Trek Global's ERP Resources

Choosing ERP for Distribution: Which Solution is Right For You?

cloud erp in the warehouseMigrating to a new ERP is a long-term investment in your company’s future. Most companies end up staying with their ERP for 6-10 years or more. Clearly, the solution you select today needs to meet your current needs while allowing for growth in the future. But planning for the future can be challenging as it’s difficult to foresee opportunities and challenges that lay ahead. As they say, “You don’t know what you don’t know.” To help you get started in your cloud ERP decision process, consider this: What features in ERP for Distribution are helping companies gain a competitive edge? Based on our experience with distribution companies like yours, we anticipate seeing more organizations will make the following ERP decisions to accelerate their success in the years ahead.

Select a Targeted, Cloud-Hosted ERP for Distribution

The distributor business model is unique and has its own special requirements for robust inventory and supply chain management, kitting and assembly, shipping and fulfillment, and financials. Companies are moving away from the trend of a one-size-fits-all ERP solution and instead opting for ERP that is highly customized for their industry. Companies are doing this for two reasons:

  1. ERP designed for distribution requires less (if any) custom development to align it to your business vertical. Most needs can be met through simple and less expensive configurations.
  2. ERP designed for distribution incorporates best practices for your industry. The system has been set up with defaults that are standard in your industry, along with the ability to tailor workflows, approval processes and system rules to better meet your company’s needs and create greater efficiencies.

Select a Highly Configurable Cloud ERP

Even with a solution that is designed for the distributor’s business model, you will need to tailor your ERP to meet your specific business requirements. As your business needs and strategies change, you’ll need to be able to adjust configurations so that your ERP effectively aligns. Consider how configurable the software is and how well documented the steps are for making changes.

Select ERP for Distribution that Integrates Well with Other Solutions

To create a seamless path between systems and improve the flow of communication across your business, you will need to integrate your ERP with your web stores, CRM, POS systems, and other business applications. When selecting a cloud ERP, keep in mind that the application’s APIs must allow for connecting to these applications.

Select ERP for Distribution with On-board Web EDI Capability

Electronic Data Interchange is a technology that trading partners use to electronically exchange data between their disparate systems. Companies that implement EDI can speed up their business processes 61%.1 The ability to utilize EDI may also be a driving factor in new business opportunities. For example, selling your products through larger retailers like Amazon and Best Buy may require EDI capability. Configuring on-premise ERP to include EDI is very costly. Look for cloud ERP that already includes on-board EDI functionality as part of the system.

You can find all of these features and more in Trek Cloud ERP. Learn more about Trek Cloud

Ready to Move to Cloud ERP?

Give us a call at 1-888-575-8445 or email us at [email protected]. We would be glad to assist you in exploring ERP options and best-fit solutions for your distribution business.

Sources Cited

1EDI Basics.