CASE STUDY
Company
Eastern Warehouse Distributors
Location
USA
Industry
Automotive
ERP
Custom ERP
Challenge
Manual processes and limited inventory visibility.
Solution
Integrating Netstock into their custom ERP.
Result
Reduced lead times and improved ordering.
With limited visibility EWD was driving blind
Eastern Warehouse Distributors (EWD) faced a critical challenge with their most important product line, which was imported from China. This business-critical product line is vital to EWD’s success, but manual processes with spreadsheets led to errors, excess stock, and stock-outs. Due to COVID-19, lead times had increased, and by the time they discovered they had a problem, it was too late to rectify. Recognizing the need for improved inventory visibility and automation, EWD embarked on a journey to enhance efficiency and accuracy in their operations.
Human errors through the use of spreadsheets can be costly. We ordered a whole shipment of incorrect products due to the incorrect Vlookup being selected.
Jack Mills, Software Integrations Specialist at Eastern Warehouse Distributors
Revving up inventory efficiency with Netstock
Time savings
The transition to Netstock resulted in significant time savings in managing inventory. It takes a fraction of the time to create and process POs, to the extent that this task has now been absorbed into the role of one person.
Managing our inventory from China is crucial for our business, especially considering it’s our top-selling product line. Netstock has provided the visibility we needed to navigate extended lead times effectively, automate orders, and ensure we always have the right amount in stock.
Jack Mills
Reduction in excess stock
EWD reduced its overall inventory value from $3 million to $1.8 million and its excess inventory from $68,000 to $1 600. They have freed up capital and now have a more balanced inventory investment.
Enhanced supplier relationships and quicker decision-making
Netstock enabled EWD to navigate the Chinese New Year with confidence. With detailed forecasts down to the day and the ability to scale up and adjust orders based on percentage, the team was able to make informed inventory decisions. Deliveries were strategically staggered during Chinese New Year, ensuring a smooth influx of inventory. Leveraging Netstock’s dashboards and forecasting capabilities, bottlenecks were avoided, and operational efficiency was maintained.
Netstock has provided us with increased visibility and flexibility in decision-making. Our relationships with suppliers have significantly improved with clearer anticipated orders. They appreciate the transparency and reliability in our projections, allowing them to plan their production more efficiently.
Jack Mills
A smooth transition to implementing Netstock
The decision to select Netstock, a cloud-based solution, was influenced by its affordability, functionality, and suitability for their needs compared to other solutions. Netstock’s features provided better visibility and forecasting accuracy, improving inventory management decisions.
Onboarding and training
The implementation process involved thorough training and change management strategies to ensure smooth adoption. Side-by-side comparisons and detailed training sessions helped users understand the benefits of Netstock and eased concerns about the transition.
Industry Insight: Inventory precision drives performance
In the competitive automotive aftermarket, inventory precision isn’t just a virtue—it’s a necessity. With competitors sourcing identical products from the same suppliers, ensuring correct stock availability becomes crucial for gaining a competitive edge.
Precision with your inventory is crucial. You need to have the right part, in the right place at the right time.
Jack Mills
Accelerating continued success
The transition to Netstock streamlined processes and empowered EWD to adapt to dynamic market conditions. With better visibility, forecasting accuracy, and streamlined workflows, EWD continues thriving as a leading automotive parts distributor.
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