Logistics optimization for an e-commerce player
Aim of the project was to optimize transportation, across all modalities and geographies while minimizing the degree of operational disruption and ensuring service levels improve or at least do not deteriorate
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Context
- Client is Europe’s leading wholesaler in fabrics for women's, children’s and baby clothing.
- The company imports goods via sea & road, and distributes its products to thousands of clients across Europe and beyond through trucking and parcel service
- Aim of the project was to optimize transportation, across all modalities and geographies while minimizing the degree of operational disruption and ensuring service levels improve or at least do not deteriorate
Our approach
+- 100.000
Built detailed spend database at the level of each individual shipment (approx. 100,000 shipments /year), based on various internal & external sources
> 40
> 40 possible improvement ideas generated & analyzed, from a wide variety of perspectives (process optimization, distribution model setup, consolidation, specification adjustments, etc.)
> 200
>200 possible suppliers contacted, analyzed & screened, using state-of-the-art software
The impact of our
expert involvement.
20%
Total saving of ca. 20% or €600k per year
5
Spread over 5 prioritized initiatives, partly through better prices and partly through process optimization and internal changes
€400k
€400k is meanwhile fully implemented, the remainder is pending
Annual savings
€ 608.000
Total annual
savings
€ 366.000
Road export, pallet tender
€ 52.000
Optimization of pallet stacking
€ 37.000
Renegotiation of import road rates
€ 79.000
Switch to inter-modal transport
€ 74.000
Parcel shipment optimization
€ 608.000
Total savings
