P&B Labs: A medical cannabis-based processing company. It processes cannabis into different oil-based products. P&B Labs implemented MRPeasy for its manufacturing management, procurement, stock and logistics operations.
Papa & Barkley implemented MRPeasy for P&B Labs. The California-based company markets and sells THC and CBD licensed medical products. Under P&B Labs is the Papa Select lines – fresh frozen and connoisseur products that are smokables.
Before MRPeasy, P&B researched solutions and brought in a new CRM system that also worked as an ERP system, or so they said. It didn’t work from the beginning. Took too much customization, all of which P&B would have had to pay for. Prior to the CRM system, P&B used fancy spreadsheets, and paper batch tickets.
P&B started the search again – looked at 23 different solutions – and chose MRPeasy because it had more of what P&B needed than anyone else. Tested MRPeasy in July, and implemented it in August 2018.
- Ability to modify records
- The simplicity of design; runs the entire supply chain on 4 commands. “All I need to do is teach staff four different order/command sets.”
- Manages stock numbers/order depletions, and allows for manual changes in the case of human error (people input wrong information)
- It’s the first time all of our staff start utilizing the system. We knew there would be a lot of mistakes. It allows us to go back through the records and fix problems when we find them. Example: Fixing booking errors; if someone hasn’t move stock to the right site.
- August 2018: 30 people on MRPeasy, running production. Now 90 people on the system, including procurement and logistics. Just under half of 200 employees in the company.
- Production at P&B includes converting raw materials to finished goods bulk, which is the product that gets put into the vessels.
- The system is also used for cannabis and non-cannabis procurement. This includes office supplies, oils, carrier oils, coconut oil, essential oils and rubber gloves. It’s all purchased through MRPeasy.
- P&B has 3 production sites. Northern California, and a manufacturing and southern California distribution site.
- Logistics: MRPeasy part of the solution here. Includes distribution, fulfilment, and transit and shipping center. MRPeasy is valuable because P&B has a compliance phase within the manufacturing process that other companies/industries don’t have. Halfway through the process, samples need to be sent to the state for testing. Production ships batches to southern California for distribution to stores (sells to dispensaries)
- P&B now has recall protection. Ability to pinpoint where the product was shipped. If you can’t locate a bad batch, you need to recall everything.
- Stock accuracy – MRPeasy helps monitor stock accuracy … P&B tracks the overall percentage of reported vs. actual. With the last system, P&B was able to achieve 60-70% stock accuracy; MRPeasy raised accuracy 2 percent right away and continued to improve accuracy. Now it’s 99%.
- Stock inaccuracy was creating personnel issues. With more accuracy, staff now working better between departments. No longer are there interdepartmental issues. People were blaming each other instead of the system.
- P&B growing fast: 30 employees 2018; 4 in 2017; now 200.
- Issues were lengthening the manufacturing cycle. “Adding nickels and dimes to an already really long supply chain.” We already have a two-month long process. 4 weeks of work. 8 weeks of testing. P&B can’t afford to spend all those extra days. Batches were stalled because of errors in the records.
- Now stock moves faster. Cutting production cycle from 3 months to 2 months. Lot numbers need to match, and that happens less often. When it did happen, the dispensary/retailer had to reject the shipment. We had to discount prices then; and drove up driver overtime.
- MRPeasy has a diminishing user fee. We pay about $2,000/month; another bigger system might be $30,000/month.