Logistics site planning: the right network for your flows of goods

AZentron Solutions supports companies with logistics site planning – from network analysis and scenario evaluation through to implementing new site structures.

A logistics network often grows with the company, but not according to plan. Sites are added, transport routes get longer, inventory is spread out. The result: high transport and warehousing costs, tied-up capital and increasing pressure from shorter delivery times and tight delivery windows. Decisions made here set the cost structure for many years.

✓  Network planning in a corporate group for five national organisations

✓  > €500m investment volume (logistics technology and construction)

✓  Site consolidation

✓  Supply chain design software

Typical questions in logistics site selection

Central warehouse or regional warehouses?

A central warehouse pools inventory and lowers warehousing costs, but lengthens transport routes. Regional warehouses are closer to the customer but tie up more capital. The right answer depends on product range, delivery area, service times and transport costs.

How many warehouse sites does a company need?

As few as possible, as many as necessary to achieve service levels economically. A logistics network analysis shows where this point lies for your company.

Consolidating warehouse sites – yes or no?

Consolidation often saves fixed costs and inventory. But it also changes transport routes, organisation and jobs. That is why profitability, risk and the impact on your employees belong on the table together.

Approach

1. As-is analysis

Flows of goods, inventory, costs and service levels in the existing network.

2. Logistics network analysis and scenarios

Options for the number, location and role of sites – calculated with supply chain design software.

3. Evaluation

Costs, service level, capital commitment and risk compared side by side.

4. Implementation plan

Sequence, investments, organisation and communication.

Demanding urban distribution

Dense supply networks, limited delivery windows and differing product requirements make high demands on distribution. I bring experience in planning and managing complex urban distribution networks. Site structure, transport capacities, delivery concepts and warehouse processes are aligned – delivery quality, profitability and temperature-related requirements are factored into the planning together.

Experience

Responsibility for strategic network planning in a corporate group for five national organisations – including site consolidation, divestment of logistics real estate and an investment volume of more than €500m.

→ More about Andreas Zich

If network planning leads to a new building, I also support the implementation.

→ New Warehouses & Warehouse Automation

Putting your logistics network to the test?

In the initial call we clarify your starting point and the right questions.

Frequently asked questions

What is a logistics network analysis?

An analysis of all flows of goods, sites, inventory and costs in the network. It shows where costs arise and calculates how alternative network structures would perform.

How long does site planning take?

That depends on the size of the network and the available data. We set the time frame after an initial review of your data.

What data is needed?

Mainly shipment and order data, inventory, costs of sites and transport, and your service requirements.