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November 2008 Company News | From the Desk of | Industry News
Meet Darnell Lester
Residence: Las Vegas, Nevada What did you do before joining Zerion? What is your specialty at Zerion? What is the best location you’ve traveled to for your job at Zerion? If there was one place you could visit in the world, where would it be? What do you like best about your job? What is your favorite “customer success” story? How do you spend most of your time when you’re not working? What is a little known, interesting fact about you? Favorite book or movie and why: In one sentence, describe your philosophy on life and work:
It’s that time of year when people are gathering with family and thinking about turkey hangovers, holiday shopping and of course, college bowl games. But it’s also the time when most distributors are thinking about year-end procedures and wall-to-wall physical inventories. Even if your fiscal year isn’t the calendar year, I challenge you to use this end-of-the-year time to think about how you can have your own season peak in the distribution bowl game, and position your business to prosper in the New Year. One thing you can do right now is to focus on dead stock. The end of the year is a good opportunity to rid your warehouse of items that have lost value, just like a coach will bench players for the big game if they aren't performing well. For those items that simply aren’t selling, a deeply discounted promotion, a one-day blow-out sale, or a donation to a local charity are three options for moving the inventory faster. Regardless, it is always best to write-off this dead stock and free up your warehouse for more profitable items than to carry it into the New Year. Similarly, we’ve seen remnants present an issue for some of our clients. If you cut wire or conduct any kind of fabrication in your facility, Eclipse tracks the pieces that are leftover in the process very well by using lot tracking. If you're not using this function, letting it go un-sold and un-tracked is like throwing money out the dock door; so 2009 should include a plan to turn on lot tracking. Before the end of the year, you can also do a remnant sale on a Saturday or offer it at a great deal in conjunction with a dead stock sale. You can also consider long-term adjustments to impact the bottom line. Just like a team already is wooing its recruits for next year's lineup, what changes can you make in your operation or the system to be more efficient in ’09? I believe that change stimulates business, so now isn’t the time to hunker down. Even just one step forward is better than standing still. A change that can make a difference not only throughout the year, but as you close the books next year, is cycle counting. Initiating a scheduled cycle count, whether random, location or rank-based, can help you reduce errors, give you more accurate inventory and shipping, and even eliminate your annual physical inventory. When you turn on cycle count, you set it up to trigger the system to count a certain number of products every day throughout the year, automatically. You can also try a mini-cycle every three months or quarterly if you don’t want to set it for every day. Either way, you’ll have more accurate inventory and always know what’s on hand. Replenishment is another way to create efficiency going forward and something that can help you start the year off right. It’s only an option if you’re in an RF environment, but not every RF warehouse takes advantage of this helpful Eclipse tool. With replenishment, you can go on the offensive by automatically triggering the system to tell you when to refill product in certain locations in the warehouse. You do this by setting up an appropriate min and max for each of your products. For example, if you have a counter location or showroom, and you set the min as 3 on a Kohler faucet, and your max as 8, whenever Eclipse sees that you only have 3 left, it will tell you to replenish from the primary location with exactly 6 faucets from the primary location. Now is also the time for the head coach of your company to start forecasting and planning for next year's season. With such an involved ERP solution like Eclipse, it’s rare that a distributor is using all of the functionality available. Maybe there are players that are in the wrong position, a great play that never got used, or undiscovered talent sitting on the sidelines. Whether you need help implementing one of the above suggestions, or are considering a more involved implementation like routing software or RF, we recommend you initiate at least one project per year. And it’s important to plan ahead, both with your time and finances. You can consider some consulting, such as a branch audit, to determine where you may have opportunities for improvement. Or maybe you'd prefer something as simple as additional on-site or web-based training for your team. Next month and throughout 2009, Zerion will be offering cost-effective options for training, including in-person regional training classes as well as shorter web-based sessions. No matter the task, Zerion is available to help give your year the celebratory close it deserves while helping you look ahead to a title-worthy season next year. Happy Thanksgiving! Tony King, Vice President
What’s happening with distribution, software and business?
Get 5% off your first equipment purchase ... Contact Tony King (321.229.1089) by December 30 to receive the discount. | Report Scheduling
Warehouse and Sales Training Next Week! Do Your Own Blocking and Tackling This Football Season If you're interested in attending, or would like more information, contact Lauren Giles. |