Recommendations

Recommendations

Elixir Updates - Improve IS

All issues found in our research are related to the information system used in the company. SLT has been using Elixir for about 4 years now, and the system still shows some technical problems. Because the company invested a lot in this system, we would not recommend changing it completely, but we will suggest a few improvements based on the problems found in the order fulfillment process.

B2B Sales Website – Improve Data’s Flow

To eliminate duplicate entries and order movement through different channels, we would recommend an online platform where customers would place an order. The website would improve the activity of order placement and the data flow by:

Data entry: The order should be entered in the system once and as close to the source as possible. When a customer has an online platform to enter the data, the information flows through all systems and the supply chain contributors can communicate without involvement from other parties, which would make the system more responsive and faster.

Order Visibility: customers could simply go to the website to view the status of an order, instead of calling or emailing the sales rep. Also, if any problem occurs with the order, such as inventory shortage, the customer will be informed through the website.

Integrated Website and Elixir Inventory: Connect the website and integrate the system to create an accurate place for order management that delivers real-time status on documents, inventory, and orders. Financial data (for pricing), customer service, and delivery information should be integrated with the website, make this the only source of information for the customer.

Eliminate Manual Inventory Management: Improve activity

Improve picking and packing activity by adding a barcode inventory system. This would eliminate the data process on paper, double data entry, and human errors.

The barcode system would automatically add items into the system when a barcode is scanned and automatically subtract when an item has been picked for an order.

Inventory accuracy and visibility: With automation of adding and deleting items from stock, Inventory will be more accurate. With that, customers will be able to see real-time information on the website when placing orders.

Key Performance Indicators

In order to measure if the recommendation implemented are effective, we suggest the company track by key performance indicators, they are:

Inventory Accuracy: Track what is the physical inventory versus what is in the system. For this will be necessary to implement an inventory cycle count. This is the best way to measure if pickers are picking orders from the correct location. The Elixir WMS should be able to create reports based on this KPI.

Order Filling Accuracy: are the orders correct? It is important to measure if the orders sent to customers are correct, which also affects the inventory accuracy. This is also important to maintain customer satisfaction. If orders are not correct, customers will find another place to buy their goods.

Dead Stock: what is loss? Stock that has stopped moving and is just sitting in the warehouse, and expired items, or close to expire. This will give a chance to sales and procurement to plan on what to sell and what to buy.

Employee Metrics: Is the workforce productive? This is important to check where the mistakes are coming from, so the company can take further actions.

Customers retained: This KPI will measure how many customers are using the website to place orders, and if they are returning to order again or to check on the status of an order.

Order increase: Besides retention, the company will track if customers are increasing the amount they order on the website.

Sales Website versus Sales rep.: This KPI will measure the performance of sales on the website versus sales rep. In this way, the company track how customers prefer to place their orders.

Ought-be Context Diagram

Ought-be Swimlane Flowchart