I had an opportunity to engage with people in FMCG, Pharma and packaged food distribution businesses and watch their business process & Distribution Management Software usage for almost 10 years. It motivated me to write, how the latest mobile & web based software solutions will dramatically change this business scape in couple of years.
Early Adapters & Path finders
People in Supply Chain Management(SCM) and distribution business are one of the early adapters of technology by implementing Distribution Management Software in the beginning of 90s. Also, they have been using those solutions completely for their entire business management with purchase, sales, inventory, accounts and MIS reports modules.
As there was no organized software vendor with complete solution, they have been forced to use different solutions from different local vendors for each module. ie. A distributor may use a solution for sales & inventory and another for accounts or outstanding management.
Even though the cost of software was less, the hardware cost were much higher at that time. But most of the distributors automated their business for billing and inventory management as the situation demanded the same.
Current Scenario
As of now, there are 4 different types distributors as for as Distribution Management Software solutions adoption is concerned
The Resistors : Distributors who are still using old DOS based software which are developed in the beginning of 90s in FOXPRO/Clipper/dBase. Those are mostly developed by local vendors. Most of them not willing to change to new solutions.
The Survivors : Few distributors using windows based software and try to manage with available features. Most of the software vendors, who provided these solutions do not invest much on R & D they just maintain the same.
The Show Managers : Most of the big FMCG brand distributors manage the show just by using Distribution Management Software solutions provided by the manufacturing company/suppliers. Generally, these solutions are designed in a way to satisfy the needs of MFR instead of distributors.
The Explorers & Hunters : Few of them explored and adapted best software solutions developed by vendors using latest software technologies. They always look for new tools to grow and expand their business. Also, they keep exploring Web & Mobile apps to reduce costs.
Complicating distribution business and living in a rut
The technology(both hardware & software) has changed hugely with the
passage of time. But, unfortunately most of the distributors in SMB space not adapted latest technologies as they feel that it is waste of money for them.
Most of them not aware of the technological changes happening outside and how it will affect their business. They have been pushed to work round the clock to have control on their business operations without much external exposure. So, they depends heavily on existing obsolete solutions without giving much thought for migrating to new advanced solutions.
Those legacy solutions also made them to spend most of their time on micro managing and fixing the mistakes done by staffs instead of focusing on business growth. Unresponsive support and lack of product enhancement by vendors also made life tough for them.
Manual errors & Rampant malpractices
In this business, almost every distributor has at-least one bitter experience with money swindling by field salesmen. They have also lost money to retailers who were closed business abruptly without settling his outstanding.
Also, fraudulent activities and mistakes done by the users in business transactions in those unsecured software solutions cost them dearly.
Mobile & Web made life easy with Distribution Management Software
The situation has changed dramatically with the latest technology based Distribution Software provided by companies like GoFrugal Technologies. It has come up with few innovative Mobile & Web based add-on software solutions, by using latest technologies to keep distributors globally competitive in the ever changing business environment. Few of these below mentioned tools may give you glimpse of how software can play a vital role in business growth.
- Mobile Apps - Information Technology(IT) is going to serve the sales and
distribution businesses as never before with mobile apps. GoFrugal’s Android mobile apps for field salesmen to order booking and collection entry is the next big thing which will revolutionize the way business is conducted. - Web Orders – The Web based sales order tool is a boon for both distributors and retailers to increase their productivity, save time and reduce costs. It also ensures increased sales orders and accuracy for the distributor. His customers can place orders anytime from anywhere.
- BI Reports - Business Intelligence(BI) reports helps distributors to protect already thin margins against high fixed costs by effectively using Dashboard to find TOP brands, companies, areas/regions & salesmen. Also Dashboard, Flashcard, profit and turnover analysis makes you to take faster and smarter decisions.
- Web Reporter - This Browser based reporting tool gives business owners to have complete visibility and do analysis from anywhere. Helps consumer products distribution companies to get up-to-the-minute information access and accuracy to move quickly in volatile environments.
- EDI Tools - Enormous amount of time and money can be saved with Electronics Data Interchange(EDI) tool. Distributor can do EDI with customers, suppliers, branches and head office by inter linking different business transactions which will ensure accuracy of data without redundant data entry work.
Also, it is the only Indian company came up with a 24 X 7 Response center in these business segments to serve its customers better with latest CRM and communication tools.
Distribution Management Software - The path to get BIG success
Few of GoFrugal’s ambitious customers are using these advanced solutions and impeccable support to expand & grow their business aggressively as never before. It also helps them to reduce operating costs, improve margins, increase order volume, reduce manpower costs, eradicate malpractices, cover wider areas and distribute more brands with perfect control.
Do you want to know how? Just see the Video testimonials…