Optimized Logistic Case Study. Topco Reaps Benefits.

Topco Associates LLC is a privately held company that provides innovative business solutions for its food industry member-owners and customers. Topco’s membership collectively represents billions in retail sales volume with thousands of stores.

Challenge:

Topco Associates and WEL have developed a strong relationship which has spanned decades as both companies grew and developed. This relationship intensified when Topco and WEL joined together for the cross-docking operation of Topco’s dairy department. Initially, Topco was looking for a logistics solution that was cost effective, would minimize spoilage, and most importantly was flexible enough to encompass their growing member network.

Namely three goals Topco desired to accomplish were; streamlining distribution and transportation cost, decreasing the amount of inventory held, and decreasing lead time on deliveries.

Strategy:

In developing a creative logistics program for Topco, there was no hesitation to employ the full strength of our services. The WEL customer service team evaluated Topco’s needs and created a program for Topco’s dairy department which best facilitated their goals.

By providing both truckload and LTL transportation service, the WEL logistic approach appealed to Topco’s large and small members. Since Topco’s member network spans the country; our nationwide network of warehouses was activated to support our transportation services in moving perishable dairy goods across the country.

Technologies in place at WEL warehouses were customized to accommodate Topco’s goals of decreasing inventory and delivery lead time. Through our warehousing software system by LogiMax, Topco was now better able to monitor inventory.

Results:

Operational efficiency of Topco has increased exponentially. In 2010, WEL delivered 1.5-2 million lbs. of cheese and dairy products to members with a total revenue of $3 million.