SCALA CASE STUDY
European & UK Logistics Network Assessment
Global Temperature Controlled Food Manufacturer
Background & Brief
The client is a major frozen food supplier with production and storage facilities spread across the UK and Europe. Firstly, following some major global acquisitions SCALA was tasked with reviewing the European logistics network and identifying potential opportunities for cost reduction and efficiency improvement
Secondly, as a further phase, to assess two further active acquisitions to re-assess the UK Logistics Network
Project Approach
The project approaches combined;
A review of the network structure to build a detailed picture of production locations, storage arrangements, volumes and transport requirements
Assessment of product flow between countries and within countries
Location review of warehouse facilities for customer deliveries
Centre of gravity modelling for potential new locations
Assessing various contract arrangements and own operations
Strategy review of local vs scale manufacturing for common SKUs
Benefits & Results
The benefits & results of the project included the following key outputs;
Confirmation of suitable existing warehouse locations
Costed evaluation of new or alternative locations, including transport and location factors
Recommendation made for consolidating specific locations, detailed strategy and potential benefits outlined
Review of capacity and ability to service new and expanding markets
SKU strategy review and recommendation
Final Outcome
SCALA provided a comprehensive review of the existing networks and strategic overview with specific opportunities covering one area of Europe with financial and inventory benefit
in the UK. The acquisitions were completed and the client then asked SCALA to undertake a detailed review of two acquisitions and opportunities for cost benefits were identified