Customer Profile

When a major Japanese automotive manufacturer needed help managing a 1.25 million sq. ft. warehouse facility adjacent to its car assembly plant, they turned to Capstone Logistics.

warehouse-racks

The Challenge

  • High turnover and unstable warehouse workforce
  • Daily builds and warehouse backlogs led
  • Frequent production line interruptions
  • Increased costs for warehouse labor
  • The reliance on temp labor exacerbated the problems

The Solution

Capstone engineers began with a detailed operations assessment including time studies and a labor cost analysis:

  • Led setting up of common KPIs with other 3PLs on site
  • Deployed a travel team to stabilize operations and smooth the transition to a long-term solution
  • Data-driven insights for visibility and real-time reporting solution

Once the assessment was reviewed and approved, we put together a full-service solution to meet the customer’s needs.

  • Inbound services: scheduling, receiving, unloading, and put-away
  • Outbound services: picking and packing, and loading
  • Manufacturing support: kitting, light assembly, packing
  • Value-added services: driver support, sanitation and auxiliary services, security and yard management
car-trailers

The Results

Our solutions resulted in:

  • 48% increase in units processed per shift
  • 98% order accuracy and significantly improved order fulfillment speed
  • 36% reduction in headcount
  • 55% year-over-year workforce turnover reduction

The results were so great we were awarded the 2023 Supply Chain Partner of the year from the customer.

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