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 […]
Distribution companies evaluating warehouse management solutions face a fundamental decision that will shape their operations for years to come. Should you implement a best-of-breed standalone warehouse management system (WMS) that specializes in warehouse operations, or choose an integrated distribution ERP platform that includes warehouse management as part of a comprehensive business system? Both approaches have […]
At 9:47 AM on a Tuesday morning, your phone rings with the call every distributor dreads. A major manufacturer you represent has discovered a safety issue requiring immediate product recall. The product in question has been in your inventory for months and has shipped to dozens or hundreds of customers. Some units are still on […]
Every distribution company faces a fundamental tension. Your sales team wants to say yes to every customer and opportunity, driving revenue growth and building relationships. Your finance team wants to protect the company from bad debt, ensuring that today’s sales don’t become tomorrow’s write-offs. Finding the right balance between these competing priorities determines whether your […]
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