Leading Global Healthcare Services and Products Distributor Reduces Manual Freight Operations Time by 90%
Healthcare services and products distributor transforms freight operations from manual chaos to automated excellence, replacing legacy systems with AI-powered freight management that actually works.

90 %
less time spent on manual freight tasks
$15 Million+
annual savings through smarter freight decisions
100 %
real-time visibility across all shipment modes
AI that empowers logistics teams.
We were drowning in spreadsheets and manual processes. Our Manhattan TMS was basically a glorified calculator from another era. Now we have a system that thinks ahead, catches problems before they happen, and saves us millions every year.
Vice President
Supply Chain Operations
Challenge vs Outcome
Business challenges
- Outdated TMS requiring constant manual intervention and workarounds.
- Zero visibility into shipments once they left facilities.
- Procurement team spending weeks on basic carrier negotiation.
- Rate management scattered across dozens of disconnected spreadsheets.
- Route planning done by hand with no optimization.
Business outcomes
- Modern platform handles freight decisions automatically and intelligently.
- Complete shipment tracking from pickup to final delivery.
- Procurement cycles reduced from weeks to hours automatically.
- Single system manages all rates with full history.
- AI optimizes routes considering cost, speed, and emissions.

This 50-year-old pharmaceutical distributor serves over 100,000 healthcare locations worldwide, moving critical medical supplies through 20+ distribution centers and 200+ depots. With annual freight spend exceeding $400 million across truckload, LTL, parcel, and courier services, they orchestrate complex movements from manufacturers to hospitals, clinics, pharmacies, and directly to patients' homes.
Industry
Healthcare
Region
North America
Solutions used:
- AI freight procurement analyst
- AI transportation expert
- AI freight audit & pay specialist
Daily Operational Headaches from Existing Tech Stack
The healthcare distributor was stuck with Manhattan's transportation management system that felt outdated and cumbersome for their complex pharmaceutical distribution needs. Their existing Manhattan TMS ran on extended support with limited updates, meaning every process required manual workarounds that consumed hours of productive time each day.
After extensive evaluation, they chose Pando over SAP TM and Oracle TMS because those enterprise solutions were too rigid and complex for their specific healthcare logistics requirements. SAP and Oracle required extensive customization that would take years to implement, while Pando offered industry-specific functionality out of the box.
Procurement was particularly painful. The team spent weeks creating RFQs manually, researching carriers individually, and comparing rates in spreadsheets. There was no intelligence built into the process - no way to understand which lanes performed best or which carriers delivered consistently. Contract negotiations happened in isolation, with no visibility into broader network patterns or optimization opportunities.
Route planning was entirely manual, with planners looking at weight, volume, and shipment values to decide which trucks to use. The process was static and reactive, with no ability to optimize for changing conditions or unexpected demands. When shipments needed to move twice daily from their National Logistics Center, planners scrambled to make decisions without real data.
The biggest frustration was complete lack of visibility. Once shipments left their facilities, they essentially disappeared until delivery confirmation arrived. Customer service couldn't provide accurate updates, operations couldn't plan for delays, and management had no insight into network performance.
Multiple disconnected systems handled different parts of their operation - WMS, TMS, ERP, visibility, and freight audit all operated in silos. This created constant data reconciliation work and made it impossible to see the full picture of their freight operations.
Every day felt like we were fighting Manhattan instead of serving our customers. Simple tasks took hours because the system wasn't built for healthcare logistics complexity, and we needed something more modern than what SAP or Oracle could offer.
- Director of Transportation
How Smart Technology Delivered $15+ Million Annual Savings
Automated Freight Procurement That Actually Works
The AI-powered procurement platform eliminated weeks of manual RFQ creation by automatically generating requests with built-in intelligence about carrier performance and lane history. The system bundles complementary lanes to create continuous move opportunities, reducing empty miles and driving down costs. Scenario planning capabilities let procurement teams evaluate trade-offs between cost, speed, and emissions before making decisions, resulting in 40% better compliance with company policies and dramatically faster procurement cycles.
