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Problem:

Historically, Oregon growers of ornamental plants shipped most of their product east of the Mississippi River primarily to customers located in the mid-Atlantic states and the Northeast. Growers relied upon a fragmented network of logistics providers to book and manage shipments. The highly seasonal nature of the business made it challenging to find carriers willing to handle the nursery stock.  Many loads also entailed manual loading, consolidation ("LTL"), and multiple drops - the least appealing kind of freight for truckers. Compounding matters was a persistent trucking shortage that resulted in frequent “dropped loads” and shipping delays.

Action:

The Oregon Association of Nurseries (“OAN”) retained Cambium Strategy® to create a business plan that would result in the creation of an affiliate tasked with leveraging the purchasing clout of the $1 billion industry to increase the availability of trucks and drivers during peak shipping seasons and to improve service reliability through contracts with qualified national and regional carriers.

Results:

Cambium Strategy® developed the business plan that resulted in the creation of Advantage Oregon, a third-party logistics (3PL) business run by the OAN. The plan enabled the OAN to secure a $600,000 forgivable loan from the State of Oregon. The Cambium Strategy® team also planned and executed the initial start up including development of a staffing model and selection of a transportation management software ("TMS") SAAS solution.