 DPS/Real-World Solutions: Food Service Parts & Equipment
FMP Locks in New Business with Web-based Customer Self-Service
Customer Description:
Founded in 1918, Franklin Machine Products (FMP) started as a small manufacturing shop specializing in components for commercial coffee urns. FMP’s business focus changed with the demands of the market and, in the early 1970s, they became the first wholesale parts distributor to the food service industry. Today, FMP serves the food service industry all over the world with warehouses in Marlton, NJ, Las Vegas, NV, and Maubeuge, France. In its 83rd year, FMP set a new standard by implementing an e-business strategy.
E-Commerce Strategy:
In 1998, FMP implemented a static website that provided product and company information only. It did not provide real-time information (i.e., ability to place an order or check inventory, order status, and account history) and it was not integrated to its DPS ExtendÔ ERP package. In order to achieve the company’s mission for growth, customer service, and customer satisfaction, FMP made the decision to transform its website into an e-commerce, online, real-time experience. This was accomplished by integrating FMP’s current online product catalog to its distribution system using DPS FlashÔ , created and supported by DPS, Inc. (Data Processing Services), running on an iSeriesâ server.
Why DPS Flash?
FMP selected DPS, Inc. for its e-commerce initiative for a multitude of reasons, the main one being that DPS Flash can be custom-fit to any legacy system. Therefore, Flash, integrated with its existing enterprise system, enabled the company to make a smooth, seamless transition to e-business. This integration gives customers visibility to the back-end system so they have the latest information on product availability, pricing, and order status. This ensures that there are never any surprises for the customer. By choosing this "self service" solution with its breadth of functionality, FMP’s customers are able to place orders quickly and easily online, as well as obtain order numbers, shipment tracking numbers, account history, inventory levels, and product information with around-the-clock availability. With FMP’s customer base being in the restaurant industry, they often need to check status and place orders at odd hours. "Flash now allows them to check order status and place orders 24/7," said Bob Fisher, FMP’s MIS Manager.
Results:
Since going live February 1, 2001, the return on FMP’s investment in DPS Flash has been tremendous. Prior to investing in an e-commerce strategy, FMP had been actively pursuing the business of a nationally known restaurant chain. Finally agreeing to purchase exclusively from FMP, the account said that the ability to place orders and check order status online was a major factor in its decision. The addition of this new account will contribute an additional 4.5% to FMP’s annual revenue number.
According to Fisher, the average order when received over the Internet is significantly larger when compared to orders placed in other ways. Fisher believes that customers come online to order products and/or browse the catalog, and end up adding items they weren’t originally planning to purchase such as a featured sale item.
"In addition to a significant increase in business, Flash has led to better customer service, increased customer loyalty, and fewer calls into the customer service department," said Fisher. "As businesses increase their Internet usage, FMP will be there to take their business via the website," he continued. "We are just scratching the surface with regards to the impact this product will have to our bottom line in the future." |
