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Vendor Managed Inventory is the process where the supplier generates orders based on mutually agreed objectives and demand information sent by the customer.

Vendor Managed Inventory (VMI) is a streamlined approach to inventory management and order fulfillment. VMI involves collaboration between suppliers and their customers (e.g., distributor or retailer) which changes the traditional ordering process.

The goal of VMI is to align business objectives and streamline supply chain operations for both suppliers and their customers. The operational benefits that can be leveraged by those companies operating a VMI solution is a result of:

  • Improved Inventory Turns
  • Improved Service
  • Increased Sales

Stock management is the function of understanding the stock mix of a company and the different demands on that stock. Click here to find out more >>

Inventory turnover is a ratio showing how many times a company has sold and replaced inventory during a given period. Click here to find out more >>

Collaborative Planning, Forecasting and Replenishment (CPFR), is a concept that aims to enhance supply chain integration by supporting and assisting joint practices Click here to find out more >>

VMI gives the supplier full visibility of demand along with better information about factors such as lead time, product launches, and packaging changes. Click here to find out more >>


Increase sales by avoiding empty shelves

Ensure your warehouses are always stocked with the right products at the right time with VMI.

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