1. Logistics Consulting
2009

2. Overview
Francisco Castillo is a consultant specialized in distribution and
logistics. Our service consists of a tailorrmaid solution for each client
according to their needs
Mr. Castillo brings more than 17 years of operational and consulting experience to the table when
reviewing his client's needs and goals. He began his career from the root level in distribution centres,
starting with the delivering of goods and through the years working his way up the ladder to
operational director positions. His most recent job positions include Logistics Director for LG
Electronics and Commercial & Logistics Director at Zimag Group. Francisco is also a member of the
council of supply chain management professionals (CSCMP) the advancing productivity innovation
and competitive sucess and a participant in various National Logistic Committees.

3. Services
If your organization seeks self-distribution or is looking for opportunities to
improve upon an existing network We can provide assistance in creating an
efficient distribution network.
Whether you're considering new technologies or determining applications which
apply, We can perform an Operational Audit to define your actual potential and
recommend a strategy that will help to improve productivity and customer
satisfaction.
Sometimes Facility Resets are the best solution to increasing capacity and
improving productivity while at other times minor changes are enough to increase
efficiency.
All situations start with an analysis of the actual situation and/or the strategic
direction of your corporation. If a major change in your business direction is
anticipated and requires preparation beforehand, then a Strategic Analysis will
most certainly answer your key questions and concerns.
Determining whether one or more distribution centers are required to fulfill your
business volumes and service levels is another of our expertise. We adhere to best
business practices and utilize powerful analysis tools to review and compile sales
throughput and product data. The data is key factor in properly calculating and
designing the distribution centre(s) which will best meet your predetermined
constraints and operational objectives ( Distribution Centre Design ).
We are always prepared to accompany your organization through all
Implementation phases ensuring that all of the deliverables established throughout
the project analyses and recommendations are satisfied.

4. Operational Audit
When operations and processes begin to deteriorate it is the
customer service levels that are directly affected. Orders are not
properly fulfilled, shortages and back-orders, delivery leadtimes are
not meet. With each error comes decreased customer satisfaction
and increased costs associated with customer management and
administrative, management and handling costs.
Our goal is to bring proper analysis techniques, different ideas and
modifications of solutions that have been developed through
previous work experiences. We work with your employees to
review existing operations and to stimulate ideas and solutions that
best meet long-term organizational goals and requirements.
What necessitates the need to conduct an operational audit?
 Inability to completely fulfill customer orders
 Product shortages
 High number of errors and associated returns
 Inability to deliver product on-time
We offer the following type of distribution related audits:
 operational processes
 operational productivity
 throughput capacity
 storage capacity
 resource requirements
 equipment requirements
 automation/technology
 information systems (WMS/DRP)

5. Strategic Analysis
The need to perform a review of your distribution network is driven by
the continuous demand to reduce total network operating costs, while
constantly maintaining or improving customer service levels.
This situations will generate the following initial questions:
 How many distribution centers (DC) are required?
 Where should the DC be strategically located?
 What product mix is required per DC?
 What are the associated operational costs?
We utilizes proven methodologies in conjunction with software enabling
us to incorporate large amounts of historical data and easily produce
multiple scenarios for comparison. Although the tool is very flexible to
allow us to easily model your existing network and to compare all
future scenarios for impacts on your distribution requirements.
Many factors are considered in the equation for determining the optimal
location(s) such as;
 Customer and supplier locations
 Customer and supplier volumes
 Availability of workforce
 Local salaries
 Mid to long-term corporate objectives

6. Strategic Analysis
The scenarios modeled may include:
 A single DC
 Multiple DCs
 3PL Management
 Cross-docking
 etc.
The results include facility sizing requirements, modeling operational &
transportation costs, resource & equipment requirements and all capital
investments. Once evaluated and reviewed a Return-on-Investment (ROI) will
be calculated for each scenario.
We understand the amplitude and importance that these decisions represent for
a company. This is why we work hard at incorporating the most data possible
in our evaluations to ensure that our models most closely reflect reality.
Before investing large sums of money it is important to collect and analyze as
many relevant decision factors as possible to create and model scenarios that
are easily adjusted, evaluated and compared.
Some key questions that should be answered prior to investment are:
 Cost to build?
 Cost to operate?
 Resource requirements and availability?
 ROI?
For the answers to these types of questions and more contact us today to see
how we can work together towards achieving YOUR objectives.

7. Distribution Centre Design
Over time a distribution centre becomes out-of-date and
inefficient due to continuous changes that take place each and
every day. Often managers and operators lack the time
required to optimize all changes taking place due to an
immediate focus of getting " the right product to the right
place at the right time ". They are limited to dealing with the
situation-at-hand, forcing them to find short-term solutions to
make it work .
Ensuring that the proper equipment is used and that product
are properly allocated to the storage locations that best meet
distribution demand are crucial in optimizing overall
productivity.
We have developed tools and procedures which allow us to
quickly analyze data and create scenarios that will improve
the overall utilization and productivity of your facility.
Often our analyses have been able to demonstrate to clients
that the existing facility had sufficient capacity to meet their
distribution needs and goals without requiring significant
expansion or new construction.
The data, now cleansed, analysed and summarized, will be
utilized towards accurately designing and costing the required
construction.

8. Distribution Centre Design
Our services include the following:
 Review and evaluation of existing operations and capacity:
 General layout of facility
 Utilization of resources
 Storage equipment used
 Mobile equipment used
 Systems and Technology in use
 Product groupings and positioning
 Review if recommendations are able to be integrated within
the existing facility.
 Improved operational productivity
 Revised product groupings (as required)
 Storage space (Slot type) required per product
 Product positioning
 By vendor
 Store-friendly (for retail networks)
 By selling unit of measure (ie. Case vs. unit vs. pallet)
 By type of material handling equipment required
 Product groupings

9. Contact
Address:
Madín 116, San Lucas Tepetlacacalco,
Tlalnepantla Edo. Mex. C.P. 53120
Telephone:
Office: 53-65-61-15
Mobile: 04455-34-35-23-33
Email:
castillop_francisco@prodigy.net.mx