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Parts Distribution Center - Supply Chain Services

Categories: Lean Manufacturing, Consumer Products
Parts Distribution Center - Supply Chain Services

Supply Chain Services

Distribution Center Expansion and Reconfiguration

Parts Distribution Center

Project Description

A service parts operation located on the East Coast, United States contacted Design Systems, Inc. to develop and manage the consolidation of a multi-site parts distribution operation into a single site operation. The current facility required a warehouse expansion, reconfiguration, and automation to improve efficiency while reducing waste, cost and redundant functions.

Client Objectives

  • Prepare future state warehouse concepts based on material handling equipment, reduction of operation expenses and Warehouse Management System opportunities

  • Design layout to improve material flow and reduce process complexity

  • Optimize storage concepts based on order profiles

  • Improve current utilization of carousels and supporting conveyors

  • Evaluate process and functional drivers within current WMS / inventory control system

Project Outcomes

  • $4.3 Million reduction in manpower

  • 37% decrease in average cost per order by improving efficiency

  • 572 LPH improvement in picking productivity with addition of “ultra batch” and “goods to person” automation

  • New layout improving material flow and reducing complexity in warehouse processes

  • 100% client implementation of recommendations on layout, material flow, material handling equipment and storage mediums

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