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Positive News:
Metrocall Announces Joint Pager Distribution-Fulfillment Partnership With Motorola
Goals Are to Reduce Pager CAPEX and Other Supply Chain Costs
ALEXANDRIA, Va., May 26 /PRNewswire/ -- Metrocall, Inc., (Nasdaq: MCLL) today announced a strategic long term partnership with Motorola, Inc., to collaborate on a joint distribution fulfillment strategy optimizing total supply chain logistics. The benefits of the new joint relationship are several: (1) to develop an electronic database interchange (EDI) strategy between the two companies, (2) to have Motorola ship directly to Metrocall's numerous strategic retail alliances, (3) to reduce overall costs of handling pager inventory, (4) to reduce cycle time within the supply chain and, (5) to improve levels of service to Metrocall's extensive customer base.
The Metrocall and Motorola Joint Supply Chain Team -- a paging industry "first" -- consists of employees of both firms who have been meeting on a regular basis to improve the distribution fulfillment process to all Metrocall's distribution channels and end-users. The stated "mission" of the team is to "...redefine the supply chain flow in terms of product, information and value providing unprecedented revenue and growth opportunities for Metrocall and Motorola." The team operates by identifying key cross link metrics to measure success in such areas as reducing costs, reducing cycle time and efficient pager CAPEX management. Also, the program will reduce the number of pagers needed in the supply chain by improving the replenishment process and increasing the frequency of inventory turns.
"The bottom-line objective derived by this unique partnership of two leaders within the wireless industry is increased sales, profitability, and customer satisfaction through a more efficient supply chain," said Vincent D. Kelly, Metrocall's chief financial officer.
"A segment of our strategy is for Motorola to ship directly to our many retail and strategic partner alliances," stated Rob Chiatello, Metrocall's vice president for inventory operations. "The pager information will flow through Metrocall via the EDI interface, but not the physical inventory ... it's handled just once by Motorola enroute to the end-user customer. That's efficiency ... that reduces costs."
Metrocall, Inc., "America's Wireless Messaging Network," is headquartered in Alexandria, VA, and is the nation's second-largest paging and wireless messaging company with more than four million subscribers. Metrocall provides wireless products and services on a local, regional and nationwide basis through 200 office and retail store locations in twenty-five states. The Metrocall paging system operates via more than 5,000 transmitters on some eighty frequencies, including three nationwide frequencies which service 1,000 of America's largest markets. Also, Metrocall is the messaging industry's growth leader and its foremost consolidator (most recently acquiring ProNet Communications in December 1997). For more information on Metrocall, please visit Metrocall's Internet Web site at metrocall.com.
SOURCE Metrocall, Inc.
CO: Metrocall, Inc.; Motorola, Inc.
ST: Virginia
IN: TLS
SU:
05/26/98 09:17 EDT prnewswire.com
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