Case Plieger

Customer challenge

Ambitious growth goals require a review of the logistics strategy. Plieger, a national wholesaler of sanitary, heating, electricity and installation materials, needs a thorough translation of the business strategy into a logistical strategy that supports the realization of the strategy. In addition, there is a feeling that there is still room in the supply chain for improvements.

Approach

• Logistic engineering
• Data analysis, Center of Gravity and advice
• Scenario determination and cost simulation
• UC Activity Based Costing model, spot plan and roadmap
• Facilitating workshops and steering group meetings

Results

• Insight into the current logistical basis
• Competitive logistics strategy with a thorough transition plan
• Clear insight into investment costs and the annual savings — 23% per year — of the rollout of the new strategy
• Stain plan for the new DC/Re-design DC Zaltbommel development

Our solution

UC Group was asked to analyse the structure of the current supply chain and to develop improvements to support the roadmap.

In order to arrive at an unambiguous logistical strategy and a well-founded roadmap to implement the chosen strategy, a clear approach was used:

1. Mapping the current situation

2. Scenario analysis

3. Defining a logistical strategy

4. Master plan — transition plan

To shape the first phase, a Center of Gravity was determined based on available data and UC Group took a picture of the current costs and associated processes. During the second and third phases, various scenarios were developed and, based on, among other things, the UC Activity Based Costing model, Plieger worked out personnel costs per scenario. The simulated future transport costs, building costs and location analyses made a choice for the scenario with a central warehouse. Two possible scenarios have been further developed here:
1. New building in a central location

2. Re-design Zaltbommel central warehouse
To make the further realization of the strategy possible, the transition plan decided to work from the current supply chain in steps towards the final advice and to first change the function of the distribution centers and to gradually switch off.

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