World-Class Logistics/Distribution

Leaders from many high-profile companies contact OTTS requesting us to do analysis on their logistics and distribution networks and/or their 3PL providers.

OTTS uses several tools to determine if your company’s logistics/distribution networks are optimal.

For example:

  • A good benchmark for your company’s warehousing and inventory management budget is anywhere between 1 and 4 percent of your company’s revenues.

  • A good benchmark for transportation costs is between 2 and 13 percent of your company’s revenues.

Additionally, these factors should be considered when determining if your company’s logistics/distribution services are optimized when it comes to affordably servicing your customers:


  • Total Transportation Costs

  • Modes (Air, Ocean, Rail, FTL, LTL, Parcel)

  • Parcel Shipments (Commonly used by E-Businesses , i.e., national expedited carriers such as UPS, FedEx, or DHL

  • Expedited (how much of your freight is expedited?)(Unplanned vs Budget)

  • Sourcing Contract terms with your carriers/brokers


  • Track record

  • Condition of goods upon arrival

  • Milk runs

  • Good freight forwarder

The existence of a reverse logistics program

Does your company move a lot of product internationally?

Distribution Centers/Warehouses

  • Costs

  • Proximity

  • Locations

  • Number of facilities (domestic and internationally)

  • Inventory Control (Inventory Accuracy by product level)

  • Safety, Quality, and Customer Service Levels, KPI’s used to manage the operations

3PLs Service Providers

  • The usage of 3PLs to manage logistics and distribution

  • Performance versus the 3PL providers costs

  • Structure of contract with your 3PL

  • Does your company move a lot of product internationally?

  • Quality (Inventory Control, Customer Service, Safety, KPIs to manage your 3PL)

Warehouse/Distribution Operations

  • Pick and pack operations

  • Thinking of or have a TMS or WMS software application? If your company is thinking of implementing software. Please, contact OTTS first!

  • Use of a Container Management Program

  • Good data and KPI’s to measure logistics/distribution by:

    • Facility

    • Facility by item

    • Country

    • Costs

    • Safety

Service Levels

   a. Order Fill Rates
   b. Inventory Accuracy
   c. Order Turnaround Time
   d. Supplier and Carrier Scorecards
   e. Space Utilization
   f. On-Time Delivery
   g. Expedite Orders
   h. Supermarkets
   i. VMI and SOMI Programs

If you do not feel your company has the optimal logistics/distribution network operations, please call OTTS today!

(888) 410-6887

OTTS will dive deeply into your logistics/distribution operations and advise your management team on ways to increase service levels while lowering costs. OTTS will provide your company with a best-in-class solution to ensure that operations are running the most efficiently and yielding the best ROI (return on investment).

Services: Logistics/Distribution Networks

The advantages derived from the most efficient organizational structure and operational system can be negated if your logistics and distribution networks are not up to par. In fact, these play a critical role in maintaining your brand power in the marketplace and ensuring that customer satisfaction remains at desirable levels. A failure in your distribution or poor logistics planning can dramatically erode your market share and give your competitors a leading edge. To ensure that your business is never exposed to such risks, partner with OTTS. We have a skilled team of professionals, experience in this arena, and the passion to deliver logistics/distribution network solutions that work.

Improve your Distribution Network in Domestic and Global Markets

For today’s business, the target audience no longer needs to be limited within your four walls!

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OTTS, Inc.

14271 Jeffrey Road, Ste. 326

Irvine, Ca 92620