What are the Benefits of ERP for Wholesalers?
With technology evolving so quickly and the cloud changing the core of business infrastructure, it’s time to make wholesalers work more streamlined and efficient. While each wholesaler has his or her own system of managing daily activities, the most efficient way of handling wholesale distribution involves implementing an enterprise resource planning software, also known as ERP. Enterprises have known this for years, which is why Oracle is one of the biggest software companies in the world. But now with the cloud, small and mid-sized wholesalers can gain the same benefits at a fraction of the cost.
According to a recent study by the Aberdeen Group, 83 percent of enterprise wholesalers and distributors are already using an ERP system for their business – and most of them are more than satisfied with the results it brings. ERP has been a method of choice for enterprise manufacturers to manage their business operations efficiently for quite some time, but the benefits of an ERP to small and mid-sized wholesalers and distributors has not been affordable in the past. Luckily, things are changing.
Cloud ERPs Are Now an All in One Solution
You no longer need to stack apps and leverage spreadsheets. A modern, quality ERP solution can track and control inventory while optimizing other tasks, such as picking and stocking. An ERP allows you to minimize inventory levels without hurting customers’ experience by providing tools for forecasting and demand planning.
One of the most significant business benefits a modern ERP solution offers is the ability to handle change with ease. These solutions are scalable, and the structure can be shaped to fit your needs. They are extendable and customizable, allowing you to tailor the way your ERP functions.
Functional ERP solutions are incredibly user-friendly; you don't have to be a tech expert to use them. By providing intuitive user interfaces, they allow any user to access them from anywhere, and from any device.
Top Benefits of an ERP System for Wholesalers
The benefits of an automated ERP for wholesalers are numerous, especially if you are experiencing or planning for growth. The rest of this article will address the top benefits a modern ERP solution provides for your wholesale business including how it will:
- Increase overall visibility
- Significantly improve inventory management
- Improve demand planning
- Increase reporting accuracy
- Allow for automated workflows
- Enhance productivity and drive profitability
- Empower workers on the floor and in the field with mobile tools for increased effectiveness
An ERP system allows you to see the whole picture within your company continuously. It will enable you to see both inbound and outbound product flow, which makes decision-making easier and quicker. Once you can see every step of the process with a clear insight into your supply chain, you will have a better idea of your day-to-day business operations. You will be able to address problems and stop them from hurting your company before they become difficult to manage. An automated distribution system allows you to make business decisions with confidence.
The amount of information available in an ERP helps any wholesaler who struggles with visibility.
More Efficient Inventory Management
Manual processing is time-consuming. An ERP helps wholesalers streamline their inventory management and eliminate time dedicated to manual processing.
With automated inventory management, you will be able to track and monitor data from multiple warehouses and even across various currencies – all the while having real-time visibility of current inventory regarding costs, logistics, and reordering quantities. An ERP solution will improve inventory management significantly, which further enhances customer service.
When businesses integrate new software, the primary motivation tends to be the decision makers hopes of increased productivity. One of the most significant benefits of an ERP system is that it delivers on that promise of boosting productivity.
For instance, your employees may be spending too much time on tracking inventory manually. Manual operations such as inventory processing are not only time-consuming; they are also risky because human error is inevitable. With an ERP solution in the picture, you free your employees from countless hours of repetitive work and allow them to focus on more important things like growing your company and taking care of your customers.
The demand planning capability of an ERP is another benefit of this solution. To keep up with customers' orders, you need a clear and real time picture of your inventory. Poor planning can mean turning down customer orders. With automated ERP systems; you will be able to use the full power of predictive analytics to forecast sales based on past demand. An ERP isn’t psychic, but it is extremely beneficial for demand planning for wholesalers.
Accurate Reporting and Invoice Management
In addition to enhanced demand planning, ERP software enables more precise reporting. With this wholesale distribution management system, it will be easy for you to compile all of your data into timely, accurate reports. Complex data reporting requests are no longer a nightmare; you will be able to respond quickly and fulfill both internal and industry reporting standards easier than ever before.
As a company grows, so does the need for a useful reporting tool. Customer invoices, accurate inventory reports, and all the operations in between need to be analyzed and issues need to be quickly resolved. ERP software keeps all the vital information stored in one safe location, so you don’t have to worry if your employees are keeping track of things – the system is doing it for them.
Distribution software used to be accessible only from centralized on-premise computers. Those days are over. With a cloud ERP solution, all of your data is stored in the cloud, making it more secure than localized data. Additionally, you and your employees will be able to access data from anywhere and access it through any device. Your employees can be anywhere in the world, and all they need is an Internet connection to access their data. A cloud ERP system allows them to solve issues on the go. The ability to access data and solve problems from anywhere is a central benefit of a cloud-based ERP solution.
CBOS provides and specializes in implementing an affordable cloud ERP for small and midsized, wholesalers, light manufacturers and field service companies. To see how CBOS can help your business we invite you to contact us for a free consultation and product tour.