Penske Knoll

Trimis la data: 2009-12-31 Materia: Economie Nivel: Facultate Pagini: 3 Nota: / 10 Downloads: 0
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Knoll Incorporated is a global leader in office furnishings, design and manufacturing. The company wanted to consolidate the outbound shipments of several North American manufacturing plants into one
network. This consolidation would allow customers to receive entire orders simultaneously and reduce overall transportation costs. Penske's solution to develop consolidation warehouses and a unique load
plan layout resulted in a ten percent reduction in transportation and warehousing costs and a 45 percent increase in their overall customer satisfaction rating.
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With an expansive network of more than 400 dealerships and showrooms in North America, Europe, Asia and Latin America, Knoll has worked diligently to ensure every customer receives each order efficiently,
on-time and accurately. To accomplish this, Knoll employed Penske Logistics in July 2001 to consolidate outbound shipments of its four North American manufacturing plants into a single distribution network.
Prior to 2001, customer shipments were unconsolidated.

As each of Knoll's manufacturing plants are responsible for different product lines, the company had to make multiple shipments to each customer to fulfill a single order. This distribution approach created a costly gap of inefficiency within Knoll's operations.Knoll knew a major shift in its transportation and distribution strategy would be no small task.

They needed a third party logistics provider which was first willing to acquire a deep understanding of the company's current distribution operations and infrastructure. Furthermore, as the furnishings industry
was entering an economic slump in 2001, Knoll needed a 3PL that could provide flexible, cost-efficient solutions. Penske Logistics met these initial requirements and, once selected, hit the ground running. The first step was to conduct an in-depth analysis of Knoll's current operations.

For nearly 14 months, Penske closely monitored product volume, transportation rates, delivery points and freight combinations. During this time, the unstable economy allowed Penske to acquire data representing the entire spectrum of productivity, while enabling Penske to theorize logistics strategies in a variety of economic conditions.
Penske's next step was to help Knoll develop benchmarks that would allow for the measurement of future success.

Using a combination of Knoll and Penske financial specialists, the team analyzed previous financial statements to determine areas of high costs. The team quickly identified two key areas for cost improvement - transportation and labor. These areas would be closely measured throughout the change in Knoll's transportation and distribution strategy.

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