Advanced logistics strategy
How we helped the client
The client, an international business within the analysis industry, carries out analysis of samples involving substances such as water, soil, grain and foodstuffs. Like other major businesses, they are very dependent on efficient logistics. The business, represented at several locations in Sweden, had recently merged with a competitor, resulting in increased focus on logistics issues within the company.
Actea’s mission was to analyse their current logistics solutions to ascertain what was needed in order to increase productivity in each laboratory, as well as to reduce their runaway logistics costs.
How we did it
We commenced our assignment, in tandem with their CEO and a specially appointed working group for logistics issues, by working out a clear set of target outcomes for them. This was done by dealing with specifics, right down to project level, i.e. a sufficiently detailed level to carry out the work in a controlled manner.
As a next step we interviewed the relevant managers and employees of some of the labs. We continued with employees from the company’s management team and a selected number of customers from various segments. The purpose of the interviews was to ascertain the current situation and to develop expectations and requirements for a future solution.
Finally we analysed the documentation produced and submitted a draft solution that showed how the client could achieve its specified objectives.
What we achieved
Once the changes in the logistics flow had been implemented, a number of positive effects ensued. One of these was an increase in the number of the samples arriving at a given time at the laboratory. At two laboratories the night shift could be discontinued, since the samples came in during the daytime and were analysed using the production capacity available at the time. The savings were estimated at about 1 MSEK per lab.
The sales organisation could focus on sales of analysis samples and hand over logistics matters to the newly founded logistic organisation. The result was more and better business, as well as more refined logistics solutions, where existing logistics runs were reused to a greater degree.