AAdvantage northAmerican: Increased Inventory Accuracy

3PL / Contract Logistics 

"Accuracy went from 91% to 99%, allowing us to provide better customer service and avoid expensive errors. We only lost one box last quarter reducing shrinkage costs by thousands of dollars."

-Juddy Harris
Delivery & Warehouse Manager
AAdvantage northAmerican

 

COMPANY PROFILE
Company: AAdvantage northAmerican
Industry: 3PL (contract logistics)
Headquarters: Panama City, Florida
Employees: 30
Revenues: $2.5 million

 

THE CHALLENGE:

  • Increase shipping accuracy
  • Win new business through reliability
    and higher service
  • Increase customer satisfaction
    through higher system ease of use

THE SOLUTION:

SmartTurnTM Inventory and Warehouse
Management System

 

THE RESULTS:

  • Increased inventory accuracy from
    91% to 99%
  • Won new customer by reducing
    their shrinkage costs
  • Increased customer satisfaction by
    providing web-based visibility of
    inventory
  • Improved customers’ warehouse
    performance and inventory accuracy

AAdvantage northAmerican is a “last mile” 3PL, providing warehousing and moving services for big and heavy products that nobody else can. Like any growing  business, it could not afford costly errors for clients like Sears, Amazon.com and the Emmy Awards.

AAdvantage needed a system to help win new business with clients like Trane, through higher service levels especially around part and small box quantity picking, more efficient warehousing operations, and increased customer satisfaction through higher system ease of use.

Key Challenges:

Real-time Inventory and Shipment Visibility

Until recently, AAdvantage was able to get by with a paper-based system and hard work. But increasing demands from customers for real-time inventory and shipment visibility prompted their search for a warehouse management system.

“We’ve been in the 3PL business since 1987 and prior to that as a moving company, and after finally deciding to adopt a WMS we were disappointed to find out that most solutions wanted $10,000 to $20,000 up-front to just do an evaluation. We also needed our clients to have their own remote login and therefore the need for a web-based, ‘pay-as-you-go’ system became apparent. We also needed a system that would allow us to deploy Windows CE mobile handhelds out of the box, as well as having a web interface for both ourselves and our clients. Most of all, we wanted a solution that was easy to implement and integrate into our existing IT, and it had to be scalable with our growing business needs,” said Juddy Harris, Delivery and Warehouse Manager for AAdvantage northAmerican.

Another key challenge for AAdvantage was finding a system that would help to avoid errors that could cost a key customer thousands of dollars in high value items. The warehouse team needed to begin doing frequent cycle counts, and integrate closely with its partners in order to identify discrepancies.

"... it was easy to get
going, ... SmartTurn’s
flexible configuration and
price point was exceptional."


--Juddy Harris
Delivery & Warehouse Manager
AAdvantage northAmerican

All of this had to be easy to deploy, learn and run. In order to minimize disruptions to their ongoing business, AAdvantage needed the new system to be up and running in less than a month.

Implementation Highlights:

Plan-Configure-Run Simplicity

After doing extensive research, the AAdvantage team chose SmartTurn because the solution is continuously growing in capabilities, and SmartTurn provides an on-demand delivery model that allows for more frequent and transparent upgrades. Additionally, AAdvantage was able
to customize the system to access real-time inventory reports, implement easy mobile cycle counts, and provide a simple web-based interface for its customers to gain access to inventory visibility.

“I had no experience in running a warehouse management system [but] it was easy to get going, and only took us a few hours to start a new warehouse implementation with SmartTurn’s exible configuration, and the price point was exceptional,” said Juddy Harris. “I had to do very little work, and the experience was painless. The SmartTurn dedicated Customer Experience Manager was there to walk me through my first setup. There were a few glitches, but I feel I have total control and SmartTurn listens to my requests."

SmartTurn’s Plan-Configure-Run process helps customers gather the right data and expose business process priorities early, so that customers can both manage and improve their warehouse performance and inventory accuracy. SmartTurn has many options to allow efficient transfer of information between systems ranging from Quickbooks to SAP. Additionally, SmartTurn’s Customer Experience Management teams are seasoned warehouse systems operators who can train and coach customers if needed on WMS best practices, as well as conduct on-going system health checks.

Benefit Highlights:

"Our sales teams
always show our new
visiblity capabilities to
prospective customers.
Also, by improving the
quality of our service, we
are seeing better customer
penetration..."

--Juddy Harris
Delivery & Warehouse Manager
AAdvantage northAmerican

Winning New Customers with SmartTurn

AAdvantage northAmerican was able to increase inventory accuracy by a factor of 10, going from 91% to over 99% accuracy. By implementing SmartTurn’s web-based viewing  capabilities, AAdvantage won a new key customer and reduced shrinkage to just one item in a quarter effectively reducing their client’s shrinkage from $40,000 to just $100. Additionally, discarding cumbersome hand-written paperwork prone to typos and multiple data entries for the same item directly led to the reduction of errors.

“Our sales teams always show our new visibility capabilities to prospective customers. Also, by improving the quality of our service, we are seeing better customer penetration since other groups, like purchasing, now have access to accurate information,” said Harris. “My life is made easier…it used to take me a whole day to bill clients; now only takes me 30 minutes. Billing is a snap, no more typing – just a click does the job. We can bill on a daily basis now instead of monthly….and it works!”

About Smartturn

SmartTurn™ Inventory and Warehouse Management System is the first true on-demand warehouse management system to provide enterprise class functionality at a fraction of the cost of traditional license and install software. Designed for quick implementation, ease-of-use, real-time inventory accuracy and warehouses performance, the SmartTurn system provides visibility on every item across single or multiple warehouses. Founded on the  premise that software should be smart, simple and safe, SmartTurn’s customers span the value chain of most industries to include manufacturers, wholesalers as well as 3PLs. SmartTurn is privately held and backed by leading investors, NEA and Emergence Capital Partners.

For more information, please visit www.smartturn.com.

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