Case Studies

CHALLENGE

A sheet metal fabrication manufacturer had not conducted a full inventory in seven years, leading to outdated records and discrepancies in stock data. Their previous attempt at a stocktake relied on a pen-and-paper counting method, which proved inefficient and yielded unsatisfactory results.

Recognising the need for a comprehensive and efficient stocktake, the steel manufacturer sought the expertise of a third-party provider. The objective was to complete a full warehouse stocktake within three days, ensuring precise inventory records and improving operational efficiency.

WHY RGIS?

The steel manufacturer engaged RGIS due to our expertise in industrial stocktaking solutions and the ability to deliver high levels of accuracy using advanced technology. RGIS proposed the RGIS Vision solution to streamline the process, enabling digital stock verification, automated variance reporting, and real-time updates.

OUR SOLUTION

RGIS provided a structured approach to the stocktake, ensuring accuracy and efficiency across all storage locations:

• Implementation of RGIS Vision Technology: Each part had a unique code referenced against a product file for accuracy. The use of RGIS Vision streamlined the process and significantly reduced manual errors.
• Test Scans for Validation: Initial test scans were conducted at a local site to verify Vision’s recognition accuracy. The results were highly successful, reinforcing the solution’s efficiency.
• Flexible Counting Methods: The customer required stock to be counted in multiple units of measurement—including metres, square metres, and weight. RGIS Vision automatically adjusted count methods based on part reference codes, ensuring seamless data collection.
• Efficient Team Deployment: A total of one Area Manager and 71 ASETs were assigned to complete the stocktake across the customer’s two UK manufacturing sites.
• Optimised Workflows: The team counted over 7,600,000 pieces of inventory within 485 working hours, ensuring precise stock updates in just three days.

RESULTS

• Unexpected Financial Gain: The customer initially expected a 1-2% stock loss from their £3.2 million stock holding. However, following the completion of RGIS’s stocktake, the final results showed a £10,000 stock gain, far exceeding expectations.
• High Customer Satisfaction: The customer’s finance team was highly impressed with the outcome, highlighting the accuracy and reliability of the stocktake.
• Efficiency Improvements: The stocktake process reduced staffing requirements, leading to a lower quotation for future counts with RGIS, saving the customer costs in the long run.
• Process Enhancements Identified: The steel manufacturer recognised the need for improved product labelling and additional floor assistance to further optimise future stocktakes.

CONCLUSION

The steel manufacturer was highly satisfied with RGIS’s service and has already booked inventory counts for this year and next year. The implementation of RGIS Vision technology has demonstrated the value of automated stocktaking in manufacturing environments, providing accurate, real-time inventory control and operational efficiency. This success has reinforced the partnership between the customer and RGIS, ensuring continued collaboration for future stock management needs.