rf IDEAS (Netsuite)
How a leader in identity access management technology partnered with SourceDay to improve ERP data accuracy and transform its PO management processes, resulting in a near-perfect 98% on-time delivery rate.
“Whenever you evaluate a new software tool like SourceDay, there’s always a bit of trepidation about whether it will actually work as advertised. SourceDay delivered on all of its promises, the internal implementation went fantastically smooth, and the platform was overwhelmingly accepted without issues by our suppliers.”
-Keith Johnson, Supply Chain Planner
Solving for Complexity and Manual Processes
rf IDEAS designs all of its own products and works with contract manufacturers to bring their industry-leading WAVE ID readers to life. The PO management workflow was extremely resource-intensive and entirely manual. Not only did maintaining POs have a high labor cost, but the team spent upwards of 20 hours a month managing POs from start to finish. The inefficient, error-prone process led to costly data inaccuracies that negatively impacted customer delivery and created confusion in accounts payable when invoices didn’t match the pricing reflected on the PO.
Reducing Errors and Delays Through Automation, Communication, and Visibility
Before
- Manual PO management
continued manual outreach once the PO was cut - Costly data inaccuracies
incorrect and out of date information created confusion - Customer delivery impact
late customer orders - Lack of clarity
no way to know where things stood with POs or suppliers - Elevated buffer stock
purchased to counter-act the effects of a global IC shortage
After
- Automated processes
streamlined Buyer activities and closed the communications gap with suppliers - Real time ERP updates
acknowledgements, shipping details, accepted changes, etc. are written directly into the ERP - Improved customer deliveries
parts OTD increased to 98%, driving higher on-time delivery of customer orders - Increases supplier engagement and reliability
suppliers proactively flag changes - Reduced buffer stock
higher supplier delivery confidence enabled a able to return to pre-shortage inventory levels
“Before using SourceDay, I would get 40-50 emails a week from accounting asking if a price was right. Now, I only get 1-2 from them a week. Now I can focus on taking care of the business, not taking care of the price.”
- Keith Johnson, Supply Chain Planner
The Change
Leveraging Leading Technology for Efficiency and Savings
When a member of the buying team saw a demo of the SourceDay platform at SuiteWorld, he knew he had found a solution to their PO management challenges. Keith oversaw the implementation process at rf IDEAS and instantly saw how easy and intuitive the SourceDay was to use.
Additionally, nearly all of rf IDEAS’ 40 suppliers quickly onboarded with SourceDay, which was important for Keith and his team to be able to streamline PO acknowledgment and increase communication around potential delays or bottlenecks.
Results
98% Parts On Time Delivery
Using the SourceDay platform has also dramatically improved on-time delivery to 98% as a result of visibility into reliable delivery dates and increased engagement with suppliers who can now
proactively flag changes in the system.
Inventory Savings from Additional Confidence
rf IDEAS had made a significant purchase of ICs to weather the uncertainties of a global chip shortage. With the increased confidence in supplier reliability due to SourceDay, they have been able to reset stocking levels to normal and accelerate time to revenue, enabling them to deplete the current overstock levels. As a result, Keith expects to grow the business by $10-12 million in the first two years of using SourceDay without increasing inventory.
Who We Are
SourceDay
SourceDay provides PO Collaboration solutions to manufacturers, distributors, retailers and supply chains all over the world. We do more than save time and money; we transform procurement’s value proposition within the company.
rf IDEAS (Netsuite)
rf IDEAS is a globally recognized provider of WAVE ID® credential readers for authentication and logical access. The company’s readers deliver trusted solutions for single sign-on, secure printing, time and attendance, visitor management, and mobile authentication. With a history of innovation and dedication to meeting enterprise customers’ diverse needs, rf IDEAS serves a variety of industries, including healthcare, manufacturing, finance, government, and education.
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