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MX Foods Case Study - (297KB)
 



  Customer Profile  

MX Foods (formerly Mexifoods) was established in 1987 as a Mexican and American food importer and distributor. The company’s burning ambition was to be the best supplier of Mexican and American food within the UK. Expanding demand led to the introduction of their three major brands, Casa Serrano, Pioneer Canyon and Creole Queen.

MX Foods import the finest fresh and frozen foods from around the world. Using their comprehensive distribution system, they deliver goods to order throughout the UK. The company operates a fleet of 7.5 tonne and 17 tonne, single and dual temperature refrigerated vehicles to ensure the product reaches the customer in the best condition.

 

 

  Key Achievements  
Landed Costs handling results in easy to see Profit Margins.
Implementation of Automated Load Planning and comprehensive document printing.
Increased efficiency in Warehouse Stock and Location Control.
 

 

 

 

 

  MX Foods

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MX Foods

 

“ Importing and Distributing Speciality Foods ”

As a specialist food distributor, MX Foods (formerly Mexifoods) deal with three main classes of food products. Those lines are Ambient Products (i.e. those kept at room temperature) such as tinned and dry goods, Frozen Goods, and Chilled Goods which have a short shelf life. Their customers are end trade users such as restaurants and other food outlets. They import ingredients from South America and other parts of the world, and these items are then distributed throughout the UK.

MX Foods had been using a Unix-based dumb terminal system which was beginning to impact negatively on their expanding business activities. They began the search for a comprehensive business software system which would provide a range of improved features. Recognising the power and flexibility of de Facto S5's integrated Financials and Logistics, they chose S5 for a number of key benefits that it would bring to their business.

MX Foods Case Study

 Landed Costs handling results in easy to see Profit Margins

For any business importing goods from abroad, and especially for one which imports a large number of relatively low cost items, Landed Costs will be a significant factor in their business costs. As MX Foods import such things as spices and other speciality ingredients from South America and elsewhere, they needed a system with fully featured Landed Costs handling to replace their old manual processes. S5 enables MX Foods to track an unlimited number of cost elements, above and beyond the key elements of actual cost of the goods, transportation and insurance, and taxes and government fees on the goods. The way that S5 tracks and handles all these associated costs makes it easy for MX Foods to accurately value stock, and therefore clearly see their profit margins. S5 also gives them the flexibility of deciding exactly where to reflect these costs in their financial reporting.

 Automated Load Planning Facilities and Comprehensive Documents

MX Foods have a series of delivery routes which operate on specific days and times. Each of their fleet of vehicles services a designated part of the country. When orders are phoned in, S5 tells the operator at a glance the next available delivery date. The system also automatically pulls together orders for that particular route. S5 then produces both the Loading Lists and the Drop Lists, and can easily produce any required documentation for both the driver and the recipient of the delivery.  
MX Foods Distribution

 Real-Time Accounting System for Accurate Information

Unlike their previous system, MX Foods required a real-time accounting system at the heart of their business. Within de Facto S5, and unlike many current prominent financials systems, if one piece of information is updated in the system, then all consequences of that update are instantly reflected throughout the system at the time of the change itself. This means that information is always timely and in synch, and the need for batch update operations becomes a thing of the past.

  Efficient Warehouse Location and Stock Control

Within their own warehouse, MX Foods make use of S5's powerful Location Control facilities to manage their stock. Codes can be assigned to each pallet which can then be precisely located when stock needs to be picked. Picking documents can be produced in a variety of formats/sequences, and can easily be sorted by warehouse location for greater picking efficiency.

MX Foods also use a third-party bulk storage warehouse. The new system enables them to accurately monitor the stock levels there, and to efficiently transfer required stock to their own warehouse.

 
Chillies imported from Mexico

 Improved Business Processes

It's common for the process of implementing de Facto S5 to deliver improvements in business processes. In MX Foods case, one example in their warehouses was a devolution of control towards the people on the ground. Each night at the end of business, restaurants (MX Foods' primary customers) fax through their orders. First thing the next morning, the warehouse operatives are able to load these new orders into the system, and the orders are consequently out the door that same morning. The process is not only faster with S5, but has also enabled those directly involved to take over the running of the process itself.


For MX Foods, de Facto S5 has proved itself the ideal business system to manage their import and distribution activities. With clear gains in accuracy of information, and efficiency of operation, MX Foods are now looking at a range of further S5 facilities, including CRM, to implement in the near future.


Customer Profile

MX Foods was established in 1987 as a Mexican and American food importer and distributor. The company’s burning ambition was to be the best supplier of Mexican and American food within the UK. Expanding demand led to the introduction of the three major brands, Casa Serrano, Pioneer Canyon and Creole Queen.

MX Foods import the finest fresh and frozen foods from around the world. Using their comprehensive distribution system, they deliver goods to order throughout the UK. The company operates a fleet of 7.5 tonne and 17 tonne, single and dual temperature refrigerated vehicles to ensure the product reaches the customer in the best condition.

Key Achievements

Landed Costs handling results in easy to see Profit Margins.
Automated Load Planning and comprehensive document printing implemented.
Increased efficiency in Warehouse Stock and Location Control.

 

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