Case Study

Reducing Held Order Resolution Time

Read how inefficient swivel chair operations and manual business processes were transformed into an automated Held Order Tracking System, enabling significant cycle time improvements.

Product orders are sent to ‘hold’ due to processing issues within the supply chain. These held orders are a key cause of delayed shipments and subsequent customer dissatisfaction. Therefore, it is imperative that companies be able to identify, qualify, and resolve such orders in a manner as timely as possible. Additionally, it is crucial to remove the root causes of orders being flagged for a hold to reduce the likelihood of preventable repeats and improve order fulfillment performance.

This case study explores how The Phoenix Group® enabled one of their clients to improve performance within their primary order fulfillment supplier’s operations through an automated held order tracking system.

The Challenge: Decrease Held Order Frequency & Resolution Time

The client’s goal was to reduce the frequency and cycle time of held orders processed by their order fulfillment supplier, but they’d have to overcome several challenges to accomplish this:

  • Orders were managed through a suboptimal email process that entailed multiple stakeholders and fractured communications.
  • The process to qualify hold reasons was overly complex and counterproductive.
  • Held orders were ineffectively reported and tracked.
  • KPIs were nearly impossible to measure and trend, hindering efforts to establish and maintain responsibility and accountability.

An overhaul of their methods and procedures to manage held orders was required, and a digital transformation solution would become the instrument to deliver the results they desired.

Phoenix Groups’ Solution:  Automated Held Order Tracking System

To overcome the challenges, Phoenix Group collaborated with their client stakeholders to develop and deploy an automated Held Order Tracking System in just two months that:

  • Funneled held orders in near real-time into a web-based dashboard.
  • Auto-assigned held order reason codes and types.
  • Auto-assigned responsible parties for resolution.
  • Enabled interactive features to troubleshoot and resolve held orders.
  • Provided data insights through KPIs, visualizations, trending tools, and reports.

With the assurance of unprecedented visibility, insight, and control over their held order process, the new system and optimized business process were rapidly adopted and started reaping immediate benefits to the client and their customers.

The Results

The implementation of Phoenix Groups’ Held Order Tracking System yielded significant impacts and outcomes in operational efficiency and supplier performance.

Since its adoption, held orders went from an average of 10.2 days to resolve to just 2.2 days, which is a whopping 78% reduction in resolution cycle time. Held order processing has seen an incredible 54% improvement in productivity. The total number of held order incidents experienced a 10% decline due to root cause identification and process improvements enabled by the system.
Phoenix Groups’ web-based Held Order Tracking System successfully streamlined the way our client addresses operational challenges with held orders, significantly enhancing their productivity, and smoothing out their supply chain. The demonstrated ability to resolve holds efficiently, coupled with the substantial time savings and operational improvements, underscores the transformative impact of this solution on supply chain management and our client’s customers.

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