Logistics Provider / Computer Manufacturer

A well-known computer company asked a large international logistics provider to evaluate an available building for consolidating four different operations into the new site. The 220,000 sq. ft. DC was highly automated with:

  • 3.4 miles of conveyor
  • Pick-to-light
  • AS/RS mini-load
  • WMS with radio frequency scanning
  • In-motion scales
  • Overhead scanners
  • Automatic carton erectors
  • Automatic print and apply labelers
  • Pick modules
  • Vertical carousels
  • Corrugated balers
  • 65K sq. ft. of mezzanine
  • Push-back rack and select rack with 8,000 pallet positions
  • Hollow fill reclaimers
  • Pillow Pak machines
  • Cubiscans, and
  • Carton sealers

The logistics provider retained Distribution Design to evaluate the computer company’s four operations and the available building and determine if the facility could handle the operations and the rapidly growing volumes. Distribution Design prepared a report outlining how the facility could serve the company’s needs. The report contained the strengths and weaknesses of the current operations and the available facility, how to improve the operations and save millions in annual labor costs, average and peak volume requirements, likely bottlenecks that needed fixing, systems issues with the WMS, a preliminary budget, and a list of project tasks to take the analysis to the next level of detail. As a result of the project, the logistics provider decided not to recommend the building to the computer company because the company’s time pressures would not allow fixing problems identified in the report. Since some executives of the computer company had seen the available facility and were impressed with its perceived ability to handle their operations, Distribution Design’s report avoided an operational disaster for the computer company and the logistics provider.

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