Unlock the Potential of Using Cloud ERP Software for Distribution Companies
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Unlock the Potential of the Cloud ERP Software for Distribution Companies

Oct 9, 2020 Nandinee Biswas

ERP software has been around for a long time, and by now, you might be already using an automated system that works great for your distribution company.

However, if you are still struggling to make greater use of business information as the database access is confined to your office premises or you’re experiencing frequent system crashes and data recovery issues, you must consider moving your distribution ERP software on the cloud.

Why Distribution Companies Should Move to Cloud ERP?

With the recent developments in technology, ERP systems are now more efficient to address all major needs and concerns of today’s distribution businesses. Out of all, the most significant advancement has come with the advent of cloud computing.

The cloud-based ERP software allows distribution businesses of all scale to employ the technology they need without investing in high entry costs hardware and infrastructure.

The system can be accessed anywhere, anytime, which means that your employees are able to view and update relevant information or connect with other team members from within as well as away from the office premises. This ultimately improves data visibility and accuracy and enhances operational control, demand planning, and workflows management.

Top 5 Benefits of Cloud ERP Software for Distribution Companies

Transitioning to a cloud-based distribution management system offers several advantages over the on-premises infrastructure that are valuable and worthy of your consideration. Having this advanced distribution ERP software empowers you to manage various complicated business processes more easily.

Here are some of the major benefits of cloud ERP software:

1. Real-Time and Remote Warehouse Management

Migrating to cloud software removes the physical restrictions of managing multiple warehouses. It offers user-friendly reporting dashboards and analytics tools that helps you improve your organization’s agility. The system gives you the power to access every information in real-time, as needed and removes your dependency on others for the compiled reports.

The capabilities offered by this cloud ERP platform would improve your distribution management processes by ensuring that every piece of data across multiple warehouses are tracked and managed effectively. The software solution supplies all digital information you need to monitor your warehouse functionalities and adjust their facilities according to the market demands.

Using Cloud ERP Software for Distribution Companies

2. Instill Stock Traceability and Insight

Maintaining stock accuracy is the greatest challenge of a distribution business. This requires attention on a day-to-day basis. Devoting man-hours to keep count on stock movement can drain your time and resources. But the real hit comes when you’re unable to get the accurate information about inbound and outbound inventory flows, which might lead to overstocking or understocking losses.

By moving to a cloud solution, the job falls to your distribution software. Cloud ERP software solves this issue by keeping track of each inventory at all stages and allowing you to access the data in real-time.

Its automated tracking functionality accurately documents every detail about each product in stock including their lot and serial numbers, and other sub-categories, allowing you to instantly review the data and make relevant decisions on inventory status.

3. Consolidate All Distribution Processes

Multiple processes functioning in your distribution business is often exposed to data siloes. Disconnected systems compel you to make manual intervention while compiling the data, thus wasting man-hours and increasing the risk of human errors.

Cloud-based distribution ERP software allows integration. There’s no more the need for emailing documents or spreadsheets to colleagues. The system stores all information in a centralized database and allows authorized users to access it when needed. This leads to better utilization of the most up-to-date version of data.

4. Distribution and Accounting Data Processing

Managing finance is a very crucial part of the distribution management system.

Compared to an on-premises solution, a cloud-based distribution ERP software typically provides better uptime, data accuracy, and security. It includes redundant data backups and recovery features essential to keep information safe and prepare you to handle disasters.

The cloud system even keeps an active record of partially filled or incomplete orders for all transactions and produces up-to-date documentation. It also connects accounting with distribution management processes and enables compiling the data into accurate and timely reports for making better decisions.

5. Effective Demand Planning and Supply Chain Management

Having right stock in the inventory is key to ensure your product distribution remains profitable. This is possible to attain when you are able to determine the accurate time to purchase new stock or sell out the stored goods. However, using a traditional system or manually tracking stock movements are more likely to have data entry errors.

The modern cloud ERP system automates procurement, distribution, and supply chain management processes. It offers flexibility to predefine necessary steps that ensure every task happens in the correct order and at right time based on real-world supply and demand so that you can always fulfill the existing orders.

Get the Best Distribution Management Software

An appropriate distribution ERP system removes the challenge and helps your business grow without significant obstacles.

We have over two decades of experience in helping distribution businesses implement ERP solutions. If you are looking to improve your distribution operations, fill in the form and get advice from our software experts.

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