Issue California Case Study
Would you consider a full or partial relocation of your current California inventory location to Chicago?
Are the costs of your current inventory locations and the rising costs of domestic transportation from those locations putting pressure on your business? We can help such companies solve their problems by reviewing their current inventory locations and diversifying their inventory by simulating the optimal location of their inventory based on our unique analysis method.
The consumer price index (CPI) and gasoline prices are rising.
CA CPI :
(Average first half of 2023)
4.0%
CA Gasoline :
(Average first half of 2023)
$4.849/gal
Inflation is expected to increase due to the upcoming Los Angeles Olympics in 2028.
Reinforced environmental regulations 1
After October 1, 2018, new trucks registering vehicles must be newer than the 2014 model year; after January 1, 2023. Trucks of predating 2009 models will not be allowed to operate after January 1, 2023. Approximately 6,000 vehicles will be subject to this requirement.
Reinforced environmental regulations 2
The regulation calls for zero-emission trucks entering and exiting ports and rail yards by 2035, which means that approximately 22,000 fossil fuel engine trucks will no longer be allowed to enter and exit these areas.
※DC=Distribution Center
Calculation Conditions 01
Total logistics costs for 4,000 cases/month of Japanese stuffed toys imported from Japan and sold in the U.S.
Calculation Conditions 02
The company has an inventory base in the U.S from where it ships its products. The destination and volume of shipments are prorated based on the percentage of the U.S. population
Cost Simulation Results
Compared to other cities, Chicago’s location in the middle of the east-west population distribution gave it the highest cost advantage.
Logistics cost comparison with Los Angeles (assuming Los Angeles=100%)
History
Since its establishment in 1801 as a shipping wholesaler at Shimizu Port, Suzuyo has developed various businesses in response to the changing times under the spirit of “Kyosei Tomoiki,” which is the cornerstone of our management, with the support of local residents, customers, and business partners. As a result, we have grown into a group of about 140 companies, including Suzuyo Corporation, Suzuyo Trading Co.
TOMOIKI
Tomoiki is the management philosophy of the Suzuyo Group. We have been able to overcome numerous difficulties over the 200 years since our founding because we have inherited this philosophy of “coexistence” from our predecessors. The Suzuyo Group will continue to make further reforms so that it will continuously be an essential existence for society, customers, and employees.
Suzuyo Corporation has a long-term strategic alliance agreement with UPS since 2015. Our services include ocean/air freight forwarding, domestic/international courier, domestic/US-Mexico/US-Canada land transportation, import/export customs clearance, warehouse/DC, customs compliance, and FTZ consultancy.
About Suzuyo America
Suzuyo America is the U.S. subsidiary of Suzuyo Corporation. Since its establishment in 1990, UPS has been providing worldwide logistics services to Japanese companies that have expanded mainly into the U.S., with which UPS has entered intolong-term strategic partnerships.
Six points for using LTS to reduce man-hours and improve logistics quality
You can access and view the system anytime. Viewing restrictions can be set for each user.
When renewal time approaches, an automatic renewal notice is sent to your customers; you don't need to worry about remembering to send an email out manually.
You can specify a date item and have the email sent out automatically to prevent missed arrangements with deadlines.
Your company can efficiently manage the system by setting up management items that are suitable for its own operations.
Files such as documents or pictures can be attached in the system. You can download files from the system.
You can search and export data with management items you set. LTS data can be used to aggregate and analyze for your logistics information.
Suzuyo America’s Facilities Transportation Engineering Services - From demolition to restoration and powering “On”
When installing factory equipment, our engineers will propose business substitution, cost reduction, and man-hour reduction.
Other Services
Streamlines operations and logistics by centrally managing everything from disconnection and disassembly to restoration and wiring
Streamlines operations and logistics by centrally managing everything from disconnection and disassembly to restoration and wiring
Suzuyo America’s cargo engineering services We optimize your logistics by making full use of our logistics knowledge and digital technology!
Logistics know-how x Cargo design know-how
Reduces transportation costs by improving loading efficiency.
Design of cargo with safety/quality/workability in mind
Our knowledge and experience in cargo design improves work efficiency, safety, and quality.
Standardization through database
By compiling a database of packing records, we promote standardization of packing specifications for your entire company.
Target Products Create 3D data
Target Products Create 3D data
Palletizing Exterior Simulation
Containers & Trucks Stacking Simulation
Issue: Damage has occurred during transportation, with the lower portion being crushed by the load from the top…
The load is dispersed by changing the packing specification from a partitioned type to a carton type. This is a great way to prevent damage and improve the efficiency of loading and unloading operations!
Are you concerned about rising transportation costs within the U.S.?
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