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VMI: a great option for your industry

VMI better known as Vendor Managed Inventory seeks to optimize inventory management, enlistment and order preparation, through supply chain management. It is a cooperative model between client and supplier that share crucial information for the administration, management and replenishment of inventories.

The process of a VMI Inventory can be described in: data communication, calculations, monitoring and reporting.

To guarantee its operation and evolution, 3 essential elements must be taken into account:

  1. The VMI is a commitment of the entire organization in which the provider understands and assumes the responsibility of supporting his client with a high level of service.
  2. Through formal and written agreements, the parties have defined compliance with the following points:
  • Delivery times
  • Planning Horizons
  • Security inventories
  • Exception Handling
  • Transfer of inventory ownership
  • Frequency of information update
  • Indicators of performance
  • Roles and responsibilities of each party

3. Communication. The correct operation of the VMI is based on the constant communication between the parties to understand the limitations and opportunities of each of them. There must be constant communication between provider and customer.

 

Choose your reliable provider, write to infomexico@mesinc.net for more information.

 

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