Johnson Controls Case Study
Johnson Controls (Controls Division)
Bradford Warehouses performed the complete logistics infrastructure to support JCI's control division throughout the United States including Alaska and Hawaii as well as Canada. Material ordered for specific building environment projects are directed to Bradford facilities where we receive, inventory, track and deliver these components to physical job sites on a"Just-in-Time" basis utilizing our revolutionary Distributed Inventory™ (DI) Model.
3PL Warehouse Process
Adhering to the national 6-Sigma processes, each Bradford facility inspects all project related material on an item-by-item basis at time of receipt to ensure that material is"as ordered" and in "good condition". This attention to detail during the inspection process is critical as non-compliant material to a job site can lead to project delays and costs overruns that detrimentally affect a project's success.
Logistics Information Technology
Bradford also provides it own state-of-the-art computer inventory and tracking of material using our software, handhelds, and barcodes so that JCI personnel have real-time visibility to project information, material characteristics, delivery status, and shipping documentation. Our system was customized to meet JCI's exacting requirements.
Logistics Delivery & Transportation Systems
Based upon our "demand" based delivery system, material is routed to specific job sites in a Just-in-Time manner to meet a pre-determined time set by JCI. The JCI field project manager is able to manage and control the system on-line to schedule shipments when he needs them without having to maintain large field inventories.
Summary Results
The JCI customized Distributed Inventory™ model that Bradford developed was designed to offer the most efficient methodologies for meeting JCI exacting requirements and their stakeholder needs. Through technology enabled logistics systems, materials bound for the job will be delivered as needed, on time, every time ... and with minimal inventory. Our systems enabled JCI to have continual visibility to material, immediate process feedback to those that need to know, and instantaneous access to stored material when needed. During the first year of operation alone, it was estimated that JCI saved a total of $23 million ($11 million hard dollar savings and $13 million soft dollar savings). At time of implementation, this savings represented JCI's highest cost-saving project for the year.
