Make Your Distribution Processes More Competitive with ERP
Think of the one thing that is holding your distribution process back from becoming a dominating force in your market segment. Is it product quality, as you are unable to effectively trace component origins? Is your order fulfillment lagging due to logistical nightmares in trying to get products to certain destinations on time? Could you be having problems with predicting customer demand, as you are either dealing with immense backlogs or you may have products sitting on shelves with low inventory turnover ratios?
ERP Offering Transparency and Versatility
Upgrading from older legacy systems to enterprise resource planning (ERP) solutions provides companies with cost-effective and efficient solutions to their distribution processes. Companies who have made the switch to ERP software were able to see incredible gains, allowing them to propel their operations forward at a greater pace and distance themselves from their competitors who were still using outdated systems.
Many business owners had select reasons on why they upgraded to ERP. An average of 40 percent or users switched to this software solution for better regulatory compliance monitoring. By having increased monitoring capabilities, they could adhere to regulations when distributing products to end users in different regions as they could avoid fines, penalties and delayed shipments.
Another great advantage of ERP in the distribution process is the increased transparency regarding the products movement through the entire supply chain. Business owners were 10 percent more likely to use this product to gather real-time data and look for inefficiencies that could be addressed immediately.
Two other areas of the distribution process that ERP has proven to provide benefits include order management and demand forecasting. About 30 percent of companies implemented ERP solutions for more modern order fulfillment capabilities, as they could increase item production, reduce waste and save more in their budgets by eliminating redundant processes. In addition, about 20 percent of companies were more likely to use ERP to better predict customer demand to help with their inventory management.
To learn more, about the value of a modern, integrated ERP solution for distribution, download our “Better Data, Better Distribution” eBook.