Wholesale and distribution companies have a lot of potential for growth and success, but only when their business is managed correctly. Hiring a professional business consultant to assist with this will provide an organization with the opportunity to resolve problems, improve processes, and get better results in terms of profits based on those changes. Professional business consultants have been providing professional consulting solutions for warehouse companies and other industries for many years, and has a lot of insight on the consulting industry.
Wholesale brands need to have strong administration and management in place, as well as a solid business structure. This includes sales and marketing, delivery, purchasing, inventory, and other warehousing matters. In addition, the organization needs to have a strong control of their operating expenses to lower costs and increase profits. There are plenty of areas for improvement that a business consultant will look for in their analysis of the wholesale company, including things like:
Warehouses need a strong sales team that is properly trained, has defined territories, and that has a rewarding compensation plan that focuses on productivity. Additionally, systems and metrics need to be in place to track sales, profitability, individual sales reps, product lines and products, order history, and related information. Reviewing the product line and sales team regularly will ensure that your marketing stays fresh.
Purchasing needs to have clearly defined policies in place that explain the responsibility and authority of everyone involved in the transaction. Sales forecasting software is necessary to maximize production and coordinate purchasing, as well as financial management software to track every transaction. Vendor management software will also be helpful, as it provides access to a list of vendors, their inventories, and your costs for product.
Inventory controls are a must-have, as they will provide accurate inventory counts and metrics. Your warehouse should have a strong inventory strategy that includes seasonal variations in product stock, as well as the right inventory tools and methods to reduce tied up capital by eliminating slow-moving or obsolete items.
A solid management structure needs to be in place, along with the responsibilities and authority of key roles being clearly defined. Management also needs to have the information to measure performance of employees and to create a streamlined process of daily operations to reduce expenses and improve productivity.
An overall review of the warehouse layout and design will provide insight to the order picking and shipping process, giving you the chance to make the most effective flow possible. Security measures should be reviewed as well, in order to keep theft and shrink at a minimum. Supervisors should have the right tools to do their jobs and training needs to be provided to all employees based on their position.
The wholesale industry is one that can turn a good profit, if you get in the right way. While there are a lot of details involved in the consulting process, it’s going to set your organization up for better success, higher profits, and increased growth through production increases and more efficient operations. Having an industry-specific resource to help you streamline and improve your wholesale business is going to make all the difference in your success. You can find all kinds of resources for professional business consulting for wholesale industry, but often this is a job best left to the professionals.
In a wholesale or distribution center, the focus is usually on the order picking and shipping process, as this is the most common task performed within the facilities. Of course, every business is different, so a custom consultation will ensure that all of the right topics are covered and the necessary improvements are made.