Robert:
I am struggling with how to not make this sound like an ad but here goes. My remarks are about bar coding in general not just our product. We (three of us) have been working on bar coding for parts departments as our main project, full time for over a year. Our product is not for sale outside the Washington DC/Baltimore area as of now. We have installed our system in 18 parts departments in our area and are installing 4 more this week. Every one of the parts managers is in love with bar coding. In every case they have reduced the time it takes to check in a stock order by at least 50%. We are finishing the bin cycle count part of the system now and it will save even more than 50% on this process. It is hard to measure the increase in accuracy, but it is huge. One of our parts managers calculated his annual savings at $22,800 plus freeing up 2300 hours for other tasks in the parts department. In addition his daily order is put away at noon instead of 5 PM.
The real challenge we have encountered marketing our product is not competition from Reynolds, ADP, UCS and others, but the fact that bar coding is not generally used in parts departments and managers think it is just another gimmick. I have been in the automobile business for a long time and the same thing happened when electronic parts catalogs came out. Everyone thought that it was just a passing fad and nothing would ever replace the paper catalogs. The same thing will happen with bar coding.
The reason lots of people are not knocking on your door trying to sell bar code systems is that it is extremely hard to engineer because of all the variables. On one side you have the different DMS and each has its own idiosyncrasies. The once you get that problem solved the differences in each car manufacturers bar codes are even worse. Some of the early systems did not work because of these variables. There is no industry standard or if there is one, no one follows it. Then we struggled with the patent process. The last challenge is to make it affordable for the average guy. When we started we had no idea that it would be this difficult or time consuming.
The bottom line is that I would encourage you to look into bar coding for your parts department. We only have one dealer in our area with ADP and he loves it. I have heard nothing negative about ADPs product. You will find that it will save you a lot of money and time. The reason you see so much of it in Wal-Marts, Home Depots etc is because the technology is so cost effective.
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Frank Burrows
Automotive Business Solutions
frank@autobusiness.org