When current facility capacity won’t support growth and acquisition plans, we have answers
Exponential growth and an aggressive acquisition plan at Polaris Industries, (a $3 Billion OEM Recreational Vehicle Manufacturer and Distributor), identified the need for a new DC strategy.
Its existing, single 700,000 sq. ft. facility would not be capable of supporting the company’s growth plans so they approached SCA to develop a solid business model that would identify the optimal number and location of DC’s required to meet their needs over the next 10 years. The plan would need to include inbound and outbound transportation costs, facility and operations sizing/costs as well as inventory service goals.
How we solved it:
SCA provided a 3 point process to examine the challenge and determine the appropriate model.
- Develop a comparative baseline analysis.Work closely with the Polaris cross functional team to identify and agree on the data required. Compare today’s data with modeling outputs.
- Examine future volume and operational requirements.Working in partnership, the Polaris team and SCA’s experts quickly identified future volume needs by business category and vetted operational changes that met Polaris’ needs.
- Develop the 10 year plan.Our recommended modeling output provided a business case and facilities plan that clearly proved the optimal case for change.