Great plains builder: to keep pace with growing sales, Anderson Erickson restructures its plants and adds 25,000 sq. ft - Anderson Erickson Dairy Co - includes related articles - 1993 Processor of the Year - Cover Story

Dairy Foods, Nov, 1993 by Jack Mans

After shrinkwrapping, the packages enter a spiral freezer where they remain for 2-1/2 to 3 hours at -25 |degrees~ F. Frozen product is hand-palletized and stored in the distribution freezer.

Product locator software loaded onto a personal computer tracks pallets and selects them for shipment on a first-in/first-out basis. The operator inputs the UPC and position of each pallet as it is carried into the freezer. When a shipping order is entered, the software tells the position of each pallet to be removed for that order.

Using a separate software package aimed at the production side of the operation, an operator enters the production schedule for the week. The software lists all of the components including packaging supplies that will be required, including the mixes from the mix plant. This software maintains an inventory of ingredients and packaging supplies and alerts the operator of insufficient supplies.

The new ice cream plant was designed for maximum operating efficiency and this is clearly reflected in the size and skills of the work force.

"We only have seven people in the whole plant, and they are almost totally interchangeable," says Kallenberger. "Each person can do nearly all of the jobs in this plant."

Delivering the Goods

Cooperation and cost control, plus an openness to new methods, are AE's distribution keys

Job-wise, Ron Benefiel believes he has a lot in common with firefighters. "Just when I get one problem taken care of, another one always seems to spark up," says AE's distribution boss.

Benefiel, 33, isn't complaining, though. He claims to love his job, as well as the company he works for. Besides, putting out fires is par for the course when it comes to distribution.

Actually, AE's delivery system runs smoother than most, one reason being the close cooperation between the dairy's sales and distribution staffs. "Around here, they're pretty much lumped into one," Benefiel says. "We work hand-in-hand."

That's important, given the constant challenge of meeting customer "time windows."

"It's tough," says Benefiel. "When we get a new |customer~ that doesn't open until 7:00 a.m., and we're already driving by the store at 2:00 in the morning, what can you do?"

The answer, in many cases, is night delivery, and AE's sales team is often instrumental in working out special arrangements that meet customer needs without compromising distribution efficiency.

GOING THE DISTANCE

Cost control is naturally a big concern given AE's broad distribution territory. Iowa is sparsely populated, and yet the dairy services the entire state. One transport route covers an astonishing 490 miles per day.

The AE fleet--entirely company-owned--consists of 95 straight trucks, 50 tractors and 60 trailers. About $1 million is invested each year in new equipment.

AE's most recent purchase was four 28-ft. "pup" trailers and two tractors for use in a shuttle operation to and from Kansas City. The reconditioned dual-temp pups hit the road in October and mark the dairy's first experience hauling twin trailers. The new method will eliminate unnecessary product handling in K.C., where AE operates a distribution center with cold and frozen storage.