Retailers are under pressure to deliver goods to their customers on-demand. Hence, they need to take a second look at retail procurement so that they can cater to their customers on the fly. Otherwise, they risk losing customers as they will be unable to get products to their stores on time.
Here are some tips that retailers and their suppliers can use to improve retail procurement and stay ahead of the competition:
Manage inventory in real-time
Supply needs to be aligned with demand but, more often than not, retailers struggle with long supply chains. They can benefit by using technology to their advantage. Retailers who use cloud-based software are able to track and manage their inventory in real-time. It allows them to adapt to changing demands based on seasonal trends and market conditions.
Use RFID to track inventory
In retail procurement, it is imperative to stay ahead of the curve. So, procurement professionals should know where their merchandise is in any channel. They should also be aware of the volume. The best way to get these details is to use radio-frequency identification (RFID) to tag the merchandise. This way, retailers will have accurate knowledge of their inventory and supply chains and be in a better position to make business decisions.
Use e-procurement network to avert supply chain disruptions
In a highly competitive marketplace, it is not enough to know just the supplier. Retailers should make an effort to also get to know their suppliers’ suppliers. This is possible with the help of a B2B procurement network, as it allows retail procurement professionals to keep track of the entire supply chain, forecast any disruption in the chain, and take proactive measures to avert issues.
Retail procurement has benefitted from technology, and procurement professionals should adopt technology to cater to the omnichannel retail world.