The roots of cosmetics giant E.L.F. go back to the 1980s and a sportswear company called Justin Allen. The firm was growing so fast, it moved from a 25,000 square foot warehouse to one with 100,000 square feet. But its computer system was not up to the task. As a result, Justin Allen experienced severe problems delivering on customer expectations. So when searching for a new system, they took extra care to visit references and actually view the potential solution in real time, using live data.
ComputerCare’s customers were able to demonstrate how the software could support large volumes, and ComputerCare won the Justin Allen business. The ComputerCare team did an extensive study of the new warehouse’s physical layout, and created a bin location system that allowed their allocation process to handle small orders as well as large, without anything falling through the cracks. They also modified the process to produce “waves,” or pullsheets, which not only told the user where to find the goods but also defined what transfers were needed to the forward locations and flow racks.
According to Frank Pisani, CFO and COO, the system was efficient enough for him to run a $40-$50 million dollar business through the warehouse with only 24 people. “Not only did we need fewer people to process orders, our quarterly inventory count was a snap, because ComputerCare’s tracking had been so accurate,” he says.
In 2004, as the sportswear business moved overseas, Pisani launched a cosmetics business. E.L.F. grew quickly, far surpassing Justin Allen in sales, and still relies on ComputerCare for its financial systems, such as accounts receivable, general ledger, inventory drawdowns, and EDI. E.L.F. sells by the carton to trade accounts like Target, and by the piece directly to consumers online. The ComputerCare system is able to support both, integrating seamlessly into the e-commerce platform.