Logistics Cost Savings Through Process Optimization

Post-COVID-19, a large automotive parts supplier was looking to optimize its logistics costs. Leveraging Gartner tools and advisory support, the client was able to identify multiple opportunities for improvement across processes, including an overhaul of the cycle-counting policy. The new policy required less effort and the client was able to reduce headcount by 75%, resulting in savings of $350K. 

Mission-critical priority

Following the pandemic, the client began looking at process and organizational levers to optimize business costs.

How Gartner helped

The client began by deploying the Gartner Logistics Maturity Assessment tool and research to identify areas to focus on for cost and efficiency. Gartner analysts reviewed best practice approaches for distribution center productivity and slotting optimization, and recommended changes to the cycle-counting policy for inventory control. 

Business impact

With support from Gartner for Supply Chain Leaders:

  • Identified potential for optimization across multiple processes in the supply network.
  • Reviewed and implemented changes to outdated and redundant policies.

Automotive Parts

$50 million


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