Centre of Gravity study
The challenge for companies with own delivery trucks or vans is to find the perfect location for their warehouse to support their deliveries at the most efficient way. When sending trucks and vans on route every day, the location of your warehouse, in combination with your customer spread, can make a huge difference on the total KM's, hours and cost spend on your distribution.
In this business case we supported an international B2C and B2B electronic wholesaler to find their optimum warehouse and delivery solution by performing a Centre of Gravity study. For this study we started with gathering all relevant data on inbound, outbound, location cost and company growth strategy. For the Centre of Gravity analysis we use a tool in which the data can be transformed into different scenario’s from current state to optimum cost and performance solutions.
The Centre of Gravity study resulted in the company decision to keep current location, but made them aware of the service and cost gaps in their current set-up. As a result the company launched an initiative to push their current transport providers to find solutions for their remote, but important customers and feed into integrator local delivery hubs.
You want to learn more about this business case or how we perform a Centre of Gravity study? Feel free to contact us and we are happy to share our experience.