Logistics Optimisation Study & New Business Opportunities

SUMMARY

Siecap was engaged to research and identify new business opportunities across a range of industries for a client’s facilities network across Queensland, which was operating below capacity. This research covered:

Supply chain
Logistics
Storage, and
Handling infrastructure

The project involved identifying key quantitive and qualitative industry assessment criteria and development of a framework for the prioritisation of opportunities to improve business asset growth and management.

A research report was created using critical industry contacts, market data, industry trends and advanced analytics assessment of the available information.

THE VALUE CHAIN

THE FUNDAMENTALS

In order to better utilise assets and logistics processes to diversify the business, the study needed to explore and identify new revenue and cost savings opportunities for the current commercial supply chain management arrangement, as well as the warehouse storage and handling of new commodities.

SEASONAL CHALLENGES

Due to the seasonality of the client’s main throughput, there were significant periods of asset underutilisation through a portfolio of owned and operated warehouse storage locations and logistics terminals in Queensland.

The leading questions:

What potential markets and customers could be targeted to boost demand and throughput in periods of low or underutilisation?
What new customers and current and future markets could facilitate this growth?
What were the current state logistics and supply chain operational constraints and requirements?
What capital and logistics operational processes should be considered?
What core strengths and weaknesses could be leveraged against potential costs incurred current by customers today?

THE SOLUTION

Through extensive cross-industry supply chain knowledge and contacts, Siecap was able to identify, analyse and prioritise a range of business options which would enhance revenue and throughput for better utilising of current assets.

Siecap leveraged its highly accredited infrastructure, mining and agriculture SMEs, to provide advice on how best to approach various new commodities and the associated supply chain infrastructure and investment requirements.

1. Mobilisation and Planning

Understanding the current supply chain, business operations and objectives required to build the client relationship and understanding their unique business model, the current state of their assets and operations along with the objective and desired outcomes of the project.

2. Information Gathering and Value Chain Capture

The Siecap team analysed the Queensland economy and commercial and industry trends to capture all domestic and international demands from and within the state. This created a clear outline of current and future commodity markets in Queensland.

3. Opportunity and Assessment Framing

Development of key assessment criteria to funnel opportunities through.
Managing the client relationship through regular engagement, feedback and weekly milestone updates, enabled Siecap to gauge the client’s preferred opportunities, to align with future vision and company strategy.
Through initial segmentation of the available data, the probability of potential business opportunities were clearly identified.
The client was brought on the journey in defining what diversified solutions were available to them.
Once the number of options had been reduced and prioritised, a critical assessment was done of the remaining opportunities.
An extensive assessment template was developed which evaluated each opportunity on its:

viability

probability, including key industry players

forecasted demand and throughput, and

possible modifications to the logistics network that would need to be made to accommodate these opportunities.

DELIVERY RESULTS

Key Findings and Report Delivery

- - A report that ranked and prioritised the opportunities identified
  - A framework developed to support decision making in pursuing new business opportunities.
  - Insights into logistics optimisations and supply chain consolidation opportunities to add value to the customer experience and reduce costs.

Siecap enables clients gain invaluable insights into both their respective industries and industry areas they are looking to break into, understanding how their competitors are operating, how best to fulfil customer needs and get ahead of industry trends.