News & Media
52% of Wholesale Distributors are Moving to the Cloud – Are You?By: Klugo Group05 July 2017 Klugo News, News
And if not, what are you doing about it?
Traditional software used by many wholesale distributors is actually creating a barrier to product innovation and business growth, as IT costs are increased while business efficiency and accuracy are significantly decreased. More and more companies are seeking ERP software solutions to support their wholesale distribution businesses.
What are others in the industry doing?
52% of Wholesale Distributors are now using ERP software solutions. An increasing number of businesses are using cloud-based software rather than several disjointed systems in favour of the transparency it brings across the business. With one system that comprehensively manages everything from financials and accounting to warehouse management, inventory and demand planning to sales and marketing, everything is in one place – all you need is an internet connection.
66.5% say they want to improve employee productivity while 55.8% seek to streamline/automate business processes.
However, difficulties arise with the traditional generation of distributors who may be struggling in the Australian market but have no real desire to invest in technology. While this is the case for a proportion of distributors, the innovators are experiencing much more success in a tough market because they are open to adopting new ways of business.
“There is a real need for wholesale distributors to move to a modern platform. It’s something that must be addressed within businesses, as the future is becoming increasingly digital. If you aren’t on board, you’ll be left behind” says Tania Large, Business Consultant at Klugo.
52.4% of Australian wholesale distribution companies are already in the process of upgrading their technology systems, with a further 20.3% aiming to update by the end of 2017.
Richard Kloé, Managing Director at Headland Machinery, explains “using NetSuite cloud technology gave us a competitive edge in an incredibly tough market. Wholesale distributors are adapting to changes in the industry, which means more freedom and ease to distribute across multiple channels and therefore really driving success in the global economy.”
Benefits of Cloud-Based ERP Software Solutions
Using manual methods to carry out sales processes and administrative tasks can take hours, whereas with a cloud-based system, time consuming tasks such as submitting orders from the field to the back office can be automated and finished in under an hour, meaning that employees have more time to focus on other work and customer relationships.
“A cloud-based business platform will transform the future of a business. We operate in a global economy – therefore we can sell to anyone anywhere, and we need to make the most of anything that can help with this” says Annaliese Kloé, CEO of Klugo and Managing Director of Headland Machinery.
If you’d like to speak with an expert to find out how cloud technology can grow your business, call us now on 1300 766 011.