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Supply Chain Consulting Case Study: Distribution Network Design

 

Distribution-network-design.pngINDUSTRY: Consumer Products

Due to multiple acquisitions, the
customer’s distribution network was overlapping and the number of distribution centers had grown to 64 locations. The more warehouses within the network meant more inventory in the total system, more fixed cost, and less opportunity to consolidate inbound and outbound warehouse shipments.

 RESULTS:

  • Reduced inventory and inventory costs
  • Reduced fleet costs
  • Total logistics cost reduced by $1.8M (exceeded goal of $1M)

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