National Baked Goods Company Reduces Chargebacks by 87%

Written by ODW Logistics | Sep 26, 2023 5:59:29 PM

OVERVIEW

A national manufacturer of baked goods, breakfast foods, and desserts was seeking a third-party logistics provider (3PL) to design and deliver an optimized supply chain that would control distribution costs and improve retail compliance processes with major retail partners like Walmart, Target, Kroger, Albertsons, and other major food retailers.

CHALLENGE

The company was looking to unify multiple brands under a single supply chain solution
that would improve operational efficiencies.

Inefficient retail compliance processes were straining relations with Walmart,
Target and major food distributors.
Disorganized process flows, staging configurations, case picks and space
mismanagement resulted in a bloated DC network.

“We needed a 3PL that could help us optimize our DCs and collaborate as a strategic partner to build a retail compliance process to control charge-backs.
— VP of Supply Chain | National Baked Goods Company

SOLUTION

The company partnered with ODW Logistics to analyze their supply chain and optimize their existing network.

Retail Compliance

Implemented vendor compliance guides for retailers
Optimized carrier relationships with standard procedures, pickup schedules, and communications
Identified order submissionerrors and installed proactive systemic solution

Distribution Centers

Reconfigured racking and storage to improve capacity by 60%
Rebalanced inventories and eliminated DC overflow facilities
Engineered case-pick solution for optimal replenishment of ffast-moving SKUs

RESULT
Reduced retail compalinace chargebacks by 87%

RESULT
Optimized storage and eliminated
300,000 sqft of inefficient overflow space

Implemented 4 DC facilities in 6 months totaling
1M sqft

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