Defining a new operating model for production line supply to reduce cost and improve responsiveness for global automotive manufacturer

Significant production reduction was putting strong pressure on the inbound logistics costs for the European arm of global automotive manufacturer.  LCP were asked to identify ways to re-base their logistics costs and define the future inbound supply model to enable radical improvements

Our team analysed the current logistics model, operating costs and performance, and benchmarked them in the industry.

We identified short-term cost reduction opportunities of 10% to 18% and delivered a clear vision for a new parts supply operating model; giving higher responsiveness to market demand at a lower operating cost.

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