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ADP Saves $150K in the First Quarter With WMS Implementation

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Features/Benefits Provided:
  • Processor of shareholder communications
  • Handles more than 800 million pieces of shareholder mail per year
  • $150,000 in labor savings in first quarter of implementation
  • SCE Provider: HighJump Software, Inc.

ADP is the world's largest processor of shareholder communications for corporations, banks, brokerage firms and mutual funds, distributing more than 800 million documents to investors worldwide each year.

Challenge
Through careful analysis of internal procedures, ADP management found that the company spent significant time and money manually tracking orders and locating products as they arrived. In addition, customer service representatives could neither access real-time information on order status nor perform status queries because they had no systems designed to serve that purpose.

Solution
When ADP discovered that its warehouse management system (WMS) hindered the quality of its performance and drove up labor costs, the company turned to a WMS vendor to improve the efficiency of its supply chain. ADP chose to implement a state-of-the-art WMS, after evaluating systems from 15 vendors nationwide. According to Cliff Heney, Senior Director of Material/Logistics Communications Services at ADP, the company selected their WMS to track and monitor the inflow/outflow of products in real time, as well as to determine product location and status.

Results
According to Heney, ADP achieved $150,000 in labor savings in the first quarter of installation and increased business throughput by 30% without adding costs and personnel. It is a very user-friendly system. We didn't have to spend a lot of time on training. In fact, because of its adaptability and flexibility, we can easily modify our program to meet the changing needs of our business", Cliff Heney, ADP. In addition, the average number of pallets processed each week rose 43% while delivery truck wait time decreased by 60%.

"We're a service business, and we understand the value of delivering what we promise," Heney said. "We our vendor as a partner, and they have a valuable stake in our success." He concludes, "Our production cycle is the most time-intensive part of our process, and the WMS does an excellent job of allowing us to maximize our capacity. The system definitely makes us a much better supplier for our customers."



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