October 25, 2012

Tips and Best Practices for Vendor Managed Inventory (VMI)

­­­­In a previously published MDM.com ­­interview, Thomas A. Kozak, president of Pan-Pro LLC stated “Vendor Managed Inventory (VMI) is eliminating work, not automating it. And VMI is giving our teams the tools to do their functions better, not just to do what they have been doing faster.” We’ve put together some resources to help you figure out how you­r company can benefit from VMI to eliminate waste and work.

Vendor Managed Inventory 101

Get your feet wet with posts by two VMI service providers introducing the concept. Datalliance, an electrical industry provider, illustrates how processes improve and specific goals are achieved through the use of VMI. Trade Gecko, serving the small and medium enterprises in wholesale, provides a straightforward explanation and outlines some risks and best practices. Read the Datalliance post> ­ Read the Trade Gecko post>

Vendor Managed Inventory: Benefits of a Transit Supply C­hain Network Realized

This article thoroughly discusses the various steps and initiatives Neopart undertook when implementing VMI in the transportation industry. The best practices shared can be applied to your industry and cover everything from developing performance indicators at the start to an analysis of post-launch benefits. Read the metro-magazine.com article for manufacturer tips>

Streamline with VMI

An oldie, but goodie. In this tED magazine article, Joe Hart, Director of Purchasing and Material Management at Kirby Risk Electrical Supply, shares how VMI implementation increased the company’s efficiencies and productivity. According to Kirby Risk, VMI supports the most efficient supply chain model and increased their inventory visibility so that inventory quality is at an all-time high and relationships with suppliers such as Hubbell, Ideal, Siemens, and Thomas & Betts are optimized. Read the article on tEDmag.com for an electrical industry perspective>

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