Does your organization order large quantities of parts? Then an order management system is an absolute must-have. Only then can you make the large flow of parts transparent and keep the costs manageable. Or on a positive note; good automation of your parts ordering can save you a lot of money!
Challenges in parts order management
It seems simple, ordering the right parts at the right time. But in practice, it is much more complicated. Just a few of the challenges you face in parts order management:
- How do you determine reorder points? What parts do you want to have in stock at all times? What minimum stock levels do you use?
- If you have multiple branches/warehouses; will you order centrally or decentrally? How important is delivery time? What are the costs of orders and transportation? Who is authorized to order?
- How do you track changes to prices and item files? How do you record replacement items? Can you import vendor catalogs into your system?
- Is it possible to simplify the ordering process? E.g. by interfacing with suppliers' systems.
Benefits you can gain
Do you have your parts order management well organized and automated? Then the benefits are enormous. Costs go down, your processes become more efficient, profits increase and customers are more satisfied. You achieve this by, among other things:
- Improved on-time delivery
- Lower inventory levels
- Fewer missing or incorrect parts
- Better inventory visibility
- Less time spent placing orders
- Lower storage and transportation costs
Therefore, don't skimp on automation of your parts ordering, but make sure it is excellent. A specialized partner can help you optimize your ordering processes, interfacing with suppliers and making choices when setting up the system.
Hans Dewaide is Senior Consultant at Dysel and specializes in automating business processes using industry-specific software solutions.
