A Fortune 500 consumer packaged goods company
A Fortune 500 CPG company set out to simplify a supply chain that had grown unwieldy over time. Its network had expanded into a patchwork of facilities — a central distribution center adjacent to a manufacturing plant, a large dedicated export warehouse, and 18 additional warehouses — with freight moving through dozens of carriers coordinated by an in-house traffic department. The complexity was driving up cost and management overhead, and leadership wanted to rationalize the footprint and reduce the number of locations without disrupting service to wholesale customers nationwide.
To get there, the company engaged CJ Logistics as its Lead Logistics Partner (LLP), handing over end-to-end responsibility for the supply chain from central DCs all the way to the customer's wholesale accounts.
Rather than rebuild the network from scratch, CJ Logistics designed a streamlined model deliberately structured to protect service while taking out cost. The plan retained current regional DC and carrier partners wherever it made sense, mitigating the risk that comes with wholesale change and keeping continuity for the customer's accounts during the transition. The redesign consolidated the footprint from 20 locations down to nine warehouses supported by five crossdock operations. Execution was sequenced carefully: CJ Logistics transitioned 14 buildings over an 18-month window, ordering each move logically so that no part of the network went dark or fell behind on service.
To keep the partnership tightly aligned, CJ Logistics embedded one of its own leaders on-site at the customer's headquarters early in the start-up phase — putting decision-making close to the customer during the highest-risk period of the engagement.
RESULTS