About the project

• A strategic network redesign of AppliChem’s six global manufacturing plants. The study benchmarked each plant’s yield, cost, automation level, and role within the supply chain to recommend a globally competitive operating model.

The Problem

• Plants suffered from inconsistent yields, high packaging complexity, and outdated equipment—leading to inefficiencies and higher per-unit costs. Some lacked automation and skilled labor, limiting adaptability.

Results

• Frankfurt achieved the lowest production cost ($76.69/100 lbs) and highest yield (98.9%).
• Gary had the highest cost ($102.93) and lowest yield (90.4%) with 80+ packaging types.
• Recommended closure of Venezuela plant (outdated, poor yield, low training).
• Proposed Mexico as regional hub, Gary as R&D site, reducing network-wide overhead and inefficiency