Case Studies
It is not just a winning strategy, it is a success story
DHL Supply Chain OMS and 45% increase in operations efficiency
DHL Supply Chain, as the world's leading LLP, adopted a new Operations Management System (OMS) to focus on execution and engage all team members with real-time communication. The existing system was not efficient enough to handle the growing demands of the business. The company needed a solution that could streamline its operations and improve efficiency. Situation: As the Operations Manager, I was tasked with spearheading a transformative shift in the organizational culture and behavioral structure. The goal was to embrace the Operations Management System (OMS), align the team towards execution, foster real-time communication, establish common goals, and create clarity regarding individual responsibilities for achieving these goals. Task: My primary responsibility was to execute the implementation of the new program. As I knew that the challenge lays in overcoming the team's perception of the OMS as burdensome (17 members) Action: To address this challenge, I stated visually illustrating the contrast between the current operational setup and the envisioned state under the OMS. Seeing what the future holds, was the key to reduce the team’s resistance towards the change. I initiated the process by employing the OMS workload analysis tool. This tool allowed us to quantify the existing workload, serving as a baseline for comparison. Leveraging the results, we engaged in collaborative brainstorming sessions to identify ways to streamline tasks, reduce effort, and enhance efficiency. We explored improvements in communication channels, minimized unnecessary meetings, and strategically adjusted process trigger points. By actively involving the team in this process, we brought about significant changes in workflow. The key was to make the team not only accept but also embrace the upcoming changes. This shift in mindset proved crucial for the successful implementation of OMS principles within the defined timeline set by management. As a bonus, I took the initiative to lead the operations' digitalization process concurrently. This involved eliminating manual work, a move that promised a remarkable 75% boost in productivity. Result: The implementation of OMS principles resulted in a commendable 45% improvement in efficiency and effectiveness within the organization. The team, initially skeptical, became enthusiastic about the positive changes. Simultaneously, my leadership in the digitalization process laid the groundwork for a significant productivity surge. This successful transformation not only met management expectations but exceeded them, showcasing the power of strategic planning, team collaboration, and adaptability in achieving organizational goals. Impact •Increased efficiency and effectiveness by 45% •Increased productivity by 75% through eliminating manual work •Achieved the project milestone timeline by 100%
Ashford Point overcome Amazon FBA Restrictions with D2C & 3PL contracting
Ashford Point is a prominent e-commerce company, owning more than seven brands primarily selling on Amazon. Situation: In 2020, the company encountered a significant challenge when Amazon reduced our stock limits due to COVID-19 restrictions. This change meant we could no longer store the regular stock level at Amazon Fulfillment Centers (FCs), posing a critical issue, especially amid increased demand due to the lockdown. Task: As the company Director of Logistics, my responsibility was to address this challenge by sourcing and hiring Third-Party Logistics (3PL) providers across the EU, US, and Canada to store our goods nearby the FCs and to launch our D2C business model. However, this task presented its own complexities. Action: I analyzed the product allocation to the FCs to determine the best areas for 3PLs location. This helped maintain the transportation costs level and ensure that the 3PL could efficiently excetute the tiny FBA orders we still have. Then I approached the potential 3PLs running a through study regarding rates, storage capacity, manpower and software to make sure they will be able to match our requirements. I have also done test shipments to measure their communication and responsiveness before transferring our stock to their facilities. Once the study and the test shipments were completed, I changed the shipping destination from Amazon to the 3PL warehouse. Then we set up information flow for customer orders and a return system. This successful launch of Ashford Point 3PL partnership and D2C business model allowed us to fulfill a wide range of products as storage problems with Amazon continued in following months. Action: To mitigate the impact of Amazon's stock limit reduction, I conducted a detailed analysis of product allocation to FCs. This analysis helped identify optimal locations for 3PLs, ensuring efficient transportation and the ability to handle the remaining Fulfillment by Amazon (FBA) orders. I approached potential 3PLs after conducting a comprehensive study of their rates, storage capacity, manpower, and software capabilities. Test shipments were initiated