Case Study: a leading North American automotive manufacturer achieves $43 million in savings with The Smart Cube

$43 million in visualised savings helped this automotive manufacturer improve EBITDA

The Smart Cube was engaged by a leading North American automotive manufacturer facing shrinking EBITDA margins and long order lead times. The client sought to optimize its distribution network and reduce operating expenses.

To address this, The Smart Cube developed a Solver model using a non-linear programming algorithm and created clusters with the Lead Cluster algorithm in R. This solution identified optimized distribution centers, maximizing EBITDA and reducing order lead time by up to 24 hours. The Smart Cube's work helped the client visualize $43 million in savings from reduced storage and transportation costs, enabling more informed strategic decision-making.