UK Logistics Network Strategy

Multinational Grocery Manufacturer

Background & Brief

This client is a major global manufacturer with grocery products across a wide range of categories. SCALA were engaged by the company because of their in-depth knowledge of the sector and their expertise in network and warehousing strategies. The assignment was to evaluate all UK logistics operations, to evaluate future plans for optimisation, to assess them across a wide range of future potential business scenarios and to develop the business case for change.

Project Approach

The project approach involved working very closely with the client’s senior executive team and with individual functions. A range of future network options were fully evaluated with projections over a ten year horizon. This included:-
  • Detailed logistics network models that benchmarked current logistics operations, evaluated and quantified specific strategies being considered by the client, and identified further options for evaluation.
  • Agreed inventory/stockholding policies for the various scenarios
  • Assessed the warehouse requirements for each scenario and related these to current capacity and capability constraints
  • In parallel, SCALA assessed a 3PL provider, market tender and evaluated future site capabilities
  • Assessed future retail service expectations together with the logistics impact and provided a mechanism for prioritising these and the capability of each scenario to fulfil the expectations
  • Benefits & Results

    The benefits & results of the project included the following key outputs:
  • A fully costed set of business cases
  • Demonstrated that an original client strategy was not justified
  • Provided a clear roadmap forward that met the client’s business priorities
  • Clear assessment of the capability to achieve a range of future customer and market expectations in an efficient way.
  • Final Outcome

    The client obtained high level approval and is progressing along with the strategy developed.
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