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Logistics improvements

August 26, 2024 110 Views

Bouwcenter Nobel  sells and distributes building materials from 4 regional warehouses in the Netherlands. The customers are construction companies, both small (local) and large (national). Customers can pick up the goods themselves at one of the regional warehouses, or ask Nobel to deliver the goods.

Opportunities

At the beginning of the study, there were 5 local warehouses. Groenewout supported the closing of 1 location and integration into Lochem. The first question to be answered was: will it fit? Detailed analysis of the assortment to be stored in Lochem and a lay-out plan where each product would be stored, showed that it would fit.

Also Bouwcenter Nobel requested support on optimizing the distribution network. How to optimize the distribution of the different products to customers in Netherlands. Regional split and/or split in product groups.

Solution

Activities done by Groenewout:

  • Analysis on assortment to be stored in Lochem
  • Design of the new lay-out in Lochem
  • Support of the go/no go decision to close a local warehouse
  • Implementation support
  • Slotting plan: which product to store in which location
  • Purchasing of new wood racking
  • Study on the impact on transport and the split between own vehicles and outsourced transport
  • Scenario analysis on the distribution network​

Benefits

  • More insight via data analysis
  • Significant savings by closing one regional warehouse