10/14/2010 12:15:00 PM
MSC Upgrades Operating Model for Distribution Centers
MSC integrated the operations of recently acquired J&L Industrial Supply. The process was part of MSC’s new, repeatable model for operations, processes and systems in three of their U.S. customer fulfillment centers (CFCs).
MSC teamed with Fortna to design streamlined processes, retrofit facilities with new and upgraded materials handling equipment and coordinate systems and support.
MSC has now completed supply chain optimization projects in three of its four U.S. CFCs: Harrisburg, PA; Atlanta, GA; and Elkhart, IN. The company also operates a distribution center in Reno, NV.
The enhancements are part of MSC’s “Optimization Project” a company-wide best practices initiative to reduce distribution costs and order cycle time.
“The primary objectives of this initiative were improved operational efficiency, reduced order cycle times and increased operational capacity,” stated Doug Jones, EVP, Global Supply Chain Operations.
“This project has successfully delivered on all objectives and also came in on-schedule and below budget. It was a successful go-live from day one in that our customers didn’t even realize that we had switched over to a new system.”
MSC reported fiscal 2009 sales, including fasteners, of $1.49 billion, with operating income of $204.7 million and net income of $125.1 million. MSC boosted its fastener offerings by 40% in 2008.
Founded in 1941, Melville, NY-based MSC offers 42,000 fastener products among its 590,000 industrial products from 3,000 suppliers. MSC employs 4,200 workers to distribute 600,000 metalworking and MRO supplies – including fasteners and hardware – from 3,000 suppliers to 343,000 customers. The company has 95 branch sales offices (94 in the U.S. and one in the UK) with five fulfillment centers. ©2010 GlobalFastenerNews.com
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