Key challenges
At its current facility in Vietnam, Honda faced several challenges that imposed capacity constraints on their daily operations. The operations were spread across multiple sites, leading to duplicated infrastructure and increased fixed costs. Existing warehouses were also reaching end of life condition, with inconsistent processes across each, with varying degrees of efficiency.
Our approach
To address the challenges identified in Honda's current operating system, TMX developed a number of processes to be implemented, in order to improve efficiency:
- Detailed analysis of current operations and constraints.
- Developed clear understanding of growth projections and strategic goals.
- Detailed understanding of client business requirements and all factors informing the DC design.
- Data driven detailed design process.
- Considered a range of solution concepts comprising of both manual and automated options.
- Collaborative partnership approach with the client team from start to finish to develop the optimal solution.
The results
To allow Honda to meet its service objectives and operate efficiently, TMX designed a new DC enabling them to operate effectively and at the lowest cost, with a flexible, scalable solution for strategic future growth projections.
The solution is a blend of traditional manual and mechanized subsystems which proved to provide the optimal business case when compared to a range of solution concepts.