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Buckeye Warehouse Project at Philosophy

Oracle Warehouse Management System. Buckeye Warehouse Project at Philosophy. DAZ Systems, Inc. Walt Zipperman, Partner . WMS at Philosophy Agenda. Background for the Project Introduction to Philosophy Inc Scope of the project Pain Points & Drivers New Features

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Buckeye Warehouse Project at Philosophy

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  1. Oracle Warehouse Management System Buckeye Warehouse Project at Philosophy DAZ Systems, Inc. Walt Zipperman, Partner

  2. WMS at Philosophy Agenda • Background for the Project • Introduction to Philosophy Inc • Scope of the project • Pain Points & Drivers • New Features • Implementation Considerations and Challenges • Q&A

  3. Background of the Project Philosophy Inc. • More than 200M in Revenue • Skin Care, Bath and Beauty • Full EBS Suite Implementation Live April 2009 • Financials • Process Manufacturing • Distribution • Planning • Warehouse Management System • B2B

  4. Introduction to Philosophy Inc • Portfolio member of The Carlyle Group • Founded in 1996 • Size and Growth: • Average 20% Annual Sales growth • Profile: • Research, Manufacturer and Distributer • Operations in US and UK, currently operates 3 warehouses • Products: • Skin Care Products • Bath and Beauty • Perfume • Brands • Philosophy

  5. Scope of the Project • New Warehouse with 225k Square Foot • New Racking System Supports Single SKU per Locator • New Conveyer Systems • Consolidate Three Physical Warehouse Locations • Production Facility to Occupy One Facility • Distribution to Occupy Separate Facility • Increase Efficiency in Order Fulfillment Process • Enhance Existing Forecasting System Interface • Upgrade Web Interfaces

  6. Pain Points and Drivers • Reservations/Allocation Management • Labor Intensive to “borrow” Against Existing Reservations • Unable to Redistribute Reservations Quantities Systemically Solution: Create Dynamic Reserve Unreserve program • Limited Fill Rate Visibility • Unable to Achieve Targeted Fill Rates for Top Customers • Extensive Order Handling to Achieve Targeted Rates Solution: Customer Hierarchy and Fill Rate Forms • Preset Fulfillment Target Rates by Customer Class • Reservation Created and Sequenced by Customer Class • Custom Fill Rate Form to View Exceptions and Allow Override

  7. Pain Points and Drivers • Pick Release Visibility • Unable to Plan Labor for Pick Waves • Replenishment Not Tied to Pick Release Solution: Custom Pick Release Form • Order Availability Driven by Fill Rate • Pick Wave Calculation of Labor Time by Pallet, Case and Each • Replenishment Indicator Prompt when Insufficient Quantity • Warehouse Management Inefficiencies • One LPN Per Receipt • Discrete Pick Only • Labeling Performed at Conclusion of Process • No Cartonization in Retail Pick • No Quality Audits • Case Count not Predetermined • Limited Lot Swapping Functionality • No LPN Visibility on RF Handhelds

  8. Pain Points and Drivers Solution: Warehouse Upgraded Features • Single LPN per Pallet • Discrete Zone and Each Pick • Shipping Label Applied Prior to Pick • Cartonization for Retail Pick Customer • Quality Audits Systemically Driven • Predetermined Case Count • Complete Lot Swapping • LPN Visibility on RF Handhelds

  9. New Features – Fill Rate Form

  10. New Features – Pick Release Form

  11. Implementation Considerations and Challenges • Investigated 12.1.2 Upgrade versus Current 12.0.6 • Limited Timeframe • Project Start Date 3/22/2010 • Warehouse Conversion – Project Go-live 6/1/2010 • Coordinate Physical Warehouse Consolidation without Systemic Interruption • Maximize Standard Functionality • Provide Extensions and Customizations to Enhance Functionality • Accommodate New CMS System and Interface • Partner with 3PL Organization, Designing Warehouse Layout and Warehouse Build-out

  12. Q & A Q U E S T I O N S A N S W E R S

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