Lighting Success Story : Sedlak Distribution Network Optimization



	Sedlak associate: "When I finished my systems integration assignment, the client threw a party for me. Several months later, when I returned to see how things were going, the DC director greeted me with open arms—literally."

	"Everything Sedlak does is driven by a customer need. They are extremely adaptable in moving with the flow of industry technology. They keep up to date on what's happening, while maintaining that detail level" Jeff Freeman Sr. Vice President Corporate Operations Pleasant Company

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This Fortune 1000 company is engaged in the design, manufacture and sale of lighting fixtures and miscellaneous electrical components for a range of commercial, industrial and residential applications.

Because of slow economic conditions, its lighting business was down considerably and the company needed to find ways to reduce costs immediately. This included cost reductions in its supply chain and distribution network. Sedlak was hired to perform a strategic network analysis to determine the optimal distribution network based on inbound and outbound transportation costs, and also perform a sensitivity analysis on its transportation modes.

Sedlak used its proprietary modeling tools to determine the best one, two and three distribution center network that offered the client the highest level of cost savings compared to its existing network of five distribution centers. The resulting optimized (2) DC network for the design year resulted in a savings of nearly $5MIL compared to the existing network on transportation cost alone.