Distribution

Epicor ERP Distribution Software

The Distribution Industry represents a diverse and ever growing sector of today’s economy. Goods and services often pass to consumers through multiple channels. While increasing the number of ways in which a consumer can find a good has the potential to increase sales, it also can create a complex system that will make product distribution management difficult with less profit.

The breakdown of businesses that make-up the Distribution Industry vary from small to large, local to global and the wide variety of different products that are being distributed. Below are some of the more dominant product distribution networks found in the Distribution Industry today!

  • Food/Grocery
  • Pharmaceutical
  • Finished Goods – Consumer
  • Paper/Packaging
  • Wholesale
  • Electrical
  • Automotive
  • Lumber and Building Materials
  • Industrial
  • Power
  • Chemical

 

Each of the product distribution networks above have their own unique requirements to effectively function, but in general the Distribution Industry has four (4) primary challenges that a quality Epicor ERP distribution software system & implementation can help eliminate:

Challenge #1 – Gain a Clear Picture of Demand

Distributors need to ensure that all their business resources and operations are optimally aligned with demand for their product. The single most important initiative for distributors is to provide organizations-wide access to information that let managers and supply chain partners make fast, strategic decisions. Distributors need the agility to scale their operations to match demand and that only happens with timely and accurate information.

Challenge #2 – Achieve Visibility to Control Inventory and Costs

Distributors need access to real time inventory data to drive proactive, responsive sales operations, make good purchasing decisions, and minimize inventory costs. Distribution companies need the ability to identify redundant and slow moving inventory. Two key metrics of this are knowing: Cash Cycling/Flow and how often your company’s Inventory Turns.

Challenge #3 – Improve Execution and Coordination with Suppliers and Customers

Speed and/or business velocity determines success in the distribution industry. Poorly integrated business systems, reliance on manual processes, or re-keying data already available in one system but not accessible to others will always create operational inefficiencies. Business systems that help distribution companies coordinate customer demand to trading partner’s supply gain a dramatic cost advantage and help ensure the two key metrics (Cash Cycling & Inventory Turns) noted above are diligently maintained.

Challenge #4 – Position for Growth with Improved Customer Service

Adding and retaining customers in the Distribution Industry is the name of the game and that can only be achieved by providing exceptional Customer Service. Exceptional Customer Service can only be achieved if your company can provide accurate, cost effective and timely information (i.e. product lead-time). Getting customer service right is a “must” for sustained business growth!

EstesGroup Consultants know the Distribution Industry and can help your company fully automate your operation with Epicor ERP distribution software so that you have the information needed to effectively grow your business. Give us a call we can help!