Background
Hexel International are a specialist packaging company who work for leading supermarket groups providing a specialist packaging operation . This involves receiving a number of products which are packaged together for special marketing offers.
The company has an impressive growth rate and is forecasting an increase of 200% over the next two years.
The current logistics service provider was struggling to cope with current growth levels.
|
|
Activities
|
We reviewed the current operation based in Bremen and identified suitable strategic options.
These options included identifying a logistics service provider
· Close to the point of delivery (mainly Cologne and Weilerswist)
· Close to lowest cost storage option (Venlo)
· Lowest price option using multi-location company
Potential suppliers were identified, requests for quotations issued and results analysed. Detailed report and recommendations issued. .
|
|
Outputs
·
Existing supplier eliminated in terms of both service levels and cost
· Options 2 and 3 eliminated on grounds of either cost or service response times
· Option 1 was considered to provide the required service levels and the ability to cope with the forecast growth whilst providing a cost effective service.
Two companies were identified as meeting the criteria. |
|
|
Results
|
The new operation was set up near Cologne and provided the required service levels at a cost effective rate.
The change of contractor was made at an early stage to allow a relationship to develop between the new contractor and both our client and his customers before peak activities commenced.
|
|
|
contact
the team
back
to previous