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4flow consulting offers consulting services in the area of optimizing distribution networks.
The Challenge
- Historically grown distribution networks which have not been thoroughly optimized in the last years.
- Distribution logistics geared to the distribution channels (e.g. every national distribution company has its own warehouse).
- Insufficient service level, customer satisfaction with logistics performance declining.
- Continuously increasing distribution costs.
- Indications of cost disadvantages compared to competition.
- Planned growth and/or expansion to new markets.
- Fundamental re-orientation of the distribution system, e.g., after a merger.
Our Approach
4flow consulting has high expertise in the analysis, conception, optimization and realization of distribution networks.
- Analysis of the customer and demand structure as well as of the customer requirement (service level) using 4flow vista.
 - Visualization of the demand structures in a distribution system using 4flow vista (example)
- Dicussion of fundamental structural alternatives (leveling the distribution system).
 - Single-stage distribution system as a possible structural alternative
- Calculation of the ideal distribution structure using 4flow vista, in particular the number and location of sites for alternative service levels (Greenfield model).
- Consideration of restrictions (storage capacities, maximum quantity stored for certain article groups – e.g. hazardous material, no collective transports for certain article groups possible, …).
- Calculation of the best possible distribution structure using (in part) existing locations with 4flow vista.
- Planning distribution processes.
- Evaluation of potentials.
- Sensitivity analyses for different service levels and other parameters of influence ('what would be if…' – e.g. for changes of transport costs caused by toll or fuel prices).
- Evaluation of additional potentials through outsourcing.
- Supporting management decisions.
- Detailed conceptual plan and realization plan, expansion path for the distribution system.
- Monitoring the implementation process.
 - Example for an expansion path for continuous extension of distribution logistics proposed by 4flow
Results
Typically, results 4flow consulting achieves results for clients through the optimization of distribution and reductions of distribution costs of up to 30 % and simultaneous improvements of the service level. Further results accompanying these improvements are:
- consolidation of customer loyalty,
- generation of additional turnover,
- enhancement of process efficiency,
- improvement of transparency and flexibility,
- anchor quality and process thinking within the organization.
Return to the overview Processes & Structures.
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