By actively managing and rationalising stock, we were able to assist MBIE in reducing the number of printed items held in storage by 70%. Reducing their overall storage footprint provided substantial cost savings as well as environmental gains.
When MBIE transitioned from their previous logistics supplier to True North they were holding large amounts of redundant, aged and non-compliant stock, resulting in ongoing and unnecessary storage costs. The previous model encouraged large print runs and did not take into account the whole of life costs for a product. On certain products these large print runs resulted in excessive storage costs and risk of redundancy leading to destruction costs and a negative environmental impact.
We undertook a full stock-take and rationalisation programme and were able to quickly identify over 100 pallets of stock that was either redundant, multiple excess or aged/slow moving that no longer needed to be held by MBIE. We presented options to MBIE on re-purposing, re-allocating or destroying these items. Some of the stock was able to be sent to the Pacific Islands to be used, some non-branded, non-specific stock was sent to low decile schools for use in the classroom. Anything specific to MBIE or of a sensitive nature was securely destroyed. True North provided recommendations for suitable low usage products to move to a Print on Demand model, eliminating all storage costs on these items.
