Distribution Velocity Improvement

Distribution Velocity Improvement

Situation:

$150 million manufacturer was unable to service their customers from a key distribution facility. On time delivery was 62% and inventory losses totaled $580,000 on inventory of $3.2 million

Actions:

AlphaPoint professionals, working with the management team, developed and helped implement a revised layout with strategic picking locations

Retrained warehouse personnel on the use of the picking order process, procedures and systems

Implemented a warehouse management system to measure performance

Results:

$950,000 in annualized savings

On-time customer delivery from 62% to 89%

Reduced inventory losses from $580,000 to $4,800 in 90 days

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