B-Kay Tech: Horizontal Collaboration in Logistics

Case Solution

Robert Boute, Tom Van Steendam, Stefan Creemers
Ivey Publishing ()

In 2016, the Supply Chain Director of BKay Tech, a multinational company based in Belgium, developed a logistics innovation project based on collaborative shipping, through which shipments from partner companies can be proactively grouped in the same transport without classical and reactive third groups. . With this system, every available space in one company’s transportation facility could be used to transport shipments for the other company, thus reducing the total number of trucks used and having a positive impact on greenhouse gas emissions. For this collaboration, the director had identified a potential partner in WARETOUCH, a UK-based multinational company that manufactures and sells everyday consumer goods in Europe and the Middle East. BKay Tech’s supply chain director had to propose a profit sharing mechanism to convince WARETOUCH that a collaboration between the two companies would have been beneficial.

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