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Showing posts with the label Cost Reduction

Case Study: Third Party Vendor Improvement

Project Details Objective: Using Collaborative Contract Restructuring to Achieve 1500bps On-Time Delivery Growth in North American Logistics Company Name: Amazon Program: Vendor Execution Improvement Initiative Location: North America (FC to Last Mile: Sort Centers & Middle Mile) Role: Senior Manager for Customer Experience Timeframe: 2022–2023 Challenge The 5 W’s: Who: Amazon’s North American logistics network and its six major third-party Less than truckload (LTL) vendors . When: The issue reached a critical breaking point during the 2021 Holiday Peak season. Where: Across the entire supply chain, specifically at the hand-off points between Amazon internal nodes and external vendor networks. What: Escalations to the VP level revealed a recurring theme: "Everything is fine until another company is in charge." Deep dives revealed that vendor contracts had no framework for the "Customer Promise." Vendors were incentivized solely on delivering the package, rega...

Case Study: Speed & Safety Experiment – Retail Logistics Transformation

Objective: Using Root Cause Analysis & Process Standardization to Achieve $20M Cost Reduction & 6% Sales Lift in Retail Logistics Project Details Project Title: Speed & Safety Experiment Company Name: Target Corporation Program: Replenishment Process Optimization / Safety & Efficiency Initiative Location: Fifty (50) stores in South Florida Role: Pilot Operations Manager/ Project Manager for Expansion Timeframe: 2013 (one year) / 1 Month Pilot, 2 Month Test, and 9 months for Full Adoption.   Challenge Who: Logistics and Replenishment teams across a high-volume 50-store group. What: The organization faced a "triple-negative" operational failure. While attempting to speed up replenishment to cut costs, the incident rate spiked to 6.2 cases per 100 workers. This rush caused process breakdowns, dropping in-stock rates to 85% (empty shelves) and ironically increasing the workload for other teams due to rework. Where: In the back-of-house receiving docks and...