INFOMAN eDMS helps reduce inventory carrying cost resulting in higher profits
Car dealer inventory management is a unique challenge. Based on trends, a dealership may purchase multiple models yet a customer wants a specific model. Today the customer is well researched , so keeping a fresh inventory is the need of the hour for every dealership. It helps to create an aging policy that holds sales team accountable for old stock . Cars that languish at Dealerships for more than a few weeks, month are cause of money being blocked. Dealers have to stay on top of aging of inventory if they wish to optimise Inventory carrying costs.
INFOMAN eDMS offers a well designed FIFO system for better inventory management system that leads to better management of Inventory and thus improved ROI.
FIFO Allotment – INFOMAN eDMS ensures allotment of vehicles is done on FIFO basis. System ensures that older chassis of selected Variant and Colour is billed first. This minimises aging of stock of vehicles, and reduces Interest outflow on Inventory Carrying costs
Inventory Analysis – Dealers will be able to know aging of each chassis at every showroom / location. They can see – Free, Allotted and Blocked Vehicle stock for a Model, Sub-Model, color on their Mobiles / Computers. Customer queries about availability of model / colour of a Variant is answered instantly. System also sends alert to top management about older inventory.
View Real Time Stock On Mobile App – For the sake of time and efficiency, managers will be able to access systems (Through Web/Mobile App) and know the stock position at all locations from anywhere at anytime.
Auto revoke of allotment – Sometimes sales executives block vehicles (even for more than 30 days) by getting them allotted resulting in financial loss to the dealership, if the Chassis is not billed quickly. INFOMAN eDMS provides feature of Auto revoke of allotment if a vehicle is not invoiced within a specified time.. Alerts are sent to top management and customer when Allotment is revoked.
Reduce inventory carrying cost resulting in higher profits – As per our study, INFOMAN eDMS users were able to reduce their stock (Aged more than 60 days) value by 60-72% by implementing FIFO methodology. Dealers can reduced Interest costs of carrying inventory for bank funded vehicles.
Technology defines systems for scalable growth – Managing inventory of consumable items, Non-OEM trading items can be done more efficiently by adapting technology as it defines processes for scaling up operations. It reduces person dependency and is more reliable and cost effective in the long run.
Contact our expert Mr Sanjay Koul to know more about some of the best practices for efficient Inventory Management.
Mr Sanjay Koul