How Could Integrated Distribution Software Improve Customer Service?

Studies show that integrated distribution software can be the key to improving customer service for distributors and manufacturers. In particular, one study by IDC Manufacturing Insights illuminates how both new and established firms are using enterprise resource planning (ERP) software to improve their customer experience.

An article on CXOtoday.com details the study, which surveyed more than 460 companies from multiple sectors worldwide, including industrial machinery and equipment, high-tech and metal fabrication. The study revealed that many distributors and manufacturers do not fully understand how a customer-oriented strategy can be implemented in their business.

“We advise manufacturers with less than inspiring customer service to take a good look at how their systems and processes can be improved to better support a customer-oriented strategy,” suggests Pierfrancesco Manenti, head of IDC Manufacturing Insights research practice in Europe, Middle East and Africa.

Implementing a more customer-oriented strategy includes the adoption of an integrated distribution solution. Providing quality service and support on products will provide a positive customer experience and inspire customer loyalty.

“The research also uncovered that manufacturers can improve the customer experience by investing in a modern, fully integrated, flexible and easy to use ERP system that streamlines operational processes and connects back office with front office by offering integrated CRM [customer relationship management], warranty and aftermarket functionality,” the article states.

An integrated distribution suite that combines CRM and ERP solutions enables end-to-end integration. This allows sales reps to communicate with customers and back-office employees. By ensuring a seamless process from quote to cash, customers will gain confidence in the supplier and return with their business in the future.

“In particular, nearly 75 percent of large manufacturers with 5,000 employees or more indicated that their ERP is a vital platform for delivering a good customer experience as it connects the back and front office operations,” the article states.

Many distributors, however, have not realized the potential profitability increase that an integrated distribution suite can bring to their business. This may be due, in part, to the fact that many companies don’t yet understand the benefits of a customer-oriented strategy.

Source: CXOtoday.com, July 2013