Growing distribution companies need a future-proofed ERP system that can scale with them.
Entry-level systems aren’t good enough to manage their growth potential as they don’t offer the functionality required, nor the scalability.
Wholesale distributors must equip themselves with the right technology to cater to every step of their journey if they want to achieve long-term success. They need ERP systems like NetSuite, which foster growth and streamline operations, boosting performance and enhancing profitability.
Here’s how an ERP system can help your wholesale distribution business grow.
Stock management functionality prevents you having to rely on physical stock counts or manually updating spreadsheets. It gives you certainty about where your stock is located and the precise quantities you have on hand.
Being able to easily locate stock during picking ensures that you fulfil your orders quickly and accurately, meaning your warehouse staff can process and ship more orders each day.
Plus, it gives you the confidence to know that you are carrying the right amount of stock for each line. You won’t have too much money tied up by holding excess stock. Nor do you risk going out of stock and disappointing customers.
An ERP system provides you with real-time visibility into your stock levels, enabling you to quickly meet customer demands, which enhances customer satisfaction and drives return business and future growth.
Your order processing workflows are streamlined with an ERP. Instead of being limited to only a few types of picking strategy, such as single order or batch picking, you can employ various methods and change them as demand requires.
Using your ERP’s warehouse functionality, you can use wave picking or zone picking and choose the best method that will reduce travel time and improve picking productivity.
By automating and streamlining your order processing, you will not only see faster order fulfilment, but there is less likelihood of errors, so increasing order accuracy.
A growing distribution business is one that looks beyond existing channels, products and markets.
Instead of being limited to local sales, your growth may hinge on expansion into other markets. NetSuite supports you as you grow, making it easy to add new entities and subsidiary companies. And it’s simple to set up in new territories because NetSuite supports accounting for more than 190 currencies and exchange rates, meaning you can trade globally with both customers and suppliers.
You might look to develop your channels by selling through a new third-party marketplace, or by opening an ecommerce website, for instance. This is easily accomplished in NetSuite, thanks to its modular nature that allows you to add functionality for new capabilities as you need it.
And it’s easy to add new payment types. So, you could explore additional revenue streams by adding a subscription method with recurring revenue for some of your products, for example. Or you may want to implement automatic renewals processes or up-sell to your customers.
ERP systems like NetSuite ERP have comprehensive reporting and analytics capabilities, with enhanced features that allow wholesale distributors to perform actionable analysis.
Using real-time data, you can gain insight into your sales, stock and financial metrics to identify trends, opportunities and issues. With both pre-defined and customisable dashboards, you can track and measure the KPIs that are relevant for your business. This allows you to assess and react to situations, correcting issues or seizing opportunities in a timely way.
With NetSuite’s accurate and real-time reporting insights, you can track and optimise your operations across multiple channels and outlets. This allows you to make faster, more confident decisions about sales from your website, third-party marketplaces or your physical stores.
As you continue to address issues and identify areas for improvement, it all adds up, helping you achieve continuous improvements and drive sustained growth.
Wholesale distributors can benefit from the cloud-based nature of ERP systems like NetSuite. It simplifies your employee’s working life by providing them with easy and convenient access from anywhere, at any time, using just an internet connection and a browser.
NetSuite supports the increased adoption of hybrid and home working, ensuring your employees always have access to the latest, real-time information without any special configuration or security protocols.
Your staff are always working on the same data, making it simple to manage your distribution operation – wherever your teams are located.
As you grow, your business processes become more complex. You may introduce new lines, add warehouses or depots, or expand into new territories.
NetSuite provides the flexibility to adapt and evolve as you grow. Expanding and modifying your system is effortless. You have the freedom to add extra modules as your requirements change, such as implementing ecommerce, marketing automation, HR, procurement, CRM and other functionality.
Additionally, NetSuite offers a vast selection of SuiteApps and extensions that are specifically designed to enhance and automate your operational workflows, taking your processes to the next level
Because it is cloud-based, scaling up is straightforward. You can easily add licenses for new users as your business grows, meaning you will never outgrow its capabilities nor need to worry about expensive upgrades as you scale.
Wholesale distribution businesses face increasingly tight margins, ever more demanding customers and ongoing supply chain disruptions.
But using NetSuite, they can cut through this and achieve a greater competitive edge. NetSuite helps fuel their growth, supports greater operational excellence and improves customer satisfaction. By automating processes, keeping stock costs under control and making time-critical data-based decisions, they can use NetSuite to drive continued growth and success.
If you’re looking to grow your wholesale distribution business, contact us to find out how NetSuite ERP can support you.
Once you’ve made the decision to move on from spreadsheet accounting or to upgrade your legacy ERP system, how do you choose the right ERP software?
When you manage your whole business through an ERP system, you’re able to get a bird’s-eye view of your business, and better understand company-wide impacts of decisions, plans and unforeseen changes. This coordinated view is a real boon for companies looking to grow and to increase efficiency.
It’s essential to quantify the value and expected returns from implementing a new ERP system like NetSuite. After all, any new IT system is a substantial business expense, requiring a compelling business case to gain buy-in from stakeholders.
As businesses strive for efficiency, they are increasingly turning away from on-premises technology and moving to the cloud. As testament to this shifting trend, statistics indicate that cloud ERP is forecast to grow at more than 17% between 2022 and 2028.
ERP systems help companies automate and streamline operations, but how can they tackle the problems posed by inventory management?
When you manage your whole business through an ERP system, you’re able to get a bird’s-eye view of your business, and better understand company-wide impacts of decisions, plans and unforeseen changes. This coordinated view is a real boon for companies looking to grow and to increase efficiency.
