VMI Reset
Situation
The existing VMI storage solutions lacked proper organization and cleanliness. Products were delivered to the customer facility in their original factory boxes and pallets, then placed in bulk rack locations. The variability in sizes and quantities of pallets and boxes contributed to a cluttered and disordered appearance in the storage area. The fluctuations in box quantities added complexity to the accurate tracking of inventory counts.
Due to the use of cardboard boxes and irregular pallet sizes for the parts, there was a substantial amount of refuse that required collection and disposal. The customer expressed concerns regarding the cleanliness of the storage racking and the ease of identification of parts and accessing the products.
Solution
Martin replaced the bulk pallet racking with point-of-use bin racking, enabling the customer to eliminate outdated storage bins. The newly installed racks provided a clean and organized profile, offering the capacity to hold over 15,000 pounds of product in a compact space. This change allowed employees to quickly access fasteners directly without the necessity of opening and discarding cardboard boxes. Each shelf within the racks were barcoded with customer part numbers and quantity contained in each bin.
New parts are delivered in bins and brought direct to the point-of-use racks where the empty bins that were placed in the gaylord containers are returned to Martin to continue to replacement process.
Results
This new process eliminated cardboard and pallet accumulation at the customer facility, increased productivity, freeing up valuable factory floor space, all while providing uniformity and cleanliness.