By African Supply Chain Excellence Awards, 2023
IMCD South Africa and Santova Logistics
IMCD is a global leader in the distribution and formulation of specialty chemicals and ingredients, providing solutions to its customers and partners.
IMCD’s supply chain strategy aims to ensure that each step in the supply chain can be executed in the most sustainable, compliant, and cost-effective way. With a significant network covering over 98 trade lanes across the world, the business has undertaken a significant business transformation of its international logistics.
Partnering with Santova Logistics (a global provider of international trade and logistics solutions), a project was initiated to launch a centralised procurement and inbound logistics function. The aim is to target significant cost and service benefit to its customers and IMCD through an agile and dynamic supply chain. The centralisation of core administrative functions as well as improved logistics has reduced working capital expense requirements by over R4m through reduced lead-times and stock holding.
In addition, IMCD’s partnership with Santova is targeting further cost and carbon benefits through optimised freight management and consolidating shipments at source to improve the tonne-km ratios.
Although this journey is still in progress, IMCD has made significant strides in ensuring its supply chain can service its customers and business in a more cost and environmentally sustainable manner.