to assess their communication and responsiveness before the transfer of our stock to their facilities. Once the study and test shipments were completed successfully, I redirected shipping destinations from Amazon to the selected 3PL warehouses. Subsequently, we established seamless information flows for customer orders and implemented an effective return system. This strategic launch of 3PL partnership and Direct-to-Consumer (D2C) business model proved instrumental in overcoming storage challenges with Amazon, ensuring the fulfillment of a diverse range of products as the issues with Amazon's stock limits persisted in the following months. Result: The successful implementation of the 3PL partnership and D2C model not only addressed the immediate storage issues but also allowed us to adapt and thrive in the evolving market conditions. The streamlined processes and optimized logistics contributed to sustained product fulfillment, showcasing the resilience and adaptability of Ashford Point in the face of supply chain disruptions. Impact: - Adopting the D2C business model - 2020 was the highest earning year in the history of Ashford Point
Kleem Organics Grows Revenue to $35M with New Strategies
Kleem Organics is an Italian cosmetics and beauty e-commerce brand that sells operating in USA, Canada, UK, Spain & France. Situation: Despite the brand's presence in multiple markets, the company's revenue was not reaching its full potential. There was a need for improvement in the product portfolio to enhance market positioning and customer retention. Additionally, the goal was to expand into new markets and introduce new products. Task: My responsibility as the COO was to work alongside the CEO and elevate the business's value. To address the challenges at hand, I initiated a comprehensive assessment of the existing product portfolio. The key task was to devise a plan to enhance product quality, which would, in turn, bolster the brand's standing in the market. Simultaneously, I focused on optimizing costs by identifying more cost-effective suppliers without compromising product quality. Action: To execute the plan, significant changes were made to the design, packaging, and components of our products. Through careful supplier selection, I was able to maintain the same high-quality components at a reduced cost. Additionally, I prioritized investing in the training of our customer service team to enhance customer retention. Once the improvements in the existing product line yielded positive results, we launched a targeted marketing campaign on Facebook and Instagram, amplifying our brand visibility. With the current products gaining traction, I spearheaded the expansion into new markets. This involved setting up operations in Canada and Australia for Amazon FBA, as well as initiating wholesale operations in the Middle East. Concurrently, we embraced the Direct-to-Consumer (D2C) business model. The strategic move was complemented by the timely launch of new products. Result: Within two years, these strategic initiatives led to a remarkable transformation. The company's sales surged from $10 million annually to an impressive $35 million. The enhanced product portfolio, efficient cost management, expanded market presence, and successful adoption of new business models collectively contributed to the significant growth, establishing Kleem Organics as a formidable player in the cosmetics and beauty industry.
Cargill's SOP Ensures Seamless Workflow for $125M Project Success
The leading privately owned corporation in the United States had a subsidiary based in Egypt with plans for an expansion valued at $125 million. Situation: The timely completion of the project was paramount to avoid substantial financial losses. This intricate project entailed coordination among 11 engineering departments, various contractors, supply chain functions, and finance. Task: As the project Logistics lead, I was appointed by the Project Manager to design a Standard Operating Procedure (SOP) that would establish clear requirements and expectations for each function. The goal was to seamlessly align these requirements in a workflow that would facilitate the accomplishment of project milestones. Action: Upon being assigned this critical task by the project manager, I initiated a meticulous process. I organized separate meetings with each function to understand their specific needs, mapped out the workflow, and identified potential gaps in the process. Subsequently, I brought all stakeholders together to collaboratively align the workflow. During these sessions, we collectively determined the most effective communication channels, defined critical risk points, and established an escalation process to address any challenges that might arise. Result: Throughout the project execution, we heavily relied on the SOP we had meticulously crafted. Its defined parameters proved invaluable in identifying and mitigating risks that could have jeopardized the project schedule. Ultimately, our adherence to the SOP enabled us to successfully complete the project on time, meeting the management's set schedule and avoiding any potential financial setbacks.
