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Advisory Case Studies

Clarendon principals have substantial transportation and logistics experience at Clarendon and predecessor firms playing a lead role in executing engagements in a variety of transportation and logistics sectors

North American Less-Than-Truckload Motor Carrier: Turnaround Strategy/Implementation

Engaged by holding company to develop a turnaround strategy for its LTL subsidiary and drive implementation. Worked with senior management team to identify profit improvement opportunities that led to rationalizing terminal structure, redeveloping western linehaul network, and improving performance metrics at terminals to boost productivity and service delivery process. Over course of two year engagement, contributed to operating ratio improvement of 800 basis points.

Global Relocation Company: Exit Strategy

Engaged by global logistics company to examine strategic alternatives for its relocation subsidiary. Conducted market and financial analysis that led to recommendation to divest of the subsidiary and merge with a similar competitor. Assisted client with initiating transaction discussions that led to sale of client subsidiary on favorable terms to a private equity firm that also bought the specified competitor.

National Specialized Motor Carrier: Strategic Direction

Engaged by private equity firm to develop a go-forward strategy for a portfolio company experiencing market challenges. Assessed the core competencies and competitive positioning of the portfolio company. Evaluated and identified target market segments where company could leverage its competitive advantage and segments that should be deemphasized due to poor performance and competitive position.

Global Logistics Provider: Post-Merger Integration

Engaged by a global logistics company to develop a market segmentation, business strategy, and integration plan for an acquired third-party logistics company. Recommendations resulted in a streamlined organization focused heavily on asset-neutral transportation management service and supply chain engineering consulting services.

North American Railroad: Joint Venture Assessment

Engaged to assess benefits and risks associated with potential joint intermodal venture with another Class I railroad. Considered synergies that could be captured with track sharing arrangements, transit time reductions that could be attained, and additional modal market share that could be captured. Magnitude of benefits were considered in light of regulatory and competition reduction considerations.

National Truckload Carrier: Operations Improvement

Engaged by a national truckload carrier to improve operations efficiency and yield management. Designed and implemented decision support system to assist dispatchers in making tactical operational decisions such as load assignments, driver home and time-off allowances, mid-route power swaps, and fuel stop routings that reduced empty miles by over 5%. Implemented decision support system to assist pricing and customer service departments in decisions on load acceptance, bid response, and spot pricing to enhance yield management.

Rail Services Company: Growth Strategy

Engaged by North American Class 1 railroad to evaluate profitable growth opportunities for a subsidiary business unit offering various consulting and outsourced services to the rail industry. Developed a market segmentation, business strategy, and organizational model to maximize present value to the parent company. Projected pro forma incremental revenues of over $200 million over the subsequent four years.

North American Transportation Equipment Lessor: Post-Merger Integration

Engaged by a leading transportation equipment lessor to develop an integration plan for a newly acquired cross-border business unit. Developed an international market entry strategy, created an equipment service delivery strategy, and assisted in post-merger harmonization of the acquired entity.

North American Third-Party Logistics Provider: Turnaround Strategy

Engaged by a diversified transportation holding company to implement strategies to improve the overall profitability and growth of an underperforming business unit acquired several years prior. Structured a comprehensive turnaround plan that identified $7 million in cost reduction opportunities and strategic growth initiatives that tripled the current revenue pipeline at this asset-light, expedited freight carrier.