Industrial products companies face several challenges in their operations. SKU proliferation is a constant struggle as product lines advance and evolve. With many products manufactured overseas, industrial distributors also face inefficiencies in warehousing and inventory management due to fluctuating demand and supply chain disruptions. Rising competition and customer expectations is also creating a push for quicker delivery times, requiring the adoption of multi-channel distribution models and advanced logistics strategies.
While automation technologies typically help companies deal with issues such as SKU proliferation, increasing inventories and complex channel mix, it remains critically important to design systems with the right mix of flexibility and reliable performance. System failure at any point can lead to lost sales, unacceptable waste, and damaged trust. While each industry sub-group and individual company has a unique set of challenges and requirements, there are key challenges that are common across industrial distributors: