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Al Naboodah Logistics

Case Study for
Overland Transport

The Challenge

A potential client was managing its road freight movements by outsourcing to various independent owner drivers, which was proving costly and inefficient. Al Naboodah Logistics was asked to develop a business model to streamline the company’s UAE-wide road movements that optimised operating costs and provided opportunities for the client to develop and grow its business further afield.

Operating out of its two major centres in Dubai and Abu Dhabi, the business was transporting a wide range of loads with diverse vehicle requirements including boxed loads, flat beds, tankers for liquids and chemicals and lighter commercial vehicles.

  • Origin: Dubai, No of trips per month: 510
  • Origin: Abu Dhabi, No of trips per month: 450

Our Processes

Following a comprehensive audit of the customer’s overland transport operation, Al Naboodah Logistics identified that a control tower concept would help eliminate the issues of mismanagement and improve co-ordination of deliveries. Our team of overland transport professionals, with decades of experience in the industry, analysed trips, routes, pricing and all operational costs, to offer a solution-based approach that saw Al Naboodah Logistics operating as an in-house arm of the client’s organisation:

  • Increase supply chain visibility at each road haulage stage from origin to destination for each shipment milestone
  • Qualified Al Naboodah Logistics co-ordinator embedded at the client’s main office
  • Cost-cutting tips across the transport operation, including incentives

The Result

Based on our research, it was calculated that with a 20 strong (leased) fleet, we could implement a transport plan that maximised the usage of assets while also reducing costs.

We found that we could arrive at an average of 19 trips per day for DXB, of which 18 trips could be shared, with each vehicle capable of two trips per day. The other routes would be handled by two other vehicles at one trip per day, with one vehicle being kept on standby. We also offered the client a qualified coordinator as a team member in their main office which would help the processes run more smoothly.

After awarding Al Naboodah Logistics the business and implementing our strategies, the client reported a 20% decrease in overheads and has successfully expanded its business across all the GCC and surrounding locations, and beyond the shores of the UAE.

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