Paul Trudgian Ltd | Supply Chain & Logistics Consultancy No Comments

Paul Trudgian Ltd have been instructed by Europe’s leading manufacturer and distributor of decorative wall panels to help them source, through a competitive tender, a logistics provider to meet their UK warehousing and transport requirements on a 3-year closed-book contract. This is a pre-tender notification for logistics providers to register their interest in receiving the full Invitation to Tender (ITT) which will be issued on Monday 30th July 2018.

The client manufactures wall panels from their Scandinavian production facility, before shipping into the UK market for onward sale and distribution. The UK sales are in the region of 4,300 customer orders per annum with approximately 11,500 pallets despatched, totalling 2.3 million kilos.

Distribution Profile

Currently, a large proportion of orders are delivered into Scotland. However, the company is in the process of expansion and it is expected for sales to now increase in England, producing a more balanced and typical UK distribution profile. In respect of this expansion, the client is seeking a logistics provider who has an asset base that can be deployed in line with sales growth in England and is not solely focused on the market in Scotland.

It is expected that provider solutions will focus on a regional distribution centre for Scotland and a regional distribution centre for England and Wales, with capacity for expansion. Furthermore, it is expected that the deliveries, wherever economically feasible, will be made on own transport (or sub-contract) versus a pallet network.

Product and Activity Profile

The panels are either 2400mm, 900mm or 580mm in length and widths vary between 300mm, 600mm, 900mm and 1200mm. All panels are 10.2mm thick. The main volume of panels (around 80%) are in the 2400mm x 600mm size only.

Panel stock is generally received and stored on double pallets, stacked either 60 panels or 120 panels high (60cm to 120cm) with a weight range of 200kg to 400kg. There are also some single and half pallets for the smaller panel sizes.

Profiles for fitting the panels are also received, stored and despatched. The profiles, which are relatively thin strips of metal, are a maximum length of 2400mm, received in packs of 10, and are typically strapped to the top of the outgoing pallet of wall panels for a customer order. Both wall panels and profiles can be picked in singles, or part pallets/packs, as well as full pallets/packs.

The typical stock level expected will be in the region of 1,000 double pallets for both panels and profiles.

Service Requirements

The client is seeking a single, lead provider for both warehousing and transport combined. It is, however, recognised that the contract is likely to contain elements of sub-contracting and the client is happy to consider joint proposals where one party acts as the lead provider.

The service requirements that will need to be considered by interested providers are:

  • Unload and put away curtain-side trailers of panels and profiles from Europe (palletised);
  • Store product in suitable racking and in a clean environment;
  • Pick and pack orders for despatch, typically within a 3 to 5-day order lead time;
  • Strap all outgoing pallets and affix corner protectors (to be sourced by logistics provider);
  • Preferably receive and process orders via EDI;
  • Preferably operate a warehouse management system with cloud reporting;
  • Facilitate customer collections (by exception);
  • Accommodate urgent, next day deliveries (by exception);
  • Maximise the number of deliveries made on own vehicles (versus a pallet network);
  • Plan to reduce pallet network deliveries as volumes/drop density increases;
  • Expand warehouse capacity in line with increased sales in England and Wales.

Next Steps

If you are interested in tendering for this opportunity, please provide your company and contact details to [email protected] with the reference:

PT042 – 3PL Transport & Warehouse Contract (Panels)

Once we have your details we will contact you with a Non-Disclosure Agreement and may request further details to confirm ability. We will then confirm the provider list with the client before issuing the ITT on Monday 30th July with a 5-week response time.

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