Client Profile:

A renowned global Fast-Moving Consumer Goods (FMCG) company with a significant presence in Sri Lanka.

Challenge:

Our client, a global FMCG leader, required a partner to manage their finished goods distribution center in Sri Lanka. The challenge was to adeptly manage the seamless movement of goods from the production floor to the Finished Goods Distribution Center, ensuring precise dispatches to the end consumers in harmony with transport teams and customer orders. The task encompassed delivering the right goods in right quantities, at the right time, all while adhering to quality standards.

Their primary objective was to elevate supply chain efficiency, encompassing the following improvements.

1. Loading/unloading efficiency improvement
2. On-time dispatches
3. Achieving 100% stock accuracy
4. Enhancing vehicle fill rates
5. Maintaining safety standards & ensuring zero accidents and safety violations.
6. Ultimately Minimizing delivery complaints

Solution: As the chosen supply chain partner, we undertook the task of seamlessly managing the entire process. Upon receiving goods encompassing complex and multiple SKUs from the production floor, we meticulously organized and managed the finished goods at the client’s distribution center. We streamlined dispatches based on order capture, ensuring the fulfillment of order targets and optimizing the delivery process.

We strategically identified the optimal blend of resources required to achieve efficiency and streamline the solution. Leveraging our expertise and the client’s system, our focus was on proactively identifying and rectifying bottlenecks, refining processes, and ultimately enhancing overall efficiency.

Challenges Overcome:

Efficient Loading and Unloading: To tackle the challenge of overall efficiency, we implemented targeted improvements. We introduced a 100% barcode scan-based picking solution for improving overall efficiency. Our solution involved strategically deploying skilled personnel, the right technology, optimizing workflows, monitoring key performance indicators (KPIs), and introducing performance incentives.

Timely dispatches: Our collaboration with the client’s distribution and planning team enabled us to smoothly facilitate the movement of goods from the Finished Goods Distribution Center to the retail outlets and distributors. This strategic partnership relieved their workload and ensured impeccable coordination, culminating in the timely fulfillment of orders.

Precision and Accuracy: Achieving 100% stock accuracy was of utmost importance. We implemented precise inventory management practices, leveraging cutting-edge technologies for real-time stock tracking. Regular system and physical audits and checks were conducted to ensure alignment with the physical inventory.

Vehicle Fill Rate Enhancement: Enhancing the Vehicle Fill Rate (VFR) held pivotal significance in optimizing transportation efficiency and aligning with the client’s vision of minimizing carbon emissions. We strategically grouped orders by product types, thus optimizing vehicle capacity and minimizing the number of delivery trips. This approach led to cost savings, reduced emissions, and improved delivery timelines.

Safety Standards: Safety was our top priority. Stringent safety protocols were implemented, resulting in a remarkable streak of over 4,000 accident-free days and counting. Our commitment to compliance extended to maintaining zero violations in employee working hours and other safety protocols.

Results:

• Loading/unloading efficiency witnessed a significant boost, with particularly notable improvements in case-level loading scenarios, further amplifying the efficiency.
• 100% stock accuracy achieved, instilling confidence in how we manage inventory.
• Significant reduction in delivery complaints, resulting in a notable upswing in overall customer satisfaction levels.
• Vehicle Fill Rates were elevated, culminating in a synergy of cost-effectiveness and environmentally conscious transportation practices.

Through a combination of targeted strategies, advanced technology utilization, and stringent quality control, we proficiently navigated the intricate challenge posed by our esteemed FMCG client. Our collaborative partnership remains dedicated to continual enhancement, upholding high quality and safety standards, and fostering excellence across the entire supply chain.