CUSTOMER CASE STUDY - Veracore

Transcription

CUSTOMER CASE STUDY

The SituationHubbell Lighting, Inc., located in Greensville, SC produces indoor andoutdoor lighting products for industrial, commercial and institutionalmarkets and is the largest manufacturer of residential lighting fixtures inNorth America. Hubbell Lighting operates a large in-plant printingoperation whose primary mission is the production, warehousing and fulfillment of the materialsused to support the sales and marketing efforts of the 24 different brands that comprise HubbellLighting.The fulfillment component of the operation is quite complex. The in-plant printer manages hundreds of different SKU’s, some of which are printed in large quantities and stored in the warehouse,and some that are printed on demand when ordered. The items are ordered online by a nationwidenetwork consisting of both Hubbell employees and independent sales agents. Access to the items ispermission-based and varies based on the brand and role of the individual placing the order.Challenges & OpportunitiesHubbell Lighting’s online ordering and fulfillment had been facilitated for a number of years througha system that was geared primarily towards web-to-print. When the web-to-print system did enableusers to place orders, it included only limited ability to manage inventory, could not track kits & kitcomponents properly, offered little in the way of reporting, and was not integrated with other technologies that Hubbell utilized. In short, it was simply not designed for a full-blown fulfillment operation the likes of which Hubbell’s in-plant team was now managing.Warehouse management and inventory control is a central component of the order fulfillment process. The web-to-print system Hubbell used could track inventory levels in aggregate, but not by warehouse location. This fact alone proved a significant barrier to the in-plant’s ability to efficiently manage the operation. When an order was processed, the picker had to know where to find the material.Items were often stored in multiple locations, but the picking documents provided no informationas to which locations contained sufficient quantities to fill the order. As a result, pickers often spentvaluable time hunting around the warehouse for the material.Kitting posed a similar set of challenges for the Hubbell team. Several of the firm’s brands utilizedbinders containing many associated items for a product or product line. Unfortunately, the systemthat Hubbell used had no ability to define kits & kit components, and therefore no ability to manage the physical process of pulling components and assembling them into kits. The Hubbell teamwas forced to manage the kitting with time consuming offline processes. At month end, they placed“orders” for each of the components to adjust for inventory that had been used for kits during themonth. This approach was clumsy and made it difficult to maintain any semblance of inventory accuracy during the month.The inventory challenges meant that the Hubbell team had to work extremely hard in order to ensurethe accuracy and order turnaround times that the organization required. Another significant sourceof frustration for the team was the fact that their fulfillment platform was not integrated with UPS,their preferred shipping vendor. As a result, when an order needed to be shipped, they had to2

manually enter the order into the shipping system, and then manually key in the shipment details andtracking numbers from the shipping system into the web-to-print system. These two manual stepsrequired man-hours each day with each entry, and presented the risk of a keystroke error.Inventory challenges meant that the Hubbell teamhad to work extremely hard in order to ensure theaccuracy and order turnaround times that theorganization required.The SolutionDespite these operational challenges, demand for fulfillment services continued to increase as HubbellLighting developed new product lines and expanded its sales network. David Dahl, Facility Manager ofHubbell Lighting’s printing operation, understood clearly that if his team were to continue providingthese services in an accurate and timely manner, something would need to be done.David began to investigate software solutions that would better equip his employees to do their jobs.In their course of researching options, David discussed their situation with the sales representativefrom a nearby commercial printer that Hubbell used for occasional overflow work. The sales rep suggested that David take a look at the VeraCore Fulfillment Solution, which was used in several of hercompany’s plants.David and his production manager, Michael Stiles, discussed their situation and objectives with a VeraCore salesperson in advance of a demonstration. The VeraCore salesperson explained that the biggestdifferentiator between VeraCore and their current system was the intended use of the two systems.VeraCore, he explained, unlike the web-to-print system, was designed from the ground up for fulfillment. After viewing the demo, it was clear to David and Michael that VeraCore would provide solutions to all of their most pressing challenges. David began the process of formally recommending thatHubbell Lighting move forward with VeraCore.VeraCore was designed from the ground up for fulfillment.andwould provide solutions to all their most pressing challengesAs the manager of a corporate in-plant, David was mindful of the fact that implementing a new solution would require corporate approval and that he would need to provide clear cut cost justificationfor such a purchase. As it turned out, implementing VeraCore would result in a reduction in themonthly costs associated with software licensing and support. David also anticipated that the costof the initial investment in the new software would be recovered in a short period of time, given theprocess efficiencies he expected the system to introduce.3

