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� T�� fig" yy,, ,@, Ram rock ........ H AM ROCK>�B UPPLY CO. SHAMROCK TSUPPLY. CO. SINGLEhi POlt Companies HARDWARE, 1 OF4 � SAI [TY PE MEXICO IENRETEEIA•HERMMIENTAS.SECCi1PAO VENDOR -MANAGED INVENTORY (VMI) PROGRAM CITY OF SANTA ANA CENTRAL STORES Program Overview/Scope of Services The purpose of the VMI program is to establish a mutually -beneficial framework for management of facilities maintenance -related consumable materials and enhancement of inventory management and requisition for the City of Santa Ana Central Stores, enabling sourcing partners to focus upon their respective core competencies and to successfully leverage the power of their joint operations to increase operational efficiency by optimizing consumable material delivery at point -of -use and reducing total cost as it pertains to indirect materials management, To accomplish these goals, Shamrock proposes to provide 'micro logistics' services for the City of Santa Ana on an on -going basis, including vendor -managed inventory for Central Stores and departmental -specific satellite inventory locations, as applicable, comprising approximately 650+ consumable SKU's. Due to storage space considerations, it is anticipated that reduced Central Stores inventories will be maintained on -site with backstock maintained off -site at Shamrock's main Distribution Center (Anaheim, CA) for inventory replenishment. Inventory replenishment services will be provided on -site at a minimum of 1X/week (or as requested by the City of Santa Ana) by program- and account -specific Shamrock personnel, utilizing electronic material tagging (i.e., bar coding) and data capture technologies to facilitate client -defined material usage reporting and inventory management. (It is anticipated that additional inventory management time on -site will be required in the early weeks of program implementation to complete configuration/set-up of inventory locations, including significantly those associated with implementation of the OptiCrib7m frictionless storeroom management pilot and to minimize any material flow impacts.) Inventory accessibility at point -of -use through Shamrock-managed/replenished inventory stores is anticipated to fulfill primary program goals as described above. Material requisition of emergent and/or unplanned materials (including additional quantities of point -of -use materials) can be made to Shamrock via telephone/PAX and/or preferably through a customized on-line web -based product catalogue/MR process with worksite-/requisitioner-specffic delivery, as required. Further process enhancement is anticipated due to reduced requirements for supply chain activities for the City of Santa Ana personnel in the areas of procurement, receiving/put-away, accounting, IS, etc. Program Advantages