Mizuno

Project Background

Mizuno USA was experiencing double-digit sales growth when they determined that a new distribution center was needed to meet their business objectives. Customer requirements were also changing as key accounts (big box retailers such as Dick’s, TSA, Target, Wal-Mart) were continuing to drive sophisticated compliance requirements to make product store ready. Furthermore, customers were demanding that order cycle times be reduced to less than 5 days from order receipt to ship. At that time, Mizuno was shipping product out of a primary distribution center in Norcross, GA as well as an overflow facility located within miles of the main building. Both facilities were operating at 100% capacity and distribution costs were increasing as volumes and service requirements rose in already constrained facilities.

Project Objectives

• Design and implement a distribution facility and material handling solution to satisfy the company’s growth and customer service requirements through 2012.
• Create a set of design alternatives to support the long-term space and throughput needs including facility layouts, material handling requirements, process design recommendations, system requirements, implementation plans, capital investment, headcount, and ROI estimates.
• Develop an implementation plan that minimizes disruption to current operations.
• Complete project on time and on-budget.

Solution Benefits

• Increased throughput capabilities and storage capacity by maximizing space and process efficiency.
• Improved service levels by reducing DC cycle times and increasing DC responsiveness during peak shipping periods.
• Decreased direct labor costs by applying material handling automation that reduced product handling and streamlining material flow.
• Improved order and inventory accuracy by building quality into the processes.
• Flexible and scalable design that allowed Mizuno to deliver value added service offerings to their customers.