Increasingly, supply chains are dependent on close collaboration between manufacturers and customers. Traditionally, it has been the responsibility of the customer to manage its own inventory.
Vendor Managed Inventory (VMI) reverses this process where it is the supplier who makes planning and distribution decisions on behalf of the customer.
I-Plan enables effective VMI by providing you with key customer data such as point of sale information and daily stock levels. This allows you to manage your customer’s inventory and deliver exceptional customer service.
In practice this means you can place orders on your customer’s behalf and ensure your customer’s inventory is replenished at the right time to the appropriate levels.
This role reversal has three primary benefits:
1. Having visibility of your customer’s inventory enables you to maintain supply without any disruption of your customer’s operation
2. This continuity of supply can be guaranteed even when you are faced with unexpected fluctuations in demand
3. It creates a strong bond of trust, based on operational efficiency, between you and your customer, which is more likely to result in lasting commercial relationships
Above all, it is a collaborative relationship between supplier and customer and I-Plan is the perfect platform to make this relationship a success.