CASE STUDY
Company
Sunbeam Foods Inc
Location
USA
Industry
Food & Beverage
ERP
Sage 100
Challenge
Stock projections performed manually.
Solution
Netstock integrated with Sage 100 ERP.
Result
Improved ROI and high staff morale.
Technology replaces manual processes
Before implementing Netstock, Sunbeam was using basic information from their Sage 100 accounting system, together with walking the warehouse aisles to see what bins were low on product, to determine what to order. This process was extremely time-intensive for Sunbeam’s purchasing manager and the warehouse staff. The salespeople were spending way too much time discussing backorders with clients that were understandably upset when they couldn’t get their stock. Low fill rates and too much obsolete inventory was a regular occurrence for Sunbeam.
Our inventory value has dropped by 52% and we have reduced our excess stock by 80%, all in a 17-month time frame.
Brian Savage, CEO
“Netstock has completely transformed our business, said Brian Savage, CEO, who acquired the company 24 months ago. We have been using Netstock for 17 months and can already report a fill rate that has exceeded 99% – an increase of over 15 percentage points. Our total inventory value has dropped by 52%, and we have reduced our excess stock by 80%”. Besides the financial ROI, we have seen a remarkable improvement in staff morale and job satisfaction. The salespeople have more time for prospecting and closing new business. Our warehouse staff is much happier not having to deal with excess stock taking up valuable space in the warehouse and wasting time verifying tems that are out of stock while they pick items to fill orders”, says Brian.
The Netstock dashboard gives Sunbeam Foods a daily snapshot on the health of their inventory and draws their attention to the critical issues that need immediate attention. Seeing their historical demand gives them the insights needed for smarter forecasting. The top-up feature which provides recommended items to include on purchase orders, Sunbeam finds hugely beneficial in preventing stock-outs in the middle of replenishment cycles.
“Our staff have developed a sense of pride in what we are accomplishing and get very excited when we reach a new level of performance. It isn’t uncommon to hear yelps and whoops when the system is opened in the morning, and the latest results are displayed. I even get text messages celebrating new achievements when I am out of the office. Additionally, the customer feedback we have received has been incredibly positive – they appreciate our higher service levels, and we are seeing more clients willing to be referenced”, concludes Brian.
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