The plumbing supply distribution sector, like many other industries, faces unique challenges in today's business environment. These challenges range from regulatory compliance to managing technological change. Find out more about the primary logistical challenges that plumbing supply distribution firms ought to be addressing right now.
Distributors of all types of goods ought to strike a balance between understocking and overstocking. On one hand, too little stock can lead to missed sales opportunities and disgruntled customers. On the other, too much stock will mean suffering from increased inventory carrying costs.
In plumbing equipment distribution, the effective management of inventory levels requires accurate forecasting of future market demand, these days. This is not always straightforward given the relative unpredictability within the construction sector as a whole. This is why many firms in plumbing distribution now utilize big data analysis to help them in their decision-making.
All too often, plumbing supply distributors face the challenge of maintaining sufficient product integrity. Although they could hardly be described as perishable, some plumbing supplies, such as PVC pipes and fixtures, are susceptible to damage when stored or handled improperly. For example, some products are not designed to be exposed to UV light for prolonged periods while others may suffer if they're placed in locations where heat will adversely affect them.
Sometimes, corrosion can also be an issue that affects the long-term quality of plumbing components, as well. As a result, plumbing equipment distribution specialists need to invest in high-quality storage and transportation facilities while also making sure their warehouse staff is properly trained to handle easy-to-chip items, such as bathtubs, correctly. If not, they can soon gain an unwanted reputation for a lack of care or an increase in undesirable product returns.
The integration of modern technology is a significant challenge in the plumbing supplies distribution sector. Although advances in technology have led to some cost savings among some plumbing distributors, uptake hasn't been universal in the industry. With a marked upturn in customer expectations for the efficiency and transparency that product tracking technology, for example, enables those distribution companies who haven't adopted such technology can seem outdated.
After all, plumbing retailers now expect real-time updates on their orders and faster delivery times. Without sufficient investment in technology that allows for this, some plumbing equipment distribution enterprises may find they continue to lose market share. Meeting these expectations will often mean continued investment and forward planning in warehouse management systems and fleet tracking technologies, among other types of systems.
For more info about plumbing supplies distribution, contact a local company.