Oliver H. Van Horn Company Honored for Implementation of Strategic Pricing
Epicor Software Corporation, a global leader in ERP software solutions for manufacturing, distribution, retail and services organizations, today announced that its industrial distribution customer Oliver H. Van Horn Company Inc. of New Orleans, Louisiana, was named to the 2013 Supply & Demand Chain Executive 100 (“SDCE 100”) for the company’s implementation of Strategic Pricing. The award was given by Supply & Demand Chain Executive magazine, an international B2B publication that provides mission-critical editorial to address the issues and challenges of the supply chain.
Oliver H. Van Horn Co.’s successful use of the pricing architecture developed by Strategic Pricing Associates Inc., seamlessly integrated with the Epicor Prophet 21 wholesale distribution enterprise resource planning (ERP) solution, increased the distributor’s overall profit by 12 percent and reduced price overrides by 65 percent over the past three years.
Strategic Pricing is based on the principle that for every product/customer sale combination, there is an optimal price—the highest price a distributor can obtain while retaining the customer’s business. This is often different for different product/customer combinations. Combining invoice analysis with market knowledge, Strategic Pricing can reveal many small margin opportunities which, in aggregate, can yield 2-4 percent in additional pricing margin points for the distributor.
“We congratulate Oliver H. Van Horn Co. for being included among the ‘100 Great Supply Chain Projects’ named on this year’s SDCE 100 list,” said Malcolm Fox, vice president, product marketing for Epicor. “Their experience demonstrates that Strategic Pricing is a powerful and innovative tool for distributors to increase their margins. Since all that is needed is sales history, Epicor customers can easily export the data for analysis and then load the resulting pricing structures/files into their Epicor Prophet 21, Epicor Eclipse or Epicor Prelude ERP system.”
Founded in 1903, Oliver H. Van Horn Company Inc. operates eight full-service facilities in Louisiana; Jackson, Mississippi; and Mobile, Alabama. With 70 employees, the company supplies industrial tools, safety products, abrasives and adhesives to Southern industry.
The 2013 Supply & Demand Chain Executive 100 are supply chain solution and service providers that are helping their customers and clients achieve supply chain excellence. They have produced measurable gains in ROI through cost-cutting and increased efficiency, whether in warehouse, transportation, procurement sourcing or any other category in the end-to-end supply chain.
The submissions were evaluated by the magazine’s editorial staff primarily based on: ambitiousness/ scope of the project (30 percent); creative application of technologies/solutions/services used (20 percent); extent of the business results/impact (40 percent); and clarity of submission (10 percent).
About Supply & Demand Chain Executive
Supply & Demand Chain Executive is the executive’s user manual for successful supply and demand chain transformation, utilizing hard-hitting analysis, viewpoints and unbiased case studies to steer executives and supply management professionals through the complicated, yet critical, world of supply and demand chain enablement to gain competitive advantage. On the Web: www.SDCExec.com.