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Logistics strategy
Description
Isero is part of Grafton Group Plc. They are active as a wholesaler in tools, fasteners, hinges and locks and related products.
Opportunities
Grafton acquired Isero’s competitor Polvo, expanding their market coverage and giving exposure to new product segments of the market and a more diversified customer base. The combined business led to a trade increase from 59 to over 113 branches within the Benelux.
Solution
Following the merger, the new logistics strategy had to be developed, looking at:
- Economies of scale in warehousing;
- Cooperation in transportation to branches;
- Consolidation of assortment and inventory;
- The product portfolio available in each of the warehouses;
- Implementation of e-commerce.
Benefits
- A computer simulation model providing decision support on the optimal logistics footprint structure in the Benelux;
- Logistics design of the (existing) warehouse locations within this network, representing their new distribution role;
- Strategic supply chain transition plan, 5-10 years out.