5 Common Mistakes in Ending Inventory Calculations to Avoid
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When Bonded Logistics, a 3rd Party Logistics provider, COO Dave Jesse reviewed on of his largest customers, it was imperative that something had to be done. Labor costs for the account were too high, productivity was decreasing and SLAs were not being met.
The customer, a consumer products manufacturer, who ships to retail distribution centers, occupies 300,000 square feet of warehouse space, with inbound volume of 10 to 12 containers per day and 10,000 to 15,000 cases of outbound parcel and LTL shipments per day.
“We had 90 employees working three shifts and the pick times were just too slow because of the order mix and the requirement to track lots and expiration dates,” explained Jesse. “We decided to focus on picking for initial evaluations because it represented the largest labor expense.”
The evaluation and changes in picking processes included:
“The results are impressive,” said Jesse. “We are at 49 employees for this client, down from 90. Picking productivity has dramatically improved to reach our service level agreement.” Jesse went on to explain that there is more to do in other areas such as receiving, check-in and putaway as well as QA improvements.
Cadre worked with Bonded to implement additional Cadence features and enhancements and provided business consulting on the project. “This was an opportunity to assist Bonded in reaching their productivity goals by working jointly to add additional flexibility to our system while eliminating nonessential steps,” said Daryl Grove, Executive Vice President at Cadre. “Also handling fewer pallets with order consolidation provided significant ROI. It’s a great example of how Cadre works closely with our customers to build flexibility and agility into our software solutions. There are multiple ways to do just about anything but the optimal solution is the one that makes the customer most successful.”
About Bonded Logistics
Bonded Logistics is a full service third party logistics company, dedicated to providing clients with innovative and flexible supply chain management solutions. Since 1972, Bonded Logistics had integrated transportation, warehousing and contract packaging to offer customers a single source solution. Its Charlotte, North Carolina headquarters is a strategic location provides access to quicker and simpler transportation channels both domestically and internationally. Learn more about Bonded Logistics.
About Cadre Technologies
Cadre Technologies is a leading provider of warehouse management software for fulfillment, logistics and manufacturing companies and is the largest software provider to the third-party logistics (3PL) industry in North America. Cadre delivers warehouse management and logistics visibility tools including: Cadence WMS and Fulfillment System; Accuplus WMS; and LogiView Visibility and Integration. The company is headquartered in Denver, Colorado, with locations in Lenexa, Kansas and Baltimore, Maryland.
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“Cadence WMS provides us real time data to allow us to monitor our daily activities in all of our warehouses. It has provided us the visibility to flex our staff across our network and also provides our clients the transparency they want into our daily operations.”
“We’ve used Cadre products for quite some time now. Their willingness to work with us to customize and connect to other systems and provide seamless solutions for our customers through their online tools has been invaluable. Logiview has been a cornerstone of our logistics platform for many years.
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“Cadre’s software allows us to meet the changing requirements of our warehouse clients and helps us remain competitive with new opportunities. The people are great to work with because they are responsive and understand our business.”
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