Develop shared logistic services in Benelux
Map Merchant Benelux consists of three independent wholesalers for paper products in mostly for office use and the graphic industry. Modo van Gelder, Grafisch Papier and GPG each have their own customer base, product portfolio and logistics operation.
Overall revenue and margins for the wholesalers in the paper sector have been slowly decreasing over the last few years. Map Merchant Benelux has initiated the project to investigate the opportunity to develop shared logistic services within the Benelux, without affecting the commercial autonomy of the three wholesalers.
Groenewout first facilitated an evaluation of the overlap of the product assortments and workshops to define targets for future assortment & stock sharing.
With these targets Groenewout analyzed multiple scenarios to centralize / consolidate the warehouses and transport activities. For each scenario the operational consequences and implementation efforts were assessed.
Groenewout advised to consolidate the 2 warehouses in the Netherlands first and integrate the (partly in-house) transport execution, with an option to incorporate Belgium later.
- Direct cost saving opportunity are identified via bottom up operational cost modeling which is transparent for all three wholesalers
- Indirect cost saving opportunities (overhead, IT, etc) are determined in cooperation with three wholesalers
- Significant saving in working capital (inventory reduction)
- Clear outlook on pre-conditions and pitfalls for implementation.
50 years of experience
Consulting firm with over 50 years of experience.
Availability of a European logistics database with benchmark figures on transportation and warehouse costs.
Full scope expertise on network design, as well as warehouse design (conceptual layout, logistics - and storage equipment) and logistics building design (engineering and investment calculations).
Ability to support implementation of new logistics concepts (70% of Groenewout revenue is with existing customers in follow-up/implementation projects.
Extensive operational knowledge, hands-on, pragmatic and bottom-up approach.