Smith Drug Company, Div. J M Smith Corporation, is the winner of the 2018 Distribution Management Award (DMA) for their implementation of a cloud-based predictive inventory management system (IMS). The DMA is awarded annually to HDA member companies that, through a collaborative partnership, enhance the efficiency, effectiveness and safety of the supply chain. Recipients must demonstrate measurable gains in productivity and reduction in costs in addition to implementing innovative technology, processes or programs across trading partners.
"Every year we are pleased to honor members, like Smith Drug, who continue to push their organizations to achieve greater efficiencies in pharmaceutical distribution," said Perry Fri, HDA Executive Vice President of Industry Relations, Membership and Education; and COO, HDA Research Foundation. "DMA recipients demonstrate the true passion and creativity that goes into ensuring a safe and more secure pharmaceutical supply chain for all stakeholders. We congratulate Smith Drug on this achievement."
With the goal of increasing their inventory turns and enhancing their service levels, in 2017 Smith Drug Company implemented a new cloud-based IMS in collaboration with P4 Technologies. Accessible anywhere, this powerful system manages, optimizes and predicts a distribution center’s inventory through unique and robust forecasting and replenishment algorithms. Since implementing this customizable solution, Smith Drug Company’s inventory was reduced by 30 percent and the system has improved their inventory turns by 47 percent.