Soak Up the Savings: Streamlining Inventory for Spa-tacular Results

This company is a manufacturer and retailer of premium hot tubs and swim spas. With a focus on wellness and relaxation, their products offer a blend of luxury, comfort and cutting-edge technology. They are committed to providing high-quality, meticulously designed spas that cater to a wide range of health and leisure needs. Their dedication to customer satisfaction is evident through their exceptional service and support, ensuring an unparalleled spa experience.

To learn more about MSC’s BNA, our unbiased process, and data assessment of your indirect supply chain, designed to identify customized solutions to empower performance, generate savings and maximize profit potential, call us at 800.645.7270.

LACK OF INVENTORY MANAGEMENT IN TOOL CRIB, REACTIVE INVENTORY CONTROL, MULTIPLE SUPPLIERS, POOR DATA VISIBILITY

Conducted an extensive operational site assessment through MSC’s Business Needs Analysis (BNA) to identify opportunities to achieve this customer’s goals for improvement in inventory data, tool crib management and purchasing processes.

Goals included:

• Vendor managed tool crib

• Consistent inventory levels

• Reduction in time spent on indirect purchasing

• Supplier partnership

• Reporting and visibility to spend, usage and inventory trends

• Consumption reduction and supplier reduction

• Eliminate duplicate ordering

CONTROL POINT CRIB, VENDING, IN-PLANT, DATA GOVERNANCE, MSCDIRECT.COM

• Expand point of use vending and upgrade vending technology

• Dedicated on-site associate to manage tool crib, vending and stock items

• Establish min/max levels

• Increased visibility and accountability reduce consumption

• Proactive partnership with supplier and supplier reduction

• Implemented mscdirect.com to shorten requisitioning time

COST SAVINGS OF $47,000 IN THE FIRST 12 MONTHS

• Reduced their requisition process by 66%

• Saved them 28% of their purchases with MSC

Established a cadence of quarterly Customer Improvement Reviews (CIR) at which MSC and the customer collectively review a “scorecard” to evaluate inventory management progress on identified goals and look for additional opportunities with inventory management and procurement process optimization, productivity and cost savings.