Cumberland Farms Inc. and its affiliate Gulf Oil LP has entered a four-year agreement with FuelQuest Inc. to use its Fuel Management System (FMS).
The organization will deploy FMS to optimize fuel inventory, decrease operational expenses like unplanned split loads and reduce the costs related to scheduling and managing their fleets.
“We require a solution to centralize our fleet scheduling for inventory managed stores and dealers as part of our overall fuel strategy” said Greg Scott, vice president of petroleum distribution and rack origination. “FMS allows our dealers to place orders online and automates replenishment planning for both low volume and high volume inventory managed sites, increasing dispatcher efficiency while reducing our unplanned splits.”
David Banks, Cumberland Gulf Group’s chief information officer, continued, “With an ever-increasing internal demand for IT support and development resources, our ability to leverage and extend FuelQuest’s FMS platform, best practices experienced team makes good business sense; we are impressed with FuelQuest’s focus on continuous improvement for their solution and look forward to taking advantage of these enhancements for years to come.”
Cumberland Gulf Group will leverage key capabilities within FMS to centrally manage disparate sites across the East Coast and streamline operations to reduce costs and protect fuel margins.
With FMS in place, Cumberland Gulf Group will be able to maintain accurate inventory management and demand forecasting to optimize working capital; optimize fuel holding strategy; maintaining low secondary products supply, decrease number of unplanned split loads, retains and run-outs; minimize the cost of procuring and managing fuel prior to sale.
“Cumberland Gulf Group has a stated commitment to drive supply chain efficiencies and we are very pleased to be their partner to help execute this strategy,” said Matt Romollen, president and CEO of FuelQuest Inc. “By combining Cumberland’s expertise with FuelQuest’s industry-leading fuel management solution and best practices, we can optimize working capital and consistently drive down costs within the distribution network.”