Eliminating 70% of Manual Operations & Scaling Nestles Sales

Founded on August 1st, 2016, Rurutiki is the official e-distributor for Nestle Malaysia and manages their end-to-end eCommerce operations for full-range products. Since inception, the company has been growing rapidly with the eCommerce industry boom in Malaysia.

When Rurutiki encountered distribution challenges across eCommerce channels, they decided to implement a suitable technology platform to streamline their back-end operations and achieve growth for Nestle. Having a wide product portfolio, this company had an added responsibility of maintaining a uniform customer experience across all their eCommerce channels.

Challenges and Requirements

1. Lack of Automation in Warehouse Management

Due to the absence of an automated system, Rurutiki’s warehouse team had to manually update orders, product listings, and inventories across marketplaces such as Lazada, 11Street, Shopee, Qoo10.MY, Lelong.my, Astro Goshop, and PGMall. This led to issues like overselling, underselling, and sale losses with the lack of real-time visibility and control.

2. Inefficient Order Processing

The company’s order picking process was also not optimized up to the mark. To elaborate, the picking process alone required 2 admin staff, as they had to print picking lists and shipping labels from individual marketplaces and then sort and match them accordingly. Moreover, the pickers had to wait 2-3 hours just for the documents before they could start their work leading to unnecessary wastage of manpower and time.

3. Unnecessary Overhead Costs

The company had to employ an additional workforce to manage simple tasks like data updates, manual order management and hence, had to bear overhead costs.

4. Expansion Issues

With manual management taking all the focus away, Rurutiki was unable to expand itself on newer marketplaces or other digital channels. The company wanted to integrate with new marketplaces such as Jiffy4u and 3PL last-mile carriers like ABX carrier to ease fulfilment and deliveries.

The Outcome

Owing to Anchanto’s strong know-how, powerful ecosystem integrations, and expertise in the APAC region, Rurutiki decided to implement Anchanto OMS and Anchanto WMS platforms.

Not long after the systems were implemented, Rurutiki experienced massive transformation in their eCommerce business:

a. Enhanced Visibility

The company acquired complete visibility for its eCommerce operations across all regions. It started managing a centralized inventory that was updated in real-time, leading to resolved inventory issues such as overselling and underselling, and increased sales opportunities.

The Nestle team also got a holistic view of their operations on a single dashboard. Eventually, Nestle expanded across marketplaces such as Lazada, 11Street, Shopee, Qoo10.MY, Lelong.my, Astro GoShop, and PGMall amongst others.

b. Optimized Order Processing

The platform helped them set an efficient order processing flow for all their orders received through multiple channels. Rurutiki’s team was able to print shipping labels directly at the time of packing itself. With the newly optimized speed, the team did not just reduce unnecessary costs and overall turnaround time, but it was also able to achieve revenue growth.

c. Enhanced Operational Efficiency

The company was able to optimize 70% of their manual processes such as product listing and content management across all online channels separately, leading to increased productivity and efficiency.

Conclusion

Transitioning from manual processes to automation with a modern multichannel eCommerce management platform allowed Rurutiki to optimize their distribution operations, avoid underselling/overselling, reduce overhead costs, and start focusing on expansion to newer channels and partnerships.