Distribution Center

Case 3: Production and Distribution Center Master Plans - Food Production Plant And Distribution Center

Client Situation

Client wanted to carry through changes in production and distribution network:

1. Centralize production to one plant instead of two

2. Close two existing distribution centres

3. Introduce satellite distribution concept for direct store delivery (DSD)

As these kind of changes mean big adjustments regarding the remaining plant and DC, the client initiated the project to create a master plan for the plant.

Objectives of the project were to develop master site plan for the plant, to design plant layout, define operational plan for the site and calculate investment costs for needed changes.

PlaNet's role in the project

• Manage the total project with several subcontractors and planning divisions
• Assist client to develop sales scenarios, which were the bases for dimensioning and planning
• Dimension space and system capacities by means of simulation
• Develop site plan and plant layout
• Plan optimal work processes and technical solutions
• Estimate investment costs and operating expenses for the site

Solution and client benefits

• Master Plan led to cost efficient facility where work and capital productivity were world-class
• By optimal dimensioning of the plant and DC, client reduced total building investment costs.
• As the needs for future extension and flexibility were considered already at the planning phase, unnecessary investments were minimized already in the future
• Realistic implementation plan was defined

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