Background/Challenge
Evans Distribution Systems is a 3PL company founded and established in Michigan. It currently has eight warehouses throughout the Metro-Detroit area. Having an ever-growing, seasonal fulfillment client with a direct-to-consumer business model and a large customer base that expands throughout the United States, Evans needed a distribution network that allowed it to get its client’s goods from coast to coast faster and cheaper than it ever could just out of Michigan, while still providing the same great service the client has come to know. Evans needed to make sure the operation was seamless across the network.
Process
Evans began by identifying the two most logical additional locations through data analysis, the creation of shipment maps, and a comprehensive cost analysis of freight from various origins. Once two geographical locations were defined, a Request for Quotation (RFQ) was prepared and sent to reputable 3PLs in the identified areas. The selection of these 3PLs was not random; each of them had cultivated personal and business relationships with Evans over the years.
Solution
“Our goal was to find partners that would help Evans expand its fulfillment strategy by mitigating business interruptions, enhancing order processing, reducing delivery time, and minimizing freight expenses,” says Leslie Delekta, Director of Customer Solutions at Evans Distribution Systems. After careful review, two 3PL providers were selected – Barrett Distribution Centers in New Jersey and States Logistics Services in Arizona.
“It just made sense,” Delekta says. Like Evans, Barrett Distribution Centers and States Logistics Services are family-owned third-party logistics companies. “Evans has long-standing relationships with Barrett and States, and both companies have a positive reputation in the industry. We knew they would be reliable and trustworthy partners,” says Delekta.
Barrett has been providing customized warehousing, fulfillment, and transportation services since 1941. “We decided to partner with Evans because we had the capacity to handle the high volume of orders and our location allowed for easily distributing across the East Coast,” says Alex Glanzer, Operations Manager at Barrett Distribution. “In addition, we liked the financial viability for both companies, the ease of integration and setup of the account, and because Evans is a smooth, responsive, and efficient company to partner with.”
States has been providing logistics solutions to the West Coast since 1958. “We had been discussing collaboration opportunities with Evans for years and this project fit well with our current operations,” says Kirk Hellofs, Vice President Operations at States Logistics. “Evans is flexible, communicative, supportive of its partners, and shares the same goal as States: To exceed customer expectations.”
Outcome
“The fulfillment network was a huge success,” says Delekta. “In partnering with Barrett and States, we were able to provide our client with geographic diversification, enhanced efficiency and scalability, high-quality service, and a consistent experience.” All network-related objectives were accomplished in the first year, including:
- Establishment of a flexible operation capable of transferring orders between warehouses.
- 61% increase in order processing efficiency.
- 20% reduction in delivery time.
- $400K cost savings in freight.