StateWays is the only magazine exclusively covering the control state system within the beverage alcohol industry, with annual updates from liquor control commissions and alcohol control boards and yearly fiscal reporting from control jurisdictions
Issue link: http://read.dmtmag.com/i/447128
25 StateWays ■ www.stateways.com ■ January/February 2015 Division leaders are extremely pleased with the posi- tive outcomes that resulted from this overhaul. The customer service experience has been vastly improved. Approximately 1,200 independent Wyoming licens- ees enjoy next-day delivery service on orders that are placed by noon (not including special orders). Chey- enne customers receive deliveries two days per week, and are given the option of picking up their own orders at the warehouse anytime. Overall revenue for the state is also on the rise. In the fi rst quarter of the 2015 fi scal year, Wyoming sold a total of 266,333 cases, an increase of 5.1 percent from the same quarter the previous year. Total sales during that period amounted to $29,426,182 - an increase of 5.5 percent over the same quarter the year prior. Utilizing existing internal resources While some states like Idaho and Wyoming have seen their warehouse and distribution initiatives come full circle, other states are earlier in the planning and implementation stages. Such is the case with the West Virginia Alcohol Beverage Control Administration (WVABCA), which began working on a new Bailment Control System (BCS) in March 2014. The request for a more sophisticated system came directly from WV- ABCA Commissioner Ronald Moats, who charged his team with developing a new inventory management tool. The goal was to create a more modern system that was technology-based and utilized information in a more profi table manner. Intended to replace the state's legacy inventory man- agement system, the new BCS has been developed en- tirely in-house by West Virginia's own IT group. "Our current system is over two decades old," says Gig Robinson, spokesman for the WVABCA. "We de- cided to incorporate a lot of modernizations to enhance the distribution center. The new system will include all the functions of warehouse management, including pick- ing and receiving." With the new BCS in place, West Virginia is poised to implement the next phase of the overhaul project in Spring 2015. Once the state successfully migrates the core functionality from their legacy system, they will then move to surface automation mode. This will give vendors a self-serve model to interact with the WVAB- CA, and also let them submit pricing and label informa- tion electronically. According to Robinson, creating the system in-house allowed the state to completely customize the function- ality of the new BCS to fi t its specifi c needs. Develop- ment costs were nominal, although the state will invest in all-new hardware during the next phase of the imple- mentation project. In addition to streamlining internal processes, the new system will also be very benefi cial to vendors, who will now be able to access the system 24/7 and make up-to-the-minute price and listing changes. Additional features may also be added to the BCS as time goes on. F or states preparing to embark on a warehouse and distribution system overhaul, or those that are already im- mersed in the process, here are some tips to take away from other states' experiences: Learn from your peers. By being in- volved in the National Alcoholic Beverage Control Association (NABCA) and commu- nicating with other control states, you can easily discover what worked well (and what didn't) for other divisions. There's no one-size-fi ts-all universal warehouse improvement plan, but get advice from other professionals who have undergone this process and use that information in your own decision-making. Shop around. If you decide to partner with an outside vendor instead of devel- oping your new system internally, take plenty of time to research your options. "When it comes to bidding, don't look for the lowest. Look for the best," Wasser- stein advises. "Also, consider mainte- nance, service, and training as part of the whole package. Ours is a very complex system. It uses lasers, and it breaks sometimes. Make sure you'll get the nec- essary support when that happens." Make a decision and stick to it. Your team will invest a great deal of time in choosing the best solution for your state. Be confi dent in your decision and champion the idea from start to fi nish. "Implementation doesn't happen over- night, and you'll have to fi gure out a lot as you go along," Cook says. "That's just the way it goes." Empower your staff. Get input from people across the division, and especially from the people who work on the ware- house fl oor. "Listen to their ideas and see what comes of it," Workman says. "We challenge all of our people to come up with new ideas, and we listen to and value their input." Think about the future. If you invest in any kind of new inventory management sys- tem, will it allow you to add or adjust certain features down the line? Ideally, a new program should be able to evolve with your state. With so many options at their disposal, states have plenty of available resources to help them determine how to best enhance their warehouse and distribution efforts, making them as high-tech and effi cient as possible. WAREHOUSE REORGANIZATION ADVICE