Project Brief By Service

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Project Briefs By Service

Assessed current distribution network and designed a “greenfield” distribution strategy for US operations of multi-billion dollar durable goods distributor.

The study identified cost savings opportunities of $40+ million annually through improved alignment of customers to DCs, modal shifts, and improved stocking strategies while validating the location of the existing facilities. The study assisted the client in establishing delivery service levels based on competitor’s capabilities instead of one based upon current performance.

Designed new U.S. distribution network for multi-billion dollar U.S. division of an Asia-based manufacturer and distributor of high-tech products.

Our client needed to redesign its distribution network following the acquisition of two of its largest competitors. The company needed to rationalize the network operations for the newly merged companies. By combining the disparate networks, the company streamlined the configuration and distribution operations, reduced inventory of both finished goods and component parts and realigned customer service territory assignments with the new distribution facility network.

Developed an optimal supply chain design strategy for a multi-billion dollar manufacturer of temperature-controlled food products.

Our client needed to realign its production and distribution to keep pace both with market growth and competitive market pressures. The strategy included manufacturing rationalization, optimal placement of production lines, and expansion of distribution capacity to support market growth. The resulting strategy identified significant annual operating cost reduction while improving customer cycle times.

Rationalized manufacturing and distribution strategies for a billion dollar consumer manufacturing business.

Our client needed to develop a new strategy to keep pace with competitive market pressures and rising production costs. The new supply chain design included the optimal placement of production lines to reduce inter-facility transportation costs, evaluation of in-sourced vs. outsourced overseas manufacturing and the assessment of possible plant closures. The resulting strategy identified cost reductions of up to $20 million annually.

Conducted supply chain network analysis and optimization for a multi-billion dollar division of one of North America’s largest food industry conglomerates.

Following significant growth and acquisition activities our client was faced with several decisions including, capacity planning, customer/DC alignment, distribution planning and facility operating decisions. Chainalytics helped to rationalize production capacity and realign distribution of 1,500 SKUs across the network of 16 manufacturing and distribution facilities.

Developed an optimal distribution network for a multi-billion foodservice distributor.

The strategy included DC rationalization and consideration of optimal locations to support existing and new customers/stores while ensuring customer service levels were met and inventory levels were optimized within the network.

Optimized the global distribution network for a multi-billion dollar chemical manufacturer.

When the multi-billion dollar division was spun off from its parent, Chainalytics was engaged to develop the supply chain design for new distribution network that could operate autonomously from the former parent company. The strategy included global DC rationalization of over 100 existing facilities, optimal placement of product, and expansion of distribution capacity to support market growth. The resulting strategy identified significant annual operating cost reduction from the rationalization of the global DC network.

Supported distribution network design for a multi-billion foodservice marketer and distributor.

Our client owns a network design application that they have used over the past few years to help design their regional DC network. Since the last study they performed the main application users had moved into other roles. To update the network design models, taking into account the latest business realties, our client hired Chainalytics to perform the analysis and mentor their internal resources so that they could build an internal competency to perform these types of analyses in-house in the future.

Analyzed manufacturing rationalization for the prepared foods division of one of North America’s largest food conglomerates.

Our client wanted to consolidate production for some products at one of its two US facilities (rather than making the full line of products at both facilities). Chainalytics helped the company to assess the total cost and service impacts of shifting production. The analysis showed that the additional distribution costs incurred outweighed the savings that could be realized by rationalizing production. As a result of the study, the company decided to service some of its customers through distribution centers that had previously been served direct from production facilities.

Redesigned North American distribution network for a global confectionary manufacturer.

Our client asked Chainalytics to help them determine the best-fit distribution network for North America given that a new manufacturing plant was being constructed. All existing distribution centers were candidates for expansion or closing, and Greenfield sites were available as well. Considering the highly seasonal nature of our client’s business, Chainalytics built a multi-time period model that showed a potential $5M in savings from moving or closing existing facilities and expanding others.

Designed a Pan-India retail distribution network for one of India’s largest conglomerates.

Our client was launching a greenfield retail venture and needed help in defining the optimal greenfield distribution network. Chainalytics performed an analysis which showed the optimal DC locations to support the planned 3,000 store roll-out over the next few years, including a wide range of sensitivities to demonstrate the impact of uncertainty on the distribution network design.

Optimized the distribution strategy for a North American big-box retailer.

Our client was planning to increase the number of stores by 10% over the next several years. At the same time it planned to add significantly to its product offering entering into new regional markets. The existing regional DC-to-store alignment had been created prior to the expansion and was not going to be adequate, going forward. The analysis included capacity expansion scenarios to determine where to add new DCs to support high-growth regional markets.

Rationalized the logistics network for a multi-million dollar regional utility.

Our client required a network study to identify opportunities in merging the supply chains of its three main divisions. The transportation savings that could be reduced with full stocking centers had to be balanced against distributing the inventory to more locations.

Optimized the service center network for a national rental retailer.

After years of growth through acquisition our client needed help to design a network of service centers to better support current demand and planned growth over the next five years. Chainalytics built a strategic model taking into account the fleet service constraints, inventory implications, and costing of current and candidate locations to help our client reduce cost and improve service. The resulting model identified savings of almost $3M annually.

Optimized the service center network for a multi-million dollar regional utility.

Our client served more than two million customers in a relatively small geographic area. With their infrastructure of operating centers set up more than forty years ago, it was time to investigate how the current locations could be moved, closed, or resized to match current and future demand. A strategic model was developed that minimized cost of the technicians that performed emergency and scheduled services on the utility network while maintaining their service requirements. The resulting model identified $2.3M in annual savings from re-aligning the operating centers.

Developed an optimal supply chain network for a multi-billion division of a global beverage manufacturer.

Strategy included modeling various supply chain network alternatives and to analyze which option or combination of options was ideal to support their goal of significant revenue growth. Acquisition was also pending that was included in the scenario analysis to determine optimal network design.