As a one-stop supplier of spare parts, technical services and business solutions, Kramp Group are a strategic partner for agricultural, landscaping and forestry companies, as well as for the earth-moving industry sector and OEM companies. With 21 branches in 19 countries, and 2600 employees, the business ensures that customers can always find the right spare parts, wherever they are.
- ACHIEVEMENTSImproved the performance of the business through optimising the inventory
The Kramp Group achieves 30% higher turnover rate
The Kramp Group operates internationally and has three business units: Kramp Agri, Kramp Industry, and Kramp Forest & Grasscare. With a turnover of 220 million euros and a thousand employees, the Kramp Group is a European leader. Kramp has 30,000 m2 of warehousing space in the Netherlands, with a range of 150,000 technical items, of which 90,000 are kept in stock. Thanks to the unique Slim4 stock management system, Kramp’s logistical performance is improving all the time. Marcel Vlogtman of Purchasing and Logistics explains why.
“About three years ago we went over to a new ERP system, namely IMI, but the inventory management module didn’t meet our needs. We started looking for an alternative,” explains Vlogtman. Kramp supplies technical components for the agricultural, industrial, garden and parks market and is therefore very dependent on the season. Slimstock’s Slim4 programme fitted the bill exactly. Vlogtman: “We are now much better at managing seasonal products. Providing there’s enough data in the system, calculations can be made automatically. When there are fluctuations, we can easily anticipate them.”
Kramp supply spare parts for agricultural machinery, and as a result have many part numbers with irregular demand. On the one hand, there was a lot of stock for items with little or no demand, while on the other hand, items in high demand were often out of stock. With these types of part numbers, the stock level and required service is interdependent. Vlogtman points out that Slim4 has logic built into it. “The logic of predicting your demand and consequently looking at what you need to order is well integrated into the system. Slim4 allows our stock controllers to focus on the exceptions which has delivered efficiency gains.”
Vlogtman states: “We now manage a larger number of parts with much less effort. Thirty planners – based in the UK, Germany and the Netherlands – manage all 300,000 stock items.” The Slim4 package is very user friendly. “Even when employees don’t know a lot about inventory management, they can easily work with this system.”
“The stock controllers are more professional and more aware. Another big advantage is that communication with sales has improved. It’s easier to find where problems are. This has had a very positive effect on the communication between sales and purchasing and has resulted in good working relationships.” At the end of the day, Kramp has achieved a significant reduction in inventory and their turnover rate has risen by 30%.
“The stock controllers are more professional and more aware. Another big advantage is that communication with sales has improved."