VL OMNI Resources Bestar Inc. A VL Case Study

BESTAR INC. A VL CASE STUDY THE BUSINESS SITUATION As Canada’s leading manufactur- er of ready to assemble furniture, Be- star had acquired an impressive client list that included Costco, Staples, Of- fice Max and WalMart - all EDI capable and all making the same demands of Be- star. In response, Bestar decided to im- plement a system that would meet the EDI demands of its retail clients and, in the process, move goods to the final des- tination-the consumers’ hands-faster. BESTAR INC. In 2004, Bestar Inc. of Lac Megantic, Que- bec realized that to remain a highly competi- tive supplier in the retail industry, they would need to highly automate their operations and adopt more sophisticated electronic data inter- change (EDI) capabilities. Their existing EDI sys- tem was showing its age and lack of flexibility. Founded in 1948, Bestar Inc. underwent major corporate restructuring in 2004 after a post- The result was expected to follow the design intent of Quick Response pro- grams: the sale of a consumer product gen- erates an immediate reorder and the sub- sequent actions to fill that reorder. Stock turnover is increased, inventory is re- duced, administrative labor is reduced, but the number of transactions are increased. The major challenge facing Bestar was how to implement an automated process that could comply with various national retailers’ EDI implementation guidelines, but still maintain the same controls inherent within their account- 2000 downturn. A new management team and a new manufacturing application meant Bestar was now poised to expand market share and grow. ing system (Visual Manufacturing). Be- star did not want to blindly accept a solu- tion from any particular retailer; they needed a solution customized to their internal needs that would be flexible in growth, the number of EDI documents being exchanged, the number of online trading partners, and the opportunity for continued integration with their exist- ing accounting and operational systems.