In the ever-evolving landscape of Consumer Packaged Goods (CPG) industries, efficient distribution management is crucial for success. A robust Distribution Management System (DMS) is critical in optimizing operations and enhancing supply chain management. Let’s explore the top 8 features that make a DMS indispensable for CPG businesses.
Real-Time Inventory Management
A DMS must provide real-time visibility into inventory levels across the supply chain. This feature ensures that distributors and sales reps have accurate information about stock levels, minimizing the risk of stockouts or overstock situations. Real-time data empowers decision-makers to respond swiftly to demand and market dynamics.
Order Management and Fulfillment
Efficient order management is critical for CPG businesses. A DMS must streamline the order-to-fulfillment process, automating order processing and reducing manual errors. It must ensure that orders are fulfilled accurately and on time, improving customer satisfaction and loyalty. With automated bulk allocation on Ivy DMS, you can process the bulk of your sales orders timely and streamline your order-to-cash process. Generate picklist and van loading schedule with the breeze with automation on our solution.
Accurate demand forecasting is essential for CPG companies to align production and distribution with market demand. DMS must leverage data analytics and machine learning to provide insights into demand patterns, helping businesses make informed decisions, like determining inventory levels or production schedules.
Using technology like barcoding, distributor management software can automate how brands track batches of products nearing expiry and plan promotions or offers to improve their sales. It minimizes losses due to human errors.
By incorporating features like image recognition in merchandising, brands have reduced human errors while performing stock checks and warehouse management activities by 33%. It helps brands greatly while trying to improve sales in retail stores.
Optimizing delivery routes is crucial for reducing transportation costs and improving delivery speed. Optimizing Routes is now automated with technological advancements like AI and Machine Learning. DMS must incorporate route optimization algorithms that consider factors, such as traffic, weather conditions, and delivery windows. It ensures that delivery routes are not only efficient but also cost-effective.
Performance Analytics and Reporting
Comprehensive analytics and reporting tools within the DMS can provide valuable insights into the performance of the supply chain. Real-time monitoring of key performance indicators (KPIs), including order fulfillment rates, delivery times, etc., helps identify areas for improvement and strategic decision-making. On Ivy DMS, you can build custom financial reporting for your business with account groupings, custom columns, formulas, and more.
Compliance and Traceability:
CPG industries often face stringent regulations. A DMS helps in ensuring compliance with regulatory requirements by providing end-to-end traceability. This feature is critical for tracking the movement of products through the supply chain, enabling quick response to recalls or audits.
In conclusion, a well-implemented, cloud-based, flexible, and scalable Distribution Management System is a game-changer for CPG businesses. By incorporating real-time visibility, streamlined order management, route optimization, and other essential features, a DMS contributes to a more responsive and efficient supply chain. As the CPG industry continues to evolve, investing in advanced technology solutions like DMS is essential for staying competitive and meeting the ever-growing demands of the market.
86% of consumers are willing to pay extra for a better customer experience, according to the PWC report on The Future of Customer Satisfaction. It is another reason for CPG brands to consider solutions like Ivy Mobility, which can help you achieve order accuracy and, therefore, work on your customer satisfaction levels. Book a Demo with us now.