Whirlpool--Taking a Customer-Centric Approach

Supply chain management was not always a competitive advantage for Whirlpool. In 1999, Penske initially partnered with Whirlpool as its single logistics provider for the Quality express network. Penske was responsible for the logistics of the entire network, including managing the relationship of the two regions it subcontracted to Kenco. This Penske-Whirlpool partnership replaced Whirlpool’s previous logistics solution, comprised of two incumbent third-party logistics providers. The partnership accomplished Whirlpool early logistics objectives, most notably, to establish effective processes and procedures, allow for more visibility of the company distribution network and reduce supply chain costs.

Recently, Whirlpool management took a more customer-centric approach to analyzing its supply chain and began benchmarking its supply chain against other companies to identify est in class? practices. This exercise prompted Whirlpool to question whether having a single logistics provider was the best structure to exceed customer expectations and maximize cost savings. And, at the same time, Whirlpool was gearing up for the monumental acquisition of Maytag.