SUCCESS STORIES
A leading distributor of aftermarket collision repair parts operates a nationwide network of more than 50 locations across the United States, primarily serving collision repair centers. The company offers a broad product portfolio including bumper covers, lamps, hoods, fenders, and door mirrors, supported by a strong focus on quality control and a return rate significantly below industry averages. Using a hub-and-spoke distribution model, the organization provides same-day or next-day delivery to customers through its own fleet of vehicles. As the company continued to grow and refine its distribution strategy, leadership explored opportunities to consolidate inventory into facilities with available capacity.
The company was evaluating whether consolidating inventory into fewer distribution centers could reduce costs and improve efficiency without compromising its same-day and next-day delivery model. Leadership needed to understand the impact this strategy would have on transportation costs, fleet utilization, delivery routes, and customer service before making a significant network change.
Alpine Supply Chain Solutions conducted a comprehensive network optimization analysis to evaluate the tradeoffs between warehouse capacity, transportation costs, and delivery performance. By modeling the proposed inventory consolidation strategy, the team assessed its effect on routing efficiency, service levels, and overall operational performance, providing leadership with a clear, data-driven recommendation.
The analysis determined that consolidating inventory would increase transportation costs while reducing delivery responsiveness, offering no meaningful operational advantage. By identifying these risks before implementation, Alpine helped the company avoid unnecessary disruption, protect its same-day and next-day service model, and make a more informed strategic decision.