"Implementing VendorNet was an excellent business decision that has already gone beyond paying for itself. What is truly amazing is how smoothly the whole implementation process has progressed with the retailers and vendors alike. DirectNet Solutions has not only created a valuable product for any retailer and vendor in a drop ship relationship, but also backs up its expertise with a true commitment to helping its customers succeed."Kent Martin, President
Based on this success, it will move forward to bring other Cornerstone Brand companies online with DirectNet Solutions' VendorNet system.
Kent Martin, President of CCSG explains, "We handle Frontgate and Ballard Designs' call center and order fulfillment functions. Before we implemented VendorNet, drop ship orders represented a very manual process consisting of printing the pack slips, overnighting them to the vendors, keeping spreadsheets and other paperwork to track the orders and reconcile them with the vendors and accounting functions. Plus, if the customer called and wanted a status, the only way we could give more than a best estimate based on standard shipping practices was to phone the vendor directly and then call the customer back. It was very labor intensive, very expensive, and quite inefficient."
VendorNet has been integrated with the retailer's Ecometry-based host order management systems allowing the seamless transfer of drop ship order information to VendorNet, which then transmits the orders to the vendors via the Internet. Using a standard web-based browser, drop ship vendors simply access the order information, and return order status, shipping, and invoice information to the retailers.
Doris Kelley, Director of Business Systems at CCSG comments, "VendorNet has essentially created an electronic communication highway between Frontgate, Ballard Designs and their drop ship vendors. It's fully integrated with the backend host management systems allowing the bi-directional flow of critical order, shipping, and invoice information between these retailers, their vendors, and ultimately their customers."
Kelley elaborates, "We realized our payback on VendorNet in just 4 short months and have achieved a 111 percent return on investment which is just phenomenal. At peak time, we are able to operate with the same headcount and in fact, have not replaced an employee that moved on in her career. We also saved the significant expense of overnighting our pack slips. As we continue to bring more and more retailers and vendors online, the reduction in labor requirements alone will be significant allowing us to leverage these resources in other areas."
Cathy Ellerbrock, Senior Manager of CCSG's Call Center adds, "VendorNet has streamlined many facets of our job in the call center. All the information we need to track an order is available to us electronically. We can be more responsive to the customer by providing accurate information at the time they call rather than going through the tedious process of calling the vendor for order status and then calling the customer back."
Vendors for Frontgate and Ballard Designs are happy as well. Access to orders via the Internet has eliminated the time delay of waiting for orders to arrive by mail service. Orders get fulfilled quicker reducing the time to invoice and facilitating faster payment.
VendorNet's reporting feature also provides greater visibility to vendor performance allowing retailers to better manage the relationship for the mutual benefit of both parties. Further extending its supplier relationships, CCSG will soon be leveraging VendorNet Stock Purchase Order Manager to facilitate collaborative intelligence for hundreds of their bulk order suppliers.