Services for Enterprises
Vendor Managed Inventory
The Need of VMI
- VMI started due to Just-in-time requirements of OEMs, primarily in the automotive segment
- Responsibility of managing inventory shifted to suppliers
- Suppliers take ownership of ‘assembly line - ready deliveries’ for being directly put in production
- Frequency & quantity of deliveries decided by OEMs and communicated to suppliers
- Suppliers outsource inventory management to logistics service providers
- Inventory maintained at a location near to the OEM’s manufacturing units
- OEMs play a very important role in recommending logistics service providers that suit their requirements, to their suppliers
Benefits of VMI
- Better Inventory Control
- Minimize or better control on inventory levels
- Reduced idle inventory and inventory holding costs
- Short replenishment lead times
- Warehousing and secure inventory management
- Efficient order-fulfillment
- Assured just-in-time deliveries at OEM’s supply lines
- Real-time delivery schedules & supplier inventory data
- Allows OEMs to maintain flexible production schedules to align it with actual sales – owing to extreme fuel price fluctuations & automotive business volatility
- Supply Chain Improvements
- No more fire-fighting with phone calls and floods of emails
- Enhanced visibility of your supply chain
- Ensure a lean supply chain
- Improved working capital cycle
- Reduced cost of warehousing & transportation
VMI at Safexpress
- Assembly line- ready deliveries to OEMs in bins, racks or crates as required - Box-in Box-out, Box to Bin and Box to trolley
- Dedicated VMI team at each location, with inventory controllers & a central cell for monitoring and visual quality checks
- Daily MIS reports on inventory levels, part numbers and invoice numbers
- Value-added services including quality checks, repacking, cleaning and wiping, barcode labeling, racking, bin tagging, order management, supplier-wise inventory management and documentation (permits, MODVAT, PODs, etc.)
- Delivery Schedule Management
- CRP (Continuous Replenishment Planning) - Supports optimum inventory management
- Dedicated Space for sorting & racking
- OE portal updation with full delivery schedule and inventory updates
- Customer relationship management and supplier relationship management
- Specific material handling equipment & pallets can be deployed to suit the requirement
