Logistics Set-Up for Nordic Telecommunications Provider in Asia
The client, a market leading manufacturer of telecommunication equipment were supplying one of the world’s largest construction companies with equipment at around 100 sites in Asia. As the sole supplier of certain equipment, there was a mutually dependent relationship between the client and its customer. This made reliable logistics with short lead times critical for operational efficiency.
As the client originated from the Nordics, they had no direct knowledge about the Asian markets, or how to set up a functional and effective logistical network there. They realized the need of help to develop a reliable logistics plan, as well as implementing it in practice, and therefore turned to ARC Consulting to receive insights to, and hands-on capabilities on, the Asian markets.
To receive a deep understanding of the situation, ARC Consulting’s started off by initially analyzing the prerequisites of the client’s operations thoroughly. This was crucial in order to understand how to prioritize the different aspects and parts of the logistical setup. Proceeding from there, the market possibilities were subsequently analyzed and matched towards the client’s prerequisites. From there, ARC Consulting had received all the right tools for developing an effective and reliable logistics strategy which could fulfill all requirements.
After developing the strategy, ARC Consulting then led the implementation over a one-year period and streamlined the set-up, which helped to improve both the reliability and lead times further.
Warehousing, transportation and shipping were all re-structured into fewer sites and operators. Several service providers were cancelled, and new ones identified.
Thanks to ARC Consultings optimization and ground-work, lead times were decreased by 19%, delayed deliveries were decreased by 29% and costs were decreased by 11%, making the project highly successful and valuable for the client.