The Integrated Process
PHASE ONE: Strategic Planning
With VARGO™, a powerful strategy is essential for the work we perform. The first phase in providing ideal solutions is to develop a strategy that positions our customers for continued growth and addresses new requirements and demands. Building this strategic plan includes the following steps:
- We uncover all areas to improve operational efficiency—including facility layout, material flow and capacity and other key factors for achieving maximum impact.
- We determine operational and space requirements for the next five years.
- We look closely at the lowest cost location for the distribution of products.
- We conduct an in-depth analysis of the distribution network.
- We perform a complete inventory analysis and understand SKU movement.
- We develop block layouts that cover the facility’s operational requirements.
- We determine the equipment, direct labor requirements and costs that will be necessary to support our recommendations.
- We provide a high level description of the operation, incorporating recommended improvements to deliver optimum logistical benefits.
PHASE TWO: Facility Design
Using the strategic plan as our launch pad, we then apply our industry, engineering and software expertise to design solutions that provide maximum impact. The six activities of the facility design phase include:
- Designing distribution and fulfillment concepts and selecting the best of the best
- Developing the corresponding building configuration
- Determining operational requirements
- Providing an investment summary by functional area required for the base year
- Providing a cost justification that breaks down payback by functional area
- Developing schedules and implementation requirements
PHASE THREE: Implementation Services
When our custom designs have received final approved, the project gains momentum and moves into the implementation phase, which turns our strategy into reality. We have the essential experience and dedicated personnel to ensure a seamless, non-disruptive implementation. During implementation, we:
- Develop a detailed implementation schedule and manpower requirements
- Execute all equipment purchases
- Carry out the mechanical and electrical installation services
- Develop a transition plan
- Provide training, post-installation support and service
- Prepare an ongoing, full-service maintenance program