Case Study #1 – Beverage Industry
Case Study #1 – Beverage Industry
Retail Beverage Superstore
Industry:
Retail Beverage Superstore
Size:
160 locations
Savings:
$270,000
The Challenge
What happens when you have 160 locations that don’t share the same footprint? Each location has very specific signage needs, which creates significant over and under production for any piece of signage. In addition, this client was using Excel to produce more than 80 different components into 160 locations, which was extremely time consuming and inefficient. As a result, timelines were always rushed and additional costs were incurred to make up for lost time.

There was a great deal of difficulty keeping up with the wide variety of store formats and POS needs. And due to tight deadlines, the art files were being uploaded piecemeal, creating confusion as to what files were received and what was still required to produce the final displays. Adding to the confusion, the client did not use custom SKUs to identify POS, creating even more mistakes and confusion. Stores were receiving the wrong quantity and incorrect signage, and reships of POS were significant and costly, not to mention headache-inducing for everyone involved.
The Solution
Instead of reaching for the nearest stiff drink, the PM Packaging Team got to work and identified a range of solutions to help make the process more cost-efficient and streamlined.

PM Packaging created and delivered an online Resource Center built specifically for the retail marketplace. Online merchandising allowed the client to quickly and easily create merchandising orders, resulting in a two-week reduction in planning times. The solution also included a store profiling tool that finds commonalities between store POS needs, resulting in an 80% reduction in over and under ships.

PM Packaging also created a Resource Center that all store managers can communicate and re-order as needed, directly from Packaging inventory, resulting in the reduction of two administrative positions focused on the re-ship and management process. And an online Art File Tracker eliminated the need to check if a file was uploaded or received, resulting in faster turn times and easier management of POS.

Finally, PM Packaging implemented an automatic SKU creator that produces clear descriptors for each POS item, resulting in less confusion and obsolescence due to error.
The Results
Reduction of administrative positions alone saved the company more than $120,000 annually. In addition, the client realized a 30% decrease in freight costs due to the elimination of expedited shipping; saving the client more than $50,000 annually. Finally, the client was able to save more than $100,000 annually by simply eliminating mistakes, overages, and obsolescence. That added up to a savings of more than $270,000 annually — I think we can all raise a glass to that!
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PM Headquarters
PM Headquarters
PM Headquarters
Operations and Production
2031 Optisolar Lane
McClellan Park, CA 95652
Toll Free:
(800) 343-3139
PM US Distribution Center
PM US Distribution Center
PM US Distribution Center
Fulfillment and Distribution
2285 Michael Faraday Drive Suite 12
San Diego CA 92154
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(800) 027-6463
Toll Free:
(800) 027-6463
PM1
PM1
PM1
Folding Cartons & Blisters Cards
Av. Produccion 5 Nueva
Tijuana, BC Mexico Mesa de Otay 22435
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(800) 027-6463
Toll Free:
(800) 027-6463
PM2
PM2
PM2
Single Face Laminated Boxes
Av. Produccion 17 Nuev
Tijuana, BC Mexico Mesa de Otay 22435
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(800) 027-6463
Toll Free:
(800) 027-6463
PM3
PM3
PM3
Rigid Boxes, Fulfillment
Calle Emilio Flores 2471-B, Canon del Padre
Tijuana, BC Mexico 22230
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(800) 027-6463
Toll Free:
(800) 027-6463
PM4
PM4
PM4
Warehouse
Calle de la Paz 1 SEGUNDA SECCION, Aguaje de la Tuna 1ra Secc
Tijuana, BC 22643
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(800) 027-6463
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(800) 027-6463
PM5
PM5
PM5
Distribution Center
Calle Camino Vecinal No. 20651, Col. Murua Oriente
CP 22465 Tijuana, B.C
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(800) 027-6463
Toll Free:
(800) 027-6463
Mexico City
Mexico City
Mexico City
Distribution Center
San Andrés Atoto #32. Col. El Conde. Naucalpan de Juárez
Estado de México. CP. 53500
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(800) 027-6463
Toll Free:
(800) 027-6463
Mexicali
Mexicali
Mexicali
Distribution Center
Nicaragua S/N, Parque Industrial Nicoya, Col.
La Herradura, CP 21607, Mexicali B.C.
Office:
(800) 027-6463
Toll Free:
(800) 027-6463