As a leader in irrigation manufacturing, Orbit Irrigation Products keep the landscape green. When seasonal sales peak from January to August, so does demand on Orbit resources.

"In our peak season we'll more than double the staff and add a second shift," says Shawn Stephens, warehouse inventory systems manager. "It's like the floodgates open."

Orbit experienced rapid growth in its first 15 years of business. While increased revenue supported expansion, seasonal effects on management became overwhelming. Orbit had ramped up production to meet market demand, but never considered changing the way they managed inventory to simplify daily operations and reap additional benefits.

"The receiving, put-away, replenishment and picking process was paper-based and had become outdated," explains Paul Archibald, vice president of finance for Orbit. "As a result, our lead times, fill rate, and shipping accuracy all suffered, not to mention the accuracy of our perpetual inventory records."

When Orbit moved into a new facility with an 80,000 sq ft warehouse, it became obvious that "business as usual" would no longer work. High order volume resulted in increased lead time, decreased fill rate, lost inventory, and shipping inaccuracies. The paper-based system was eating away at peak season profitability.

The outdated system relied on index cards where inventory and item movement records were manually recorded. These cards were supposed to be updated when items were received, put into overstock locations, and used to replenish the pick areas. Often, this system resulted in the need to physically inspect the pallets of inventory.

According to Archibald, "When the designated place for an item was full, then the forklift driver simply drove around looking for a place to stash the extra items. We'd end up with 15 different locations for the same item, and then we'd try to cross reference them all on paper. Given we were filling 400 to 500 orders per day, the system did not work under these high-volume conditions."

Orbit realized that a real time data collection system could address their inventory issues. What they really wanted was a turnkey solution that could very quickly be set up and operational. A lengthy decision-making process was impossible, as the peak time of year was upon them. Fortunately, a solution lay just down the road -- literally.

Located a couple of blocks from the Orbit factory was a software supplier that specialized in warehouse management applications. SK Daifuku's Warehouse Rx® software was proposed following a study of Orbit's facilities. The software provider also recommended wireless scanner terminals.

"They expressed confidence in the gear, and we trusted their judgment," says Archibald about the choice of handheld scanner terminals. A wireless component was necessary, as shelving reached up to 22 feet off the floor. The long-range wireless devices were required to register items into the system.

Orbit employees and management attended a training seminar to get hands-on experience using Warehouse Rx® software with the new system. Once the decision was made to use Warehouse Rx®, installation began immediately.

"I didn't really know how well the wireless transmissions were going to work, but I felt comfortable with the company and I knew that they'd be on hand to lend support," says Archibald.

Installation was done in two workdays. SK Daifuku set up the base station while Orbit ran its own conduit to connect the base station to the host, and the host back to the old General Automation mainframe. The system operated flawlessly as soon as it was put into action and the profits are still flowing smoothly.

"The system provides us with major benefits," says Archibald. "It enables us to organize the space so we always know where everything is, and it makes it easy for picking zones to stay replenished. We use a lot of temporary employees, and we were able to budget fewer temporary hours since we got the system. Labor as a percentage of sale price decreased by about one-half of one percent solely due to this system. That may not sound like much, but it is significant. In the first 18 months that we had the system in place, it paid for itself."

Orbit's experience in converting to Warehouse Rx® from an outdated paper driven system is becoming a common experience among rapidly growing companies. While no system is completely ready to go out of the box, this installation proves that the technology has grown to meet the demands of any operational problems in a quick and efficient manner. SK Daifuku listened to the needs of the company, diagnosed the problems, and prescribed the cure in time for Orbit to take on its peak season.

"It was intuitive, very easy to learn, and they were willing to customize the software to fit our operation," says Archibald. Orbit, with the help of Warehouse Rx®, is now ready to take on the next wave of the busy season.