Whenever the topic of distribution comes up relative to the Indian market, it is usually focused on the big picture.

When I say big picture, what I am talking about is a 10,000-foot view of the many distribution challenges that companies face relative to our dispersed population and infrastructure complexity.

These are of course very important considerations. However we must drill down to the transactional level to fully understand the framework for creating a viable distribution model. One that will address not only these larger or broader challenges, but also tackle the practical obstacles on the ground into a streamlined process.

The other big picture

Visibility, true visibility is based on the ability to monitor and effectively manage events across an organisation’s end-to-end supply chain.

Seeing and responding to distribution-network-disconnects is particularly important.

Problems such as work duplication and order errors associated with manual entry systems, the inability to provide timely sales and service information, and the absence of meaningful business intelligence represents serious gaps in the channel.

While there are many key areas through which the above can be addressed, product visibility, order capturing and cash recovery are the primary tenets of a sound process.

For example, order capturing – including relevant product display to the appropriate distributor, differential pricing to each distributor – encompass several functional elements. An ability to handle multiple orders from multiple dealer and distributor tiers through a single, centralised platform is one critical area where the next generation of B2B tools excel. But it is not the only area.

A new and better vision

The emerging B2B platforms referenced in the previous section (IPF, January 2016), provide an intuitive interface that can usually be up and operational within days as opposed to weeks or months. Assessing these new platforms does not require a great expenditure of time or money. In fact the most advanced technologies have a certain ubiquity relative to offering a clear and seamless implementation and integration path into your current environment.

This commoditisation may make the process for differentiating one vendor’s solution from the next difficult in terms of technology.

This being said and accepted, identifying the most innovating B2B distribution providers will not be found in understanding their technological platforms alone. An accurate appraisal of their service capabilities and their ability to build strong and meaningful relationships with their clients will be the tipping point.

Ultimate functionality and success as it turns out, is driven by expertise and not just mere lines of code.

This is the foundation upon which distribution transformation and overall business success will be achieved.

Everyone Wins

This new vision makes everyone a winner.
From the client’s perspective, the following benefits are realised on an almost immediate basis:
a) Improved working capital through a reduction in outstanding receivables
b) Real-time connectivity with channel partners
c) Error free orders, and
d) Enhanced or strengthened relationship with dealers.
For dealers, distributors and buyers immediate returns include:
A more efficient way to purchase and pay
Real-time visibility of product, price and promotions, and
Improved cash flow and get benefits through the usage of credit cards.
cloudBuy provides all the above mentioned points in their cloud sales and distribution platform.

– Nilesh Gopali,
cloudBuy Country Head – India

Procurement evolution

As organisations seek to drive out cost, control spend and create competitive advantage, procurement is quickly evolving. And, in recent years, with the advent of the internet and big data, the pace has accelerated. With first generation solutions, businesses took the ways they had transacted for centuries and automated them. More recently we have seen second and third generation solutions entering the market. cloudBuy is a third generation solution – and we are actively building the next generation now.

First generation: Generally, automation begins with sourcing activity and then moves on to the cataloging of goods. The challenge here is keeping prices and products up to date, and ensuring end users have easy-to-use technology that facilitates the process. And, too often, users continue to ‘pick up the phone’ and avoid raising purchase orders if the process is onerous. This partial implementation of eProcurement is a key reason why organisations fail to make the expected savings from the transformational projects they have undertaken at considerable expense.

Second generation: The second generation is now here, with cloud-based solutions offering full integration with item-level sourcing systems and supplier back end-systems – to provide an accurately priced eCommerce environment from end-to-end. Third generation: Third generation solutions comprise integrated sourcing, purchasing, logistics and payment systems. These support item-level information, and complex pricing and charging, to fully automate the end-to-end process

The full benefits of eProcurement can only be captured with cloudBuy – a true third generation that integrates sourcing, purchasing, logistics and payments.

Next generation: The next generation of procurement systems will be fully integrated into all operations – and, based on content management technology to create embedded systems fully integrated with business processes.