AutoPower Corporation

Third Try at Computerization Puts Truck and Tractor Parts, Inc. into High Gear

`After the third try, we finally got a computer system we are happy with,` exclaimed Don Dickerhoff, General Manager of Truck and Tractor Parts, Inc. (TTP). He was referencing the recent installation of a computer solution from AutoPower. The AutoPower business system solution, supplied by AutoPower Corporation of Lake Mary, FL, was the culmination of a nearly ten year search for a computer system that was user friendly and able to meet the stringent and unique demands of the business which sells remanufactured diesel engines and other parts for the heavy duty truck and agriculture markets. `Our problem was that the available computer software was written for the automotive market, not the heavy duty truck market,` explains Doug Dickerhoff, Assistant Manager. Don founded the Warsaw, Indiana based business in 1981. Today, TTP carries over 35 different diesel engine models and 70 different product lines, each of which has three suppliers. The company sells an array of heavy duty truck subassemblies and transmissions and is the largest distributor of Dana Perfect Circle overhaul kits. Though TTP`s $6 million in annual sales are primarily derived from regions east of the Rockies, the firm markets throughout the U.S. Sales are primarily accomplished by a direct sales staff of ten individuals who conduct business over the telephone. Prior to initial attempts at computerization, the company did everything, including purchasing and inventory, manually. `Our inventory just grew too large,` admits Don. `And in 1982 long hours into the night forced us to consider computerization.

The First System

In 1982 TTP purchased its first system from Triad Systems, Inc. of Sunnyvale, CA. `Triad was geared toward the automotive industry,` notes Don, adding, `At the time the heavy duty parts industry was rather new. Only truck dealerships dealt in parts.`While far from fulfilling the company`s computerization `wish list,` the Triad solution did streamline certain business procedures. `For the first time we were able to access internal information,` say Don, noting that computerization also significantly simplified purchasing and end of the month billing procedures.

The Second System

However, by 1986 TTP had outgrown the Triad system. `Updating Triad would have cost as much as a new system. We were clearly at a crossroads,` Don says, indicating that a search of available software from Karmak, Inc. of Carlinville, IL. The Karmak software offered several new features including the ability to add more terminals and the capacity to handle the larger dollar amounts encountered in the heavy-duty truck market. `Truck parts are more costly. Because automotive parts are cheaper, the Triad software failed to provide for the larger figures,` he explains. However, shortly after installation the company realized that the Karmak solution was far from ideal. Finally, in 1991, when growth again dictated a new solution, the company opted to seek an alternative. Again, a factor was the high cost of upgrading the incumbent Karmak solution.

The AutoPower Solution

As luck would have it, the ideal solution `just walked in the door.` According to Don, AutoPower representatives appeared one day and spent the better part of it observing the company`s storefront operation. `They convinced us that we should look at their offering, and after a brief conversation, we knew their software required a second look, ` he recalls. Doug admits that in its frustration, the company had even considered going back to Triad, the software having gone through several upgrades in the intervening years. The brothers also considered Datatron and AutoPro. And, reluctantly, they even gave consideration to a new Karmak system though the cost of the upgrade would have been the same as a new system. `It`s not fun changing computers. Habits are hard to break,` Don observes, emphasizing that of all the computer solutions considered, only AutoPower was memorable. `AutoPower tailored their software to meet our needs,` he says, alluding also to the user friendliness of the new system. `We are experts in truck parts, not computer systems, `he explains, describing the many benefits the company has been reaping since the AutoPower solution was installed. `It has made all our employees much more efficient in their duties. It has given us a load of new information we can easily access.` He references what he terms the system`s `3dimensional data base` and the myriad of information it provides. `We now have a customer history file that tells us what the customer bought for what amount on what date. In fact, we can easily call up purchasing and sales history in any format we want. Whether in order entry, purchasing or prospect mailing, the data is there at our fingertips. The database is being built as we do business, and we can retrieve it in any mode we happen to be in. We also have the ability to easily and quickly generate any reports we need.` While the AutoPower solution has enhanced all aspects of the firm`s operations, Doug singles out several areas.

Prospect Mailings

Prospect mailing have been speeded and streamlined. By providing a complete customer profile, the company is able to pinpoint specific customers to target with specific mailings. Since the Karmak system did not include a customer prospect module, data had to be downloaded daily to an Apple Macintosh, which, in turn, was used to generate prospect mailings. `With AutoPower a great deal of time is saved since customer prospect information in captured at the order entry level.` Don observes, adding that with Karmak, the company was also forced to maintain some inventory lists on the Macintosh.

Customer Service

According to Doug, the AutoPower solution has greatly enhanced customer service. TTP ships much of its product line via UPS, and the AutoPower UPS module has allowed it to speed and trace customer shipments. `AutoPower does everything but pack the product,` jokes Doug, explaining, `AutoPower automatically prints standard as well as C.O.D. labels, and with its database of zip codes, the system is able to complete an address with just the zip entered.`

Warranty Control

The AutoPower system has significantly simplified warranty control. `We keep track of warranties for each of 5 basis product groups, `Don explains. `We are now able to determine if a failure is due to the manufacturing process or simply a faulty part. We are able to improve quality control and recoup certain costs as well.`

Purchasing/Inventory Control

While the new computer has brought new efficiency to TTP`s entire purchasing system, Doug says the added bonus is the savings afforded by more accurate inventory control. `We now have the ability to order specific items, rather than a whole line. We know what parts are expected and when and what funds must be allocated to pay the order. We also get a daily inventory report, so we know when a part is low and needs reordering. `Adds Don, `The AutoPower system has made inventory more realistic by bringing it in line with our past sales performance. That`s the key to all purchasing methods. If you`re not selling it, it shouldn`t be in stock.`

Service Support

An added bonus of the AutoPower solution has been a 90% reduction in software and hardware service support payments. Explains Don, `When AutoPower installed our system, they applied extra boards, terminals and a printer. If the system happens to go down, we just get on the phone, and AutoPower guides us in pinpointing and fixing the problem. `Simply by returning the defective terminal or board, the company stays well ahead of any major problem. `AutoPower even supplied us with a battery pack in case of a power failure. The only thing that will take us down is if a tornado completely wipes out the building,` Don says.

System Upgrades

AutoPower is continually customizing the software, and the changes are simply transmitted and implemented via a phone call. Don recalls, `The expense of making changes was a major concern to us.` With AutoPower`s guidance, we make the changes ourselves, and it doesn`t cost us a dime. We are continuing to change our screens to the most utilitarian formats.`
AutoPower, A Group of Professionals
Both Don and Doug lauds the professionalism of the AutoPower personnel. `The persons we have dealt with have been very helpful. They know our industry, and, in fact, have changed many of our ideas. They are very knowledgeable. `Don leaves no doubt that the AutoPower solution has vindicated his firm`s early attempts at computerization, `We would highly recommend the AutoPower solution to anybody. It is the system for today and tomorrow, as well,` he emphasizes.