Many distributors resist offering consigned inventory; the challenges of managing that inventory at a customer’s site is one of the most common reasons for that reluctance. It’s true that managing consigned inventory can be a nightmare, but with the right customers and products, and smart planning, it can also be a dream come true.
It’s also vital to manage consigned inventory with an automated replenishment system – when consigned inventory management is done manually there are too many opportunities for error. But when distributors manage it with an automated replenishment mobile app, same-customer revenues can increase by up to 30 percent.
Using technology to manage consigned inventory also increases accountability at the customer location, providing greater peace of mind for the distributor.
To learn more about eTurns CEO Rock Rockwell’s Do’s and Don’ts for successfully managing consigned inventory, read his guest post in MDM.