How ER2 Achieved Accuracy, Speed and Multi Warehouse Efficiency

ER2 began in 2012 supporting clients with IT asset disposition, secure data destruction and responsible handling of retired IT hardware. The company collects large volumes of enterprise equipment, refurbishes it, and then sells through ecommerce marketplaces, B2B channels and client fulfillment services.

Company Profile

• Company Name: ER2
• Descartes Solution: Descartes Sellercloud™

About the Client

ER2 handles enterprise IT hardware, including laptops, desktops, monitors and networking equipment, collected from Fortune 100 companies. ER2 refurbishes, redeploys, resells and donates equipment and also provides warehousing and 3PL fulfillment services.

Website: https://er2.com/

Quick Overview

Challenge: Scaling Operations Without the Systems to Support It

As ER2 expanded into eight warehouses and multiple service lines, its previous tech stack made operations increasingly difficult. Managing listings, inventory and shipping across three separate systems created delays, manual work and limited visibility.

• Inventory accuracy was another challenge. With thousands of refurbished items moving through the operation each day, ER2 needed reliable bin-level tracking. “Bin controlled inventory locations is probably the most important thing a company can move to.”
• The picking processes were also time consuming, as staff often revisited the same locations. Routing and shipping lacked structure as well. Orders were not always fulfilled from the most efficient warehouse, which increased costs and slowed delivery times.
• Finally, ER2 needed a partner who aligned with its continuous improvement mindset. “It’s important for us as a company with a core value of continuous improvement to find partners who are like minded.”

Solution: Unifying Operations With a Single Scalable Platform

ER2 resolved its operational challenges by consolidating systems with Descartes Sellercloud. All warehouse, inventory and ecommerce workflows now run through a single platform. As Ben explained, “When we went and found Sellercloud, they said, we have a solution that has everything in one package.”

With Descartes Sellercloud, ER2 manages its multichannel listings, SKU data and warehouse operations in one place. This unified environment eliminated the inefficiencies caused by switching between different systems.

• The combined tools also strengthened their warehouse accuracy. Bin controlled inventory and enforced barcode validation now ensure that items are picked and shipped correctly. “By validating that throughout your picking process and shipping, you know that you’re not going to cross ship something. The system will stop you from cross shipping something if you scan the wrong barcode,” said Ben.
• ER2 also benefited from improved picking workflows. Guided scanning and structured bin management allowed teams to move quickly through the warehouse. Ben highlighted the impact of this improvement: “It makes order picking extremely efficient. We easily had a 75 percent time savings in order picking by moving to this process.”

Results:

• With Descartes Sellercloud, ER2 had zero cross-shipments in eight months, compared to one or two per month before.
• Lower Shipping Costs: By placing key SKUs in Memphis, where 40 percent of shipments were headed, ER2 reduced shipping costs on about 40 percent of orders.