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4 Flow Partners with BD to Reduce Global Delivery Lead Times and Enhance Customer Experience

August 14, 2024 2 min read
author Anamika Mishra [Sub Editor]

BD (Becton Dickinson and Company), a leading international medical technology firm based in New Jersey with 70,000 employees, has partnered with 4flow, a Berlin-based provider of supply chain consulting, software, and 4PL services, to reduce delivery lead times on a global scale. BD, known for its commitment to improving medical discovery, diagnostics, and care delivery, has a presence in nearly every country and collaborates with organizations worldwide to tackle critical global health challenges.

The BD Biosciences business unit, which manufactures and markets reagent products for clinical and research applications, sought to optimize its global supply and distribution network to reduce delivery lead times and improve inventory management. Product lead time is a crucial factor in the life sciences industry, influencing customer purchasing decisions.

To achieve this, BD Biosciences enlisted 4flow to assist in redesigning its distribution network across the Americas, Europe, and Asia-Pacific regions. The project, carried out by an international team from both companies, focused on addressing the challenges of distributing over 30,000 stock-keeping units with unpredictable demand patterns, stringent shelf-life requirements, and temperature controls.


The initial phase involved network design, where 4Flow used its network simulation tools to evaluate the optimal setup, considering the trade-offs between lead time, inventory, and costs. By simulating BD Biosciences' centralized production footprint and multi-stage distribution warehouse structure, the team identified opportunities to enhance product flow, frequency, and inventory levels.

The project team discovered that doubling the frequency of global replenishments to regional distribution centers (DCs) could significantly improve regional product availability without increasing costs. Additionally, the collaboration defined several measures to enhance operational excellence, including optimized order processing, improved cut-off times, and changes in transportation modes.

These measures, implemented by BD Biosciences within a year, resulted in a substantial reduction in lead times—by 30% to 50% in core markets like the U.S. and Europe and up to 60% in overseas markets. BD also gained the agility to prioritize urgent customer requests, increased global stock availability, and reduced safety stock levels. These efficiencies enabled same-day and next-day deliveries, helping BD Biosciences differentiate itself from competitors and expand its market share in the reagent segment.

Erin Templeton, Senior Program Manager for Business Process Excellence at BD Biosciences, praised the collaboration, stating, "What we valued most when collaborating with 4flow were the detailed data insights that ensured the information was accurate. Using such insights, we were able to create realistic targets through each phase of the project."




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Allcargo Logistics Reports a Net Loss of ₹7.52 Crore for Q1 FY25

August 13, 2024 2 min read
author Anamika Mishra [Sub Editor]
related

Allcargo Logistics has reported a consolidated net loss of ₹7.52 crore for the quarter ending June 30, 2024, in stark contrast to a profit of ₹109.95 crore during the same period last fiscal year. Despite the loss, the company's revenue for the April-June quarter rose to ₹3,812.81 crore, reflecting a growth of 16.56% from ₹3,271.06 crore in Q1 FY2024.
In a statement, Allcargo attributed the revenue growth to global events and high demand across trade lanes in the second quarter of 2024. The company anticipates this demand to persist through the peak season until the end of the year.


For the June quarter, the company's less than container load (LCL) volume was recorded at 2.25 million cubic meters (CBM), consistent with the previous year and showing a sequential growth of 6%. Meanwhile, the full container load (FCL) volume reached 1,56,000 twenty-foot equivalent units (TEUs), on par with the last quarter and marking a 9% increase year-on-year.


Allcargo's Contract Logistics business saw a revenue growth of 13% quarter-on-quarter and 22% year-on-year, driven by an increased wallet share from existing clients. The company’s Express business also optimized its operating costs, contributing to an 11% rise in EBITDA for Q1 FY25, which stood at ₹20 crore, a 33% increase from the last quarter.


During this quarter, ECU Worldwide, a subsidiary of Allcargo, appointed a new leadership team in Argentina, Uruguay, and Paraguay, signaling the company's growth initiatives in Latin America.

Uruguay, and Paraguay, signaling the company's growth initiatives in Latin America.


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