OPEXA
Case study · 2024

Re-engineering a 14-DC ASEAN network for 19% lower cost-per-unit.

Network of 14 DCs across five markets had grown organically through acquisition. We rebuilt the network footprint and DC operations standards.

Re-engineering a 14-DC ASEAN network for 19% lower cost-per-unit.

19%

Cost-per-unit reduction

+22%

DC throughput lift

14 → 11

DCs in optimized network

$28M

Annualized savings

Challenge

The starting condition.

Acquisition-led growth had left the client with 14 DCs of varying scale across 5 ASEAN markets. Cost-per-unit was 23% above peer benchmark, with no consistent operating model across sites.


Approach

What we did,
in order.

  1. 01

    Network optimization model built from carrier rate cards, demand patterns, and lead-time SLAs.

  2. 02

    DC operations standard built across slotting, pick-pack, and outbound.

  3. 03

    Engineered labor standards deployed in 11 retained DCs.

  4. 04

    Three DCs consolidated into adjacent locations, with no service-level disruption.

  5. 05

    WMS configuration standardized across the retained network.


Results

What was sustained,
at month twelve.

  • 19% cost-per-unit reduction across the retained network
  • +22% DC throughput lift through engineered labor standards
  • $28M annualized savings, validated by client CFO office
  • Three DCs successfully consolidated with zero customer SLA breaches
  • Operating model now applied to two new DCs commissioned post-engagement
Begin

Your operation,
your case study.

Engagements like this one start with a 45-minute conversation and a written brief — before either of us commits to anything.

No-obligation diagnostic conversation · Replies within 48 hrs