Retailers are always looking for better ways to buy from suppliers while reducing billing and payment overheads. While this might be easy for a small retailer, effective vendor management and supply chain collaboration becomes difficult when you’re dealing with many parties. Thankfully, cloud-based vendor payment management solutions are introducing new ways to address various complex supply chain challenges. Let’s take a closer look.
Fewer Middlemen Improve The Supply Chain
Cloud-based vendor payment solutions allow for a more transparent supply chain. Data sharing between partners allows both parties to access transaction information on demand. This helps retailers act on market opportunities and facilitates better inventory and vendor management. With everyone on the same page, the effects of miscommunication—such as over or under stocking of inventory—are eliminated. Transparency in cloud payments means all stakeholders stay in the loop; thereby creating stronger links in the supply chain.
Financial data security is a chief concern for any business. Cloud payments reduce opportunities for fraud with built-in security mechanisms. For example, mobile payments don’t transmit sensitive data during transactions. Instead, highly secure tokens travel the network. These are resilient against malicious actors or interceptions. Furthermore, neither retailer nor supplier can see any sensitive data belonging to their partners, as they are encrypted within the digital token.
A Consolidated View Of Your Supply Chain
A BDP International report on supply chain visibility found that, “Less than 50% of companies have access to accrued supply chain costs, which adds risk to upstream decisions on product movement, especially without cost visibility.” Vendor payment management software gives retailers visibility into their supply chains to combat these challenges. As a result, shrinkage issues, overpricing, and underperforming vendors are managed more effectively. Cloud payments make this possible with centralized data that can be shared quickly and easily. This means retailers can better manage the overall cost of goods, while making better merchandising decisions across outlets.
Full-service payment systems centralize payments and inventory tasks through a single interface. This allows for more detailed reporting that includes supplier and retail data, thus giving retailers insights into better stock and vendor management. Simple user interfaces allow staff to explore supply chain data to identify casualties of revenue loss and process bottlenecks. Also, retailers and suppliers can improve the accuracy of their forecasting with both live and historic data. Suppliers can use these insights to optimize logistics, while retailers can cater to expected market demands more effectively.
Eliminate Vendor Management Challenges With iControl
iControl’s vendor payment management software processes transactions cost-effectively and in real-time. It simplifies vendor management, thanks to its ability to process payments between trading partners––including remittance to suppliers, credits, shrink settlement, and promotional allowances. Our solutions provide retailers with the business intelligence they need to make the right decisions around the people they engage, the prices they pay, and the margins they reach.
Contact us today to learn how you can streamline your vendor management and payment processes.