What is DMS & its Importance?

What is a Distributor Management System?

Emerging markets are large and complex with thousands of distributors, millions of outlets, and billions of potential transactions. Manufacturers have to manage this vast network of big and small distributors while also juggling the conflicting needs of different channel partners. But how can manufacturers manage all of this with limited data and insight on the market? How can they take control? How can they manage people and promotions while still cutting costs? And, most important of all, how can we make it easy?

Well, the answer lies in versatile, smart yet simple technology is through a Distributor Management System. A DMS (Distributor Management System) not just controls your down-stream supply chain, but it also helps you control promotions, improve productivity, streamline inventory and sales processes, and distributor claims – you get accurate, reliable data on secondary sales. Put simply, it is the engine that drives all your sales and distribution activities.

Importance – Why is a DMS needed?

To understand the importance of using a Distributor Management System, we need to examine the critical challenges of Channel Sales Management in India

  • Majority distributors are small, unorganized entities that have inadequate capital and tech infrastructure.
  • Multi brand distributors find it difficult to manage data for the various brands they handle.
  • To penetrate rural areas, it’s necessary to add several levels in the distribution chain, adding cost and inefficiency.
  • Large distributors lack the actionable data and information.
  • Lack of real time data on orders, inventory, claims and returns leading to stockouts or overstocking.
  • Limited penetration of the internet, and substandard logistics infrastructure.

This lack of information management has an effect of delay over your entire sales pipeline.

How a Distributor Management System negotiates these Challenges

  • Sales Analytics and Trends
  • Stock Out Scenarios
  • Order Management
  • Price Circulation and Control
  • Stock Movement
  • Better Procurement Planning
  • Scheme Management

Conclusion

The ongoing product overflow and retail level saturation has made the role of a distributor incrementally important.

Automation, through a distributor management system (DMS), is critical to optimizing FMCG distribution. A good Distributor Management System streamlines all distribution workflows and activities, improves supply chain efficiency, eliminates stockouts and overstocking and allows companies to access real time data from distributors.

With the right software platform fueling your sales and distribution activities, you can achieve high performance in even the most fast-moving and fragmented marketplace. And that is where the EAZY DMS (Distributor Management System) comes in. Designed for businesses in emerging and developing markets, EAZY DMS is a distributor management system that provides complete visibility of your secondary Sales or stock lying at your distributor’s end. It readily integrates with your distributor’s Tally, so that you don’t have to deploy a separate portal at your distributor’s end and still can keep track of all relevant information. The distributor can keep using his existing Tally software for his billing.