Client: Beauty and Personal Care Brand
Transforming Distribution with Automation
Business Challenge
A leading beauty and personal care brand faced growing strain on its global supply chain due to rapid foreign market expansion, rising e-commerce demand, and a fragmented distribution model. With APAC projected to drive 80% of future demand, the company’s North America- and Europe-centric supply chain struggled to keep pace, leading to high logistics costs, long lead times, and operational inefficiencies.
Key constraints included overloaded production sites operating at 75%+ capacity, creating bottlenecks that limited agility in demand surges. A dispersed distribution network relying on multiple third-party manufacturers led to inconsistent service levels and inflated logistics costs. Overlapping production roles between regions resulted in redundancies instead of regional specialization, driving up complexity. Additionally, heavy reliance on air freight conflicted with the company’s sustainability commitments, increasing both carbon footprint and transportation expenses.
To remain competitive, the company needed a future-proof supply chain strategy – one that could streamline operations, lower costs, improve service levels, and support long-term growth without sacrificing agility or sustainability. Miebach was engaged to design a network that would optimize production footprint and distribution flows to improve supply chain redundancy while ensuring resilience against market shifts.
Solution Delivered
Miebach conducted a comprehensive network assessment, leveraging advanced modeling to evaluate multiple optimization scenarios. The solution included strategic manufacturing shifts, expanding production in North America and Europe for category-specific demands while introducing a new APAC facility to serve regional growth and reduce reliance on long-haul shipping. A streamlined inventory distribution for high-volume products was established to minimize lead times and reduce logistics costs.
To enhance operational efficiency, the company introduced automation in key distribution centers, predictive shipping models for optimized inventory positioning, and a strategic shift to ocean freight for overseas shipments, significantly reducing transport costs and emissions. These enhancements created a high-performing, scalable supply chain that balanced cost efficiency, service reliability, and sustainability goals.
Results & Benefits
Beyond these measurable gains, the optimized network delivered 85% utilization flexibility in peak demand without overburdening facilities. By implementing dual-sourcing for key products, the company strengthened supply chain resilience, reducing risks from disruptions. With a more regionally aligned, cost-efficient, and sustainable supply chain, the company is now positioned for long-term success in an evolving global market.
40% faster lead times for customers by shifting to regionalized distribution |
$293M |
50% decrease in air freight dependency, leading to a 40% reduction in CO2 emissions |