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A midwest cereal manufacturer needed a better, more efficient way to provide product samples to their nationwide sales force. The existing process allowed salespeople to order product by phone, fax or paper. Product samples were obtained by breaking down palletized finished goods right at the plant. A dedicated staff coordinated all orders and fulfillment. Salespeople were able to expedite shipping without authorization. Valuable plant square footage was being taken up enabling the process. Updated and accurate reporting was difficult to obtain.
A web based ordering system was put in place allowing salespeople to order samples directly while seeing real time inventory and request specific due dates for delivery. Expedited shipping can be requested, but is now routed to management for prior approval. Order quantities and costs are now reported by salesperson regularly. Product is shipped directly to 2020 on pallets as it rolls off the production line and plant floor space is no longer needed. 2020 manages all inventory levels and maintains product information including date of manufacture, plant, and lot number. These records are maintained to insure trackability of all product should a recall ever be necessary. Pallets are broken down and stored at 2020 and then assembled in a variety of small package configurations based upon sales needs.
• Expedited shipping has been all but eliminated.
• Plant floor space has been reclaimed for production.
• Dedicated staff has been redeployed to other work.
• Ordering process is simplified, with less effort.
• Product is getting where it is needed on time for less.
• Reporting and record keeping is accurate and up to date.
• Total cost savings into six figures.