Have you outgrown your homegrown distribution system?

August 23, 2018

Are spiral notebooks and spreadsheets cluttering your desk? This homegrown methodology may have been adequate a decade ago, but it is no longer efficient enough to manage distributor operations. Why? Today’s distributor faces constant pressures impacting the bottom line:

  • New competition and online sellers offering lower prices
  • Raw material price increases eroding margins
  • Additional requirements and timing constraints to meet customer expectations

To best compete in this arena, today’s distributor must replace their pen and paper with interconnected software applications delivering fast access to accurate data and up to the minute company insights. As expected, profitability is not the result of any single change. Rather, it grows from constantly monitoring numerous aspects of your business and making incremental improvements.

ERP-ONE+ is integral to forging such company-wide change. To help distributors grow their profitability, ERP-ONE+ generates real-time alerts to indicate when a line item or an order is entered at a Gross Margin percentage that is below the acceptable limit. These alerts can be directed to the Sales Manager or Executive so that the order can be caught immediately and modified to an acceptable margin.

Automated Purchasing reduces the cost of ordering items for stock and buy-outs. The Purchase Order Suggested Buy feature in ERP-ONE+ identifies items needing attention and creates the corresponding PO in one click. Further, if there’s not enough suggested to meet vendor minimums, users can quickly pull in items near but not yet at the Order Point. Doing this not only meets the minimum order requirements using items most likely needed in the next week whereby eliminating a purchasing manager’s guesswork.

ERP-ONE+ also cuts down on wasted foot traffic in the warehouse. The Item Hits report displays the frequency with which items appear on Pick Lists. Moving these frequently picked items to bin locations near the shipping area will eliminate steps and save time. Because the Hit frequency changes over time, you can continually monitor which items belong in these prime picking locations. Warehouse efficiency can also be increased using Wave Picking which combines several orders into a single pick.

These represent just a handful of the innovative tools available to distributors through ERP-ONE+. Contact us to set up a personalized demonstration and consider what you can do with your reclaimed desk space.

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Highlighting distributor successes

Customers share their ROI achievements. Click each testimonial to read the full case study.

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Empire Bolt & Screw

“Out of the gate, our first cost savings occurred in accounting. What was previously a full-time job went down to just 2 hours a day. This change alone saved us $40,000 in year-over-year labor costs.”

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Patlin Inc.

“Distribution One has allowed us to deliver 30% more orders without having to increase our labor force.”

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The Nut Place

“ERP-ONE actually helps our business be more productive. We operate more efficiently because our software performs like a world-class product. And that’s not marketing hype. We trust in its reliability. It is one of the best decisions our company made.”

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Colorado Industrial Packaging

“ERP-ONE tracks product costs and sales margins for us… that benefit alone has added 4% to our bottom line after the first year of implementation and has more than paid for the cost of ERP-ONE.”

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A-Jax Fasteners and Tools

“Enhanced productivity, lower operational costs, higher service levels, and stronger customer relationships—it’s all been attained through our ability to provide continuous real-time data generated through the myriad of programs within ERP-ONE.”

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VLC Distribution

“Having spent 30 years on the operations side of distribution using SAP and AS400 software, I have not encountered a better system than ERP-ONE. The efficiencies and expandability has allowed us to improve our sales by $500,000 per employee in a year.”

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On Time Supply

“We had immediate visibility into which sales representatives were performing and which product lines were providing the best return for our business.”

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Cathy’s Concepts

“The ability to manage orders online has created greater efficiency in their business and has delivered more flexibility in modifying and tracking orders. Changes to an order instantly cascade all the way through the terminals and the processing stations cutting production time by at least 15%.”

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“I’m excited about the future. We processed hundreds of orders in the first week and project our webstore will be handling over 10,000 orders per year.”

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