Case Study: a large office supplies distributor reduces labor costs with Ugam’s set optimization

Large Office Supplies Distributor - Customer Case Study

A large office supplies distributor faced high labor costs in their warehouse operations, particularly during peak seasons. They partnered with Ugam to help reduce these expenses by strategically optimizing product sets and pre-packs. Ugam utilized its advanced analytics capabilities to address this specific challenge.

Ugam implemented a data and analytics solution to identify the most efficient product combinations for the distributor. This allowed the client to create optimized sets for pre-packing, which reduced costly "pick and pack" activities. The results were significant, with one of the suggested combinations alone generating nearly $7,000 in total overall savings. Ultimately, Ugam's approach delivered an estimated 4% margin improvement for the distributor.