VINWORLD SAVES AUTOMAKER FROM MULTIMILLION DOLLAR SHUTDOWN

During the peak of the COVID-19 pandemic, global supply chains were thrown into disarray. Manufacturing industries, particularly the automotive sector, faced unprecedented production challenges due to severe disruptions in the flow of essential parts and materials. 

In the middle of this turmoil was VinWorld’s client, an importer for a major automotive company. Their team of 10-15 logistics professionals managed an intricate, large-scale import operation, but they were having an extremely difficult time getting the cargo their automotive client needed to their production facility. At one point, the importer’s automotive client was at risk of shutting down a production line if they were not able to get their shipments, with potential losses estimated at over one million dollars a day. VinWorld stepped in to help the importer and their automaker client avoid this costly issue.

In this case study, we’ll dive into how VinWorld’s team of experienced logistics professionals rose to the challenge, using their extensive industry connections and proactive problem-solving skills to help their client (and their client’s client) succeed.

The pandemic was an unprecedented challenge for global supply chains. With widespread logistical bottlenecks and ports backed up with cargo, shipping delays became the norm. 

VinWorld’s client was importing auto parts from South Korea through the Port of Vancouver. From there, the plan was to transport this shipment by train to its final destination in Chicago. However, the pandemic-induced chaos led to their cargo repeatedly being stuck at the Port of Vancouver, with the importer unable to secure transport by rail. Over the span of several months, approximately 20 containers faced significant delays.

The stakes were incredibly high. If these containers were not able to get to the automotive manufacturer in time, the automaker would have to shut down a production line, resulting in losses estimated at one million dollars for each day it was shut down. 

With millions of dollars and the importer’s reputation on the line, VinWorld stepped in to help the importer get these containers delivered.

A major factor that separates VinWorld from other logistics companies is its experienced and well-connected staff. The primary contact on this account had over 30 years of logistics experience, and many of the team members who assisted had at least 10 years of experience. This long experience in freight forwarding allowed them to develop strong relationships with various shipping partners and other vendors. When conditions change quickly, these relationships are critical.

As it became clear that rail transport was not an option, VinWorld’s team quickly identified a bonded warehouse in Vancouver that could store the containers temporarily, then found a bonded trucker that could transport the containers from the port to the warehouse. At the same time, they identified additional bonded truckers who could take the containers to their final destination in Chicago. They also worked with a broker at the US-Canada border to help them get through customs quickly and efficiently. Without VinWorld’s network of partners, and the coordination VinWorld provided between these partners, it was unlikely that the importer would have been able to procure all of these services in time to avoid a line shutdown for the automaker.

On top of this, VinWorld provided round-the-clock service. VinWorld team members tracked each shipment from the moment it left port until it was delivered, taking care of any issues as they arose. To keep the importer fully informed, VinWorld provided constant communication on the status of shipments and provided a Daily Shipment Report (DSR). The DSR gave the importer current updates on the status of each container.

As a result of VinWorld's tireless efforts, all cargo arrived at the automaker's facility in time, avoiding a production line shutdown and millions of dollars in potential losses. Plus, VinWorld’s transparent and consistent communication gave the importer peace of mind, knowing that every effort was being made to get these containers to Chicago on time. 

The importer’s reputation in the automotive industry was also bolstered, as they showed they were able to navigate extreme logistics challenges. This created new opportunities for them to secure additional contracts, including some work in the electric vehicle market.