Benco Dental Success with GAINS
GAINS Increases Benco Dental’s Service Levels, Revenues, and Profits in a Down Economy
7% revenue growth (during an economic downturn)
12% reduction in inventory investment
96% customer service level on all orders
As a medical equipment wholesaler Benco Dental operates in 50 states, with 59 show rooms, 30,000+ customers, 5 distribution centers, and 59,000 products supplied by over 1,100 manufacturers and is the largest privately owned dental supply distributor in the United States.
To stay at the head of their game, they need more than the 100 pound carry case that launched their success. Since those early days, they have implemented and enhanced the industry’s most advanced electronic ordering system to support customer service. To ensure customers always have the products available when needed, Benco has also implemented the industry’s most advanced Supply Chain Optimization technology, GAINS, and put in place an effective Sales, Inventory, and Operations Planning process that is supported by the GAINS SI&OP functions.
“As a distributor in a competitive market, our success depends on two primary factors: ‘on time’ delivery of product and value added services to customers,” states Paul Jackson, Vice President of Marketing. “We have always had very high customer service levels with 94% of lines ordered being completely filled at time of order. The difference today, with GAINS, is that we have maintained those world class service levels, actually taken them to 96%, with fewer people and a lower inventory investment.”
“Benco implemented GAINS in 2007 prior to the beginning of the 2008 recession. With GAINS’ ability to simulate customer demand for every item (SKU) at every location in our business, (SKUL), we quickly saw that our business was going to decline. GAINS was able to alert us to that fact with sufficient lead time that we could reduce our supply orders and respond to demand without creating excess inventories. GAINS ability to do this was impressive given that 40% of our items are low volume and have sporadic demand,” states Andy Thomas, Director of Supply Chain Management.