Background & the Client Challenge

The client is one of the top 10 pharmaceutical manufacturers globally. They have expanded one of their Ireland based facilities, to develop a bio-pharma campus, with production scaling to full capacity by 2022.

We were engaged to perform a review of the warehousing strategy to ensure it would scale correctly to support this expansion. A detailed 60-month plan needed to be developed.

What We Did

A detailed review of all on and off-site warehousing activities was performed and a detailed needs analysis was mapped covering a 60-month period.

We completed a 60-month capacity expansion plan review and overlaid this onto the existing warehousing infrastructure, resources and 3rd party logistics support.

Detailed mapping of the set-up and operation of warehousing and material movements on-site provided the “As Is” structure. A Lean Six Sigma review of the process identified the “Future State”.

By combining these, we developed a plan which resulted in a leaner and more efficient warehousing solution. This strategy also meant the client did not need to invest in additional warehouse capacity resulting in significant cost avoidance.

Results

  • $7m cost avoidance by demonstrating that capacity could be made available within the existing infrastructure in combination with efficient use of 3rd party warehousing

  • Development of “Control tower” strategy for centralised warehouse management

  • Lean Warehousing Review resulting in 30% Improvement in efficiencies identified

  • Increased use of outsourcing of non-core activities resulting in c.$100k in annual savings

Brian O’Brien

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