Traditionally, consignment inventory management has revolved around a supplier and customer working together and sharing information. The situation is far from optimal. No visual contact, no access to customer’s ERP and no up-to-date sales numbers are common problems. Especially in the case of irregularly needed materials, consigned inventory monitoring needs a lot of extra effort. The idea in Vendor Managed Inventory (VMI) is that the supplier of the goods takes full responsibility for maintaining an agreed inventory.
ERP integration is commonly used in bigger corporations and volumes. But even that does not always solve the problem of not having real-time data, especially with items that cannot be counted as single objects or with items that are consumed and tracked in different units.
No effort needed from the client
FORCIOT® SKID makes Vendor Managed Inventory (VMI) easy for all stock types on pallets – even for materials such as powders and chemicals! FORCIOT® SKID works on its own and no ERP access is required. These measurement plates, inventory weight indicators, are placed under the monitored pallets and no other effort is needed from the client. Vendors can access the file rate data in an easy-to-use web application and set triggers for replenishments. The supplier can keep optimal stock in customer location and secure availability for its products without the need for safety stocks or extra buffers.
Better sales decision can be done based on the data
The process is simpler, easier, and faster for replenishment and invoicing. Forecasting demand is more accurate and data can be easily shared with necessary stakeholders such as sales, procurement, warehouse, production, and customers’ contact persons. With the help of technology risks of not invoicing, running out of stock, or overstocking can be avoided.
Interested to hear more how FORCIOT® SKID could improve your operational excellence? Please contact us.