Over the last ten years, wholesale distribution companies have had to address the needs of radically different customers and supply chains. Virtually every type of distribution company has had to become quicker and more efficient, while facing tougher delivery requirements, cost justification demands, and the unbundling of services.
With short product lifecycles due to high degrees of competition and new product innovations, wholesale companies often cooperate very closely with their customers regarding new product development, advertising campaigns and price points. These companies often ‘guarantee’ a specific sales price that leads to ‘chargeback processing’ when the product prices fall due to competitive pressure.
The Sales Goods often are often of high dollar value which makes inventory management and cash flow management absolutely key. Many of these companies regularly leverage ‘factoring’ on their AR to obtain a better cash-flow. Furthermore with short product lifecycles and extremely high customer expectations for on time delivery Supply Chain visibility and information exchange automation such as EDI is key. Finally wholesale companies are faced with the challenges of managing the complex ‘Reverse Logistics’ processes for warranty claims, repairs and exchanges etc.
Ecelence has extensive experience of building solutions for wholesale distribution industry with SAP ECC 6.0 and Best Practices packages to address the following industry pain points:
- Cash Flow Management and Factoring Management
- Chargeback processing
- Commission Management
- EDI functionality
- Reverse Logistics Processes
- Transportation Management
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