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Scalable Logistics Operation

Situation

A U.S. healthcare startup with a fast growing customer base contacted LogiChain Solutions needing support in setting up a scalable logistics operation.

 

Challenge

The client has aggressive growth plans for the United States and needed to set up a scalable logistics network to support their aggressive mid-term business goals at reduced logistics costs. 

 

Rene was also tasked with assisting in a package redesign, improving temperature stability, and lowering the cost of all the packaging components.

 

Action Steps

Rene both evaluated and negotiated a pricing agreement with the client’s courier service in order to accommodate their fast volume growth and need for easy shipping solutions.

Working closely with multiple packaging companies, Rene coordinated the redesign of the product packaging and all its components. 

Rene created a decision model for outsourcing the kitting and order fulfillment, which included costs, optimal volumes, and timing. He then evaluated optimal locations and potential fulfillment centers for the client.

 

Results

Rene's efforts in shipping and fulfillment solutions led to a 30% reduction in shipping costs. 

 

The redesign of the product packaging improved customer experience, reduced packaging costs by 20% while improving product quality and stability. 

 

Based on Rene’s decision model, the client was able to make confident insource and outsource decisions for the various logistics services. 

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