Interrogating proposed client strategies
Our client had taken the strategic decision to close their Lytton manufacturing facility. This site also served as their primary distribution centre into Queensland, receiving additional product from Melbourne and Perth. Closing the manufacturing site resulted in their decision to lease a new distribution facility in Brisbane.
Based on Prological’s knowledge of our client’s customer base, coupled with Toowoomba’s inherent capability in that market, Prological was invited to review, interrogate and develop an alternate view.
That view was to expand the capability of our client’s existing Toowoomba facility and open a new supplementary facility in Townsville.
This was an integrated model including inbound freight and outbound freight to QLD customers, using Toowoomba based transport providers supported by Brisbane based transport companies.
Designing alternative models
Prological built models that clearly demonstrated the service, cost, and safety benefits of expanding the Toowoomba facility’s capability.
These models also evidenced the commercial and service benefits of basing the Queensland distribution centre hub in Toowoomba.
Compelling improvements
The case for Toowoomba plus Townsville was so compelling that discussions regarding a Brisbane based Distribution Centre ceased and the Toowoomba/ Townsville strategy was executed.
This strategy not only presented positive cost outcomes coupled with a higher average service lead times to QLD customers, but also increased our client’s market share due to the uniqueness of their superior service offering.
