Optimization of a Regional Distribution Center

An audit of the logistics chain for a major packaging materials producer, aimed at reducing inventory costs and improving order picking accuracy.

Supply Chain Audit Cost Control Logistics Management
Logistics warehouse with pallets
The Challenge

The client faced high inventory costs due to inefficient storage layout and an order picking accuracy of only 92%. This led to delays and unnecessary corrective shipments.

Our Approach

We conducted a detailed process audit, analyzing data from the WMS and mapping workflows. Subsequently, we simulated various layout scenarios.

Implementation

Based on the analysis, we implemented an ABC storage layout and introduced a new pick-to-light system for the fastest-moving items.

The Result

18%

Lower inventory costs

99.4%

Picking accuracy

15%

Faster order processing

ROI: 8 mth

Investment payback period

The optimized processes and new layout resulted in significant cost savings and a strong improvement in operational reliability. The staff received training for the new system.

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