Case Plieger

Results

• Insight into the current logistics
• Competitive logistics strategy and a well-considered transition plan
• Clear insight into the investment costs and annual cost-savings (23%) of rolling out the new strategy
• Zoning plan for the new DC/Redesign of the DC in Zaltbommel

Our solution

UC Group was asked to analyse Plieger’s supply chain and devise improvements in support of its route map.

We set a clear approach for devising a uniform logistics strategy and a well-informed route map for implementing the chosen strategy:

1. Detailing the existing situation
2. Scenario analysis
3. Determining the logistics strategy
4. Master plan for the transition

To shape the first phase UC Group used the available data to determine a centre of gravity and made a snapshot of the current costs and related processes. During the second and third phases we worked out various scenarios, and Plieger then used UC’s activity-based costing model to detail the staff costs in each scenario. Based on the simulation of future transport and building costs and location analyses it was decided to opt for a central warehouse, with two possible scenarios then being worked out in more detail:

1. New build at a central location
2. Redesign of the central warehouse in Zaltbommel

For strategy implementation purposes, it was decided in the transition plan to move away gradually from the current supply chain and towards the final recommendation by first changing and then gradually switching off the individual distribution centre functions.