Case Study : Optimizing Complexity Through Supply Network Design

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Client Description

National Consumer Goods Manufacturer.

Background

The Client required a redesigned distribution network to properly service the thousands of customers representing the bottom 20% of sales revenue.

Objectives

Develop a distribution network which improves reliability, customer satisfaction, and improved cost structure to deliver increased “long tail” revenue.

TPG Approach

1) TPG conducted a rigorous assessment of the Clients customers to identify requirements and the competitive advantage associated with delivering improvements in forecasting and planning, improved reliability, improved communication and data exchange, and a better cost structure.
2) TPG assessed service provider capabilities and performance to identify required service bundles.
3) Conducted competitive response threats, pricing elasticities, and competitive analyses.
4) Developed capability bundles and Year 1 roadmap for network and information system planning.

Impact/Results

1) Client program was launched 90 days post engagement.
2) Improved after sales service processes.
3) Enhanced POS data and reseller analytics.
4) Improved client’s cash position vs. competitors.

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