Manhattan Associates Software Helps Lennox International Fuel Growth, Achieve $25 Million Increase in EBIT
ATLANTA, March 17, 2014
Supply Chain Commerce Solutions provider Manhattan Associates, Inc. (NASDAQ: MANH) today announced that Lennox International, Inc. (NYSE: LII), a global leader in the heating, air conditioning and refrigeration industries, has doubled its distribution footprint via a strategic redesign of its supply chain using Manhattan Associates’ Transportation Management System (TMS), Warehouse Management System (WMS), and Labor Management System (LMS) solutions in six United States distribution centers.
To grow market share and increase their earnings before interest and tax (EBIT) by $25 million, Lennox International moved from a national distribution network to a regional distribution, hub-and-spoke network. With broader visibility and regional control, Lennox has increased their productivity by more than 50 percent, and reports their shipping and inventory has reached a 99 percent accuracy rate.
“We turned to Manhattan, not only for their expertise, but because they offered an integrated system—lowering our costs and customer cycle time,” said Gary Bedard, vice president and general manager, Lennox International. “Because Lennox is a transportation-driven company, Manhattan Associates TMS was the natural choice to support our strategic growth.”
The strategic redesign comes on the heels of Lennox’s annual peak season. Before Manhattan’s implementation, the manufacturer and distributor had minimal to no warehouse-level visibility. “Today we have visibility to see orders before they print, allowing us to consolidate orders—reducing freight costs and giving us greater control over inventory,” said Keith Nash, vice president, supply chain logistics, Lennox International.
Manhattan Associates’ TMS, WMS, and LMS solutions are designed to mathematically organize and optimize warehouse and distribution operations and transform logistics into a critical strategic component of supply chains.
Go behind-the-scenes with Lennox International, by watching a video case study on their supply chain redesign.
Lennox International, Inc. (NYSE: LII) is a leading provider of climate control products for residential and commercial heating, ventilation, air conditioning, and refrigeration markets around the world. Founded in 1895 by Dave Lennox and headquartered in Richardson, TX, the company manufacturers much of its residential heating and cooling products in Marshalltown, Iowa.
Manhattan Associates brings companies closer to their customers. We design, build and deliver market-leading Supply Chain Commerce Solutions that drive top line growth by converging front-end sales with back-end supply chain execution and efficiency. Our software, platform technology and unmatched experience help our customers around the world adapt to the challenges of the omnichannel marketplace. For more information, please visit www.manh.com.