Increase your profitability through more efficient purchasing!

Challenges in wholesale

Wholesale companies typically need to manage a high number of products that differ in value, sales volume, delivery lead-time, stock risk, and predictability of demand. The wide variety of products presents a challenge to efficient inventory management and purchasing.

Accurate manual management of thousands or tens of thousands items, taking into account the items’ individual qualities, requires a lot of time and resources. The other option, i.e. managing the items based on generalizations or rules of thumb, such as ABC classes, leads to inaccuracies for at least part of the items. These inaccuracies show up as poor service levels, high inventory levels, and high handling and shipping costs due to uneconomical order quantities.

In addition, the large number of items to be managed typically means that a large proportion of the buyers’ time is spent placing routine replenishment orders. Consequently, insufficient time is available to the strategic part of purchasing, such as supplier management, contract negotiations, and supplier selection.

RELEX helps wholesalers improve their material flows!

With the aid of RELEX’s software tools, our customers have managed to significantly improve their purchasing and inventory management efficiency. Among other things, our customers have benefited from:

• Service level improvements of tens of percentage points,
• Inventory reductions of more than 25 %,
• Labor reductions corresponding to several man-years in purchasing,
• Reductions of over 15 % in total delivery costs.

The RELEX Processor software provides excellent support for automated inventory management and purchasing in the wholesale sector. Read more about the RELEX Processor software on RELEX’s products site or request a presentation on how RELEX Processor benefits wholesalers.

If you are a wholesaler interested in developing your inventory management and purchasing but lacking information on the attainable benefits and required investments, the RELEX X-Ray analysis is for you.
Read more about the RELEX X-Ray analysis on RELEX’s services site or request a presentation on what RELEX X-Ray offers to wholesalers.