FLETCHER INSULATION CASE STUDY - Hendersons Logistics - Supply Chain planning - Sydney & MelbourneFLETCHER INSULATION

As major suppliers of insulation materials, Fletcher Insulation came to Henderson Logistics for a solution to high transport costs and dispatch planning improvements. From production plants in Dandenong in Victoria and Rooty Hill in NSW product is delivered throughout Australia to branches, depots and direct to major customers. Insulation materials are high volume, low value and difficult to handle, so regional and line haul transport comes at a high cost.

FLETCHER INSULATION CASE STUDY - Hendersons Logistics - Supply Chain planning - Sydney & MelbourneHendersons approached the issues of efficiencies and costs by developing upgrades in handling, planning and performance. Docks at the Dandenong plant were redesigned to streamline truck turnaround and loading procedures. Some modifications were also recommended for handling at the Rooty Hill facility. At each of these facilities a detailed study was conducted to reorganize dispatch planning. This comprised maximized loads, forward lead times for deliveries by region and coordination with contract carriers throughout. More direct bulk drops to major clients were also proposed.

Recommendations were also developed by Hendersons in relation to types of vehicles and engagement of carriers. It was established that the national transport network of movements would be better served by a reduced number of contractors all utilizing specialized equipment to suit the high cube product. Drop deck, high profile, B double configurations were decided upon for most effective loads for all movements. Better rates for the various journeys were then established in this upgraded scenario.

Very positive results arose from the study. Fletcher quickly gained significant freight cost savings throughout the network. A smaller number of carries using maximized capacity equipment now operate under a disciplined dispatch planning to carry out deliveries in accordance with the defined service lead times by region.

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