There are distributors with small-scale businesses who use different applications like QuickBooks for Accounting with multiple add-ons for managing inventory, e-commerce, point of sale, and field service. But as the distribution business grows, they eventually move to more robust ERP applications.
Having suitable Distribution ERP Software for your business is crucial against complex supply chains, rising costs, and changing customer expectations. But, with the variety of options on the table and the many considerations involved with software selection, it’s easy to get confused.
In the guide below, we’ll give you some inputs about the essential features to look for in ERP Software for the Wholesale Distribution business.
Check out this blog for a comprehensive guide on choosing ERP for Manufacturing Business.
Forecasting and Demand Planning
Effective demand planning is the key to both profit and customer satisfaction, as it helps businesses strike the right balance between sufficient inventory levels and customer demand.
A Whole and Distribution ERP Software with accurate demand planning combines sales forecasting, supply chain management, and inventory management using data from internal and external sources to predict future demand. Further, you can use that forecast to inform your sales and operations strategy to buy or manufacture to meet that demand.
Procurement Management
Your business needs ERP software that improves your procurement strategy by letting you:
-defining procurement rules depending on sales orders, logistics rules, stock levels, etc.,
-have different replenishment methods for each product depending on manufacturing and delivery strategies, automating RFQs, and controlling product movement.
Customer/Vendor Relationship Management
The supplier relies on the distributor to get their products to market, while the distributor depends on the supplier to obtain the product in a timely fashion. By ensuring strong communication and relationship between the two, there will be increases in delivering quality products on time.
Your ERP software should be able to make your collaboration and communication with Customers/Vendors easy through data sharing, recording transactions, and requirements gathering.
Inventory and Warehouse Management
Inventory is the backbone of the Distribution industry. Choose a Distribution ERP Software that provides access to inventory management tools like automated inventory updates regarding stock levels, tracking products from incoming orders to outgoing shipments, maintaining safety stock, and boosting pick-pack-ship accuracy.
Accounting
Your ERP Software for Wholesale Distribution business should let you manage the general ledger, accounts payable, accounts receivable, multi-currency, and bank management at the core.
Besides, if your Distribution ERP offers account segmentations or supports national or parent accounts or budgeting, it would be an added benefit for your business.
Sales Order Management
Your ERP system should automate your sales process at every step besides supporting drop shipments, returns and exchanges, sales commissions, quotes, backorder management, and labeling.
Purchasing
Dealing in the distribution and fulfillment industry, your ERP software should let you manage suppliers and purchase orders, improving your inventory performance. Ensure your software automates your purchasing workflow, enables you to make smart purchase decisions using the best prices, and gets the best price by integrating vendors’ answers and comparing propositions.
Other Essential Features of Wholesale and Distribution ERP Software
Wholesalers who work with manufacturers, smaller distributors, and retailers to provide drop-ship services, storage, order fulfillment, and other outsourced contract services often require these functionalities:
- Blanket Purchase Orders
- Kitting and Disassembly
- B2B and B2C Commerce
- Field Service Management
- Barcoding
- Warehouse Transfers
Why choose Odoo for Wholesale Distribution Business?
Odoo ERP for Wholesale Distribution business is an all-in-one solution that offers users complete control over inventory, nurtures relationships with vendors and customers, ensures seamless logistics, and everything quoted as essential as above.
Also, due to Odoo’s modular and integrated structure, you can use Sales, Purchase, Accounting, Inventory, POS, and all the essential apps required to fulfill your Distribution requirements without having to worry about integration or syncing data for various departments.
As Official Odoo Partners, we at Aktiv are ready to assist you with implementation. Before that, let’s organize a demo to show you how exactly Odoo will work for your Wholesale Distribution business.
Schedule a free Demo call with our Certified Odoo Consultants.
