Supply Chain World - Fall 2017 - 133

genysisgroup solutions

need for domestic and international regulatory support. Additionally,
Isagenix needed flexibility and
short lead times. "We developed
with them a program where we can
fill their orders in a four-week time
frame," Schwinghammer says.
The relationship began small
but grew over time. "When we
first started doing business with
Isagenix it was on a very limited
scale," Senior Partnering Manager
Callen Bagley says. "Their first
[purchase order] with us was 500
units." The trust formed through
the partnering program has since
led Isagenix to increase the quantity of its orders to several million
units each month. "What we've
been able to do through open communication is identify what they
needed and what they classified as
being value," Bagley adds.
When the companies began
working together four years ago,
Isagenix' lead time was 12 to 14
weeks on an order. But as Isagenix increased its spend, Genysis
sought out ways to cut the lead
time for finished good inventories.
Today, the company fulfills and
ships orders in less than four weeks
and has achieved perfect on-time
delivery for most of this year.
Bagley credits that improvement to the partnering program.
"We've really been able to accomplish those types of objectives
is through open dialog," he says.
"We've found we've had a lot of
success with getting everyone on
the same page and talking about
the same objectives."
One of the contributors to the
initially long lead times was the
significant fluctuation Isagenix
needed Genysis to produce. Order

"We happen to just take a
more intimate level of
interest and service in the
client based on their business model specifically."
_________
volume was all over the place,
making it difficult to forecast and
streamline production. Because of
the partnering program, Genysis
was able to explain the challenge
to Isagenix's senior leadership and
the two companies worked together to level order volumes.

Implementing Lean
A better handle on the ordering
ultimately enabled Genysis to take
advantage of more lean manufacturing processes in its factory,
further reducing lead times. From
there, it was a natural extension to
apply lean concepts to the supply
chain to ensure that clients receive
the right products, at the right
times, in the right locations and in
the right quantities. Ott adds that
lean processes have helped Genysis
become more flexible because the
increased efficiency and shorter
fulfillment window mean it can rely
less on forecasting and react better
to changes in the marketplace.
Implementing lean practices
required Genysis to shift from a
push manufacturing system to
a pull system design to reduce
waste in the production process.
To facilitate that change, Genysis
had to undergo a major cultural
change that made continuous
improvement a goal for every
day. "We have an amazing team of
problem-solvers here," Ott says of

Genysis' ability to identify areas
for improvement. "I'd put them up
against any other team in terms of
their capability."
On the supply chain side,
Genysis realized it could become
more efficient by redirecting a
greater amount of volume to fewer
suppliers. It set standards for
those relationships and rewarded
companies that met the terms with
increased business, leading to a 50
percent reduction in the supplier
base during the past three years.
The company also reviewed
how manufacturing impacted the
supply chain. Many people in the
manufacturing industry still believe that if a plant makes one large
production run it is better for the
company and the customer; however, Bagley says that any student
of the supply chain understands
that approach tends to gum up the
flow of the goods.
Genysis uses its partnering
program to talk to clients such as
Isagenix about how to shift that
paradigm to more continuous
manufacturing. "We engaged with
Isagenix on a strategic level to understand their needs for forecasting," Bagley explains.
As the relationship between
Genysis and its customers grow,
the demands also increase. But
the company's customizable
model is able to flex to meet those
new requirements.
"It all goes back to what each individual client needs," Bagley says.
"We are not a cookie-cutter organization. Sometimes at first, it's
painful. But we've found the more
we're willing to do that, the more
the customer's door gets open to us
to integrate with them."
FALL 2017 Supply Chain World

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Table of Contents for the Digital Edition of Supply Chain World - Fall 2017

Contents
Supply Chain World - Fall 2017 - Cover1
Supply Chain World - Fall 2017 - Cover2
Supply Chain World - Fall 2017 - 1
Supply Chain World - Fall 2017 - Contents
Supply Chain World - Fall 2017 - 3
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