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EXPRESS LOG CO.

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PROBLEM

With 30% yearly growth the express logistic market in Vietnam is being very attractive for FDI. ExpressLog Co. established in HCMC 10 years ago and see its market share rising quickly.

A very fast growing market generates a constant need for capacity while keeping costs under control. ExpressLog Co., with 27% growth per year, has to build enough capacity to allow its operations to absorb sales potentials while maintaining a high service level. The Country Manager explained that he has been making extensive sales & marketing efforts and they were paying out. The company was on a good way to double revenue objectives and he could not accept his operation center to be a bottleneck toward sales. He wanted a new operation center with international equipment, standard processes well implemented and running fast. The substantial investment (facilities, equipment) related to the project would need a quick return. Besides, he was willing to give the operations team a better sense of efficiency by establishing a 20% productivity increase in the next 4 months. We mapped together what kind of support he was looking for:

Expertise

  • Flow/ Layout

  • Process

  • Equipment

Project Coordination

  • On Time

  • Quality

  • Within Budget

  • Autonomy

It was matching with what CEL could do, so we agreed about timeline and budget.

 

APPROACH

The operation team was well aware of the challenge and ready to make the step in changing the way they use to work. They were quite excited by the idea of truly being contributing to a major improvement project that would bring them to an efficient and international standard operation center. We agreed with them the following approach and project structure.

 

RESULT

Thanks to flow rationalization, lean operations, standard processes and equipment upgrade in ExpressLog the operation's capacity has been multiplied by 6 within

  • 4 months

  • The same space

  • The same resources

  • 10% under the agreed budget

The country director and operational team was proud of their new operation center, their achievement and shared that they had a really exciting time, a learning experience, working with CEL team. CEL team had a memorable experience within a friendly, professional and result oriented client.

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CEL

Supply Chain & Operations In Emerging Markets

www.cel-consulting.com

#CEL #CELconsulting #operations #supplychain #emergingmarkets #supplychainoptimization #leanoperations #demandsupply #businesssimulation

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