Vendor-Managed Inventory and Warehousing Solutions
Vendor-managed inventory, or VMI, is an approach to supply chain management that places the responsibility for managing and maintaining inventory on the vendor. In VMI for packaging, this involves the monitoring of inventory levels and usage patterns, the forecasting of future changes in demand, and the maintenance of inventory to ensure that packaging is available when and where it’s needed.
VMI is a powerful tool for improving the efficiency of the supply chain by reducing stockouts and optimizing inventory levels. Through digital real-time visibility into demand, the vendor can accurately predict the needs of their customers and maintain the ideal level of inventory. This results in lower inventory carrying costs and reduces the risk of product obsolescence, saving time and money overall.
What are the Benefits of Inventory Storage for Packaging with VMI Services?
With a strong, collaborative relationship between you and your packaging partner, VMI services can:
- Reduce stockouts — By ensuring that packaging materials are always available to meet demand, the risk of stockouts and production delays can be significantly reduced.
- Lower inventory carrying costs — Through accurate demand forecasting and streamlined inventory management, VMI helps reduce carrying costs due to excessive inventory. It also minimizes the risk of product damage due to improper storage conditions and drastically reduces material waste.
- Improve Efficiency — With VMI, you don’t need to manage and track your own inventory. This allows you to stay focused on your core business operations. It also helps you save money that would have been spent on storage costs and inventory management labor.
- Enhance Customer Satisfaction — VMI ensures the consistent availability of all your custom packaging solutions, enabling you to meet customer demand promptly. By doing this, you can build a brand reputation for timely and reliable deliveries, which fosters increased customer satisfaction and loyalty.
- Promote Tighter Supply Chain Integration — With the close collaboration and information sharing necessary for a successful VMI approach, you and your packaging partner will enjoy a more holistic and beneficial relationship built on responsiveness and teamwork.
Vendor Managed Inventory with Axis Corrugated
At Axis Corrugated Container, VMI is the foundation of our Just-in-Time shipping capabilities. With our extensive warehousing and storage capacity and our robust fleet of delivery trucks, we are committed to providing in-house services for managing your inventory, predicting your needs, and delivering your supply so that you can stay focused on running your business.
Ready to optimize your inventory management and streamline your supply chain? Get in touch today to learn more about VMI and our other capabilities.