Supply Chain Use Case: Mixing Center Utilization
Use Case Objective:
Quantify if the Net Landed Cost to Retail is lower if buying is consolidated to a single DC
Use Case Benefits: Lower COGS, Increase inventory turns, improved utilization of warehouse space (Trade off is extra DC to DC transfer and extra handling)
Process/Analytical Steps:
Metrics to Review:
1. Collect data : Product cost and specs, trans costs 2. Run Mixing Center Model 3. Create findings report 4. Review with affected parties
• Net Landed Cost to retail comparison
Teams to Involve/Collaborate:
• Channel Optimization • Vendor • In-Stock • Category • Warehouse Operations
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