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Application Profiles
Automobile Manufacturer Drives Down Costs of Print Inventory
A major automobile and forklift manufacturer which produces forklifts at its $60 Million midwestern facility faced constant frustration with its traditional print program.
The Challenge
Having sold more than a million forklifts worldwide, this company relied heavily on the value of printed materials. They were purchasing printing from several sources and were frustrated by out-of-stock conditions, rush charges to replenish items, and fluctuating prices. They were searching for a way to drive down costs by storing only one month's supply of print inventory in-house, and spread out their expenses among the various cost centers.
The Solution
Our Print Management Program came to the rescue. Working with the customer, Miami Systems Corporation selected 28 items: continuous forms, unit sets, envelopes, and cut/data sheets to be included in a Print Management/Cost Containment proposal. Miami Systems determined the most cost-efficient ways to produce these items based on jointly developed needs projections.
The solution took three months to implement, and the results were dramatic. The printed components of their manufacturing costs were reduced by 15%. Deferred billing was instituted. They reduced their problems with a shortage of warehouse space by storing just a one month supply at their facility, keeping the remainder of their stock at Miami Systems. The material is replenished by Miami Systems as needed, eliminating the time their personnel spent handling print-related issues. Since some of the printed material is used in the direct production process of their forklifts, their production schedules were adversely affected by running out of critical print pieces. With Miami Systems helping them to overcome their out-of-stock occurrences, they've been able to keep their production lines moving.
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