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Big Home Shop Interim Leadership Case Study
Dominic Proctor • February 13, 2017
Big Home Shop Interim Leadership Case Study
THE CLIENT
Ultra Finishing Group is an independent distributor of home furnishing products with a turnover of £100M.
Big Home Shop was a newly divested PE funded e-commerce B2C retail business which required a new operational structure to be established.
- Develop Target Operating Model for start up Big Home Shop Utilising Lean methodology.
- Designed and commissioned a new warehouse facility which could provide next day delivery service for a start up e-commerce B2C retail business with capacity to pick and ship 2000 orders per day.
- Establish short term 3PL partners who could support the distribution of goods to the end customer during the transition phase
- New ERP system NetSuite required a configuration strategy so that SKU demand forecasting was utilised which would ensure that core products was always held in stock.
- Due to the range of products supplied a range of third-party carriers would be required to distribute products to the customer in the UK and throughout the world.
- Established a positive relationship with all key internal and external stakeholders.
- Devised TOM & operational excellence strategy for procurement, warehouse and distribution operation, including reviewing all options so the lowest operating cost model could be defined.
- Defined and produced new Operational Excellence procedures for all aspects of TOM including quality and compliance.
- Recruited new operational team and trained them in Operational Excellence processes.
- Adopted S&OP and ABC inventory principles for forecasting SKU demand and subsequent ordering of stock from UK and Far East Manufacturers.
- Benchmarked the latest warehouse technology ( fast pick modular racking and handheld barcode readers) which were incorporated into go live NetSuite WMS configuration.
- Benchmark and establish third party carrier agreements complete with Metapak optimisation software so that the most cost-effective carrier is selected for the despatched product.
- 3PL partners established for Phase 1 go live in January 2016.
- The new operational team, warehouse and WMS fully established and in place for Phase 2 go live in June 2016.
- 99% availability of core products was achieved following successful configuration of demand planning in NetSuite ERP.
- Target Operating Model in place for go live which utilised lean methodology including, daily level 1 team meetings, Short Interval control to measure performance and 5S Housekeeping standards allowing operation to pick and dispatch over 1500 orders each day.
Bio
Dominic Proctor is the Managing Director of Matrix which provide Interim Management or Consultancy project support for Industrial Manufacturing and Logistics organisations looking to achieve breakthrough growth for their businesses through the development of Operational Excellence model which delivers transformational change. Dominic has 30 years of supply chain and operational leadership experience in Industrial Manufacturing (Berendsen & Johnson Service Group) and Wholesale Distribution (Bunzl & Rexel), he is passionate about supporting organisations to achieve Supply Chain Excellence which is achieved through a collaborative leadership style and a continual pursuit to achieve excellence. If you like to discuss a potential Supply Chain or Operational Efficiency Improvement project then you can contact Dominic for an informal discussion at dominic.proctor@matrix.org.uk.