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Spotlight

Project & Development Services, Relocation Project Management

Size

Nine-building product inventory consolidation

Value

80% increase in processing efficiency, 30% reduction in storage space required

Setting the pace

For this client, S+O executed the project in two phases: Project and Sustaining Service. The Project phase involved removing items no longer needed or used by the client and managing the preparation, containerization and post-move “settling in” to the client’s new product storage spaces. To inform their Project approach, S+O used the results of the warehousing and storage study, which identified nine core themes to be addressed:

  1. High volume of product samples
  2. Excessive non-essential material
  3. Inventory tracking
  4. Security risks and liability
  5. Decentralized storage
  6. Lack of processing space
  7. Spaces do not align with function
  8. Hesitation to use offsite warehousing for storage
  9. Co-location to optimize operations

Through this framework, S+O identified three deficiencies in the workflow design of the client’s storage rooms:

  • No boundaries between processing areas
  • Overflow packages landing on personal workspaces 
  • No place to collect ingoing or outgoing packages

To address these problems, the team recommended clearly defining individual processing areas, creating a shared work area for collaboration and separating inbound and outgoing package collection areas from processing spaces.

S+O also formulated a strategy for optimizing the available space in the new building by streamlining liquidation of outdated products, defining space usage and standards, and adjusting racking equipment, among other initiatives.

The results were a home run

As a result of their work in the Project phase, the client was able to emplace all of their materials into the building appropriately.

“The client’s original analysis indicated there would not be enough space to hold all the product coming from the legacy buildings,” said McIntyre. “However, once we consolidated all of the teams and materials into the buildings in accordance with our recommendations, the client actually found that there was plenty of space to spare.”

In addition, the initiatives implemented by S+O led to an 80% increase in processing efficiency and a 30% reduction in the amount of storage space required.

S+O’s flexibility and deep knowledge of the client’s existing setup and anticipated needs has also enabled them to serve as a bridge between the client and other PDS services like Portfolio Strategy, Occupancy Planning, Relocation Project Management, and Warehouse Management.

“There are times when the client doesn’t know how to get to the next step of something they need,” explained McIntyre. “Although the labor piece may not be in our scope of work, we know exactly who to direct the client to.”

What’s next?

S+O is working to expand their services to additional buildings in the client’s portfolio, as well as bringing on additional clients.

In addition, the S+O team plans to introduce a third service, Workflow Design, which would leverage their specialized Lean expertise to design and integrate people workflows in environments to eliminate waste.