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Case Studies
Our expert consultants have decades of combined experience delivering detailed supply chain analysis and logistics services. To provide our existing services, our experts draw on past expertise when solving client problems. Contact information and additional details can be provided upon moving in the final stages of a selection process. To ensure all parties are well prepared to take maximum advantage of the time, we arrange all reference calls with our clients. Sample projects in process or completed by Chainalytics include:
- Designed a "greenfield" distribution strategy for a multi-billion dollar distributor: The strategy included identifying cost reductions of $40+ million annually through improved alignment of customers to DCs, modal shifts, and improved stocking strategies.
- Rationalized manufacturing and distribution strategies for a $1 billion consumer and office products manufacturing division: The strategy included identifying optimal placement of production lines to reduce inter-facility transportation costs, plant closures, and optimizing in-sourced vs. outsourced overseas manufacturing. The resulting strategy identified cost reductions of up to $20 million annually.
- Developed optimal supply chain strategy for multi-billion dollar food manufacturer: The strategy included manufacturing rationalization, optimal placement of production lines, and expansion of distribution capacity to support market growth. The resulting strategy identified $15+ million in annual operating cost reduction while improving customer cycle times.
- Conducted an optimal transportation procurement bid for a multi-billion dollar distributor: The strategy included conducting a transportation bid and auction of over $120 million in annual transportation expense. Results included overall rate reductions by mode of 8-14%.
- Performed a transportation rationalization to optimize the regional operations for a multi-billion dollar consumer durables manufacturer: The strategy included conducting a transportation modeling analysis to merge the transportation operations of two recently merged companies. This analysis included determining private and dedicated fleet size, location, and optimal contract carrier usage to streamline operations, optimize assets, and better leverage core carriers to improve costs and service levels. Early results indicate an expected overall annual operating cost reduction between $1-2 million. As a result, additional projects for this transportation rationalization are planned in the company's other regions.
In addition to these projects, Chainalytics' consultants have the following examples of previously performed analysis with the resulting success:
- Reduced annual manufacturing costs by $80 million for a European CPG manufacturer: Developing a supply chain strategy for the European division, the strategy included manufacturing rationalization, new plant openings, shifting of product production and capacity, distribution center rationalization, service territory alignment, and preparation for the Common European Union. Our recommendations resulted in an annual cost reduction of $80 million while maintaining service levels.
- Managed a $380 million transportation procurement engagement that reduced operational costs by 7% and improved service for a $100 billion dollar retailer: The optimization-based analysis and bid reduced the number of carriers by more than 50% and reduced direct costs by over 7%. Additionally, the company's first time carrier refusal rate dropped from 60% to less than 6%, thus improving customer delivery service.
- Improved annual profit contribution by 20% for a division of a Brazilian food manufacturer: The supply chain strategy included optimal global procurement, manufacturing rationalization, distribution strategy modification, while simultaneously considering market and channel strategies. Our recommended analysis resulted in a 20% improvement in annual profit contribution.
- Conducted a transportation procurement engagement for an automotive manufacturer that reduced total annual cost by $29 million: Working across 6 divisions for the company, an optimization-based bid was performed for their entire domestic truckload network. Total cost was reduced by over $29 million annually, volumes allocated to the minority carrier program were increased, and a core carrier program was created.
- Reduced recurring costs by over $25 million for a distributor of commercial and industrial supplies company: By creating an optimal distribution strategy as a result of merging 22 operating companies into a single unit, the newly formed unit reduced the number of U.S. distribution facilities from 150+ to less than 95. This analysis resulted in an annual cost reduction of over $25 million without any customer service impact.
- Reduced annual costs by $40 million for custom office products manufacturer: The strategic analysis reduced the number of manufacturing and distribution facilities from 22 to 14 and from 45 to 24 respectively, resulting in an annual cost reduction of $40 million.
- Assisted multi-billion dollar CPG manufacturer in procuring more than $2 billion in transportation services: On a continual basis, the service included assisting these firms with performing dozens of bids to reduce their annual transportation spend of over $2 billion. To accomplish this strategy, a combination of bid types was used, including multiple round auctions, sealed bids, tiered pricing bids, and contract fleet RFPS.
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