G4S Technology, the security company, has awarded a £1.5m contract to Gateway Electronic Components to implement and provide a fully vendor managed inventory programme.
Under the three year deal, Gateway will provide a complete VMI system to G4S Technology at its UK operation in Tewkesbury, which manufactures access control and integrated security equipment, across a global customer base.
Gateway will initially manage more than 500 lines, increasing to over 1000 over the next 12 months, and will provide a supply logistics programme which includes a ship-to-stock vendor managed Kanban supply solution, dedicated storage, bespoke handling and labelling, contract and buffer management, direct-to-line shipment with electronic self-billing.
The company will also implement a vendor reduction programme and is developing and managing suppliers from outside of the electronic components arena on behalf of G4S Technology.
David Hall, global procurement manager at G4S Technology, said: “We needed a trusted partner to help move our business to the next level of improving our supply chain & Gateway was our first choice to handle such a complex logistics programme. We are delighted that this solution is already bringing benefits to our business as we ‘roll out’ the programme over the next 6 to 12 months to further minimise our inventory management costs & further boost our product availability for G4S customers.