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Why Wholesale Distributors Should Integrate Inventory Management with ERP


For any wholesale distributor there are many factors involved in your business, all of which have a direct impact on your net earnings. Factors such as shipping, logistics and customer service effect your revenues, but perhaps the most important part is managing your inventory – where it’s coming from, where it’s stored and where its final destination is. A busy warehouse with high inventory turns needs constant monitoring and real-time counts on whether inventory is coming in, or headed out for delivery. As a growing distributor, you don’t need to be weighed down by volumes of inventory data, complicated calculations, duplicate data entry, price updates, and special orders. Wholesale distributors who integrated their Inventory Management software with an Enterprise Resource Planning (ERP) solution can quickly overcome these daily operational challenges. The integration of the two solutions cuts costs by strengthening supplier and customer relationships and improving overall operational efficiency.

According to an Aberdeen Group survey, 64% of wholesale distributors chose to implement an ERP solution to streamline and accelerate their current business processes. Once integrated with existing Inventory Management solution, 51% of wholesale distributors saw improvement in their inventory turns. By integrating the two solutions, businesses can control warehouse operations and provide rich financial insight, while your warehouse team uses tablets and mobile devices to capture inbound and outbound inventory. With an integrated ERP solution, all data is accounted for in one database which eliminates the need for duplicate entry, reducing errors. In addition, accounting activities are directly connected with inventory activities and vice versa, making the flow of information and the sales process easy to manage. You can significantly reduce your costs and improve ROI by integrating these two powerhouse solutions together, and maintain a smooth warehouse while keeping your customers and other stakeholders happy.

For more information on how your growing business could benefit by integrating ERP with Inventory Management solution, watch the recent ADS Monthly Web Chat where you can see some of these benefits in action.

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