AHF Products® Forecasts $600,000 in Savings in First Year of Partnership with ITS Logistics
By 2019, the hardwood flooring market in North America was valued at $4.6 billion USD. With that much capital, it’s no surprise there’s an abundance of players in the game. However, the brands of AHF Products® have been leading them all – some for over a century.
AHF Products® boast superior craftsmanship and on-trend designs. Headquartered in Mountville, Pennsylvania with manufacturing locations across the U.S. and Cambodia, their expansive and intricate supply chain requires attention to detail and a high level of service.
Supply chain disruptions that followed the COVID-19 pandemic left corporations in disarray and forced to navigate uncharted waters. Unfortunately, AHF Products® was no exception in this global catastrophe.
Despite working tirelessly for their customers to achieve low wait times, congestion of ocean freight continued to build up at their ports, particularly a key port in Cambodia. Subsequently, AHF Products® experienced tumultuous complications getting their containers out of these ports, along with having empty containers returned—negatively affecting their customers and warehouses. AHF Products® had no scope of when they could accomplish any projects because the predictions provided by the ports were inconsistent and unreliable.
Ocean forwarders offered no viable solutions to the issues and any concrete idea AHF Products® suggested was quickly dismissed by their customs brokers. Even their thoughtful plan to install an integration for more visibility was viewed as a threat. After multiple attempts at amicable negotiation, AHF Products® concluded that their ocean forwarders did not have their best interests in mind.
AHF Products® had a loss of about $1,000,000 on detention and demurrage alone during 2022. Their goal moving forward was to keep that number below $25,000, and one of the ways that they sought to accomplish that was by hiring a single-source drayage and intermodal provider who would take charge on their behalf.