Review European Distribution Center
Huntsman Advanced Materials is a leading global chemical solutions provider in technologically advanced epoxy, acrylic and polyurethane-based polymer products.
Huntsman requested a review on the Center-of-Gravity (CoG) of their European Distribution center (EDC) in Mannheim, Germany. Circa 50% of the shipments reside from this EDC, where the remaining volume is distributed from local satellite DCs. The products are packed in both drums or IBCs.
- The logistics contract was close to its end-date, and Huntsman would like to incorporate the new CoG results in the evaluation of a potential new logistics contract.
- The distribution strategy was reviewed and Huntsman would like to have an indication of the impact of these new strategies on their logistics network footprint. These new strategies were:
‒An adjusted Make-to-Stock versus Make-to-Order ratio.
‒Deliver smaller customers through local/national distributors, rather than direct deliveries.
- A simulation of five viable Center-of-Gravity footprint scenarios, differentiated for the considered strategies on MTO/MTS, % of local distributor deliveries, sales growth figures and average shipment sizes.
- Identification of quick-wins in the current transportation network through transport benchmarks and identification of inefficiencies in the existing transport flows.
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.