The ERP implementation project was on schedule and seemingly on track. Configurations looked good in demonstrations. Integrations passed basic connectivity tests. Training was underway. Everyone was optimistic about the upcoming go-live. Then, three days after launch, reality struck. A customer returned a product, and the system crashed when processing the return credit. Inventory transfers between […]
ERP implementation failures make headlines regularly. A distributor spends $500,000 and 18 months only to abandon the system and start over. Another goes live with critical functionality missing, forcing expensive emergency fixes. A third successfully implements technically but sees user adoption collapse within months because change management was an afterthought. The statistics are sobering: studies […]
Two distribution companies operate in the same market, carry similar products, use comparable technology, and serve overlapping customer bases. Yet one consistently achieves 98 percent inventory accuracy while the other struggles at 92 percent. One turns inventory 10 times annually while the other manages only 6 turns. One maintains 95 percent on-time delivery while the […]
Your distribution business has reached an inflection point. A major new customer wants to place orders through EDI. A regional competitor is available for acquisition. A manufacturer offers exclusive territory rights that would double your revenue. An ecommerce opportunity could open entirely new markets. Strategic growth opportunities are finally arriving after years of building your […]
Your CFO reviews the P&L and sees what looks like a healthy distribution business. Revenue is up 12 percent year-over-year. Gross margins hold steady around 25 percent. Operating expenses seem reasonable as a percentage of sales. The financial picture looks solid. But hidden beneath those top-line numbers, your legacy ERP is quietly draining hundreds of […]
Food distribution operates under pressures that don’t exist in other distribution sectors. A single temperature excursion can spoil $50,000 of inventory. Missing lot tracking during a recall can expose customers to contaminated products and your company to devastating liability. Failing to maintain HACCP compliance can result in regulatory action that shuts down your operation. Food […]
Beverage distribution operates under unique pressures that set it apart from other distribution sectors. Your drivers aren’t just delivering products—they’re managing routes with dozens of stops, taking orders on the spot, rotating stock on retail shelves, collecting payments, handling returns and damaged goods, merchandising displays, and navigating a maze of state and local regulations that […]
Industrial supply distributors operate in a uniquely challenging environment. While many distribution businesses manage hundreds or a few thousand SKUs, industrial distributors routinely handle 50,000, 100,000, or even 500,000+ products spanning dozens of categories from multiple manufacturers. Each product has specifications, cross-references, compatibility requirements, and pricing structures that customers depend on for critical purchasing decisions. […]
The order-to-cash cycle represents the heartbeat of your distribution business. From the moment a customer places an order until you receive payment, every hour of delay costs you money, frustrates customers, and ties up working capital. Yet most distribution companies tolerate significant inefficiencies in this critical process, accepting bottlenecks as inevitable rather than addressing them […]
Ask a distribution company owner how business is going, and you’ll likely hear “pretty good” or “things are busy.” Press for specifics, and the conversation often turns vague. Revenue is up, but is profitability growing? Order volume is strong, but are you fulfilling efficiently? The warehouse feels busy, but is productivity actually improving? Running a […]
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