An international producer of aftermarket spare parts and components for the automotive industry contracted Miebach Consulting to redesign one of their regional distribution networks. Their operation used 2 plant warehouses that were nearly at maximum storage capacity. Further, the storage areas were blocking the growth options for the production plants. Miebach developed network alternatives in order to allow further growth of the production sites and provide better service levels to the client's internal and external customers.
Create network scenarios and define stock policies
Evaluate various possible scenarios to determine optimal solutions
Design a consolidated central warehouse
Reduced logistics costs by 5% with the centralization of 2 warehouses
Minimized impacts of local taxes on the operation due to ideal DC location
Identified production growth potential of more than 25% of current capacity