Federal-Mogul

Federal-Mogul Corporation is a global supplier of trusted brands and products to automotive manufacturers,
as well to power generation, aerospace, marine, rail and industrial applications. 
Federal-Mogul has 41.000 employees spread out over 33 countries. The company focusses on OEM and after-market products. 

Activities

  • Data analysis
  • Logistics concept design for EDC and RDCs
  • Calculation investment budget
  • Calculation operational costs

Investment analysis new network design: EDC combined with RDCS

At the time of the study:

Federal-Mogul wants to budget the OPEX and CAPEX costs of a renewed supply chain design. This new design entails a EDC with multiple RDC's ("hub-and-spoke").

Objectives

Set budgets for investment and operational costs for the renewed supply chain network design.

Result

A christal clear overview with CAPEX and OPEX cost structure and a detailed cost break-down per DC was drafted. This enabled Federal-Mogul to decide whether or not to make the switch towards a hub-and-spoke design.

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