKA drives success for customers with a team of over 6,700 employees.
Known for their emphasis on employee engagement and customer satisfaction, VEKA North America services customers through third-party logistics (3PL) partners that can seamlessly blend technology, personalized service, and reliability on a consistent basis.
Problem
With a previous 3PL partnership increasingly emphasizing automation in order to reduce headcount, VEKA encountered challenges in responsiveness to daily issues and personalized customer service. This shift, while advancing certain efficiencies, impacted the company’s ability to maintain strong customer relationships. As a result, various departments within VEKA, from customer service to operations and accounting, experienced significant frustrations. Employees often found themselves dedicating valuable time and resources to tracking down missing trucks, which added to the overall strain.
VEKA sought a 3PL that could deliver exceptional service and enhance operational efficiency across four manufacturing locations in North America. VEKA searched for a reliable logistics partner with strong carrier relationships to improve warehouse deliveries in addition to being proactive with inquiries and claims.
Solution
After evaluating multiple partners, VEKA chose Sunset Transportation as its 3PL partner for its high-level of service, company culture, and reliability. Since partnering with Sunset Transportation, VEKA has seen a significant enhancement in operations and an increase in customer satisfaction levels. Sunset’s company culture and employee engagement adds to the daily collaboration and increased productivity within the partnership, allowing Sunset to address VEKA’s unique needs and requests.
VEKA noticed an immediate improvement of reduction in operational errors and customer frustrations. The time-consuming task of tracking down missing trucks has been eliminated, and communication between VEKA and Sunset has been streamlined. On-time delivery expectations are successfully met on a consistent basis, with VEKA leaning on Sunset as a reliable and dependable logistics partner exceeding expectations in handling VEKA’s large shipment volume.
The impact of Sunset’s service has been felt across VEKA’s entire supply chain, from customer service to the warehouse and beyond. Sunset’s ability to provide consistent, impactful service, coupled with a focus on building strong relationships, has set Sunset apart from other 3PL providers in the industry.
Results
1. Employee Engagement and Customer Service:
Sunset’s commitment to employee engagement stands out above the rest. Sunset embodies a culture of engagement, translating directly into how Sunset interacts with customers and the quality of service customers receive. This culture of employee engagement allowed VEKA to see a partner who would prioritize their needs and work collaboratively to achieve mutual growth and success.
2. Seamless IT Integration:
As a company that places high importance on IT capabilities, VEKA was pleased with Sunset’s approach to IT integration. The direct, one-on-one connection between VEKA’s and Sunset’s IT teams ensured that issues were addressed promptly without the need for cumbersome ticketing systems. This real-time communication allowed for swift problem-solving and smoother operations.
A critical advantage was the Application Programming Interface (API) integration between VEKA’s SAP system and Sunset’s Transportation Management System (TMS). This integration allows VEKA to access all transportation data directly within their own system, enabling real-time insights, accurate reporting, and the ability to build logistics reporting dashboards on demand. The elimination of manual data extraction and data validation saves time and reduces errors, providing a significant boost to VEKA’s operational efficiency and strategic planning.
The integration with VEKA not only facilitated a high percentage of no-touch orders but also significantly enhanced operational efficiencies across the board. This seamless automation allowed for orders to process through VEKA’s and Sunset’s system without manual intervention, streamlining workflows and minimizing the potential for human error. As a direct result of this integration, there was a marked reduction in the need for involvement from the VEKA Customer Care Center, with a notable decrease of 21%. This reduction not only optimized resource allocation within the customer care team but also allowed them to focus on their core business and enhance the overall quality of service to their customers.
3. Exceptional Management of Carrier Partnerships:
Sunset’s approach to carrier screening and relationship-building stood out as a significant strength. The rigorous carrier vetting process ensures that only the most reliable carriers are selected for customer shipments, positively impacting the quality of service that VEKA experienced. This capability has been a critical differentiator from previous 3PL providers, where claims and delivery issues were prevalent.
Sunset’s proactive measures have eliminated frequent customer complaints and eliminated the need for VEKA’s team to track shipments manually. Sunset improved on-time deliveries (OTD) to 98.7%, incorporating both pickup and delivery metrics for a pure OTD measure.
4. Efficient Claims Management:
VEKA had experienced significant delays in resolving claims with their previous 3PL, often requiring legal intervention. In contrast, Sunset handled claims quickly and efficiently. This responsiveness was a major differentiator for VEKA, as it not only reduced frustration but also built trust in the partnership. Sunset’s strategic guidance and proactive communication in such situations have helped VEKA bring the 2024 year-to-date claims ratio down to almost non-existent levels, at .000625%.
5. Layered Operational Support:
VEKA appreciated the depth and layering of Sunset’s Operations Support team. With complex logistics involving large shipment volume and various shipping modes, it was essential to have a dedicated team that could manage these intricacies effectively. Sunset provided VEKA with a 24/7 Operations Support Team, ensuring that support was always available when needed.
Conclusion
Sunset Transportation’s high-level of service has not only enhanced VEKA’s operational efficiency but also set a foundation for ongoing success and growth. The partnership exemplifies how innovative solutions and a customer-focused approach can drive substantial improvements in logistics.
As VEKA and Sunset advance into the next phase of their partnership, the emphasis will be on continuous enhancement and strategic growth. Key initiatives will include improving the shipping process for VEKA suppliers, and improving On Time In Full (OTIF) through Vendor-Managed Inventory (VMI), for all VEKA customers. This strategic focus aims to deepen customer relationships, improve operational efficiency, and drive innovation. By prioritizing these areas, VEKA and Sunset are poised to not only meet but exceed the evolving needs of the market, ensuring both companies remain at the forefront of industry developments.
Client Testimonial
“Speaking with VEKA’s Customer Service and Sales teams, I asked how the transition to Sunset has been for our logistics operations. The feedback was unanimously positive. Sunset’s responsiveness, cooperation, and quality of drivers were singled out as important difference makers. Personally, on behalf of VEKA and our customers, thank you! We very much appreciate the cooperation.” – Joe Peilert, President & CEO, VEKA.
ABOUT VEKA
VEKA, a global leader in PVC/vinyl extrusion for the window and door, fence, deck and railing industries, has been helping North American fabricators deploy technologically advanced materials for residential and commercial building applications since 1983. Founded in 1967 as Vekaplast, in 1987, VEKA constructed the industry’s first highly automated computer-controlled compounding and extrusion complex dedicated solely to the window and door market. To learn more, visit www.vekainc.com.
ABOUT SUNSET TRANSPORTATION
Sunset Transportation is a leading third-party logistics provider with family roots, global reach, and best-in-class customer service. Our culture allows customers to feel like family while offering a wide variety of transportation and logistics solutions, advanced TMS solutions, reporting, and shipment reliability. Sunset is privately owned with eight branch offices in the U.S. and Mexico. To learn more, visit www.SunsetTrans.com.