Dunham Express Doubles Sales with COPS Distribution Management

At a Glance

Using Datatrac’s COPS (Courier Order Processing System) Distribution Management solution, Dunham Express streamlined its delivery processes, reduced the time required to deliver packages, simplified paperwork and proof of delivery requirements, and reduced human error. This system has enabled Dunham to double its sales and continue to enhance its superior customer service.

"A good amount of our growth has been attributable to the service we’re able to offer with Datatrac’s COPS Distribution solution. Customers demand a certain degree of technology and the bar is being raised every day. We’ve been impressed by Datatrac’s responsiveness and willingness to adapt and meet the challenges that we face in our business, as well as their willingness to partner with us and make things happen."

Challenge

Recently, a $50 billion supply management and healthcare information technology company asked Dunham to develop a scanning, tracking and proof of delivery electronic solution to track their deliveries. Dunham looked to Datatrac as a partner in developing a Distribution solution. “We had been using Datatrac’s basic COPS (Courier Order Processing System) for the past year , so it was a natural evolution to work with them to create a Distribution solution,” said McDonald. “We liked the product we already had, we were sold on Datatrac, and we’ve been involved with them from day one on design and development.”

Dunham’s only other option was to use the proprietary distribution systems of some of their larger customers for a fee. However, if every large customer charged Dunham for their own system, Dunham would pay five to six fees daily. And Dunham’s drivers would have six different devices on their dashboard, all functioning differently, which would amount to six times the training.

“We chose to simplify our training and internal processes with Datatrac’s COPS Distribution - it became a cost savings for us,” said McDonald. “We saw this technology as a sales tool to gain more customers and operational efficiencies. Many of our large companies wouldn’t do business with us if we did not use this technology.”

Solution

The COPS Distribution Management system improves the sorting, loading, distribution and tracking of packages processed through a distribution center or warehouse. It enables Dunham to handle and deliver high volumes of goods to multiple locations efficiently, accurately and on time. This system integrates with Dunham’s existing COPS system and extends its capabilities to receive advanced shipment notifications, perform receive-and-load scans, and automatically update every step in the delivery process.

Here’s how it works:

• Dunham receives and processes a customer file containing a day’s worth of shipping information, and uses a scanning process to receive the product into their system. Dunham uses Datatrac’s COPS Distribution system to direct each unit to the appropriate route, which are built from advanced shipment notification files.

• Dunham then completes an internal sort process. Drivers use a Palm Pilot that contains information specific to their delivery route. A load scan verifies that drivers put the correct units for their route onto their truck and ensures that they are not missing any units.

• As drivers make deliveries, they do a third scan in the presence of each customer to verify receipt of the appropriate unit(s). The Palm Pilot electronically captures signatures from customers to establish proof of delivery. At the end of the day, the data is downloaded from the Palm Pilot and pulled back into Dunham’s system. The updated orders with signatures are sent to the customer for confirmation.

• Dunham uses COPS Distribution to generate customized invoices based on customer preference.

“COPS Distribution automates a lot of the processes, gives us a high degree of accountability, and reduces errors,” McDonald notes. “We’re able to solve missing units issues much more easily. We know if we received a unit, which driver loaded it, and if a driver misdelivered it just by looking at the scan data for a particular route on a specific day.”

Results

McDonald said Dunham has acquired business because of the COPS Distribution system. “Without this technology, we would not have been considered by some of our largest distribution customers. It was more of a business necessity than a calculated ROI consideration. “ He said he has watched competitors fall by the wayside because they were unable or unwilling to get involved with this technology.

Since Dunham began working with Datatrac in late 1998, sales have doubled to $25 million. The company has expanded to 500 employees, 380 drivers, and owns 165 vehicles.

“The old process of shipping paper manifests…has gone out the door,” said Mark Helmke, Chief Marketing Officer. “The new process is sleek, efficient, and universal.” - Dunham Express Success Story, Courier Magazine, 2000.

Future Plans

McDonald is looking forward to Datatrac’s development of a link between eTrac and Distribution, which will be available in Q4 of 2004. “This solution will allow our customers to access information electronically through the internet. More and more, customers want to dial in and look at a report themselves rather than calling us.”

McDonald said eTrac Distribution will enable Dunham “to compete with, look like and smell like FedEx and UPS – we’re just a step away from that right now. Combine that with our specialized, more personalized service, and we’ll be able to secure even more business.”

About Dunham Express

Dunham Express has been making deliveries since 1951 and currently operates out of 10 cities in Wisconsin and Minnesota. It covers all of Wisconsin, Michigan’s Upper Peninsula, virtually all of Minnesota and parts of Illinois and Iowa. The company’s primary focus is on time critical distribution, with some of its largest customers being pharmaceutical and office supply companies.