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CASE STUDY
The PipeKnife Company
Through a strategy of growth via acquisitions, Golden, CO’s The PipeKnife Company has become one of largest manufacturers of tools and accessories for auto glass removal and construction.
THE CUSTOMER
The PipeKnife® Company, founded in 1993, is one of the largest suppliers of specialty tools to the Caulking, Waterproong, Deck Coatings and Auto Glass Replacement industries. Over 300 professional grade tools to cut and remove old sealant and prograde accessory items are manufactured and distributed by PipeKnife to over 200 distributors worldwide. Today, PipeKnife is joined by REID Cold Knife Tools and Blades, Arctic Warmer Electric Urethane Warming Bags, the VD-K Tool line of Quick Set tools and accessories and the recent acquisition of Frost Fighter Window Defrosting Repair Systems and Kits.
THE PROBLEM
PipeKnife needed to rapidly ship products to construction, automotive supply, and repair industry customers using multiple carriers. Daily shipping processes were a significant issue, especially since 30% of its business was palletized LTL shipments with the remainder as parcel shipments. This made it difficult to obtain the best shipping rates. Scheduling was also a challenge. In addition, selling products via nine ecommerce websites added to the complexity. Each day, PipeKnife reviewed each of the ecommerce sites, manually downloaded marketplace order information and then manually input the information into QuickBooks. Order data was then copied and pasted into a shipping solution to generate labels and then back into the QuickBooks to generate an invoice, including shipping expenses and tracking information. Tracking information was then entered by hand into the ecommerce site to notify the customer of the shipment.
THE SOLUTION
Descartes ShipRush brought PipeKnife significant flexibility and savings by streamlining shipping processes. Using the solution, PipeKnife aggregated all its shipping needs into one system. The implementation includes LTL freight partner Worldwide Express™ and a QuickBooks connection via Descartes ShipRush and Sync with Connex™. The solution enables PipeKnife to import ecommerce sales data into QuickBooks, review shipping costs, generate shipping documents, pass all relevant information back to QuickBooks and control all shipping functions. Descartes ShipRush is also used to generate international shipment documents electronically per NAFTA requirements.
PipeKnife was also able to assure that freight-paying customers receive the best rates and that both parcel and freight expenses and shipment tracking information from all carriers is automatically posted to the customer’s invoice without manual data entry in QuickBooks. Along with freight charges and tracking information, in invoices are immediately emailed to customers. The ability to add tracking information significantly reduced calls from customers.
THE RESULT
As a multichannel business with both online sales and an extensive dealer network, PipeKnife now has a shipping platform with comprehensive functionality to manage both parcel and palletized shipments. Descartes ShipRush has significantly streamlined fullllment for all types of shipments across all of the company’s sales channels. PipeKnife streamlined the fullllment and billing process by aggregating all shipping needs into one system that shares tracking and shipping costs directly into QuickBooks. The company decreased its net shipping costs signicantly by passing the shipping expenses seamlessly in real-time to customers.
PipeKnife saves approximately 16% on shipping with the company’s own negotiated rates for parcel and LTL freight, and by rate shopping all carriers side-by-side with Descartes ShipRush discounts, depending on customer requirements. The solution is automated to and the best carrier price and delivery option. handling up to 10,000 shipments per day during peak periods. PipeKnife increased order entry and processing speed by at least 100%. As sales more than doubled because of an acquisition, PipeKnife quickly rolled out Descartes ShipRush to the new company and increased the number of monthly shipments by almost 50% in peak season with no new staff.
