USANA increases order capacity 300% and achieves 99% order accuracy rate
Founded in 1992, USANA Health Sciences is a leading direct sales company that develops and internationally markets high-quality nutritional, weight management, and personal care products.
Due to several years of record growth, USANA recognized the need to increase capacity and improve efficiency at their Utah distribution facility. Their manual process was too costly and inefficient. QC Software's Warehouse Control System (WCS) was chosen to manage the facility's order fulfillment operation because it was a proven, cost-effective solution. The goals were to improve material flow and the overall throughput of the material handling system; improve the accuracy of the order fulfillment process; improve productivity; and support future growth and expansion.
Phase I was completed with the implementation of QC Navigator TM to manage the real-time activities of the equipment and QC OMSTM (Order Management System) to facilitate order fulfillment. The WCS begins planning orders using the cartonization function to optimize the size and quantity of cartons used for order fulfillment. A wave planner screen is then used to group orders together for more efficient picking, based on the delivery date, item size, pick location, or other predetermined criteria. Two identical pick lines with pick-to-light capabilities, an automated label printing process known as Print & Apply, barcode scanning, weight verification using an inline scale, and targeted quality control measures were included to streamline order fulfillment.
In Phase II, as part of their green initiative, USANA looked for additional ways to improve efficiency and reduce their environmental impact. The conveyor system was not designed to accommodate small packaging, so employees had to either manually repack these orders or ship them in larger containers. Since both solutions were inefficient, QC Software developed a new process to separate these orders from the regular pool. USANA then added a third line dedicated to smaller, non-conveyable orders, which reduced waste, lowered costs and further enhanced picking efficiency. Jim Brown, Vice President of Operations, estimates the company saved about 2,188 kilograms, or 2.2 metric tons, of cardboard in the first six months of operation.
Using the pick-to-light system, barcode technology and quality checks, USANA was able to achieve a 99% order accuracy rate.
The 20,000 square foot distribution facility now processes 5,000 - 7,000 orders per day, and has the capability of shipping 21,000 orders every day. Features such as cartonization, wave planning, and a new line dedicated to small orders optimized their operation and lowered costs. After the WCS implementation, order fulfillment was reduced from a 24/7 operation down to two eight-hour shifts for five days per week. Since the system is faster and more efficient, the number of employees needed was cut in half and order capacity increased 300 percent.
USANA's expected growth and commitment to improvement means changes are inevitable. As the business environment changes, they can be confident that QC Software's scalable and configurable applications will meet these challenges and contribute to the future success of the company.
About QC Software:
Headquartered in Cincinnati, Ohio, QC Software has grown to be a leader in providing innovative software solutions for order fulfillment and distribution centers. Our solutions enable customers to streamline their warehouse operations with the lowest total cost of ownership in the industry. Since 1996, QC Software, utilizing state of the art technology combined with extensive research, development, and rigorous testing, has developed the QC EnterpriseTM suite of products. Designed to be modular in nature, easily configurable, and platform independent, this highly scalable solution satisfies the needs of any size warehouse.
QC Navigator: http://www.qcsoftware.com/products/navigator.html
QC OMS: http://www.qcsoftware.com/products/oms.html
Jerry List, VP