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A client’s business was consistently challenged by lacking focus on its core competencies. An audit of the functional activities revealed that the business added no value in handling the warehousing and distribution of its own goods. In fact, due to its size and its customer’s demands on service levels, the company was often challenged to deliver effectively and economically. Furthermore, the available warehouse space was insufficient to support the company’s growth plans.
Following our recommendation, an extensive due diligence on third party service providers was initiated resulting in the client outsourcing the entire function. The client can now focus on its core competencies of marketing and selling and is well set to grow its business without warehouse and distribution capacity constraints.
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