BACKGROUND
A leading provider of supply-chain management, e-commerce, fulfillment and reverse logistics was looking to reduce operating costs by consolidating its Eastern U.S. operations “under one roof”.  The Beacon Group was contracted to assist the client in the downsizing of this operation.

CHALLENGE
The customer needed a business partner that could assist them in the consolidation of their Eastern U.S. operations.  The challenge was devising a plan that could be implemented effectively without disrupting their day-to-day business.  They needed to keep their current distribution center in operation while “constructing” a replica of the operation in another facility.  Coordination of staff, logistics concerns, and project management would be major obstacles for the customer as they embarked on reducing their physical operation by 30-40% inside of a three (3) month period.

SOLUTION
In concert with key client personnel, The Beacon Group developed a proposal to implement a distribution system within the “new” building, while maintaining the existing system currently in place at the distribution center.  The Beacon Group designed the new system, procured all needed technologies and equipment, and installed the system.  However, this was only phase one of the project.  The next phase was physically transferring any existing systems that were required in the new building and integrate them with the new system.  Included in this equipment list were conveyor and packaging systems, vertical carousels, 30’ tall pallet rack, and an entire fleet of lift trucks.  The Beacon Group completed the relocation of all needed equipment with a very short deadline.  The customer never missed a single shipment during this transition.

RESULTS
At the end of the day, our client was able to bring its entire operation into one (1) facility without missing a shipment, losing an order, or tying up internal resources.  The immediate return for the customer was a $30,000 per month savings on lease costs, thus achieving a project return on investment (ROI) of less than six (6) months.

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