Wouldn’t it be nice if you had a crystal ball that could tell you the exact amount of product you need on your floor for the month? It could tell you any glue-mergencies or machine mishaps it foresaw for the month so you could be prepared. Maybe it could even give you a little direction on which lottery numbers to choose. I mean, you’re not asking for much, right? While we can’t help you with winning lotto numbers, Chicago Glue & Machine does have our own crystal ball. Except it’s not a ball and it’s not made of crystal. Instead, it’s called the CGM Consignment Program.
What is the consignment program?
Our customers count on us to keep their adhesive products coming so they can keep production humming. Our goal is to do just that in a way that’s easy for them! So, that’s why we created the CGM Consignment Program.
If a customer expects to use 10 skids worth of product but they want to have 5 in reserve, they will order 15 from CGM to have on their floor. At the end of the month, if only 12 out of the 15 skids are used, that’s all they pay for! The 3 remaining skids can be added to next month’s order and the process starts over again. The best part of this program is that customers only pay for what they use. And what they don’t use, they don’t lose.
Why is the consignment program awesome for CGM customers?
Let’s talk through the obvious awesomeness first. We all wish we had a crystal ball that could tell us exactly the amount of product you need to keep on your floor at all times, but we don’t and glue-mergencies happen! Maybe you get a huge order in and need to double your production (yay!) which means double the product. In those moments, you don’t want to have to pause and wait for adhesive to be delivered (not so yay!). You need it right there on your floor, ready to be tagged in to fulfill orders. On the flip side, maybe there are months when production is humming along just as expected and you don’t need to dip into your emergency reserve but it’s nice to have it there just in case. These are exactly the type of situations that the consignment program was created for.
Now let’s talk dollars. Who doesn’t love to save money? We sure do and we love to help our customers do it too. With our consignment program, you can find cost savings within the freight charges. In those glue-mergency moments when you need additional product, that comes with additional charges. When you’re a part of our consignment program you have the product you need, the product you might need and one single freight charge. Nice, right?
While we’re on the subject, we also need to mention cash flow. Since our program allows you to get the product you need without having to pay until the end of the month, it frees up your organization’s cash flow!
How does the consignment program work?
When you decide to become part of CGM’s consignment program, we’ll send someone out to your facility to talk through your needs. Once we determine the amount of product you need and the amount you would like to have on reserve, we get everything set up in our system for shipment. The product arrives at your facility and your machines give a sigh of relief. Yay!
Once you reach the end of the month, our team will visit again and provide a report to you showing how much you used throughout the month. We use this report to determine what your usage needs look like and to see what you have left on the floor for the following month. After we chat and crunch a few numbers, the process starts all over again. Product arrives at your facility and your machines keep humming along without a worry in the world.
Is CGM consignment right for you?
Need answers? Ditch the crystal ball and let CGM help. Our experts are always here to find the best adhesive solutions for your company. If you want to learn more about the CGM Consignment Program to see if it’s right for your adhesive needs, contact our team and let’s chat.