Microsoft Dynamics ERP Industry Expert Discusses Biggest Issues Faced by Distribution Companies

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Supply chain management is becoming an increasingly sophisticated and complex part of business. Ensuring product quality, delivery, and efficient logistics is not an easy task, but it is vital in order for modern business's to stay competitive. The Distribution Software Blog recently interviewed Michael Shoemaker, the Director of Microsoft's Distribution and Consumer Goods Industry Development, about some of the concerns and opportunities modern distribution professionals face.

Here are a few of the takeaways from the interview:

Biggest Issues Faced by Distribution Companies

  1. Competition With The Web – Consumers now have the technology to inform themselves and don't always take the word of a distributor. Products can be shipped overnight and product knowledge is available everywhere.
  2. Real Time Data – In order to keep up with the web, distributors need access to real time information, and many of their legacy systems aren't up to the task. Operating margins are dropping as a result, putting them at risk.

Software Needs

In order to keep up, distributors need modern solutions that reduce costs and streamline systems for better integration. They need to be leaner, more robust, measure profitability quickly, and keep the front line informed. Easy access to historical data is also important.

Concerns About ERP Software

ERP software is a necessity for the modern distributor, but professionals aren't without their share of concerns.

-        Cost of Down Time – The biggest concern distributors face is the costs incurred when the software experiences an error or needs to be upgraded. This shuts things down and keep them from running smoothly.

-        Keeping the Front End Running – Purchasing, procurement, and selling is the most difficult part, and it can be disrupted when ERP software doesn't do its job. In reality, most ERP software still isn't designed to help with the front end so much as the back end.

Check out the white paper to see how Michael answered these questions:

-        If there was one piece of advice you could give a distributor, what would it be?

-        What do you see happening this year at Microsoft to help distributors?

-        What resources do you recommend to distributors?

Download the full white paper at: Answers From a Distribution Professional: Competing with the Web, Applying Differentiators to Technology, and Facing Fears about Front-End Downtime.

By CAL Business Solutions, New England Microsoft Dynamics GP Distribution Partner

2 thoughts on “Microsoft Dynamics ERP Industry Expert Discusses Biggest Issues Faced by Distribution Companies”

  1. ERP modules incorporated major functional area of an organization and these modules are securely protected with competent security system, yet are designed to intermingle with each other with easy information access.

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