Eldon has recently completed a major upgrade of its logistical internal transport net. The new centralized shipping scheme replaces the previous system, in which each facility arranged its own transportation and negotiated its own rates. Through centralization, Eldon’s new logistics system both reduces internal transportation costs and ensures a better flow of inventory.

 

“The new centralized system is substantively more efficient,” said Rachid Bentahar, Eldon’s Logistics Manager. “With the old system we were either waiting several weeks for a point-to-point truck to be completely full or else were forced to pay higher freight charges. Our new system is all about improving service for our customers. We are getting products to the places they are needed quickly.”

 

In Eldon’s new Logistics organization, product planners are able to manage their stock on a group product level, deciding to stock or ship products anywhere they are needed. Furthermore, shipping frequency from each Eldon warehouse facility has been increased to a minimum of once per week, thereby providing Eldon distributors higher stock rotation and improves availability.

 

Additionally, Eldon has added a daily stock tracking, which measures stock level based on ABC classification. This metric not only prevents running out of any particular item, but aids in overall inventory control.