Logistic and warehouse processes: how a company reduced costs and increased its efficiency
Case Study: optimization of logistic and warehouse flows to reduce costs and increase operational efficiency.
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Manufacturing
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Logistics
Redesigning logistics and the warehouse in a new plant
When a company changes plants, it’s not just production that moves. Habits, processes, material flows, and warehouse management methods move too. It is in this context that a Manufacturing company, specialized in the production of electric motors, chose Makeitalia to redesign its logistic and warehouse model, improve material and inventory management, reduce costs, and increase logistic efficiency. Here we present a new Supply Chain Consulting project recently completed for one of our clients. Let’s look at an in-depth analysis together: from the initial need to the implemented solution, to the results obtained in terms of warehouse optimization, picking improvement, and greater reliability of logistic flows.
A structured intervention on processes, flows, and operational management
The project addressed warehouse organization, processes, and operations in an integrated way to improve efficiency, control, and service to production.
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Client Industry
Electric motor manufacturer, needing to reorganize logistics in a new plant.
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Initial Situation
The client was facing a production transfer with logistic processes not yet structured and difficulties in managing material flows.
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Critical Issues Identified
Critical issues in picking, shortage management, and non-optimized flows, with impacts on costs and production continuity.
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Project Objectives
Need to optimize logistic processes, reduce operating costs, and ensure material availability for production.
Operational optimization and redesign of logistic flows
We intervened with a structured approach, combining operational and design activities to improve warehouse performance and ensure long-term stability. At the operational level, we optimized picking lists, introduced priority criteria, and structured shortage management, improving the efficiency of daily activities. We also defined planning and control tools, such as KPIs and dashboards, to monitor performance. In parallel, we conducted a review of logistic flows and production feeding methods, with correct inventory sizing and process standardization. The project involved our client’s operations team, ensuring the adoption of new working methods and the sustainability of results over time.
From analysis to stabilization of logistic processes
The project developed in three main phases: analysis of critical issues, implementation of operational interventions, and redesign of the logistic model, with consolidation of results.
Step 1
Process evaluation
Analysis of warehouse activities and identification of the main operational and organizational criticalities.
Step 2
Operational optimization
Introduction of picking logic, shortage management, and control tools to improve performance.
Step 3
Logistic redesign
Review of logistic flows and sizing of shop-floor inventory to ensure stability and production continuity.
Greater operational efficiency and production continuity
The project led to a significant improvement in warehouse performance, with greater operational efficiency, cost reduction, and full support for production activities.
Project Deliverables
Increase in picking activity productivity, thanks to optimized lists and clear priorities.
Less use of external personnel and greater efficiency in managing warehouse activities.
Guaranteed production continuity, thanks to the constant availability of materials.
Better process visibility through KPIs and performance monitoring tools.