Increased Productivity Without Increased Expense

According to Todd Croushore, one of the most impactful changes was a shift in teammate scheduling, enabling Owens & Minor to pick and ship LUM orders more quickly. Croushore says that with greater control over the inventory and distribution, the DC was 'able to become more productive without adding more staff.'

Due to the advantages of Owens & Minor's Distribution Center Operations, this health system was also able to utilize developed guidelines for pallet sortation by supply location to maximize the effectiveness of each Owens & Minor truckload and delivery staging for each facility.

Setting Successful Metrics

Following the completion of the walkthrough and the application of data analytics, Owens & Minor provided an estimated ROI from transitioning to the LUM program, while also providing recommendations for right-sizing storeroom inventory and future-state staffing to support the LUM replenishment activity. In order to further improve the impact of these recommendations, Owens & Minor's continued engagement incorporated additional cost-savings opportunities, such as product standardization and route optimization.

The customer also received systems support from Owens & Minor's E-commerce Integration Team. Led by E-Commerce Integration Specialist Mark Smith, a one-pass product replenishment batch schedule for LUM supply locations was configured, while simultaneously developing a supply location crosswalk, allowing the warehouse to pick, pack, ship, process and consolidate e-procurement purchases without unnecessary delay. Working primarily with the customer's internal IT team, Smith and his colleagues were able to create new code and programming logic to adhere to the account and header information the health system needed to have included on packing slips and pallet content lists.

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Owens & Minor Inc. published this content on 28 May 2021 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 28 May 2021 19:14:01 UTC.