Logistics and Waste Management Project


A Company with strong growth through the successive purchase of companies throughout the country, decided to promote an organizational change with transversal functions, respecting the idiosyncrasies of local markets.

The company in question has 80% of its sales in the domestic market, and produces through 19 plants, consolidated by a growth of acquisition. It should be noted that each of the entities absorbed in the past had maintained their structure, resulting in a large organization, but with fragmented business data, local-scope decision making, and complex transversal coordination.

We carried out a cost optimization project with more strategic objectives.  The savings were used to finance a project that would help them gain a global vision, practical in-house improvements, continuing with a decentralized but coordinated management style, giving weight to transversal positions at the same plants.  Ahead Analytics made the proposals and implemented them on all fronts, including the optimization of costs for operations, and a change in management philosophy for the company.


After an analysis of the data provided, the items most susceptible to optimization were detected. They were grouped into 3 different categories depending on the total expenditure assumed by each subcategory to the company.

Ahead agreed to work to achieve savings in the categories that are listed in perimeter A (Transport, Waste Management, Contract Manufacturing, Pallets, and Component A).  Simultaneously, a manager was assigned to work with the expenses of the project after it was finished.  The manager maintained their location in the plant, keeping a close proximity to the operations.


Examples of managing subcategories:

The two most relevant operations Ahead carried out for impact on EBIT were in Logistics and Waste Management.

1. Logistics:

Data Analysis:

We cross transported costs with sales and destinations, identifying the most relevant points of geography in accounting terms for our client.


Map located customers represent 74% of annual expenditures (2159 customers out of 3678).

Customer Analysis and principal expenditures by Autonomous communities

Distribution modality according to the origin of the client and the province of the destination of the shipment. The logistic operator distributed from two points: approximately 650,000 shipments.


Savings levers were obtained by making the following changes:

  • Suppliers were relocated in the optimal way
  • Reduced panel from 14 to 6 suppliers
  • Flow supplier rates were homogenized
  • The costs associated with returns were eliminated
  • An expense control was set up through a standard rate per shipment
  • Formed and structured the work for a global manager who deals with expenses

In total, for this category, a total savings of more than 600,000 euros achieved.

2. Waste Management:

Análisis de datos:

The following charts show some of the studies that Ahead has done to analyze the data that was provided regarding the waste generated by the company.

  • Waste expense analysis

In the case of the waste that represented the highest expenditure (sludge), information was collected and it was observed that:

  • Supplier 1: The expense for transport and containers was 12 €/Tm
  • Supplier 2: For the treatment of sludge in the plant, the expenditure was 18 €/Tm.

In this front, a sludge utilisation system was designed, where the volume was reduced by 34%.

  • A Analysis of the suppliers with the whom the company observed


The effective segregation of waste was proposed, which gave the company a reduction in its management.

  • 4 hours/day
  • 3 days/week
  • External worker cost: 881 €/month

Additionally, the sludge utilization system was designed to provide the following improvements:

  • Sludge was reduced
  • Reduced management at the plant level
  • A low required investment (approximately €33,000)
  • The costs of vats and containers were eliminated, since a system was constructed where the sludge was poured in the soil.
  • The supplier became responsible for loading the sludge, so our client did not have to allocate the time or the resources to perform this function.

Analytics and consulting with concrete results

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