Logistics Automation Saves $220K Annual Savings

External Warehouse Eliminated | AGVs Deployed

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About the client

Our client is a Tier 1 automotive supplier specializing in high-volume production of interior and structural systems. Facing rapid demand growth, the company needed to modernize its logistics and material handling operations to support sustainable scale.

Challenge

The supplier’s logistics operations had grown fragmented and reactive, creating cost and capacity pressures that threatened delivery performance to OEM customers. The operation depended on an external 2,400 sqm warehouse that drove premium freight costs and excess transit times, with no standardized inventory ordering or warehousing practices in place. On the production floor, manual line feeding and container management created bottlenecks, high labor dependency, and excessive handling that increased the total cost of ownership and risked OEM delivery commitments. Material traceability was poor, and the absence of standardized processes constrained the supplier’s ability to scale production to meet rising demand.

Leadership needed a partner who could rapidly stabilize the logistics operation in the short term while laying the foundation for long-term automation and scalable growth.

Solution

MS Companies deployed an advisory team to redesign the logistics system using a structured PLAN-DO-CHECK-ACT methodology, sequencing rapid stabilization, lean foundation, and smart automation so every investment in technology was supported by a stable, efficient process. Focus areas included:

Results

External warehouse fully eliminated
0 sqm
In combined labor and freight savings
$ 0 K / Year

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