How LEGO Rebuilt Its Supply Chain After Nearly Collapsing

In the early 2000s, LEGO was losing $400 million a year. Its supply chain had become a tangled mess of thousands of unique parts, chaotic forecasting, and warehouses full of unsold sets. This episode dives deep into LEGO's operational turnaround: how they cut part count by 50 percent, centralized global distribution, and implemented a demand-driven planning system that turned the company into the world's most profitable toy maker. We look at specific numbers—like the shift from 13,000 unique parts to 6,500, and the construction of one massive distribution center in the Czech Republic that replaced dozens of regional warehouses. Lucas and Luna also explore the human side: how LEGO aligned its engineering, sales, and operations teams around a single metric—service level—and what any company can learn from its 'brick by brick' approach to fixing broken processes. #LEGO #SupplyChain #OperationsTurnaround #ToyIndustry #BusinessTurnaround #LeanManufacturing #DemandPlanning #InventoryManagement #DistributionCenter #PartStandardization #ProcessImprovement #Forecasting #GlobalOperations #OrganizationalChange #Business #FexingoBusiness #BusinessPodcast #TheOperationsPodcast Keep every episode free: buymeacoffee.com/fexingo