1) Viega VMI creates a recommended replenishment order based on key factors and agreed objectives
2) Purchase order is sent to purchaser for approval as well as additions and/or changes
3) Once purchaser provides final approval, the order is processed and shipped
WHAT'S THE REASON NOT TO SWITCH TO VMI?
To remain competitive, distributors should embrace technology and adopt best practices.
VMI is proven to provide excellent top and bottom line results in a variety of industries.
FAQS
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Q: Will my POs be fulfilled first if I’m on VMI?
A: Yes, Viega prioritizes and processes the VMI orders based upon the agreed upon release and ship days.
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Q: Will I lose control of my inventory?
A: No. The Viega VMI solution will provide:
• Continuous access to information, allowing regular monitoring of inventory details and measurement against objectives.
• Reports and exception alerts that ensure any potential problems are recognized early so they can be collaboratively addressed and avoided. -
Q: We have been ordering the traditional way forever. Why would we change now?
A: If a customer wants to remain competitive into the next century you must anticipate - look for ways to ‘fix it’ before it breaks. VMI is proven to provide excellent bottom line results in a variety of industries.
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Q: Will sensitive information like sales, usage or inventory figures be kept confidential?
A: Yes. Information like demand and inventory is required for effective VMI, but detailed information about the end customer (e.g. sales price, address) is not.
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Q: I like my Inventory Management System, so why should I let Viega manage my inventory?
A: Viega will not replace your current ERP platform; rather we would supplement your system. We’ll take responsibility for day-to-day ordering and free up your valuable resources to maximize ROI and provide the value of Viega expertise and product insight through VMI’s collaborative ordering process. Your ERP system will still see the inventory, so you can evaluate at any time just the same as you do today.
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Q: How will I know if it’s working or not?
A: Based on the mutually agreed upon goals, such as turns and/or fill rate, Viega monitors these metrics weekly and will communicate any anomalies and determine the appropriate adjustments. In addition, Viega will perform formal performance reviews between quarterly and annually, based on preference.
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Q: What’s in this for Viega – why do you want a distributor on VMI?
A: Many reasons, but the most important are:
• Better visibility into channel demand, which helps with forecasting, which helps delivery performance.
• Visibility into the “health” of our distributors’ inventory. Do we have the right products on the shelf?