Key benefits

• service levels increased from 62% to a consistent 96% in seven months
• centralised purchasing process
• $14 million or 31% inventory reduction
• created an exceptionbased planning process and implemented S&OP
• engaged in schedule sharing initiatives with key suppliers

Operating environment

• largest independent paper merchant in Australasia
• overseas suppliers
• 14,000 items stocked in 10 locations
• $400m annual sales
• 24 hour customer delivery window

“Now I do the purchasing each month for all 14,000 items in three days – that used to take six people two weeks...”

“We selected GRA because they guaranteed our success, clearly demonstrated their expertise and focused on the business process and people issues. We needed a world class system and an organisation that could help us with the business issues and share their knowledge. We’ve been through tough implementations before, and we knew what to look for this time. We’ve never questioned our decision – actually, it’s been constantly confirmed.”
Michael Byrne, CPI Group Stock Controller.


CPI Papers is the largest independent paper merchant in Australasia that is focused on the promotion and selling of a comprehensive range of Specialty, Self Adhesive, Digital, Coated and Uncoated Paper and Board products. CPI Paper’s Australia/New Zealand operation generates $400 million in sales annually from 14,000 items stocked in 10 locations.

GAINS was fully implemented and integrated with CPI’s ERP and WMS systems within 12 weeks. CPI then began using GAINS to manage by exception, automate the creation of purchasing schedules for overseas suppliers and re-balance their inventories across Australia and New Zealand based on service level and cost optimisation.

Michael Byrne, CPI Group Stock Controller says:

“The additional management control and improved reporting that GAINS provided enabled us to centrally manage our purchasing. Purchasing used to happen independently in each state and New Zealand – and that took six people two weeks, or 24 man days, to complete each month. Now I do the purchasing each month for all 14,000 items in three days. It’s a big relief for the branches because they can focus more of their time on sales and marketing.”

In addition, CPI used GAINS to increase its service levels from 62% to a consistent 96% without increasing inventories – based on “complete order fill first time every time from stock”. Now that service levels have improved, CPI is focusing on freeing up cash held in inventory. To date, a $14 million or 31% inventory reduction has been achieved.

Download	FORMAT
CPI