Deliver Net Profile

Leading Healthcare Supplies Operation Switches to i-Tr@der for Business Growth and Change.

Speed, cost and accuracy of order processing improved in just two months.

Deliver Net Limited is a six year-old business providing distribution services using on its own fleet of twenty 12.5-ton vehicles. Headquartered in Skipton, North Yorkshire and employing fifty-five staff, Deliver Net operates across mainland UK, generating revenues in excess of £8 million per annum.


“In order to get healthcare.co.uk up and running quickly, we needed to implement a proven and established software application. I was very keen not to get involved with installing and supporting applications running on expensive servers, networks and PCs. We therefore implemented hosted application solutions to support the business.”

Dr Nigel Lockett
Chairman, Deliver Net Ltd


In May 2004, Deliver Net established a new online trading operation - healthcare.co.uk - to supply and deliver healthcare supplies to care homes, private and public sector hospitals and medical centres. The business strategy was to use advanced information systems to efficiently deliver high quality consumable products at the lowest possible cost. This is achieved by utilising the company’s considerable purchasing power coupled with established its distribution services and working with specialist information technology (IT) companies.

Deliver Net is a family owned and run business. Managing Director Tim Lockett has run the distribution company since its inception, with Chairman Dr Nigel Lockett dividing his time between business direction and a post of Senior Academic in e-business at Lancaster University Management School. Dr Lockett’s e-business expertise was vital in the choice of business information systems required by healthcare.co.uk, as well as the current migration to more innovative and flexible systems.

From the outset, it was decided to operate core business processes around customer online ordering and automated support services. Deliver Net staff at Skipton either telephoned customers at set times to collect orders for delivery against pre-set delivery schedules or captured orders transmitted by fax and e-mail. This process enabled stocks of popular healthcare consumables to be purchased in bulk, with all orders quickly satisfied on a scheduled ‘milk-round’ basis.

By early 2005, healthcare.co.uk had become a fast-growing, profitable operation. The product set had developed into a mix of fast-moving and specialist healthcare items, with Deliver Net supplying a significant number of large nursing home groups and independent care homes. Whilst Deliver Net was using a hosted application for most of its business processes the business changed and customers demanded more services including on-line ordering. Furthermore, customer feedback highlighted a growing desire to order on-line from a widening catalogue of ever changing products. These proved technically and commercially difficult to implement. The existing information system created barriers to change and growth.

“At the beginning of last year we had to re-think our whole ICT (information and communication technology) strategy,” continued Nigel Lockett. “More importantly we needed to identify a more flexible solution to support our expanding business operations without imposing barriers to change.” Deliver Net embarked on a major project to improve its ICT services internally and to customers, while preserving the tenants of quality with low price.

As part of this process Dr Lockett’s position at Lancaster University brought him into contact with a variety of ICT technologies and suppliers. Keen to preserve the hosted model, a meeting with the directors of Watford-based IPS led to the adoption of a more modern and flexible system.

The i-Tr@der business system provides a complete operating environment for companies to trade and operate via the Internet. The software programs are permanently hosted on a remote server with all customer data automatically secured and backed-up on
a regular basis.

The fundamental design of i-Tr@der allows its users to simplify the use and investment in ICT, while allowing software functionality to underpin all business processes.

In this respect, i-Tr@der offers a complete trading environment from sales

 

and marketing, through order processing, stock control, order fulfilment, into back-office accounting to customer support.

After extensive testing, Deliver Net embarked on an eighteen-month project to completely replace the ICS system with i-Tr@der. The first phase, comprising the on-line catalogue, order capture, contact manager and e-mail was completed in May 2006. Purpose-built, electronic forms allow customers to directly order any of eight-hundred items for scheduled delivery.

The same electronic forms are used by Skipton staff to capture orders communicated by fax, e-mail or telephone.

“Getting everything right first time improves customer service and loyalty. More importantly it generates market credibility,” stated Nigel Lockett.

 

 “The forms design mirrors familiar paper documents which, coupled with access to the on-line catalogue, offers an intuitive process that is very easy to use.”
Deliver Net will soon be providing on-line payment options using trade and credit cards for new and non-account customers. To attract new customers, the two companies are working together to link the on-line catalogue with popular search engines, such as Google and MSN.

Commenting on the work and success to-date, Nigel Lockett says, “Hosted solutions offer small businesses significant opportunities to improve existing processes and more importantly to innovate.

Our business is becoming the market leader but this can only be achieved with the right information systems and the right IT service provider.

 “With i-Tr@der, duplication and keyboarding errors have been significantly reduced. Performance is greatly improved as we are now processing 6,000 orders per month with fewer staff.”

For orders not captured via e-forms, i-Tr@der Contact Manager schedules outbound telephone calls, linked to the delivery schedule for each customer location. Call lists are assigned to named Skipton staff, updated automatically as and when individual orders are received. E-mails automatically trigger personalised and periodic reminder messages prior to the order cut-off date for that location.

“On-line forms ordering was implemented without training across all 440 care homes operated by Four Seasons Health Care,” commented Chris Ogle, i-Tr@der's Project Manager.

 

Hosted systems are the only real option for us to compete with much larger companies and win.”

Responding, Chris Ogle acknowledged that Internet-based hosting applications still occupy a small market share. “Over the last two years we have seen a marked change in attitude towards hosted solutions due to the widespread availability of broadband services, coupled with the increasing complexity of traditional computing methods. Over time, small businesses will recognise the many benefits of hosted solutions, including low cost of ownership, rapid implementation, automated system management, reliability, flexibility and easy of use. As a result, management can concentrate on running the business without worrying about the cost and capabilities of information technology.”