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ORTEC’s Sales Order Optimization Solution provides SCA Americas with capability to increase sales, enhance customer service, reduce transportation costs and improve warehouse productivity
Published on November 6, 2007
ORTEC and SCA Americas announced that SCA has gone live with ORTEC’s solution for Sales Order Optimization in their North American Tissue division.
ORTEC offers a comprehensive suite of consumer product solutions to address the most complex
transportation related business problems. Consumer product manufacturers require the ability to utilize as much of the space in a container as necessary. ORTEC’s solutions will provide the least amount of necessary loads while improving the labor efficiencies, resulting in decreased freight costs. ORTEC’s pallet, vehicle space optimization and route planning solutions have enabled CPG companies to leverage their investments in SAP with ORTEC’s embedded complementary logistics solutions.
Like most CPG manufacturers, SCA provides incentives for their customers to place orders in Full Truckload (FTL) quantities based on the ‘cube’ size of the order. According to Mike Jansen, Vice President of Supply Chain Management for SCA Tissue, “This strategy poses a variety of challenges due to our diverse product mix and complex customer requirements. Historically, ‘cube’ limits for FTL orders have been set low to avoid loading issues at the warehouse. As a result, opportunities are missed to increase the order size and transportation costs are higher due to under utilized transportation units.”
SCA joins a growing list of top companies by utilizing ORTEC’s 3-D pallet and load optimization technology at the sales order level within SAP. The solution leverages industry standards along with the customer requirements needed to increase order size while providing warehouse personnel the means to execute the order. SCA Customer Service Representatives now have comprehensive visibility to orders and are able to prioritize and make tactical decisions based on customer agreements and feedback. These combined benefits cannot be accomplished with standard ERP-TMS-WMS configurations.
With ORTEC’s solution in place, SCA is realizing immediate benefits. “We have seen significant value from day one. In the short time since implementation, we have already increased the size of our FTL orders by an average of approximately two full pallets”, said Jansen.
About SCA
SCA Tissue North America is a leading manufacturer of sanitary paper in North America with annual sales of $1 billion. SCA Tissue is headquartered in Philadelphia, PA and has plants and offices in Neenah and Menasha, WI; South Glens Falls and Greenwich, NY; Barton, AL; Flagstaff and Bellemont, AZ; and Alsip, IL. SCA Tissue NA is a division of SCA Americas and is owned by SCA, a global consumer goods and paper company with headquarters in Stockholm, Sweden. Internationally, SCA produces tissue, packaging solutions, publication papers and solid wood products. Additionally, SCA manufactures and distributes personal care products such as Serenity ™ and TENA ™. SCA conducts business in 50 countries, employs 50,000 people and has annual sales of $13.8 billion.