The market is under further pressure with the rise of price driven and commodity e-auctions as a popular purchasing strategy for large businesses and government offices in many countries. The contracts raised are often for an extensive range of products at fixed prices often below cost price.
The low prices are driven by volume and suppliers hope to recover profits through long-term market moves and overseas sourcing. While providing high volumes for high cost networks, suppliers have to be aware that they can also lose significant chunks of business in one go.
All these issues place particular pressure on retaining profitability through the supply chain. Longer inventory lead-time from overseas sourcing creates the opportunity for a more efficient and profitable supply chain, but requires careful demand forecasting.
Distributors are looking to claw margins back by finding new ways to improve and expand their businesses; either through consolidation, partnering with an alliance, or becoming a multi-channel player. Only those who can adapt will succeed.
Market drivers:
- Consolidation to smaller number of main players, regional and global
- Corporate supply contracts
- Increased demand for personal choice
- Creative new versions of standard products
- Buyers are becoming even more demanding for new products and services
- Range, price and cost to serve
- Maximize availability with minimized inventory
- Greater need for communication with customers.
- Customers are demanding:
- Increasing range of product lines
- More flexible supply
- Competitive pricing
- Fast delivery
- Comprehensive on-line catalogue and e-commerce.
Complete customer service
Office supplies distributors and wholesalers have come a long way since the time when they were solely considered logistics operators. To compete successfully, they have recognized that they must provide a customized service tailored to the individual dealer’s needs.
IBS Enterprise 6.0 software will help them do that. There are some very specific requirements for office supplies distributors, which we understand and build into our technology.
Distributors require a system that delivers
- Sales order management
- E-business
- CRM
- Inventory control
- Warehouse management
- Logistics
- Procurement
- Financials
- Business intelligence.
The software allows distributors to work in the most efficient and profitable way for them and automate these complex purchasing procedures, while maintaining the highest levels of customer service. It also helps them make the best decisions to maximize their margins.
It helps you with:
- Advanced sales order management and CRM
- Integrated web ordering and tracking
- Distribution and logistics with planning and dispatching of outbound shipments, truck routing and planning
- Automated procurement, back-to-back ordering, demand planning, purchase management, replenishment optimization, suggestion management and inventory alerts
- Complete visibility of your supply chain
- Understanding profitability and cost to serve in a high volume rebate-driven market
- Additional service solutions for developing the business. For example, installation and consignment stock
- Integration with specialized catalogue management software
- ASP services for dealer / buying groups
- Adherence to industry standards and data exchange formats.