Case Study: Supply Chain Facility Strategic Master Plan

The Challenge

• A leading provider of home healthcare products and services needed to improve rental and new product storage, as well as boost picking and shipping efficiency.
• The company’s order fulfillment channels required the development of a consistent facility operating and layout concept for eight distribution centers.

Tompkins' Role

• Developed a facility strategic master plan for all eight US distribution centers.
• Created standard operating procedures for one DC that could be transferred to all other facilities.
• Developed detailed operating plans and layouts for finished goods and component receiving, returns staging, repair and new finished goods storage, picking, packing and shipping.

The Solution

• Determined safety stock and operating inventory volumes for all existing and in-sourced SKUs.
• Developed a consistent operating and layout strategy that can be implemented across all distribution centers.
• Created an efficient order picking strategy, which includes pick modules that utilize pallet pick locations, carton flow rack and bin shelving. These pick modules handle 80%-90% of all picking.