Large Construction Equipment Supplier

Tasks

Redesigning the company’s existing logistics and operating model in response to market changes in 2024.

The project required an assessment of the performance of the main spare parts and equipment warehouse, the tire warehouse, and the outdoor storage yard. It also included an analysis of the interaction between the distribution center and regional branches, covering both forward and reverse logistics, as well as an audit of the existing IT systems and their integration.

What was done

The NOYTECH team conducted a comprehensive assessment of the company’s supply chain, covering both strategic planning and day-to-day operations.

The first stage focused on evaluating the existing logistics strategy and its alignment with the new market environment. Based on the findings, a logistics development roadmap was prepared, including recommendations for updating strategic priorities.

Particular attention was given to material flows. The team documented the current business processes, identified operational bottlenecks and sources of inefficiency, and defined key areas for transformation. In addition, the transportation model was reviewed to evaluate its strengths and weaknesses.

A separate workstream focused on auditing the main warehouse while preserving its role as the central distribution hub. Several scenarios for reducing operational workload were proposed, including initiatives that could be implemented without disrupting ongoing operations, as well as recommendations for areas requiring more fundamental changes.

To assess warehouse process maturity, NOYTECH developed a structured audit checklist that provides a framework for continuous operational improvement.

Another major component of the project was the evaluation of the company’s IT architecture. Given the fragmented automation landscape, NOYTECH specialists identified the minimum functional requirements for a warehouse management system (WMS) based on actual operational needs.

The interaction between the ERP platform, warehouse systems, and supporting applications was analyzed to identify duplicated functionality and process gaps. Based on these findings, the team delivered an objective assessment of the feasibility of implementing a dedicated WMS, taking into account the company’s scale, operational requirements, and expected economic benefits.

Result

• Identification of the key priorities for supply chain transformation and developed a phased implementation roadmap.
• Design of operating scenarios for the company’s main sales channels, establishing clear order prioritization rules and opportunities to optimize logistics costs.
• Creation of a roadmap for strengthening supply chain management capabilities and recommended organizational structure improvements.
• Development of a package of warehouse optimization initiatives with a projected annual economic impact exceeding 11 million RUB.