Client Overview
Micro Channel Management (MCM) provides services to major hardware vendors to access the Canadian Distribution channel. MCM is a Canadian distributor for major product lines and help vendors quickly establish a Channel sales model. The major Tier-1 Global technology distributors and leaders in technology sales, marketing and logistics use MCM to support logistics, inventory information and payments though the distribution channel from manufacture to wholesaler.
The Challenge
Micro Channel Management (MCM) had a great idea for a business model to manage the complex and time consuming process of product channel relationships. They offer their customers access into the global technology distribution channel and do all the product set-up, inventory processing and financial clearing for goods to get new vendor offering into the marketplace quickly and at lower costs to both vendor and distributor.
This process requires very creative software. A distribution application with confirmations to manage the flow of goods and funds between the manufacturer and distributor. MCM had not yet found a software solution that managed this model. Without a well designed computer application to control the processes involved in the movement of millions of dollars of inventory, their business operations would not work.
The Solution
Beckard Associates reviewed the process that Micro Channel Management (MCM) wanted to offer clients and said, “Yes, we can help you do that”. Using Masterworks Wholesale Distribution System and some customization, we created a system that managed the flow of goods in their supply chain. MCM was able to manage inventory and money from the vendor to the distributor without ever having to receive any physical products.
MCM is now able to expand their business model across North America. They supply cost effective on-boarding for hundreds of diversified vendor lines in the technology hardware and software channel. The Masterworks software system uses EDI and file transfers to:
- Process sales and purchase order information from major distributors to the vendors
- Facilitate the movement of inventory from the vendor supply depot directly to the distributor’s warehouse
- Manage and clear payments from these distributors for the vendor
Micro Channel Management (MCM) has created a service in the supply chain that reduces costs and adds value to the relationship between manufacturer and distributor. With the help of Beckard Associates and the Masterworks Wholesale Distribution Software system, they continue to grow their logistics support business.
The Results
- Customization of existing software to provide unique functionality for a unique business model. MCM is now a major partner to the logistics supply chain for global technology vendors.
- Reduce costs by automating a very complex business process. Processes are automated and costs for transactions are minimized, adding value to all participants.
- Use EDI and other standard data exchange practice to pass data efficiently and quickly between manufactures and the distributor. Errors are reduced by limiting human input.