In an era marked by supply chain volatility, labor shortages, inflation pressures, and unpredictable market cycles, operational resilience is no longer optional—it’s a strategic advantage.
This case study explores how GraniteCore Supply, a mid-sized building materials distributor, successfully built operational resilience during a two-year period of continuous disruption. The result?
95% service level across all branches
40% reduction in unplanned downtime
18% increase in contractor satisfaction
Business continuity with zero layoffs
Here’s how they did it—and what your distribution business can learn from their winning approach.
🏢 Company Snapshot: GraniteCore Supply
Headquarters: Denver, CO
Industry: Building materials and construction supplies
Size: 8 regional branches, $85M in annual revenue
Challenge: Frequent supply chain delays, workforce turnover, rising freight costs, and inconsistent service during peak seasons
🎯 The Goal: Build Resilience Without Sacrificing Agility or Profitability
GraniteCore’s leadership set a clear objective:
“Create an operation that can absorb disruption and adapt quickly—while still serving our customers and hitting our numbers.”
🧠 Strategy 1: Create a Resilience Task Force
Challenge: Fragmented response to problems across branches
What They Did:
Formed a cross-functional team from operations, HR, finance, and branch leadership
Met bi-weekly to assess risk, review real-time performance, and update contingency plans
Developed a “Resilience Playbook” with branch-level response protocols
Result:
🛠 Unified response led to quicker decisions, consistent communication, and higher confidence across the business.
📦 Strategy 2: Segment Inventory and Build Smart Safety Stock
Challenge: Overstock on low-margin items and stockouts on essentials
What They Did:
Conducted ABC inventory analysis to identify critical, high-mover SKUs
Established tiered safety stock thresholds for core items
Set up regional transfers between branches based on real-time need
Result:
📊 Reduced inventory holding costs by 12% while improving product availability.
👷 Strategy 3: Cross-Train Teams and Build Labor Flexibility
Challenge: Rising absenteeism and hiring gaps
What They Did:
Developed a cross-training program for warehouse, driving, and inside sales roles
Created shift flexibility at peak times with floating support staff
Incentivized internal mobility for retention and morale
Result:
👥 Maintained full operational coverage during a 3-week COVID surge—without overtime spikes.
🚚 Strategy 4: Diversify Suppliers and Localize Freight Partners
Challenge: Overreliance on a few national vendors and freight carriers
What They Did:
Qualified 2nd and 3rd suppliers for each key product category
Partnered with regional LTL carriers for shorter, faster routes
Built backup freight agreements for peak season overflow
Result:
🚛 On-time delivery rates improved from 84% to 95% within 9 months.
📲 Strategy 5: Invest in Real-Time Operational Visibility
Challenge: Delayed decision-making due to siloed reporting
What They Did:
Rolled out a branch-level dashboard to track inventory, order accuracy, delivery performance, and labor hours
Set up automated alerts for stockouts, supplier delays, and late deliveries
Gave branch managers authority to respond immediately using data
Result:
📉 Cut unplanned downtime by 40%, improved decision speed, and reduced emergency purchase orders.
📞 Bonus Move: Proactive Contractor Communication Protocol
Challenge: Customer frustration from unclear timelines and surprise delays
What They Did:
Trained inside sales reps to call high-volume customers during delays
Offered real-time alternatives when products were backordered
Used SMS and email updates for larger project deliveries
Result:
👷 Contractor satisfaction (measured by NPS) rose 18%, and customer churn dropped significantly.
📈 Performance Metrics After 12 Months
MetricBefore Resilience PlanAfter
On-Time Delivery Rate84%95%
Inventory Turns6.17.3
Labor Coverage Consistency78%97%
Contractor Satisfaction (NPS)6381
Unplanned Downtime19 hours/month11 hours/month
Emergency Procurement Spend$350K/year$212K/year (↓39%)
🧠 Key Lessons Learned
Resilience is built, not bought. It takes structure, not just instinct.
Cross-functional teams reduce silos—and speed up solutions.
Visibility fuels adaptability. Live data allowed smarter, faster pivots.
Resilient teams are made of flexible people. Labor agility was just as critical as supply flexibility.
Transparency strengthens loyalty. Communication became a competitive advantage.
✅ Conclusion: Resilience = Readiness + Responsiveness
GraniteCore proved that operational resilience isn’t just about surviving disruption—it’s about using it as a catalyst to improve performance, sharpen operations, and grow customer trust.
For building distributors in uncertain times, the companies that prepare, pivot, and protect—without slowing down—are the ones that win.
