US metropolitan newspaper

Under significant pressure to reduce the company’s operating cost base, the client faced the dilemma of how to achieve a meaningful reduction in the $300m spent annually on home distribution services – while maintaining service levels to its extensive customer base in a fiercely competitive market.

Using linear programming methodologies to model and optimise the client’s distribution system – subject to strict service constraints – the team recommended a shift towards larger distribution centres. Given the scale of operations and the risks involved, the detailed operational models proved to be a cornerstone in convincing the client, and were complemented by a pilot programme to develop the specific blueprint and operating model for new distribution centres.