Sage Distribution ERP vs. Standard ERP Solutions

Sage Distribution Software

When you run a business, you have a lot of choices to make. You decide how many employees to hire, how much money to invest, what type of business to run, etc. One of the other choices you have to make is software. In particular, distributors have to choose between a specialized ERP solution or a standard software option. Without the proper knowledge and background information, this can be a difficult choice to make, but it doesn’t have to be.

Throughout our time in the software industry, we have seen the advancements in both distribution ERP and standard ERP products. Our experts have learned the drawbacks of each as well as the advantages. We know the different features and tools, and we also have seen which products best serve the distribution industry. You can learn all of this and more as you continue to read about:

• What Distribution ERP Is
• Why Businesses Use this Software
• How You Can Benefit from ERP for Distributors
• Distribution ERP vs. Standard ERP
• Top Distribution ERP Products

What is Distribution ERP?

Distribution ERP (enterprise resource planning) is the management of the front- and back-end activities in the distribution industry. These activities often fall under specific areas of your operation, including:

• Customer Service: Your customers play a huge role in your business’s success, so you should manage your communication, orders, and other aspects of your relationship.
• Transportation: Whether you distribute by road, rail, air, or sea, you need to manage all of your transportation resources carefully.
• Importing: Your imported resources should be tracked and monitored to ensure a smooth supply chain.
• Demand Planning: If you can predict that demand will increase, you will be able to plan for these distribution challenges without disappointing suppliers or customers.
• Warehousing: Distributors rely heavily on warehouses and storage space. Therefore, you should carefully manage this resource to distribute products most efficiently.
• Financials: As with many businesses, money is one of your most valuable resources, so your distribution company should carefully manage accounts payable, taxes, budgets, and more.

Why Do Businesses Use Distribution ERP Software?

Businesses continue to use distribution ERP software to integrate all of these different areas of their operations. With the right ERP product, you can keep everything in one place for more efficient planning. You no longer have to rely on multiple solutions to provide you with one answer. Instead, you can work with one reliable software that meets the specific demands of your business and industry.

How Can You Benefit from a Distribution ERP?

More specifically, distributors continue to switch to ERP solutions because of the many product benefits. When you start to use distribution ERP software, you can see its improvements in your business operations. While the exact advantages can vary from business to business, distributors generally report significant, measurable improvements in their:  

●      Operational Processes and Performance

●      Profitability Analysis

●      Business Visibility and Adaptability

●      Forecasting Accuracy

●      Inventory Management

●      Operation Efficiency

●      Customer Satisfaction

●      Retailer Compliance

●      Tracks Expenses

How Does Distribution ERP Software Differ from Standard Solutions?

You might be wondering what exactly makes a distribution ERP software different from standard ERP products. Though a traditional ERP offers many tools that can work with your business, you might find that it lacks specific tools for the distribution industry.

In many cases, you can integrate a standard ERP software with add-ons that best help you achieve these goals. However, this often defeats an ERP’s whole purpose—to keep everything in one place.

When you choose to invest in an industry-specific ERP, you can go beyond the essential functions with tools that:

• Track Inventory Levels
• Offer Built-in EDI Services
• Calculate True Landed Costs
• Handle Shipping from Supplier to Customer
• Manage Chargebacks
• Breaks Down Customer Allowances
• Manages Commissions
• Complies with Import & Export Regulations
• Improve Shipping Speed and Accuracy
• And More

TOP ERP Software Options for Distribution

If you’re sold on using a distribution ERP for your business, you probably are wondering which specific product is best. We recommend choosing one of the following options.

Sage Business Cloud X3

Sage continues to lead the way as one of the best software companies in the business. Their award-winning ERP solutions provide many benefits to small and large companies. We especially love how their Sage Business Cloud caters to distributors with transformative tracking and delivery tools. More importantly, the software is built to handle huge inventory challenges, long lead times, and diverse downstream customer requirements.

Sage 100c for Distributors

You can also choose another Sage product featuring an advanced bundle of distribution tools. With Sage 100c, you get the advantages of cloud-based software and a fully customizable interface. We also love the product’s business alerts that allow you to stay on top of any critical drops in inventory.

Discover More of the Advantages of Choosing a Distribution ERP over a Standard Solution

No two distributors are the same, so there is no one-size-fits-all solution to your industry-specific challenges. Instead, you must determine which option is best for your business. Fortunately, you don’t have to make that decision on your own. At Kerr Consulting, we have several helpful consultants ready to help you choose the right ERP for your company.

With decades of ERP accounting software experience, we know a thing, or two, about which products best serve our clients. We use all of our knowledge to help you choose a tool that fits your budget, company size, and business model. Our consultants can even determine which option works best with your current technology.

If you would like to find out more about why distribution ERP might be better for your business, then you should schedule a free consultation with one of our experts. You can contact us right away by submitting our online form, or we also have a convenient online chat where you can reach out to us with any questions. Lastly, you can give our local office a call to set up an appointment with one of our consultants.