Diversified multinational conglomerate

Company :

Diversified multinational conglomerate

Problem statement :

  • Large number of warehouse and storage locations (31) across 8 business verticals in India leading to high logistics cost and poor inventory management.
  • Leverage GST regime to develop most optimal distribution network by establishing one mother warehouse catering to all businesses.
  • Mother warehouse meeting specific requirements of diverse business verticals.

Solution :

  • Comprehensive sales and service analysis for each business to identify prime network drivers
  • Sales and vendor data capture and standardization at granular level
  • Centre of gravity analysis and optimization
  • Business case for analytical vs best case location for mother warehouse
  • Implementation plan

Benefits :

  • Optimized hub & spoke network plan with one central warehouse servicing all business verticals
  • Number of storage point reduction by 75% across businesses
  • Potential for dramatic cost efficiency and inventory turn improvements

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