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Today, fast changing business environmental factors are prompting companies to evaluate their supply chains and distribution strategies in major markets more often. Low cost country sourcing, higher cost of fuel, mergers/acquisitions and “Green Logistics” are possible reasons among others to take another look at the logistics practices developed in a different time under different conditions.
Some are interested in a relatively fast assessment of their performance versus competitors and Best in Class; while others are looking for a detailed optimization study considering product sourcing, transportation, new product strategies, the number and location of distribution centers and how best to leverage their relationships with customers and suppliers. TriPoint has both the experience and the tools to help our clients to conduct either an overall assessment or a very detailed optimization study.
Specifically, TriPoint will work with you and your experts in the following areas of supply chain optimization:
- How many warehouses do we need, what products should they carry and what markets should they serve?
- Transportation, ports of entry, crossdocks and other product flow related decisions
- Inventory process practices and optimization
- Postponement, DC bypass, lean logistics, customer collaboration, dashboards and other advanced Best Practices
- Carbon footprint and sustainability studies
The staff at TriPoint has over 20 cumulative years of experience with network optimization projects for well known companies and has done this work for many well known companies – with consistent, excellent results.
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The following are specific examples of our people’s experience in reviewing and revising supply chains:
- At a major office products manufacturer, reengineered the parts and supplies US network. Recommended going from 7 warehouses to three. The recommendations were accepted and implemented. Total savings were projected at more than $10 million annually, mostly in inventory carrying cost reductions.
- At a global film manufacturer, conducted a network optimization study, reduced warehouses from 30 to 11 improved delivery cycle time, reduced headcount 10%, saved $3.2 million while throughput increased 27%. Increased same day ship from 25% to over 65%, key to competing with regional dealers in the medical markets.
- Analyzed the distribution patterns of a paint product pigments producer – the analysis recommended locations of distribution centers, transportation routes, transportation providers and a strategy to tie all providers to Service Level Agreements that satisfied customer contractual agreements – resulting in a successful shift to increase production on one coast and delivery of smaller lots.
- Conducted a transportation optimization study for large mid-west office products manufacturer with the goal of reducing transportation cost as well as eliminating missed transport cut-offs – thus reducing inventory carrying costs. The study recommendations rippled back into production – sequencing order output to scheduled transport dates – reducing transport costs by 10% and inventory days in transit by over 10 days for each order.
TriPoint believes in ‘sticking with you’ during and after a project – meaning we are capable of delivering the changes in the transportation and distribution networks that the study suggests.
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