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A successful model of international logistics

About the company

 A leading provider of fixed, mobile and digital services in Latin America, currently serving around 3 million customers, was looking for a partner with a regional presence that could distribute different products in the 9 countries in which it operates.

The challenge

The company opened a bidding process to find a supplier with its own warehouses to store the materials and have them available for use in the shortest possible time, according to demand.

This supplier had to be able to meet that demand during a 3-year contract period, and be able to distribute the different products in the 9 countries where the company operates in Latin America, without incurring delays or backlogs.

“FYCO products meet the required technical conditions and specifications. In addition, the sales and technical staff are always available to facilitate communication and direct attention to our requirements.”

 Testimonials obtained in the Customer Satisfaction Survey

The strategy

  •  Vendor Managed Inventory

In order to obtain the regional award, it was essential to offer competitive prices and establish a series of alliances with local suppliers to guarantee a sustainable supply chain throughout the contract.

In addition, FYCO developed the VMI (Vendor Managed Inventory) model, a digital inventory that allows the client to verify in real time the distribution and stock processes in order to be able to meet eventual increases in the demand for materials throughout the region.

The VMI platform provides information on the quantities and types of products available in the different stages of the distribution chain: in production, in transit or in inventory at the local warehouse.

  •  Own warehouses

Another major service differential was having its own warehouses in the main markets where the customer has presence. For example, FYCO's warehouse located in Colombia, where this client's largest operation is located, was key.

“In this project, FYCO has maintained a sourcing model on a permanent basis for a company that is present in 9 countries in the region. This is only possible thanks to advance planning and product tracking throughout the entire distribution chain, which allows us to supply the customer immediately, avoiding delays”.

 Business Intelligence Manager FYCO

Results

  •  Partner in HFC solutions

During 2019-2022, FYCO supplied a total of 2,231,300 2-way indoor splitters to supply the customer's HFC network.

  •  Agile and flexible service

The implementation of the VMI (Vendor Managed Inventory) model made possible significant cost savings and reduced response times. In addition, it allowed FYCO to provide the client with an agile and flexible service, with regional reach.

  •  Own warehouses

Having our own warehouses close to the countries where the client provides its services made it possible to immediately meet demands for use and replacement, which streamlined the client's operation in a very positive way.

  •  Future plans

Based on this experience, the possibility of developing new projects in Latin America was opened and the challenge of offering this customer other innovative proposals within the fiber optic segment, with customized solutions for international supply.

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