We reduced the total logistics cost of a food company by 10%
Context
A food company needed to reduce logistics costs without compromising service level. The work covered freight, warehousing, routes, and distribution center locations.
Approach
Assessment of freight costs, multiple warehouses, and total logistics cost;
Distribution and transfer route analysis;
Alternative carrier evaluation;
Assessment of alternative configurations for distribution warehouse locations.
Results
Warehouse rationalization, consolidating storage in two distribution centers;
Redefinition of distribution and transfer routes;
Freight and warehousing cost reduction, with a 10% reduction in total logistics cost.