Caltherm Improves Inventory Accuracy and On-Time Shipping with Cloud ERP


One Integrated ERP Platform

Caltherm, a leading supplier of thermostats for diesel and automotive applications, turned to the Plex Manufacturing Cloud for a single ERP system where all the manufacturing processes they required were integrated. (3:01)

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Video Transcription

Matt: My name is Matt Shamblin, I'm with Caltherm Corporation for two years now. Caltherm makes temperature regulated valves, thermostats, pressure relief valves, things along those lines.

Bill: When I first came on board with Caltherm, we were running a ERP system called Sightline, a lot of the problems that we had were inventories would always be off at the end of the year. There was a lot of gaps as far as inventory control. 

Matt: And what we found was we get about 75% of the way to where we wanted to be, and then when we started to really tie everything together and make it a natural effective process, they would be some shortcoming in the system and oh, that part doesn't quite work. We really re-evaluated our process, we re-evaluated how our errors had escaped and we looked at the model in Plex, and we said to ourselves, "Well, this is really gonna go a long way in preventing the potential for these defects to escape."

Bill: The good thing about Plex, the reason that we chose it, is it's more serialized as far as inventory. Every box has it's own serial number which makes it a lot easier to track everything from the time it comes into the door, 'til the time it leaves as a finished good.

Matt: Think a lot of people had the, "I want to be able to touch it, I want to be able to walk up, unplug it and plug it back again if there is a problem." Well, the next step beyond that is what if there's no problem? Our IT up-time has increased since we moved off the internal systems off the external systems. It's being good for us. 

Bill: I've not had much experience with cloud-base applications, I'm an old mainframe guy, had the data right here on my side, so I can put my hands on it if I need to. The good thing about Plex being a cloud-based solution gives so much flexibility with what they can and do, it simplifies things for the material handlers, as far as moving, receiving, shipping. 

Matt: All of our components have violated every time we produce a production label. And that production label is produced in real time as we actually make those parts. So that label then goes directly on that box, and then it gets transported back into the warehouse to be prepared for shipping. 

Brittany: It makes it easier to trace it, and there's also more information that's dedicated to locations and part numbers and trace-ability that you can cross-reference their part numbers with our information. 

Mark: Right down to our phone, I can move inventory from one location to the next, check inventory, the technology available is phenomenal. 

Matt: We make thermostats, right? Or business is not managing servers, our business is not developing software, that's not how we make money. We make money by shipping thermostats. So if I can focus my resources on improving our processes and supporting the efforts to shipping thermostats, instead of rebuilding databases, then that's a value add for the organization.

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