International manufacturing company Teknor Apex has cut costs on some of its busiest product lines by using order routing functions in its enterprise resource planning software to manufacture orders in the cheapest way possible.
Teknor Apex, which recently acquired a nylon manufacturing facility in Birmingham, uses the software to calculate which of its manufacturing lines will be the cheapest to fulfil each order it receives.
The company's CIO Peter Matteo said, "We sell so much of our most popular product lines that even saving half a cent makes a difference."
Teknor Apex is using Lawson's M3 Enterprise Management system. Two of Teknor's ERP projects this year are to install M3 at the Birmingham facility and at a new factory in China.
The manufacturer expects its Chinese operation to be the fastest growing part of its business for the foreseeable future.
The firm has decided against using M3 to automatically route orders to the cheapest manufacturing line in the cheapest country, because its customers often impose restrictions on where the order can be fulfilled.
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