The ResultHubbell Lighting proceeded with their implementation withVeraCore and the results have been impressive. The system’sinventory tracking, proper handling of kits, and integrationwith their shipping stations has shaved several man-hoursoff of each workday.“The decision to implement VeraCore has really changed theway we operate,” explained Dahl. “It has made our lives a loteasier and allowed us to improve the service we provide inways that we had not even anticipated. But the most significant benefit is that we have been able to take on substantially more work for our company, without having to add additional labor.”The software upgrade has provided some other unforeseenbenefits, including a reduction in sales agents accidentallyordering the wrong materials. The VeraCore shopping cartcan easily be configured to include a PDF, which has provento be a simple yet effective way to squeeze errors out of thefulfillment process. Michael Stiles explains, “We stock overa thousand different pieces of literature, many of which lookvery similar, especially if you’re looking at a thumbnail imagein a shopping cart. Allowing the users to click into a full PDF lets them verify that they are orderingthe right piece. This has helped to save us money by reducing the need to rush out a shipment overnight when a user realizes at the last minute that they’ve ordered the wrong piece.”The impact that VeraCore has had on the operation also extends to Hubbell’s brand managers, who areresponsible for the firm’s sales and marketing materials.“[VeraCore] has made our lives a lot easier and allowed us toimprove the service we provide in ways that we had not evenanticipated”The system’s extensive reporting and automated email notifications provide real-time information regarding inventory utilization, stock levels and other data points required to plan and make decisionsregarding stocking levels, reorders and the scrapping of obsolete items.Bridget Coffey, Marketing Assistant for Hubbell’s Progress Lighting division was very excited aboutthe decision to implement a new system, and the results have not disappointed. “The new system isbetter in so many ways,” Coffey explained. “It’s easier to use, it does so much more and it saves metime. VeraCore easily saves me an hour per day compared to the old system.”4

Looking AheadHubbell Lighting is one of three divisions that comprise Hubbell, Inc. Due to the Lighting division’ssuccess, it was decided that this operation should also manage the printing and fulfillment needs ofHubbell’s Power division, effectively doubling the in-plant’s order volumes. With the efficiency thatVeraCore has helped Hubbell Lighting to achieve, Mr. Dahl anticipates being able to take on the Powerdivision’s fulfillment work, without having to hire any additional staff.“The new system is better in somany ways. It’s easier to use,it does so much more and itsaves me time. VeraCore easily saves me an hour per daycompared to the old system.”DISCLAIMERThis study represents real client experience based on client feedback and analysis. Outcomes mayvary. Contents of this white paper should not be relied on solely as a basis for business decisions.VeraCore makes no claims or guarantees regarding business outcomes resulting from the informationoutlined in this document.About VeraCoreVeraCore Software Solutions, Inc. has been providing order fulfillment and warehouse managementsoftware to fulfillment companies, printers, e-retailers, and marketing service providers for over thirty years. Their software solutions are found at the center of thousands of fulfillment programs acrossa wide range of industries. Visit www.veracore.com for more information.About HubbellHubbell Incorporated began its journey in the late 1800’s when its founder, Harvey Hubbell, developed tooling and equipment to serve the growing demand for new assembly and manufacturingmachinery during the industrial revolution. Today, Hubbell continues the tradition of growth andinnovation that the company was built on over a century ago. Visit www.hubbell.com to learn more.5

The VeraCore salesperson explained that the biggest differentiator between VeraCore and their current system was the intended use of the two systems. VeraCore, he explained, unlike the web-to-print system, was designed from the ground up for fulfill-ment. After viewing the demo, it was clear to David and Michael that VeraCore would provide solu-