Logistics Re-Assessment pre-post Acquisition

Multi-National Snack Food Producer

Background & Brief

Following the acquisition by a German Group of a major UK snacks brand business, this organisation initially appointed SCALA to review their future logistics options and integration with their own manufacturing operations. SCALA subsequently undertook projects to implement acquisitions, and also warehousing capacity and efficiencies

Project Approach

SCALA undertook a detailed strategy review assessing the temporary arrangements set up at the time of the acquisition and future options. The existing and new business had a total of eight manufacturing plants spread across the UK. SCALA worked with the proposed potential manufacturing rationalisation options to develop a number of logistics scenarios to enhance these options and ensure manufacturing is not encumbered by logistics restrictions. The process involved modelling a range of options and providing practically based costings to enable the financial impacts to be clearly understood together with the risks associated with the changes.

Benefits & Results

Total logistics benefits of over £2m have been identified with the solution also enabling future service improvements to be achieved. In parallel with this, manufacturing will be able to deliver significant benefits from rationalisation and relocation of various product groups.

Final Outcome

The client implemented all the changes and has also asked SCALA to examine detailed warehouse efficiencies and capacity constraints
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