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Case Studies > H&O Distribution picks and packs profits with new supply chain solutions

H&O Distribution picks and packs profits with new supply chain solutions

Technology Category
  • Functional Applications - Enterprise Resource Planning Systems (ERP)
  • Functional Applications - Warehouse Management Systems (WMS)
Applicable Functions
  • Business Operation
  • Warehouse & Inventory Management
Use Cases
  • Inventory Management
  • Supply Chain Visibility
  • Warehouse Automation
Services
  • System Integration
  • Training
The Challenge
H & O Distribution faced significant challenges with its manual processes for tracking inventory, distribution, and shipping. The company relied on a 'pen and paper' method, where forklift operators used clipboards to manage picking and receiving operations. This data was then handed over to clerical staff who entered it into an outdated Unix-based system. This manual process led to numerous data entry errors, extensive man-hours to maintain accuracy, and ultimately, revenue losses. Additionally, H & O lacked value-added services to offer its customers, which hindered its ability to attract new clients and maintain a competitive edge. The company needed to modernize its operations to improve efficiency, reduce errors, and provide better services to its customers.
About The Customer
H & O Distribution, along with its affiliate companies Osborne Trucking and Osborne Logistics, offers comprehensive warehousing, fulfillment, and shipping solutions to a diverse range of clients globally. Established in 1959, this family-owned business is located on 36 acres in Fairfield, Ohio, near Cincinnati. The company employs around 85 people, serves over 100 customers, and operates 525,000 square feet of warehouse space. The family-oriented nature of the business has been a key factor in its success, attracting both employees and customers. As a third-party public warehouse, H & O provides a variety of services, including repacking, crating, and general pallet storage, making it a one-stop shop for customers' logistical needs. Despite its success, the company faced challenges with outdated manual processes that impacted its efficiency and profitability.
The Solution
H & O Distribution selected Manhattan SCALE: Supply Chain Architected for Logistics Execution and Extended Enterprise Management to modernize its operations. The decision was based on Manhattan Associates' strong industry reputation and the built-in capabilities and configurability of their solutions. The implementation process was smooth, with Manhattan's professional services team delivering an easily configurable system that met all go-live dates without disrupting daily operations. The transition required minimal training, and the entire process was completed under budget. The new system replaced the outdated Unix-based system and manual processes, significantly improving efficiency and accuracy. Forklift operators now input inventory data on mounted computers, achieving nearly 100% accuracy and saving approximately $20,000 annually in shipping errors. The advanced features of Manhattan SCALE allowed H & O to streamline its business processes, enhance inventory tracking, and provide value-added services to its customers.
Operational Impact
  • The implementation of Manhattan SCALE has significantly streamlined H & O's business processes, replacing manual data entry with efficient PC-based entries.
  • The new system has improved inventory tracking accuracy, with forklift operators now inputting data on mounted computers, leading to nearly 100% accuracy.
  • The company has been able to save approximately $20,000 annually in shipping errors due to the improved accuracy of the new system.
Quantitative Benefit
  • Achieved nearly 100% accuracy in inventory tracking.
  • Saved approximately $20,000 annually in shipping errors.

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