Distributors as a group are actively seeking new systems. For many it is simply about timing, the systems in place are aged and no longer well supported and the current marketplace demands new capabilities. In response to the pressure from mass-market retailers many Distributors are rushing to add e-commerce; however, becoming an intelligent enterprise does not mean e-commerce alone. Paul Pretko summed this up nicely in a recent blog post “By intelligent enterprise, I mean a new system that may include both intelligent ERP and integrated B2B and SCM solutions.” https://blogs.sap.com/2021/07/22/conditions-that-have-distributors-embracing-a-new-erp-system/

In the United States alone, Wholesale Distribution industry employs approximately 5.68 million representing 3.6% of US employees. https://www.the-future-of-commerce.com/2021/04/22/what-is-wholesale-distribution-definition-examples/.  Despite the industry’s size, Wholesale Distributors have a reputation for being slow to adopt new technologies. This appears to be changing.

In recent years the industry has been under pressure from changing marketplace demands. This pressure comes from growing mass-market retailers in addition to changes in the B2C marketplace. Buyers have grown accustomed to new technology trends and better customer service.  They also expect their B2B transactions to mirror their B2C transaction experiences. The global pandemic brought supply chain challenges to the average consumer’s awareness, but smaller disruptions continue to require adaptability.  2021 examples included train derailments, Suez Canal blockage, widespread regional fires to name only a few.  Now, as we are going about the business of “going back to work” there are additional challenges. A growing percentage of the employable workforce are reluctant to take jobs with repetitive manual tasks and instead seek meaningful work.

So how is Intelligent Enterprise addressing these challenges for the wholesale distribution industry?

Let’s begin with sales. Without sales, there is no revenue generation and without revenue, there is no business. Today’s consumer expects to research a product and make a purchase across many platforms; on their personal mobile, on a computer, on a social channel and in the physical location.  As these platforms have grown, businesses have adapted and often created multiple siloed channels to reach all their customers. This method of differentiating POS, Mobile Sales, and Call Center Sales is quickly becoming antiquated. Businesses that move to one cross-channel method of sales will streamline their operations, reduce redundancies, reduce TCO (total cost of ownership) and increase revenue through a better customer sales experience.

Businesses will need to begin with a powerful ERP system, to facilitate this, SAP has created RISE offerings by Industry.  RISE packages a suite of SAP and partner built solutions into a unified consumption based subscription model, for that industry.  SAP Industry Cloud solutions are developed based on deep knowledge of that industry’s business processes. There are many benefits to cloud solutions, including reduced implementation time, reduced support cost, elastic scalability, and simplified advanced security features.  Partner solutions allow you to extend SAP’s core cloud offering with niche products that fit specific needs that are unique to different industries.  Partner solutions typically offer specialized industry specific functionality with a fine-tuned user experience, automation of repetitive tasks, and aggregation of data and processes to maximize user efficiency.

DataXstream is pleased to announce that the industry-leading solution, OMS+, is included in the Wholesale Distribution Industry SAP RISE package. OMS+ is an important part of the journey to intelligent enterprise for wholesale distributors. OMS+ is a cross-channel order management solution that extends SAP Sales & Distribution for a streamlined sales experience and better customer sales outcomes, resulting in faster time-to-quote, increased customer satisfaction, optimized inventory management, and increased margins/revenue. DataXstream’s customer DNOW is participating in SAP’s Industries Live session September 30, 2021 to discuss their business transformation and the role OMS+ is playing in this transformation.

Change and disruption never stop, however with the right technologies your business can evolve and adapt

SAP Industries Live 2021 / Wholesale Distribution

September 30 2021

11:00 AM ET

Join the session learn from industry experts, hear about key solutions

https://event.on24.com/wcc/r/3356072/5B6B21ABB487F463DDFC33C49CFCA48D