Case Study | January 31, 2013

Amerisource Reduces Costs And Increases Productivity With Bluetooth Scanner Solution

Source: Opticon, Inc.

With headquarters in the Detroit area and branches in Green Bay and Memphis, Amerisource Industrial Supply has been in business for over 60 years. As a full line industrial distributor, they focus on consumable and MRO supplies. Amerisource prides itself on a proven track record of delivering industrial supply cost savings by implementing best practices, consumption controls and simplifying the procurement process. Proof of customer success includes best in class performance with over 98.5% fill rates and order accuracy exceeding 99.8%.

Challenge

In today’s ever changing, highly competitive manufacturing environment, effectively and efficiently managing inventory is more important than ever. To quickly satisfy customer demand, manufacturers often face a balancing act between carrying a wide range of inventory in order to avoid stock-out situations while striving to find ways to improve their operations and reduce costs.

It is generally understood by purchasing professionals that the merchandise price as shown on the invoice is only 40% of the total cost of procurement. Determining what is required, placing the order, issuing the purchase order, receiving the product, putting it away and paying the bill account for the remaining 60% of the cost of purchasing industrial and MRO supplies. Amerisource found that most companies have done a good job of negotiating lower prices for industrial supplies, but in order to realize substantial savings, companies have to change what they are doing and focus more on the other 60% of their costs.

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