The delivery operation at Southern Glazer’s Wine & Spirits has taken various approaches over the years. “It’s been a journey working with different fleet and maintenance partners and learning what’s best for our business,” Mike Bratcher, VP of operational transformation at the Miami-based alcohol distributor, said. “With equipment coast to coast making direct store deliveries, we landed on a model in which Ryder procures vehicles to our specs and provides and maintains them under a full-service lease.”
About 3,500 trucks, tractors, and trailers with the Southern Glazer’s logo are on the road across the country. Most of the fleet, about 2,200 units, consists of Class 7 International straight trucks with 18-ft. Wabash bodies. The operation includes Class 6 trucks and tractors, Class 2 Ford Transit Connect vans, and Great Dane trailers. Given the heavy nature of the company’s products, which weigh about 30 lb. per case, trucks are spec’d with ramps instead of liftgates to reduce weight.
For Southern Glazer's, keeping deliveries flowing is essential to meeting customer demand and maintaining a competitive edge. While timely and efficient product distribution is integral to remaining competitive, visibility into inbound transportation of more than 11,000 brands from 1,600 wine and spirits suppliers is also essential.
Southern Glazer's had some inbound supply chain challenges involving tracking and monitoring goods from suppliers to distribution centers. The far-reaching consequences included a lack of visibility, making it challenging to address disruptions promptly. This impacted customer satisfaction.
“Because of our relationship with Ryder on the vehicle lease and maintenance side, it was a natural next step to take advantage of their supply chain solutions and technology as well as their expertise in managing carriers,” Bratcher said. “Through the RyderShare transportation management solution, we were able to restructure inbound transportation and make our supply chain more efficient and resilient.”
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With RyderShare, Southern Glazer's has data that helps plan and optimize loads through predictive analytics. With clearer visibility, on-time deliveries improved to over 98%, and on-time pickups have jumped to 80%. In addition, labor efficiency savings doubled.
“Historically, we could see when freight wasn’t moving, but we didn’t know why or how to fix it,” Drew Vermilion, SVP of supply chain and chief of staff, related. “With RyderShare, we know the source and severity of delays and can hold partners and internal business teams accountable to prevent them. In addition, there is added granularity. Under our previous systems and processes, multi-leg moves were only shown as one haul. Now we can track loads from the first leg through final delivery.”
RyderShare is allowing Southern Glazer's to identify network optimization opportunities, Vermilion noted. “We used to have seven people chasing POs,” he said. “Now, we have execution-focused calls with Ryder to ensure the freight is moving and address any exceptions. We’re managing the freight; the freight isn’t managing us.”
Even the best distribution approach doesn’t work if drivers are not part of the solution, Mike Bratcher pointed out. “We hire our own drivers in each market, as regulations surrounding alcohol distribution don’t allow us to deliver across state lines,” he said. “The vast majority of our drivers return home each evening, and that gives us a retention advantage.”
“We are looking ahead, however, because a portion of our driver workforce is retiring in the next five years,” Bratcher added. “We’ve initiated pilot programs aimed at training warehouse associates who want to drive as a career, and that creates a pool internally when we do have vacancies.”
As a multi-generational, family-owned company, Southern Glazer's is committed to ensuring drivers have a healthy work-life balance. They get four-day workweeks, and the fleet mixes in with what Bratcher refers to as “fun and friendly competition” among drivers. With Ryder’s support, for example, truck driving rodeos are held annually at all of the company’s distribution centers.
“These are family events where everyone can show off their skills, and we can show our appreciation for their dedication and hard work,” Bratcher said.
“Across the board, it’s about relationship and solutions,” he emphasized. “At Southern Glazer’s Wine & Spirits, we are benefiting from our partners’ expertise and everyone’s unwavering commitment to continuous improvement.”
