Are you still thinking about whether your business needs a VMI system?
Below you can see the main advantages of vendor-controlled inventory:
Increased efficiency. The manufacturer often encounters several problems regarding stocks such issues negatively affects sales and customers, while the excess of goods also has a negative effect since it is expensive and requires a lot of warehouse space. Balance is key and is critical both for maintaining your budget and meeting your customers’ needs. Also, When VMI’s are managed using great digital platforms, error rate in inventory planning is minimal, luckily, Unilog a customizable inventory management platform to meet your needs.
Reduced costs and increased productivity. VMI models can help you minimize the number of costly orders to cover inventory shortages and avoid the return of surpluses; in addition, an approach based on more accurate and up-to-date data will reduce the total number of orders and possible costs. Your company’s employees can focus on other tasks to maximize their productivity.
Market analysis and improved inventory management based on consumer demand. The VMI partner assumes responsibility for restocking, which in turn increases the chances of a high-quality and rapid response to seasonal changes. A quick response to change in demand will improve the coordination of manufacturers’ production rate, which can significantly reduce the number of supply chain failures due to inventory shortages.
Ease and reliability in operation. A single inventory delivery schedule, approved routes, and correct forecasting from a VMI partner saves you from constant monitoring of several suppliers simultaneously.