Diebold has selected Vector SCM to provide process design, consulting and project management services for a strategic supply chain re-engineering initiative to improve Diebold's order-to-cash cycle.
Diebold manufactures and markets, among other things, ATMs and other self-service solutions, and physical and electronic security devices.
"Diebold is a highly strategic new customer for Vector. We are very pleased to be working with this industry leader," says Greg Humes, Vector SCM president. "This is an excellent opportunity to take best practices and methodologies we have used to deliver proven results for many other clients, and apply these to achieve Diebold's supply chain transformation objectives."
The first objective is to benchmark Diebold's current practices to understand "as is" processes at work, and the links across the order-to-cash cycle. In this phase Vector is mapping the current state of the processes to identify gaps and recommend steps for improvement. Concurrent projects are tackling logistics costs, inventory and logistics network design.
"We have contracted with Vector SCM to help us streamline the flow of product from suppliers to manufacturing to our end customers," says Thomas W. Swidarski, Diebold president and CEO.
Humes says that Diebold will gain opportunities to reduce network miles, increase cube utilization, reduce transit times and logistics costs, based on a Vector redesign of the Diebold network, focused on improved efficiency and reduced waste. Vector also will work with Diebold's 3PLs to ensure the most competitive pricing and time-sensitive performance for transportation services.
Vector also is supporting Diebold with implementation of a vendor-managed inventory system for its manufacturing location in Lexington, N.C.
Vector SCM, based in Novi, Mich., is a non-asset-based 4PL that provides transportation, logistics and distribution network design and management solutions.