A manufacturing company for the mining sector in South Africa required a review of their Supply Chain Distribution network (15+ branches). The company wanted to ensure that current and future supply chain distribution capacity was sufficiently aligned with their projected 5-year sales growth forecasts. The company did not have the in-house capability or capacity to complete the strategic project review.
A manufacturing company supplying goods to the mining sector in South Africa
Caliba was engaged to lead the project, which included:
- Deep-dive review of the upstream and downstream supply chain.
- Investigating the role of the Central Distribution Centre within the supply chain.
- Review of upstream and downstream suppliers and their contractual relationships.
- Consideration of the viability/need for an alternative distribution model.
- Creation of a 5-year and beyond Growth Development Plan.
Caliba delivered a revised distribution model and growth plan that enabled:
- Improvement of overall supply chain efficiencies.
- Reduction of material handling.
- Reduction of congestion at CDC.
- Reduction of inventory holding and Working Capital needs.
- Reduction of transport costs.
- Reduction of Time to Market.
- Reduction of costs by 10-15%.