Wall-to-Wall Stocktake of Car Parts Warehouse
A leading wholesale distributor of aftermarket automotive parts, with operations spanning across seven locations nationally across Australia, required the support of RGIS. The company offers more than 250,000 quality products and employs in excess of 200 people Australia-wide, with operations in Melbourne, Sydney, Brisbane, Townsville, Adelaide and Perth.
REQUIREMENTS
The automotive parts distributor offers a streamlined digital experience and the ability to get orders to customers quickly to help keep their operations running. The company required a stocktake of the warehouse in Melbourne, which would normally be completed in-house. However as a result of a staff shortage, the decision was made to outsource the project to RGIS to provide:
- Complete a wall-to-wall count of the Melbourne parts warehouse
- Update stock on hand levels for all stock in readiness for the new financial year
- Provide variance reports
SOLUTION
The automotive parts distributor partnered with RGIS to complete the full wall-to-wall warehouse stocktake project, and RGIS provided the following:
- Following an initial review of the site
- RGIS scheduled a team of 40 experienced RGIS auditors for the first day to complete the full warehouse count
- On day two RGIS scheduled a team of 20 experienced RGIS auditors to complete variance checking
- Due to the high number of variances reported (RGIS count vs the customer’s expected stock on hand) approximately 1,000 bin locations were re-visited which were identified with a variance
- Two sets of variance reports were produced for checking on day two:
- The first was to show all items in variance with the report sorted in bin order – this assisted with the checking flow
- The second variance report was sorted from the highest value variance to the lowest. This ensured the highest value variance items were double checked for accuracy
RESULTS
The automotive parts distributor found by outsourcing the full wall-to-wall warehouse stocktake project to RGIS, the following results were achieved:
- Accurately counted over 301,000 units across 1,400 SKUs and 2,916 bin locations
- 295 person-hours were worked on day one, plus an additional 180 person-hours on day two
- Completed the count within two days over a weekend, so the customer did not lose any production time during the week
- Once the count was completed and data processed, RGIS produced a variance report. Which uncovered a large number of differences from the customer’s system
- The customer was very satisfied with the services performed by RGIS. Now are able to update the system with up-to-date and accurate data provided in readiness for the new financial year