Logistics Procurement and Benchmarking

Major UK Canned Goods Manufacturer

Our client for this case study is a leading branded manufacturer in UK, importing primarily canned goods into its distribution centre near the port of Felixstowe in order to service all of its UK and Irish customers.

As such they required a full review of logistics procurement, warehousing and transport benchmarking in order to improve their performance.

 

Requirements

In order to deliver sustainable benefits we worked with their existing providers and framework to cover the following four key points:

• Assess the competitiveness of the warehouse and transport solution vs market rates to inform whether to tender or renew
• Develop a cost model to mirror the activity from port to customer to identify any opportunities to improve operational effectiveness  and a transparent costing mechanism aligned to these activities
• Establish a competitive RFQ tender process to identify potential strategic partners and alternative solutions, to be launched if the incumbent was unable to deliver a market-competitive solution.
• Collaboration with the incumbent provider in order to identify a number of critical aspects of the operation that needed addressing for improved service, reliability and cost-effectiveness of the solution.  This would then allow a revision of service standards and expectations in line with the clients’ customer requirements.