by Andy Thomas

As an engineer, one of the most important aspects of your job is to ensure that the projects you are working on run smoothly and efficiently. One way to achieve this is through the use of Vendor Managed Inventory (VMI). The VMI system we offer at Euromarc is called QUICKSTOCK™.

This system is a powerful supply chain management strategy that can help engineering companies in New Zealand optimize the flow of goods between the supplier and the customer. In this article, we’re sharing six key benefits of implementing VMI.

 

  1. Reduced inventory costs: One of the key benefits of VMI for engineers is the ability to reduce inventory costs. By having a supplier manage their inventory, engineers can free up resources and focus on other aspects of their business. This can be particularly beneficial for projects with limited budgets or those looking to reduce waste and associated costs.
  2. Improved delivery times: With VMI, suppliers can quickly identify and fulfil customer demand, resulting in faster delivery times. This can be especially important for projects with tight deadlines or those that rely on just-in-time (JIT) inventory systems.
  3. Increased efficiency: By having a supplier manage their inventory, engineering companies can free up resources and focus on other aspects of their projects, such as research and development. This can help drive innovation and improve overall performance.
  4. Better forecasting and planning: Suppliers can use VMI to gain a better understanding of customer demand and make more accurate forecasts. This can help engineers in New Zealand plan their projects more effectively and avoid delays.
  5. Better inventory management: With VMI, suppliers can use real-time data to optimize inventory levels and reduce stockouts. This can help engineers in New Zealand avoid costly stockouts and improve their project management.
  6. Improved cashflow: With the supplier now bearing the burden of the cost of the inventory. This avoids tying up valuable cash in consumables that may not be turned over for a long period of time.

 

Overall, VMI is a powerful supply chain management strategy that can help engineers in New Zealand optimize the flow of goods between suppliers and customers. With VMI, suppliers take on the responsibility of managing the inventory of customers, with the goal of reducing inventory costs and improving delivery times. This can lead to benefits such as reduced inventory costs, improved delivery times, increased efficiency, improved cashflow, better forecasting and planning and better inventory management. Engineers in New Zealand looking to improve their companies’ efficiencies should consider implementing VMI to see the benefits for themselves.

 

Learn more about Euromarc’s VMI System QUICKSTOCK™ here…