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Choosing Between a Supply Chain System Integrator or an Independent Consultant

When considering company-wide supply chain changes, it’s important for a business to consider which vendor will provide the best overall service. Both a Supply Chain System Integrator (Manufacturer) or an Independent Consultant can provide significant value. Here are some tips on choosing the right resource for you. For more details and data, download our White Paper on the topic.

Supply Chain System Integrator and Independent Consultant—The Basics

An Independent Consultant considers process improvement as much a part of the design as material handling equipment. Their solution is about key business drivers to meet desired service levels, not necessarily maximum throughput.

Some Supply Chain System Integrators provide design solutions that focus on their core revenue – the sale of MHE and supporting equipment. In many situations, those organizations are driven by “converting facility design concepts into metal.” 

That’s why it’s important to ask yourself:

  1. If the System Integrator has experience in conveyor and racking, but limited experience in AS/RS, WMS, labor management, or voice technology, will they recommend those types of solutions? 
  2. Or, if the design calculations support a low-technology model with minimal equipment, will an Integrator recommend that solution at the risk of losing sales?

All good Supply Chain System Integrators and Consultants focus on data analysis, creativity, and innovation. Yet, most Independent Consultants consider more approaches regarding labor, processes, equipment, space, and available IT. Traditional System Integrators focus more on the justification of equipment.

While many System Integrators review alternative vendors, Independent Consultants have more incentive to locate the least expensive equipment with the best quality that meets each customer’s requirements. 

The table below outlines specific solutions and the limitations that may exist due to reseller agreements or sales quotas from the manufacturer or integrator.

Solution

Manufacturer

Integrator

Independent Consultant

Shelving

Limited

Limited

Unlimited

Racking

Limited

Limited

Unlimited

Pick Modules

Limited

Limited

Unlimited

Pick-to-Cart

One 

Limited

Unlimited

Conveyor

One

One or Limited

Unlimited

Sortation

One

One or Limited

Unlimited

Pick-to-Light

One

One or Limited

Unlimited

WCS

One

One or Limited

Unlimited

WMS

One or Limited

One or Limited

Unlimited

Voice Picking

One or Limited

One or Limited

Unlimited

Unit Load AS/RS

One or Limited

One or Limited

Unlimited

Mini Load AS/RS

One

One or Limited

Unlimited

Put to Order

One

One or Limited

Unlimited

 

It makes sense, that the more choices you have, the better your chances are of achieving an optimal design. Using an Independent Consulting Firm assists with strategic planning and implementing the most cost-effective solutions where product and data flow are synchronized.

Implementing a new fulfillment operation that streamlines operations in a multi-channel environment can be time-consuming. For a successful implementation, you need input from a variety of departments: finance, marketing, operations, IT, and distribution. The project leader must keep the team united and focused, communicate well, and drive toward task completion.

An Independent Consultant will dramatically reduce the amount of effort required by internal staff, by leveraging their own knowledge of the design/build process while utilizing the knowledge of client staff as needed. In fact, when an Independent Consultant is hired, clients spend 35% less time on implementation—that’s a whole lot of time to focus on running the business, while the implementation pros take care of the rest. 

Main Takeaway: An Independent Consultant like Cornerstone Edge can build trust and deliver value, mitigating risk while saving time and money.

IMPROVED INVESTMENT

  • Savings by creating competition between integrators and manufacturers
  • Savings by purchasing only solutions that meet business requirements, not equipment sales
TIME SAVINGS

  • Free client resources to effectively support existing business and prepare for new fulfillment model
  • Allow MHE resources to focus on their strengths: equipment
OPTIMIZED SOLUTION

  • Creation of competition for better approaches to design concepts
  • Improved ‘sandbox’ beyond MHE solutions

For more details on why Independent Consultants are best-equipped to handle your supply chain needs, check out our white paper. Better yet, if you have any questions we can answer for you, simply reach out. We look forward to building supply chain solutions you can depend on. 

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