Electronics Case Study
Network strategy and optimization
Summary:
Our collaborative and consultative approach with a multi-million-dollar electronics manufacture helped them to optimize and restructure their logistical network strategies. Sore Systems approach was to eliminate unproductive miles, consolidate shipments, and assist in choosing the appropriate transportation model. After successfully implementing the solutions offered by Core Systems, our client reported $12 million in annual savings costs and reduced their carbon footprint by 90%.
The Client: Multi-Million-Dollar Electronics Manufacture
Our client is a $300 million electronics OEM based out of Silicon Valley.
The Challenge: Realigning Logistics Management Improves Productivity
Looking for ways to reduce transportation and logistics costs by eliminating unproductive miles, consolidating shipments, and choosing appropriate transportation models, our client reached out to the experts at Core Systems. The absence of comprehensive network flow analyzation over the course of 10 years was negatively impacting the logistical management of the company, creating an unbalance between cost and performance.
After successfully implementing the solutions offered by Core Systems, our client reported $12 million in annual savings costs and reduced their carbon footprint on APAC lanes by 90%.
The Solution: Logistical Analyzation Improves Cost and Performance
Seeking ways to boost productivity and increase revenue, the client enlisted the help of Core Systems to collaborate on strategies that would align their logistic management system. With the company’s five major suppliers being located over-seas, it was important to create a balance between transportation cost and performance. After several consultations with the client, our team of experts recommended switching to air transportation in order to reduce lead-time and associated forecasting errors. The Core Systems team also offered solutions to help our client better service the APAC market by advising the establishment of a final assembly site located in Hong Kong.
Results: $12 Million in Annual Savings
Our client realized quantifying results after successfully applying the solutions offered by Core Systems; the company reported $12 million in annual savings costs and reduced their carbon footprint on APAC lanes by 90%.
About Core Systems
Core Systems is a transformation advisory firm focusing on growth, innovation, acceleration, reimaging companies… Therefore, we set high standards, make a difference, show respect, embrace innovation, build open and honest relationships, do more with less, and maintain a posture of humility and grace to all.