What if buying steel was as seamless as adding an item to your online shopping cart? While that might not be a reality yet, Steelsource is getting closer than ever. With over 20 years in the steel industry, the company has built a strong presence as a digital-first steel supplier. Now, with Odoo, they are taking efficiency, automation, and business intelligence to new heights.
Steelsource is a premier supplier of steel products, specializing in both raw materials and finished goods. Headquartered in Rye, NY, with key operations in Delray Beach, Florida, the company serves a diverse clientele across the U.S. and Mexico. Steelsource purchases steel in coil form, ranging from thin-gauge material for construction to thick industrial steel for beams and structural applications. They distribute and sell these materials to manufacturers, builders, and various industries.
Beyond distribution, Steelsource has recently expanded into manufacturing, producing metal building components like B deck, and square tubing. This move downstream in the supply chain has solidified their role as an industry leader and set them apart from competitors. According to Cameron Waggoner, Account Manager at Steelsource, this evolution is all about providing comprehensive solutions.
"We’re not just a steel supplier; we’re becoming a digital steel service center. We leverage our strong relationships with U.S. mills and provide our customers with a domestic product at near-import pricing. That’s the value we bring."
The roadblocks before Odoo
Before implementing Odoo, Steelsource faced significant operational challenges, particularly in administrative inefficiencies and tracking inventory. Every sale involved multiple manual steps -credit applications, price negotiations, invoice creation, processor coordination, and trucking logistics- all requiring extensive time and effort.
Another major challenge was inventory management. Given the nature of steel products, tracking weight and measurements accurately is crucial. However, inventory was managed using spreadsheets, which made tracking leftover materials and forecasting needs difficult. The process relied heavily on emails, manual calculations, and frequent audits to verify stock levels. Waggoner describes the situation:
"We had to get a list of an Excel spreadsheet from our partner and take their word for it. We were constantly double-checking our inventory because everything was manually done. That kind of inefficiency was holding us back."
A new era of efficiency
with Odoo
Steelsource knew they needed an ERP system to streamline operations, but finding the right one was critical. They explored options like Zoho, but ultimately, Odoo stood out due to its flexibility, automation capabilities, and cost-effectiveness.
"Zoho was cheaper, but it lacked automation features. Odoo, on the other hand, could do pretty much everything we needed. Plus, Odoo’s sales team was incredibly responsive, no extra fees for follow-ups, and they brought in experts to answer our niche questions. That level of support made the choice easy."
Since implementing Odoo, Steelsource has experienced a transformative shift in how they handle operations. Here’s how the platform is driving efficiency:
Drastic reduction in administrative work: Odoo has automated much of the sales process, significantly cutting down manual tasks like invoice creation and order tracking.
Real-Time inventory management: Instead of relying on spreadsheets, Steelsource now has an integrated system that provides real-time visibility into stock levels, reducing errors and improving accuracy.
Improved connectivity across departments: With Odoo’s CRM and purchasing modules, Steelsource can link purchase orders to sales opportunities, ensuring seamless supply chain management.
Customization without heavy development: The Studio module allows Steelsource to tailor the platform to their needs without excessive coding, making it an accessible tool for non-developers.
The impact has been substantial. Waggoner estimates that the time spent on administrative work has flipped from 80% to 30%, allowing sales teams to focus on what matters: selling.
"We used to spend only 20% of our time selling and 80% on administrative tasks. Now, we expect that to flip completely. If one salesman could generate $3.5 million in revenue while spending most of his time on admin work, imagine what happens when we unlock an additional 20-25 hours per week for selling. That’s the power of Odoo."
What’s next for Steelsource?
With increased operational efficiency, Steelsource, owned by Herb Krackow (photo), is setting its sights on new ventures. One major initiative is expanding into the retail market. The company recently purchased a warehouse in Texas to serve as its first retail storefront, offering steel products directly to consumers.
Additionally, Steelsource is looking to break into the prime steel market, competing at a higher level with large-scale, customized steel orders. This move will position them to work with major supply chains and significantly increase revenue potential.
Steelsource’s journey highlights the power of automation and real-time data in transforming a business. If your company is struggling with inefficiencies, manual processes, or scaling challenges, Odoo might be the solution you need. Ready to take your operations to the next level? Explore how Odoo can help optimize your workflows today.
