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Why Distributors Need an ERP System

To best manage the complexities of the distribution industry, you need the right tools. Without the right tools, you can’t compete in the fast-paced modern marketplace. To meet the growing demands of the industry, distributors have turned to enterprise resource planning (ERP) systems to help simplify production, quality control, and supply chain management, while centralizing data from across the organization.

Whether you have never used an ERP system in the past or you’re interested in a niche software tailored toward the distribution industry, there are several key reasons why distributors use an ERP system to gain a competitive edge. Modern ERP systems allow distributors to:

  • Make crucial decisions in real time.
  • Centralize information and data storage.
  • Report accurately, with up-to-date data.
  • Improve visibility of all business aspects throughout their organization.

Interested in finding out how the right ERP distribution system can help your business stay competitive in an evolving market? Let’s take a closer look at the benefits of introducing an ERP system to your distribution business.

Top 5 Benefits of ERP Software for Distributors

Improved Visibility

For many distributors, organizational visibility can be a real pain point. You may find yourself frustrated because the data you have access to does not match what other departments are reporting. This can be a major problem because without accurate data you can’t make accurate decisions about distribution management.

An ERP distribution software lets you oversee every step of the distribution process. It provides a single source of information that you can trust to make critical choices that impact your business. This complete view of your organization allows you to make real-time decisions that will improve your operation – stopping potential problems before they can cause damage.

An ERP solution also provides improved visibility for your customers. Through fulfillment notifications and delivery updates, you can communicate and engage your clients in real-time.

Improved Customer Experience

On top of improved customer visibility, ERP for distributors has tools to meet customer’s evolving expectations. Successful distributors understand the importance of the customer experience and are challenged with meeting their ever-growing demands. The right ERP solution can improve the customer experience by:

  • Better filling orders.
  • Better visibility into available inventory cost and quantities.
  • Improved scheduling and tracking.

The improved tracking and visibility that an ERP solution provides distributors with allows for lower operating costs and clear, productive communication with customers – minimizing misunderstandings and delays.                  

Reduce Cost with Price Awareness

One of the major benefits of ERP systems is how easily they can be integrated into the rest of your business functions. From warehouse and inventory management to accounting and purchasing, you have real-time visibility into your sales and revenue data – providing a deeper understanding of price awareness so you can allocate resources properly.

Without a clear understanding of the current pricing, it’s almost impossible to forecast demand or stay ahead of it. With the right ERP system, you will have the data you need to accurately plan for the future – recognizing cost variances and pricing patterns that could impact your business.

Streamline Warehouse and Inventory Management Workflows

Inventory Management is a vital ERP feature – providing your industrial distribution business with complete visibility company-wide into your stock, enabling you to see open orders, available product(s) at branches, pending purchase orders, item transaction history, quantity in external fabrication, and additional inventory metrics.

The warehouse management feature found in most ERP solutions allows you to make on-demand inventory movements, revolutionize how orders are picked in your warehouse, and route received inventory to the intended destination bin.

Successful ERP distribution solutions offer both features to streamline your workflows – giving you the ability to reduce excess inventory, deliver quality customer service, and improve traceability.

Distribution ERP Software Scalability

Your ERP system needs to be able to grow as you do. When selecting an ERP solution, consider how they can meet your needs for years to come. If you plan to continue to grow and expand your business, you need technology that will help you get there.

The right ERP distribution software will grow alongside your business – giving you the flexibility you need to expand or pull back based on your needs. Businesses can determine the ROI of implementing an ERP system by evaluating the potential cost savings from not having to change systems as the company grows.

ERP Software for Distributors

Business is always changing. You need an ERP that can adapt, scale, and keep your operations running. Whether you’re just starting to research how an ERP can improve your business, or you’re looking to replace an outdated system – it’s clear that a niche software tailored to the distribution industry is the right choice for your business.

A niche ERP will not only streamline your business and improve processes but will also grow alongside your business – setting you up for continued success.

TrulinX continues to raise the bar as an innovative solution in the modern workplace. Through our software, we aim to provide solutions that give build-to-order manufacturers, fabricators, and distributors a competitive advantage in the marketplace. Ready to improve your organization through an innovative modern ERP software? Request a Demo to see how we can help you make that change to your business.

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