Operation Improvement & Cost Model Development Project

Our client is a local logistics service provider specialized in providing diversified and integrated logistics and warehousing service to facilitate cargo movement of clients. A continual increase in cargo volumes requires them to get prepared for the development boom. How to effectively streamline the existing warehouse operation to ensure prompt, efficient export shipment handling in a short period of time is becoming a priority for our client. In addition, in order to drive a balance in service levels and controlling costs, a cost model for better visualizing the amount of resources devolved is eager to be set up. BPS is appointed to study on operation improvement, performance review and cost modeling for the warehouse operation.

They retrieve cargoes from container handling system and Unit Load Device (ULD)   build-up, and frequently operate under a stringent time limit, but the responsiveness is heavily dependent on the upstream processing which means the order time and cargoes composition is unpredictable. Therefore, it is challenging to provide prompt, attentive service response under uncertain demands, which drive the needs of shorten response time and better resources allocation.

BPS recognized that the core process of an entire service is the ULD build-up operation. A motivational program was set up to analyze potential factors that affect the operation and provide corresponding solutions in achieving better productivity, and balancing different parties’ interests.

BPS provides a set of turnkey solutions for the export cargo handling, including reliable network, traceable tally sheet, best-practice sharing workshop, and an applicable and incentive scheme, etc. We also focus on the Layout Improvement, Operational Restructuring, Occupational Safety and Health, and Information Technology to improve the shortage of warehouse space, limited operation efficiency and non-synchronization situation of material flow and information flow.