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Mantrac/Unatrac Reduces Dead Stock by 68%
Mantrac/Unatrac is Caterpillar authorized dealer in East, West Africa, Levant Area & Russia operating at $7 billion yearly. Situation: I assumed the role of Regional Inventory Control Supervisor, overseeing operations in North, East, and West Africa. The primary objective of this role was to maintain optimal stock levels across all regions. TASK: The task at hand was to strategically manage inventory and address the issue of dead stock within the company. ACTION: First Phase - Process Mapping for Order Management: I initiated the role by developing a comprehensive process for order management. This ensured that every stock order was thoroughly justified, contributing to the overall health of our inventory. Second Phase - Dead Stock Elimination Project: Segmentation based on Engine Series: I classified the existing dead stock by engine series types. Engines Population List: Compiled a comprehensive list of engines for each country. Matching Dead Stock to Engine Series: Matched dead stock to specific engine series, allowing for a detailed analysis of inventory distribution channels in each country. * This strategic approach enabled the sales team to offer discounted overhauls to customers, resulting in a remarkable 30% reduction in dead stock. Third Phase - Cross-Country Stock Movement: Implemented a cross-country approach to managing dead stock. Rather than ordering directly from the manufacturer, we shipped dead stock from one country to another. * The sales team then leveraged this stock for overhauls, services, and discounted prices, further reducing dead stock by an additional 12%. Fourth Phase - Obsolescence Program Implementation: Introduced an obsolescence program in collaboration with the manufacturer. Identified and returned selected spare parts to the factory for reprocessing and resale. * This meticulous analysis and coordination led to a reduction of approximately 18% in dead stock. Fifth Phase - Auctioning to Competitors: Recognizing potential interest from competitors, we auctioned off the remaining dead stock that was not sold through service campaigns or covered by the obsolescence program. This strategic move resulted in an additional 8% reduction in dead stock. Sixth Phase - Selling as Scrap: In the final stage, we sold the remaining dead stock as scrap, maximizing cost recovery and concluding the comprehensive dead stock reduction strategy. RESULT: This multifaceted approach successfully reduced dead stock by a significant margin, optimizing inventory management and contributing to the overall efficiency of the Mantrac Unatrac Group's operations.
Mantrac ERP Implementation Success And Cost Reduction
Mantrac/Unatrac Group decided to invest in an in-house ERP system, named Manpro, to replace Caterpillar's DBS ERP program. This initiative aimed to eliminate the associated costs and enhance operational efficiency. Situation: As the Regional Operations Coordinator for Mantrac/Unatrac Group, I was appointed by the division's VP to lead the project, spearheading the implementation and collaborating closely with the IT and Finance teams. Task: The project involved extensive collaboration across three key teams: IT, Finance, and Operations. Our primary goal was to identify an ERP solution that not only met the business requirements but also maintained flexibility for integration with Caterpillar's DBS. This was a massive undertaking that required a thorough understanding of financial aspects and software development. Action: We initiated the project by conducting a comprehensive stock count, segmenting inventory based on ABC analysis, and validating inventory costs. Subsequently, we focused on adding inventory to the system and rigorously tested the landed cost calculation. We then structured the selling price module, considering product types and customer categories. Moving forward, we launched the accounts payable (AP) module, ensuring seamless reflection of sales in the warehouse for fulfillment, AP team for payment collection, and Operations team for accurate representation in the sales force. The final stage involved establishing parameters for restock calculations based on Economic Order Quantity (EOQ). Throughout the process, I applied a range of skills, including ERP expertise, account reconciliation, cost control, inventory tracking, demand forecasting, efficient order processing, fulfillment optimization, invoice validation, payment processing, budgeting, cash flow management, and project management. Result: The successful implementation of Manpro yielded significant results. The ERP system streamlined operations, enhanced cost control measures, and optimized inventory management through effective demand forecasting. The project also facilitated efficient order processing and fulfillment, contributing to improved overall business performance. The establishment of EOQ parameters further enhanced inventory management practices. The experience provided me with a comprehensive understanding of both business financial aspects and software development, contributing to my professional growth and skill set.