Wolseley Industrial Group’s Integrated Services provides a guaranteed competitive advantage for our customers. As one of the original pioneers in integrated supply, our programs offer the most flexible, comprehensive and innovative MRO supply chain management solutions available. We utilize the strength of our existing customer relationships, our ability to continually drive efficiency improvements and total cost of ownership reductions across all levels of the supply chain. Key components of these services include:
Generating and documenting meaningful cost savings opportunities is the cornerstone of a successful industrial MRO supply program. We focus is on reducing our customers’ total cost of ownership (TCO). Our structured approach to procurement services allows us to reduce cost in the following ways:
- Unit price reduction
- Project-based savings
- Lean initiatives
- Administrative process savings
Wolseley Industrial Group’s procurement process is manufacturer- and brand-neutral. Our responsibility is to provide our customers with the highest quality product at the lowest possible landed price. Working directly with our strategic sourcing team, they collect and analyze data to successfully develop commodity-driven programs to drive year-over-year cost savings and continuous improvement.
As one of the world’s largest industrial distributors, we procure more than 80% of our customer product requirements direct from the manufacturer. Our key strength is leveraging our size and scale to establish discount pricing structures and cost savings for our customers.
Inventory optimization is the process Wolseley Industrial Group provides our customers to reduce investment in inventory and increase item availability. We ensure our customers have the product they need, when they need it, while eliminating excess and obsolete inventory.
This process starts with data acquisition and cleansing, and progresses with standardization and inventory disposition planning, providing a unique item plan for each individual part.
LEAN process for inventory optimization:
- Formula for LEAN operations = Strict adherence to predefined processes. At Wolseley Industrial Group, we understand the importance of increasing productivity by introducing process efficiency. They key to continuous improvements is the ability to clearly document and communicate “as-is” and “ideal state” process flows, allowing us to identify and remove redundancies while standardizing the overall process.
Supported by data:
- Inventory is optimized through the data collection process and a focus on continuous improvement. Our propriety system captures transactional and procurement data for each SKU, providing actionable data leading to meaningful cost savings results.
To avoid shortages and costly shutdowns, we have the capability to maintain stock for quick turnarounds regardless of systems used such as kanban, barcoding or automated dispensing. Our replenishment teams efficiently plan and manage reorder points, track product warehouse activity and reduce obsolete inventory.
Reporting and information management is critical to a successful integrated supply program. Wolseley Industrial Group’s Integrated Services devotes significant resources to offering accurate reporting. We have a standard set of reports and key performance indicators that are applicable for most programs.
In addition to our extensive offering of standard reports, our in-house programmers can develop reports to meet specific user requirements. These reports are accessible through the web and can be delivered real-time in a variety of formats, including print ready PDF or exported Microsoft Excel for further manipulation.
As a full-service supplier, our relationship with the customer is a true partnership. We are committed to comprehensively lowering your total cost of ownership (TCO) with tailored access to some of the best cost reduction and support services through our people, processes and systems.
We are driven to provide a holistic approach to customer cost savings that looks at the overall TCO for our customers by analyzing the purchase price elements as well as examining the total cost of ownership related to managing the planning, execution, control and measurement of the overall supply chain process to support any given product or product category.
Key focus areas:
- Procurement – Through the application of strategic and tactical processes, we focus on delivering year-over-year cost reductions focused on purchase price variance and total cost reductions within the order to cash process for our customers.
- De-layer the supply chain – Our goal is to de-layer the supply chain and leverage our number one market-leading position in the distribution industry to directly source from the manufacturer to our customers.
- Product standardization – Wolseley Industrial Group continues to promote and drive a valve standardization program resulting in the customer acquiring better pricing and SKU standardization across all locations.
- Inventory asset management – Our leading edge applications of systems and processes drive better inventory controls, reduce on-hand inventory investments and consumption levels for our customers.
- Technology – Our proprietary application systems provider (ASP) system is a supply chain resource planning module custom designed to manage our customers’ indirect MRO spend. It is a scalable solution that directly links to our customers’ ERP platform to drive efficiency, compliance and reduce down time. ASP can link your storeroom operations, vending solutions and maintenance operations to drive cost savings.
- Administrative streamlining – Administrative costs are significantly improved through automation, consolidation and frequency of tasks and processes utilizing our advanced supply program system platform and processes.
- Warranty and repair – Management of our customer warranties and repairs can be managed through our proprietary ASP system that includes serialization and lot control features combined with our OEM to OPM capabilities to drive warranty compliance and cost reductions.
- Labor – Through our people, processes and systems, we efficiently and effectively manage labor costs to manage your indirect material support costs.
- Logistics – We provide solutions to drive down your total cost of ownership. We can be embedded on-site for customer storeroom management, provide automated inventory access locations or third-party logistics (3PL) services through our vast infrastructure.
- Continuous process improvement – Aimed at driving the total cost of ownership down through processes, application and the utilization of advanced systems for our customers’ businesses. By utilizing our internal resources and suppliers, we continuously drive technically driven problem solutions throughout each of our customers’ facilities we manage.