Case Study: a mid-market distributor cuts logistics costs and streamlines its network with Optilogic and ORTEC

Mid-market Distributor cuts logistics cost 11% with Optilogic

The customer, a mid-market distributor, faced a challenge after growing through acquisitions: it was operating an inefficient network of 61 overlapping distribution centers with high logistics costs and no centralized strategy. To address this, they partnered with vendor Optilogic for a strategic network design.

Optilogic, in partnership with ORTEC, implemented a solution that consolidated the network footprint and optimized the fleet. The result was a reduction from 61 distribution centers down to 37 and a fleet that was reduced by 109 assets. This led to logistics costs dropping from $132.7 million to $117.6 million, saving the company $15 million, or roughly 11% of its cost base.