This manufacturer was missing critical deadlines, so they looked to RXO for solutions.

The home medical device industry has grown dramatically over the past several years as demand for equipment that offer safe, convenient, cost-effective and suitable treatment is on the rise. As a manufacturer in this space, there are several key factors to being competitive in this market- the ability to quickly serve its customers at critical times is arguably the most important.

When a large manufacturer in the industry realized they were having significant challenges meeting delivery deadlines for replacement machines that failed at a customer’s home, they turned to RXO for a solution. For years, the company had relied on a combination of parcel companies and cartage agents to service the business- but they continuously missed their metric of 24 hours from order to delivery. This meant customers were not able to continue their treatments as needed.

After working closely with the company’s logistics teams, RXO developed a custom solution that took into account both the need for the customer’s timely delivery requirement and current challenges to be solved:

• After diving into the current challenges, the new solution included combining two critical services that RXO offers- expedited solutions and last mile delivery.
• By offering the ability to forward stock the customers devices in one of RXO’s many local hubs, the customer was able to place its highest-moving products into its service areas vs managing a separate facility or shipping direct from their manufacturing plant.
• When a patient places an order for a replacement machine, the customer can now contact an Expedited Solutions team directly, who in turn coordinates with the local hub to schedule the delivery appointment.
• Local drivers are then able to plan and complete the final delivery to the patient’s home in the most efficient route and time available.

After a successful pilot in high-demand markets, RXO was able to bring the previous delivery time, which had been significantly exceeding 24 hours previously, to an average of 17 hours- marking the first time the customer had been able to hit this metric since the roll out of the replacement equipment program. In these markets, patient satisfaction scores saw marked improvement from their benchmark prior to the roll-out. With the added benefit of the combined services to see product inventory levels and shipment tracking of their devices through RXO Connect™, the customer now has real-time visibility, access to improved analytics and metrics around their shipping logistics, and a system to scale with more markets in demand.

With solutions-based engineering, RXO works with customers to identify the right fit for their business needs. No solution is out of the box- our team of logistics experts is ready to learn about your business and its current challenges and to provide a strategic solution that will help drive your business forward.