New inventory management systems pays off for Nüssing GmbH

In order to better manage slow-moving articles and improve the efficiency of the ordering process, hardware dealer, Nussing, required a new planning system.

With the goal of increasing overall visibility as well as achieving greater control over stock transfers between their various locations, the team at Nussing implemented Slim4 to help optimise their inventory.

The family-owned company, Nussing, is a hardware dealer with over 400 employees. They offer a full range of metal fittings for windows and doors, building elements, furniture fittings, locking and security systems as well as a range of tools.

From the central head office in Verl, Germany, where every location is managed centrally, Nussing offer their customer’s a guaranteed service level of 98%. Before introducing Slim4, there was little transparency when it came to determining purchasing strategies and product parameters. Purchasing Manager, Burkhard Ernst explains: “Our system had reached its limits, we needed a change.”

Before implementing Slim4, there was no clear link between articles and their respective purchasing strategy. For example, the c-parts were not organised systematically and dealing with slow-moving articles was not transparent. As a result, it was difficult to understand why a product was assigned with certain parameters and classifications.  Furthermore, the order proposals generated by the existing ERP system were inflexible and offered limited automation as a consequence of the minmax principle basis of the system.

The requirements for a new software solution were stated clearly: “In order to avoid slow-moving articles and optimise the ordering process, we need to have the right products in the right quantity at the right location.” In other words: only hold stock where it is required and significantly improve the efficiency of the purchasing team. Ultimately, the team at Nussing required greater visibility as well as a higher degree of automation. To achieve a more efficient flow of goods, they also required greater control when managing transfers between all of the company’s different locations.

In the end, it was the conceptual strength and extensive experience of working with other metal fittings companies that made Slimstock the clear choice for the team at Nussing.

A tailor-made assortment matrix

Since implementing Slim4, an ABCclassification and a matching differentiated service level strategy has been established.

In future, the purchaser will be notified if an item changes from stocked to non-stocked or vice versa. Based on the business rules, the article category will also be changed automatically by the system. This means that a specific assortment with appropriate service levels can be developed for each location. Further to this, the planners can manually add insights where required to further support this process.

The transparency of the purchasing processes were significantly improved because the article parameters are now displayed graphically within the ERP system and are visible even for non-Slim4-users.

The decisive factor for the successful implementation was the openness and commitment of the customer. “The high level of commitment from both the teams at Slimstock and Nussing, ensured the migration was as smooth as possible,” states Burkhard Ernst.