Flexible Space Can Be A Game Changer
A major power tool retailer was faced with a daunting challenge two to three times each year. During the weeks and months prior to their Peak Sales seasons or promotions, they would have a large influx of containers and trailers of new products. This influx would be moved through the facility quickly when the promotion or season got underway, but was sometimes 20-40% more capacity that they could store in their facility. In the past, they had struggled with a cost-effective way to handle this storage and mitigate costs from container and transportation suppliers.
Early in 2016, Versant approached the power tool retailer with proposals for Workstream (CPU process management) and Empower (Contingent Labor). As Versant began to work with the power tool retailer in their distribution center, our onsite managers asked questions about the over-crowding of product and other materials in the facility. When it was revealed that some product was being delayed for receipt and held on containers and trailers (with additional charges) Versant offered a better and more cost-effective solution.
Versant offers Flexible Space Solutions through the VersantFlex model for utilizing local, flexible storage facilities and managed services to allow for receipt, lumping and short-term storage of product that might otherwise be delayed. This prevents costly detention fees for containers and trailers that quickly surpass any variable costs associated with the VersantFlex model. The storage solution is paired with a robust WMS that can provide Receiving and Inventory Reporting along with an on-call shuttle service to quickly move the power tool retailer product from our flexible facility to the power tool retailer DC.
Inbound containers and trailers were routed to the Versant facility where they were lumped and received the same day. This eliminated costly detention and storage fees for the equipment and allowed the power tool retailer to have immediate visibility via the WMS to the inventory on-hand. This has been successfully implemented during several of the ramp-up periods for the power tool retailer. Overall transportation or storage savings and inventory visibility for the client are the main advantages to this solution. The VersantFlex model can be a game-changer for any facility facing space constraints!