We recently assisted a mid-market chemical distribution company with selection of a new distribution/ERP software solution. Their business is selling bulk hazardous chemicals to industrial and agricultural customers throughout the U.S. and Canada. Their biggest challenge was finding software in their price range that was robust enough to service their distribution process. Some of the unique and key “Differentiating Criteria” requirements that drove this selection were:
- Small business with a tight budget and no IT department
- Capture inventory valuation at pickup (based on tonnage, purity, etc.)
- Revenue sharing with producers based on individual agreements and actual product delivered (tonnage, purity, percent, etc.
- Tracking of chemical composition, quality, etc. for each shipment
- Ability for the company’s customers to track delivery status
- Complex sales analysis needs
The list of vendors evaluated for this client included both niche distribution focused vendors as well as general ERP software solutions. In the end, they ended up going with a specialty distribution vendor because of the software vendor’s knowledge of, and the specific functionality focused on their industry. The point is that you should consider all of your options – not just the most well-known vendors as there may be some key advantages of smaller vendors that focus on your industry and are a perfect fit for your organization.
Posted By: Spencer Arnesen