This document proposes establishing a single logistics hub to serve operations across four European countries. It analyzes the current warehousing and sourcing point situations in each country, noting differences. The objective is to consolidate operations by January-May 2009. Two potential warehouse locations are suggested: Brno, Czech Republic for its large capacity and existing infrastructure; and Senec, Slovakia for allowing drivers to specialize in single-country routes. The proposal aims to efficiently serve all customer needs across the four countries from a central hub.

1. Logistics Commercial
offer
European Master in Business Studies

2. Presentation
• Our Company
• Current situation
• Objective
• Analysis
• Solution

3. Our company

4. Our Company
• S - Logistics
• Young and dynamic logistic company with a 15 years
of experience in Eastern Europe
• Our core competency is to deliver goods within the
new country comers in the European Union
• 3,000 employees operating in 17 countries
• Certified ISO-9001 (quality), ISO-14001
(environmental management)
• Specialized in transport by trucks

5. Current situation

6. Current situation: Warehouses
Czech & Slovak average pallets stored: 2,400
Czech & Slovak maximum pallets stored: 2,900 Polish average pallets stored: 7,000
Polish maximum pallets stored: 7,000
571 km
843 km
325 km Hungary average pallets stored: 4,100
Hungary maximum pallets stored 5,000

7. Current situation: Sourcing points
Poland
Czech Rep.
&
Slovakia Poland sourcing points:
Total: 15
In common with Czech Rep. &
Slovakia : 13
Czech Rep. & Slovakia sourcing points: In common with Hungary: 9
Total: 18
In common with Poland: 13
In common with Hungary: 15
Hungary
Hungary sourcing points:
Total: 19
In common with Czech Rep. & Slovakia : 15
In common with Poland: 9

8. Current situation: Summary
Warehousing data Hungary Czech Rep & Poland
Slovakia
Sourcing points 19 18 15
Pallets/year 26,400 8,532 28,000
Nb of customers 50 97 300
Nb of sourcing points X 15/18 9/15
in common with
Hungary
Nb of sourcing points 15/19 X 13/15
in common with
Czech Rep &
Slovakia
Nb of sourcing points 9/19 13/18 X
in common with
Poland
Nb of sourcing points
in common all 12
together
Number of shipments 3,998 11,913 17,800
per year
Number of orders per 6,153 19,075 21,500
year

9. Objective

10. Objective
Creating one logistics hub for all countries
For the following periods:
- Implementation of Hungarian and
Czech/Slovak business January 2009
- Implementation of Polish business May
2009

11. Objective: Sourcing Points=24
Hung-Czech- SLC Hung Plasticos
US Hung-Royston
Czech- ch asm Hung-Czech-
Sezanne Fr
Scordia Hung-Bcm Fr
warehouse
Pol-Czech- Gcc
Greece
Czech- nl-
Budelpack Pol other local
Pol Pol-Pak advertising
Hung-Czech- Litiz
Poland(customizati materials
US
on)

12. Objective:Suggested warehouses
Wroclaw Surface available
in sqm:
Warsaw sqm:
10,000
50,000
Olomouc sqm:
30,000
Praha sqm:
80,000 Krakow sqm:
30,000
Brno sqm:
50,000
Kosice sqm:
Malacky sqm: 80,000
8,000
Senec sqm:
20,000 Miskolcs sqm:
50,000
Pandorf sqm:
100,000
Budapest sqm:
30,000
Hegyeshalom sqm:
80,000

13. Objective: services needed
• Management of inbound: Receiving, storage &
pick/pack/ship for distribution to the end customer
• Outbound transportation: Management of physical
transportation from the warehouse to the end
customer
• Product returns: handling processing product returns
and the distribution of obsolete/redundant products
“All the services provided here are customized according to
the details given within the tender document”

14. Analysis

15. Analysis of the situation
• We need at least a warehouse which can host at least: 5,000+2,900+9,000 =
16,900 pallets which mean 0.8x1.2x 16,900 = 16224 sqm. So we cannot
chose a warehouse with less than 20,000 sqm available.
• We need to deliver Polish customers within 2 days wereas some customers
in Hungary and Czech Rep. & Slovakia it is within 1 or 2 days. So we
cannot chose a warehouse in Poland
• Hungary and Czech Rep. & Slovakia are our main priorities. So the
warehouse should ensure to supply for sure these 3 countries within the due
time.
• Poland has far more customers (6 times more than Hungary and 3 times more
than Czech Rep and Slovakia).So the warehouse should be as near as
possible to Poland in order to allow the trucks to come back as soon as
possible.
• Poland has a large territory

16. Solution

17. Warehouses chosen
Wroclaw Surface available
in sqm:
Too far from Warsaw sqm:
10,000 Too far from 50,000
Olomouc sqm: Hungary & Hungary
30,000 Krakow sqm:
low capacity 30,000
Praha sqm:
80,000 Kosice sqm:
Too far from Too far from 80,000
Brno sqm:
Hungary Hungary
50,000
Malacky sqm: Too far from Miskolcs sqm:
8,000 Czech.Rep 50,000
Senec sqm:
Low capacity
Too far from
20,000 Budapest sqm:
Czech.Rep
Pandorf sqm: 30,000
100,000 In Austria
Hegyeshalom sqm:
80,000 Too far from
In Hungary Poland

18. First choice: Brno in Czech. Rep
• A city where Company A has already use
Logistic infrastructure
• Large warehouse 50,000 sqm available
• Able to serve the 4 countries on time
• Road infrastructure are well developed in
Czech. Rep.
• Czech. Rep has a solid political situation

19. Second choice: Senec in Slovakia
• Having a warehouse in Slovakia make you
cross only one country on each time which
make our drivers more specialized in some
countries
• Able to serve the 4 countries (Senec-
Danzig=14 hours)
• In case of increase of storage we will have to
change the warehouse, low capacity: 20,000
sqm

20. We stay at your disposal to dicuss
the content of this offer