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| Client: | A fast-growing
S&P 500 company that manufactures, markets and sells primarily branded
prescription pharmaceutical products. |
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| Problem: | Order
volume increased by over 40% after an acquisition. Needed help to improve customer
order processing, warehouse operations and systems, logistics organization and
staffing, and create a customer service function. | |||||
| Approach: |
Two-phase process: (1) Identification of primary bottlenecks and formation of
improvement strategies; (2) Implementation of the strategies. Perform a review
of key processes and systems, conduct interviews, create process flow diagrams,
review warehouse operations and layout, and identify process improvement strategies.
For the implementation plan, create a task force team to execute recommendations
and present three alternative plans for redesigning the warehouse / DC to improve
pick, pack and ship operations. | |||||
| Results: | Initial
assessment of the process and the implementation plan resulted in: • Benefits that will increase revenue 10% to 15%, and increase order processing productivity 20% to 25% • Optimized warehouse layout to improve pick, pack and ship operations and to significantly reduce cycle time • Creation of steering committee to oversee all logistics related functions • Realignment of the Logistics Operations Organization • Creation of a new Customer Service Group |
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