Case Study:

Facility Planning & Material Storage Project

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Manufacturing - Copper Tubes
  • Determine inventory levels needed to serve customer needs
  • Investigate new and alternative storage and handling equipment
  • Propose a layout option for maximum site utilization for the new warehouse facility
The Solution:
  • Conduct a two-year analysis of historical inventory levels to determine the necessary inventory to meet the demand
  • Created two options for inventory storage to minimize the facility’s footprint and utilize the building’s height
  • Analyzed finances and created solutions to minimize costs
  • Configured a plan to reduce the equipment and racking costs and the warehouse footprint
Realized Benefits:
  • Reduced estimated warehouse size by 25%
  • Better utilization of current equipment
  • Saved $1 million annually on the lease of an outside facility
  • Saved $2 million in annual transportation costs

“As a result of this project, we have developed a plan that will allow us to build a warehouse that is 25% smaller than the one we currently occupy. This is completely in line with the desires of our company executives.”

Vice President, Sales and Distribution