One System Managing All Rates and Contracts
Gone are the days of hunting through spreadsheets to find current rates. The platform centralizes all contract terms, rate schedules, and performance metrics in one place with complete audit trails. Rate updates happen automatically across all transportation modes, eliminating data entry errors and ensuring consistency. Advanced analytics reveal trends and optimization opportunities that were invisible when data lived in separate systems, enabling more strategic carrier negotiations and better cost control.
We went from spending days updating rates manually to having everything sync automatically. The time savings alone paid for the platform in the first year.
- Senior Manager, Freight Operations
Transportation Planning Without the Manual Work
AI algorithms handle load planning automatically, considering weight, volume, value constraints, and delivery requirements simultaneously. The system optimizes capacity utilization across the entire network while balancing cost efficiency with service reliability. Predictive analytics anticipate potential disruptions and suggest alternative routes proactively, reducing planner workload by over 80% while maintaining consistent service levels and minimizing transportation costs.
Real Visibility Into Every Shipment Movement
The platform tracks shipments at the SKU level from pickup through final delivery, providing accurate ETAs and automated notifications when things change. Integration with carrier systems and IoT devices delivers real-time location updates and temperature monitoring for pharmaceutical products. This visibility enables proactive customer communication, better inventory positioning, and informed resource allocation decisions that were impossible with their old blind-spot-filled system.
Freight Audit That Catches Every Error
Automated three-way matching between purchase orders, delivery confirmations, and carrier invoices flags discrepancies immediately while approving accurate charges without human intervention. Self-billing capabilities streamline payments for preferred carriers while maintaining detailed audit trails for compliance. The system identifies billing anomalies and potential overcharges automatically, improving cash flow management and reducing month-end closing time by 60%.
Before, we'd find billing errors months later during quarterly reviews. Now we catch everything in real-time, and our carriers actually prefer the automated process because they get paid faster.
- Operations Manager
Route Optimization That Learns and Improves
AI-powered route management continuously analyzes delivery patterns, customer preferences, and vehicle constraints to generate optimal routes that balance cost with service requirements. Dynamic routing adjusts in real-time based on traffic, weather, and unexpected delays while maintaining comprehensive audit trails. Machine learning algorithms improve routing efficiency by analyzing delivery outcomes and customer feedback, resulting in 12% better customer service levels and consistent cost optimization.
Complete Integration Across All Systems
The unified platform connects procurement, execution, and audit processes while integrating seamlessly with existing ERP and WMS systems through robust APIs. Real-time data synchronization eliminates information silos and enables cross-functional visibility into freight performance. Configurable reporting generates automated compliance reports and performance scorecards, while machine learning identifies optimization opportunities across the entire freight lifecycle without requiring manual analysis.
This transformation represents more than just a technology upgrade - it's a fundamental shift in how healthcare logistics operates in the modern era. The company moved from fighting their systems daily to having technology that anticipates needs and solves problems automatically.
The ripple effects extended throughout the organization. Operations teams gained the visibility and control needed for proactive decision-making. Procurement professionals evolved from administrative order-takers to strategic partners using data-driven insights for better carrier relationships. Customer service representatives transformed from reactive problem-solvers to proactive communicators with real-time information.
Beyond immediate operational benefits, the platform positioned the company for future growth. The scalable architecture supports network expansion without proportional increases in complexity. Advanced analytics enable continuous optimization and identification of emerging opportunities. The integrated approach creates sustainable competitive advantage in an industry where reliable, cost-effective distribution directly impacts patient care.
The results speak for themselves: 90% reduction in manual freight tasks, $15+ million in annual cost optimization, 12% improvement in customer service levels, and 100% real-time visibility. As the platform's machine learning algorithms continue analyzing patterns and optimizing performance, the company expects even greater returns on their technology investment.
This success demonstrates how healthcare organizations can leverage modern logistics technology to overcome traditional operational constraints while building foundations for sustained excellence in an increasingly complex market environment.