CASE STUDY – Surgical Equipment Manufacturer

Project Explanation

To develop the optimum distribution center for superior customer service & profitability. 

This multi-national surgical equipment manufacturer and distributor is globally recognized as the premier supplier of surgical equipment used in almost every operating room in the world. Their growth has been exceptional with excellent sales and frequent acquisitions.

It has been a challenge for corporate to determine how to best optimize their expanding resources. Consolidation, relocation, and optimization of their various operational functions would be required. So this multi-national organization selected the Facilities Planning Services Group to partner with them to help ensure their continued success.

Our first mandate was to consolidate all North American Distribution operations into one location to optimize transportation costs, labor costs, capitol equipment costs, and improve customer service. This was achieved within budget and on schedule.

This multi-national surgical equipment manufacturer now has an impressive world class Distribution Center that is flexible, basic, and cost effective that can grow with them.

The proven FPS Flow Optimization & Resource Management FORM approach to optimize client resources, has helped ensure that this industry leader will maintain his premier global market position well into the future.


Each facility was valued mapped to determine their consolidated service level. Each operation was analyzed in detail to determine which resources could be utilized in the consolidated operation. Many potential opportunities were analyzed and discussed to improve service levels and profitability.

A Flow & Cube Analysis was conducted at each facility to determine the specific physical Distribution Center requirements of the consolidated operation. The FORM five year numerical simulation was done to determine the optimum cost effective operational profile. This operational profile very easily translated into their Optimum Layout. This was a strict scientific analysis, not preconceived or predetermined by anyone.


SUPPORTING DOCUMENTS

Flow Optimization and Resource Management