Technology to improve distribution efficiency is the answer
In today’s market, distributors are finding themselves increasingly squeezed from both ends. Retailers are looking to get more for less and manufacturers are having to manage fluctuating raw material costs. The end result is heightened pressure on the distributor’s profits.
Further to this, the increased “direct to consumer” approach from both retailers and manufacturers means the distributor is being totally bypassed more and more.
Every business in today’s landscape needs to be multi-language and multi-currency. When you add constantly evolving market expectations and the pressure of statutory requirements, distributors are facing a perfect storm of unprecedented challenges.
In order to survive, let alone thrive, strategic planning to tackle these challenges is key. The world is changing rapidly, and every organisation needs to be able to move quickly or risk being left behind.
So the question is, how can you get ahead of the competition and stay there?
Invest in technology
Without information how can you adapt? Technology opens the door to opportunities. An integrated business solution gives you the ability to communicate with all parts of your business, both internally and externally.
Integrate your systems
Gone are the days of separate systems for different departments. Sales, customer service, purchase, inventory & warehouse should all be one single system – get one version of the truth.
Evaluate your operational processes
From customer right through the supply chain. To get ahead of the game wholesalers and distributors need to get every possible efficiency. Disjointed processes & disparate systems will only lead to you getting left behind.
Make digital transformation your mission statement.
With technology comes better engagements. Whether that’s from a better understanding of what your customers want or simply ensuring you have what they want when they want it, technology is the answer. A half hearted approach won’t yield significant results.
In summary: Processes, relationships and data
In order to compete effectively and try to get ahead of the competition, you need to use technology to improve distribution efficiency wherever possible. By improving business processes, you can better satisfy your customers’ needs and build tighter links with your suppliers, allowing you to extend your business processes outside of your organisation.
Tighter relationships are good for business. A greater understanding of your customers and suppliers provides the opportunity to measure, analyse and act on data. Which customers and suppliers are the most profitable? What are your customers ordering, and when are they ordering? What else do you want to know that can improve your efficiency and profitability?
But it’s not just the good stuff you want to know. All information is valuable. Do you know which suppliers always deliver late, or which supplier has the highest QA failure rate? Again, this sort of information allows you to make informed decisions and see trends that may have previously been unknown.
Technology is the answer to many of your business challenges.
Selecting a business application that provides the data analysis you need will allow you to make strategic decisions quickly and take decisive action that can make a difference to your business.
Make sure your choose technology to improve distribution efficiency if you want to move your business forward – ERP for distributors