The supply chain can be hard to explain to someone who’s never felt the pinch of trying to meet the demand of customers while struggling to get much-needed inventory from suppliers.
Bottlenecks and space limitations can easily lead to supply issues, and those supply issues will eventually impact the bottom line. They may even put a ceiling on a company’s growth potential. Addressing these problems often requires a sophisticated approach, and that’s where Western Industries can really shine.
Recently, one of our medical device clients was experiencing this exact situation. Simply adding more warehouse space wasn’t an option, so after a thorough examination of the entire process, we were able to make a few key changes that addressed their issues.
First, we reformatted their warehouse space. We created a better flow with remolded deliveries and implemented a more efficient use of their space. This was a good start, but we didn’t stop there. We also optimized their bulk containers and redesigned their packaging to limit overpacking, giving them the ability to improve their storage capacity. The end result was an operation that provided more storage per square foot with smoother performance. In turn, that gave our client an increased ability to meet their customer’s demands.
But what did this mean exactly? If you love numbers like we do, then here’s something we think will grab your attention. The changes we discussed above yielded a 25% reduction in freight expenses and an 18% reduction in overpack costs. Packaging space was reduced by a whopping 75%, and on-hand inventory was cut down by 50%. After all the changes are all said and done, all parties are equally excited by the future and amazed at how they used to function in the past.
So what does your process look like? Maybe you’ve had a nagging feeling that tells you that it could be better. Maybe you’re feeling the very-real pain of supply-chain dysfunction right now.
Give Western Industries the chance to show you how bright the future can be.