Logistics strategy and implementation

The UK Post Office required the design of a logistics strategy for the movement of internal items, such as uniforms, engineering spares and stationary, followed by the development and presentation of a business case for funding, mobilisation of the client and consulting teams, and implementation. The scope of the project was the entire supply chain from supplier to end customer, including: order capture and management; transport; warehouse location, design and contractor selection; warehouse operations; supporting systems. We designed the technical solution and managed the project team, leading to a successful implementation of the new distribution infrastructure, incorporating a new semi-automated warehouse solution and a new warehouse management system.

Supplier interaction improvement

The UK's largest distributor of kitchens and bathrooms had been experiencing supplier reliability issues and was also keen to establish which suppliers could grow at the same rate as themselves. A pilot study was commissioned to review the various points of interaction between the client and one of their main suppliers, and the long-term capabilities of the supplier. We conducted a performance review, which looked at the ordering process, the physical operations of the two companies, the information flows, planning processes of each organisation, manufacturing capabilities of the supplier and the supplier's risk profile. A detailed report showed that an annual cost reduction of over £200k was achievable, to be split between both sides.

Warehouse operations improvement

This pharmaceuticals & pharmacy supplies distributor needed to remove significant costs from its warehousing operations to help defend itself against a takeover bid. We visited several warehouse operations throughout the UK, containing automated and manual, single and bulk picking operations. Using activity analysis and process redesign, the team was able to identify £5.85m of realisable savings by alterations to goods-in procedures, the stock control system, manual ways of working and time allowances.

UK logistics improvements

We managed a process change project which raised completeness of order across the distribution network (of approx 20 depots), from sub 90% to over 98% in six weeks. Following this, we then redesigned the DC and supply processes to accommodate time compression within the customer order cycle down to one day.

Warehouse concept design

We were asked to conduct a logistics audit on a German wholesale distribution network. Following the initial diagnostic, we were asked to design a brownfield warehouse facility to support the new network design. We designed a high level warehouse layout and operating processes for a client looking to amalgamate two existing operations. The design and working processes were fully costed and used as a benchmark to evaluate the existing operations. On the basis of this work, Crimson helped the client tender the existing operations. The net result was an operation with a new contractor based in a single warehouse with better customer and client service levels, plus an operational saving of £350k per annum.