Is your company considering, or already managing a process such as Vendor Managed Inventory (VMI)?
No matter whether this is a request from your customer, or whether this is a strategic initiative for you to differentiate and add value, you will need a VMI Software System to help you execute on the commitment to maintain certain service levels for your VMI clients.
Depending on how many items and stocking locations will be managed, the amount of extra work your people will take on can be extensive in a Vendor Managed Inventory project. Manual calculations of how much to ship and how much to stock are an especially risky proposition when your customer relationship is at stake.
Automate the Vendor Managed Inventory Process
Thrive’s Vendor Managed Inventory software tells you exactly how much of each of your items to send to your customers’ locations. Thrive utilizes the stock status data (ie onhands, daily sales, in transits) that you get from your customer (eg via EDI documents) to generate forecasts and create optimal Vendor Managed Inventory orders.
Stock the Right Amounts to Comply with the VMI Agreement
Thrive’s VMI software allows you to take the Vendor Managed Inventory program and collaborative forecasting goals you set with your customer (such as number of inventory turns or desired service levels) and automatically honor those. If desired, Thrive’s web based system facilitates access by your client to their item forecasts so they can provide feedback to help maximize forecast accuracy and reduce unnecessary overstocking on your side.
Get Reports to Manage and Measure Value
Thrive’s Vendor Managed Inventory software generates daily reports of forecasted sales for each item, projected inventory balances, projected inventory turns and service levels. You will be able to project dollar amount of inventory you will have to maintain in order to meet the contracted service levels. Thrive’s VMI software gives you metrics on your VMI compliance and execution against those goals. It will also alert you if one of those goals is in jeopardy of not being met.
Thrive’s implementation consultants have been through dozens of successful Vendor Managed Inventory projects, and are able to provide valuable best practices expertise during your VMI project.