tsmg

Tata Strategic identified cost reduction opportunities in the areas of transportation (through competitive negotiations), clearing and handling (by modifying the payment structure), and inventories (by redesigning the scheduling process). Tata Strategic also identified opportunities to de-bottleneck capacities at nodes through process redesign and route optimization. Tata Strategic negotiated with several potential third party logistics service providers who could manage end-to-end logistics activities.

Tata Strategic’s recommendations enabled the client achieve overall cost reduction of about 30 per cent while also reducing capacity requirements of warehouses. Other fixed costs were expected to reduce by about 40 per cent. The client achieved a 5 per cent cost reduction by implementing some of the recommendations even before the study was completed.

TSMG identified cost reduction opportunities in the areas of transportation (through competitive negotiations), clearing and handling (by modifying the payment structure), and inventories (by redesigning the scheduling process). TSMG also identified opportunities to de-bottleneck capacities at nodes through process redesign and route optimization. TSMG negotiated with several potential third party logistics service providers who could manage end-to-end logistics activities.

TSMG’s recommendations enabled the client achieve overall cost reduction of about 30 per cent while also reducing capacity requirements of warehouses. Other fixed costs were expected to reduce by about 40 per cent. The client achieved a 5 per cent cost reduction by implementing some of the recommendations even before the study was completed.