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24 March 2004

Improved result with slo's warehouse management

Kurt-Erik Sandbacka, SLO's customer, Finlande

Sähköliike Tekno Oy is one of the largest electrical contractors in Finland and focuses its operations on office building, industry and special installations. According to Kurt-Erik Sandbacka, Managing Director, a significant part of the productivity excellence of the company is based on the cost savings brought on by SLO's customer warehouse management programme.


A warehouse of your own is no longer necessary
Our companies are in physical proximity of each other, which brought on the idea of discontinuing with Tekno's warehouse altogether and utilising SLO's local storage depot for everything we need instead. The solution hit the nail on the head, which is evident from our excellent result development from one year to the next. This is mainly due to us not having to have a warehouse or stock workers, which in turn has meant us being able to reduce inventories and general expenses to an all-time low.

Cost effectiveness with centralised purchases
Centralisation is another factor improving cost effectiveness in warehouse management. SLO supplies us with practically every electrical item we require apart from some direct factory deliveries. Extensive projects we still give out to tender in the normal fashion, but the purchases of electrical equipment for small projects are based on a mutual yearly agreement. The price & quality ratio ensures we don't have to - or indeed need to - put every little thing out to tender.

Effectiveness out of partnership
As a complete set-up the operations and deliveries have worked fabulously. At all times we have access to a range of 2000 products right next door and via an overnight delivery we can access tens of thousands of electrical products in the central warehouse. And as supplies ordered in the afternoon turn up in a truck in our yard at half past seven in the morning the next day, things couldn't be better. We are extremely pleased with the current activity pattern!”


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