ERP Consultant Blog

7 Signs You're Ready for a New Inventory Planning Systems

Written by Greg Miles | Fri, Mar 02, 2018

Do You Think You Need to Upgrade Your Inventory Planning System?

As a warehouse management systems (WMS) consulting firm, we help distribution and manufacturing companies find the best system when they are ready to upgrade. The inventory planning system that’s part of WMS is key to managing demand. As a growing distributor or manufacturer, you know that your largest and most costly asset is inventory. Anything that helps lower your inventory carrying cost and increases your margins can have a greater effect on your bottom-line than increasing your sales revenue. When you upgrade to an inventory planning system you will accomplish both and significantly increase profitability.

Growing distribution and manufacturing small and medium-sized businesses (SMBs) often work extra hard to survive and thrive in today’s competitive marketplace One main reason is because they are working with outdated or non-integrated systems to manage warehouse operations and inventory. There’s a time when all the extra work and costs involved will warrant a system upgrade. So when will you know you are ready to make such an investment?
We’ve outlined the top 7 reasons companies decide they are ready to upgrade their inventory and demand planning system technology. If you suffer from any of the following signs, you may be ready.

7 Signs You’re Ready for an Inventory Planning System Upgrade

  1. You have too much inventory, but still, experience stockouts of key items.
  2. Even though inventory levels are too high, you still struggle with identifying the over-stocked items.
  3. Too many hours are spent reviewing items for replenishment.
  4. You spend too much time identifying appropriate replenishment quantities for spoke items.
  5. Your system does not consider vendor price breaks and vendor targets that make the most sense for your situation when it makes purchase recommendations.
  6. You have to manually manage sporadic, erratic, and slow-moving items.
  7. Your system continues to use the same forecast even after you’ve over-consumed it.

Do any of these indicators sound familiar? If you don’t have what your customers want, they’ll go elsewhere. And if you have excess inventory your carrying costs can consume your profits.

The total cost and effort of implementing a modern inventory management solution are significant, however, your return on investment can be matched in a few months. Manufacturing industry consultant Jon Schreibfeder has seen companies realize reductions in inventory value of more than 35% over the course of a few months while increasing customer service levels at the same time.

Learn more about Inventory Demand Planning Systems

Posted by iCepts Technology Group-A Pennsylvania, an Accellos and Microsoft Dynamics NAV Partner

About iCepts Technology Group, Inc. Middletown, PA

We are an Accellos and Microsoft Dynamics NAV Partner offering implementation, service, and support for Accellos One Warehouse Management Systems and Microsoft Dynamics NAV in: PA, DC, DE, MD, NC, NJ, NY, OH, VA, WV, and the entire Mid-Atlantic Region. We also offer cloud warehouse management systems consulting, implementation, service, and support for Accellos One Warehouse Management Systems in: PA, DC, DE, MD, NC, NJ, NY, OH, VA, WV, and the entire Mid-Atlantic Region.

As experienced SCM, WMS and ERP consultants and value-added resellers (VARs), we provide start to finish services for the solutions we represent Microsoft Dynamics NAV for Distribution and Manufacturing, Accellos Warehouse Management System (WMS), Server virtualization, open source VOIP phone systems and infrastructure and security. We provide services that cover process analysis, implementation, training, security and networking. Naturally, we also provide full ongoing support for years after implementation to help our clients succeed. We are your one-stop shop for your business technology needs.

Phone: 717.704.1000
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Another version of this blog was posted on iCepts blog by Greg Miles on February 14, 2018 - Key Signs that your Company needs an Inventory Planning System