transportation and warehousing colgate toothpaste
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how long does the product takes to reach at the sellers place
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#2
Reducing logistics costs makes management happy. Sharing savings and collaborating to improve efficiency makes customers and suppliers happy. And when everything reaches the bottom line, even Colgate investors begin to smile.

Brad Blizzard, head of logistics at Colgate-Palmolive Company in the US, is a self-described "worried man." Sweep the details. But he also keeps a close eye on big-picture issues. Maybe that's why your group can initiate internal change that offers benefits at many levels and seek external opportunities that keep the momentum going.

Among the internal pressures, Blizzard faces the large volume of Colgate and the variety of SKUs and special packages. The company's product portfolio is balanced between Hill's Pet Nutrition, oral care, personal care and home care products. The 200-year-old company has also become a major global company. North America, its home market, accounts for 23 percent of sales, surpassed only slightly by Latin America by 25 percent.

In any given week, 65 marine containers, 3,800 United States truckloads, 1,700 less-load cargoes of United States trucks, and 15,000 direct-delivery consignments of pet food pass through the supply chain network of Colgate.

Add to that complexity a constant stream of change. Distribution channels are changing and evolving continuously, and Internet sales are growing. Meanwhile, the company has migrated away from doing its own manufacturing towards a mix of contract manufacturing and Colgate operated plants. To that end, it has cut its 157 manufacturing plants to 80 sites.

Prior to 2006, Colgate plants in each country were self-sufficient. In the United States, 80 percent of what Colgate sold was produced at a Colgate-owned manufacturing facility. That percentage has fallen about 20 percent, with contract manufacturers and co-packers collecting much of the work.

Colgate also faced more space restrictions at the distribution center, coupled with changes in customer order weights and increased stretches.

That is more than enough to get the attention of a "worried man".

But those challenges were only the inner picture. Blizzard never looked at the biggest events that affected Colgate and its markets. Even before the Sept. 11 attacks, he was tracking global issues on his radar. Add environmental, legislative, economic and political concerns to volatile fuel prices and questions about future transportation capacity, and the challenges sound overwhelming. But Blizzard resorted to the advice of a former colleague: "Put your strategies and processes together and control what you can control."
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