American Tire Distributors is one of the nation’s largest independent suppliers of tires and wheels. It operates more than 95 distribution centers servicing 45 states. In addition, the company distributes tires to auto dealerships and large retailers. It has approximately 90,000 active customers in total.
To support its growing and expanding business, American Tire Distributors deployed Oracle E-Business Suite in 2005 to improve financials, procurement, and supply chain processes. Most recently, to overcome barriers to efficiency and accuracy posed by its manual, paper-based warehouse management system, American Tire Distributor implemented Oracle Warehouse Management. With Oracle, the company has modernized its warehouse management operations and reduced paper use. It has deployed the Oracle application and rolled out handheld RFID scanners in about one-third of its distribution centers and warehouses, with plans to complete the full rollout in the next two years. The new system has helped the company grow its market share and increase annual sales to more than US$2 billion.
American Tire Distributors knew that inventory and delivery are two qualities that set the company apart in the industry. As such, Oracle’s robust warehouse management module helped to drive the company’s selection of Oracle E-Business Suite. The tight integration of Oracle Warehouse Management with other Oracle E-Business Suite applications was also attractive as it eliminated the need to build and maintain custom integrations.
“For us, Oracle Warehouse Management was the crown jewel of our Oracle implementation, and it has been an invaluable addition," said Tony Vaden, vice president and chief information officer, American Tire Distributors
After acquiring several Oracle E-Business Suite licenses through the acquisition of Winston Tire, American Tire Distributors decided to implement the solution companywide. It completed a phased rollout in 2003. Then, in 2010, the company went live on Oracle Warehouse Management. It has rolled out the system to 32 distribution center locations with a total target of 98 in the next two years.