Technology is all around us, and it’s changing the world we live in. It’s already impacting the Collision Repair Industry. From crash avoidance technology to autonomous vehicles, technology is making its mark on the automotive industry. All indications are that this trend will continue to gain momentum. Not only will technology impact the way vehicles are repaired, it’ll change how products are distributed.
We’ve all heard the phrase: The definition of insanity is doing something over & over again and expecting different results. We know it’s a true statement, yet we persist in doing things the same way year after year—hoping we’ll make more money and operate more efficiently.
Change is hard – and technology changes how we’re used to doing things—but if we want solutions to shrinking profit margins, revolving customer doors, and inefficiency, we must be open to new ways of doing things, or we may be left behind.
It’s smart to look at other industries & how they’ve used technology to impact their businesses and increase sales. Similar strategies may impact your industry, if they haven’t already.
We’re going to look at a few companies to see 3 ways technology has changed the way those businesses operate—particularly with Distribution.
IoT IN DISTRIBUTION
IoT – the Internet of Things. What exactly is that? Simply put, IoT is a giant network of connected “things” people-people, people-things, and things-things. This includes everything from cellphones and coffee makers, to the components of machines, such as a jet engine of an airplane or the drill of an oil rig1.
Business Insider’s Intelligence — a research service, predicts there will be more than 24 billion IoT devices on Earth by 2020. That’s approximately four devices for every human being on the planet. Businesses will be the top adopter of these solutions because they lower operating costs, increase productivity, help companies to expand to new markets and develop new products2.
The new rule for the future is going to be, “Anything that can be connected, will be connected.” To stay competitive, your business will need to embrace IoT.
Vending Machines Impact on Industrial Supply
A IoT case in point is Fastenal, a company that began with 2 prototype vending machines in 2008 that were powered by software. At that time, this type of technology was only adopted by a small minority of facilities3. Fast forward to the first quarter of 2017, where Fastenal reported over 64,000 installed machines (not including leased lockers)4.
Other companies, such as Grainger and MSC Industrial Supply, have also adopted, and vending machines in industrial spaces have become a widely accepted way to house, track, and dispense products.
This is largely due to increased productivity (machines at the point-of-use shortened the distance a worker traveled between their work space & where they got their products), automated ordering (orders filled from their website), reduced deliveries, and worker accountability (by utilizing the machine’s software functions, managers could track who removed a product & when they removed it.)
An added benefit found by distributors was that they could defend their business by controlling which products were housed in the machines—therefore, keeping competitors out. They found that the system worked to grow their business, saved their customers money, and made the plants more productive567.
EFFICIENT LOGISTICS
Technology is also impacting distribution logistics. Distribution Logistics involves the flow of products—the planning, design, coordination, management and improvement of the processes of moving goods and resources8.
Let’s look at how Amazon used technology to change the way America gets products.
Digital Commerce
Amazon’s founding idea was: “Digital commerce will radically reshape our marketplace.” CEO Jeff Bezos wasn’t afraid to take risks and utilize technology to realize that vision—and it’s worked. Amazon has become an online powerhouse—causing the market value of former retail giants to plunge.
Over the last 10 years, stores like Sears saw a 96% drop in value; Macy’s was down 55%, Best Buy down 54%–while Amazon’s value climbed 1,934%. Only Walmart, who has made great strides in its online presence, has been able to fight the downward spiral – logging only a 1% loss9.
What caused such a huge decline in the retail world?
Somewhere along the line, Amazon totally changed the logistics of how America gets products: The old shopping model where Jane goes to the Mall & shops for 3 hours—coming home with a blender—has been replaced by Jane logging onto Amazon, deciding on a Fitbit –and in 4 clicks, she’s done & on to her spinning class.
Meanwhile, Amazon’s distribution behemoth takes over & has that device to her in 2 days or less. We used to go get the product—now that product comes to us. Those stores that are still waiting for shoppers to visit their Brick & Mortar establishments are being forced to close some locations.
Among those closing over 4000 stores in 2017 are: Sears, Macys, JC Penney, Gander Mountain & CVS. They either couldn’t keep up with the ecommerce competition or they got into the online game too late11.
And Amazon continues to ramp up their Distribution methods—investing heavily in regional warehouses and information technology. They’ve introduced one hour, same day, Sunday, and even drone deliveries–All powered by the willingness to harness technology to manage their distribution processes10.
INCREASED SALES BY LEVERAGING DATA
A third area where technology is making inroads is in the field of Data Analytics. Understanding how to profit using information from data is a new concept for a lot of businesses. And the demand for Data Scientists is rising as the corporate world realizes the advantage they’d have in the marketplace if they could read and interpret the data they already have in their current systems.
Can you imagine knowing exactly what needs to be done to increase sales or which processes to change to improve cycle time?
Amazon has been leveraging data for years to increase sales by marketing exactly what you want on any given day. And they’re good at it—so good that it sometimes feels like you’re being studied. Have you ever been searching on Amazon for a product, and you leave the site to check Facebook or read an article? How strange is it when you see ads pop up across your Facebook feed pitching the exact products you were just searching for on Amazon? You glance over your shoulder to see if they have a hidden camera watching your browsing habits.
Data that predicts purchases
Amazon doesn’t have a physical camera in your house—but what they do have is a comprehensive collaborative filtering engine (CFE). It analyzes your previous purchases, what’s in your shopping cart, & which products you search for the most. It then uses that data to recommend additional purchases both on Amazon & other sites. This method has increased the company’s revenue by almost 30% each year12.
Data that grows your business
This example is only a fraction of the way Amazon utilizes information. And they’re just one of many companies using data to grow their business. What they’re doing shows you how valuable future data could be to your business. You could know which employee is the most efficient. You could predict which products would fly off your shelves. And you could increase your bottom line by knowing which changes need to be made in your business.
Technology is a big part of the future of distribution, along with other areas within the collision repair industry. Early adopters will find themselves ahead of their competition.
Becoming comfortable with the new technologies can sometimes be daunting. But when you look at the advantages, it should encourage you to get on board. In an industry that’s fighting shrinking margins & scrambling to defend their businesses, it’s good news that there are innovators developing ways to connect your business to the internet. Through smart software, it’s become possible to streamline your processes, automate the ordering process of your materials, improve cycle times—just to name a few.
When you add the value of predictive data’s ability to help you improve profit margins and make your business more efficient, it’s a winning combination.
If you’re interested in innovative technology available for your Shops today, check out LeanTec Inventory Management Systems—a cloud-based system that marries smart software & hardware together. It increases material profits as it secures & tracks your products and automates the ordering process–all while providing data and customizable reports. To learn more, explore this website or go to https://www.leantec.com
Resources:
2 http://www.businessinsider.com/what-is-the-internet-of-things-definition-2016-8
3 http://investor.fastenal.com/releasedetail.cfm?ReleaseID=927626
4 http://investor.fastenal.com/releasedetail.cfm?ReleaseID=1021059
5 https://www.fastenal.com/en/9/fast-solutions-vending-
6 https://www.youtube.com/watch?v=npfF4cdFKFo
8 http://smallbusiness.chron.com/logistics-differ-distribution-77542.html
9 http://www.visualcapitalist.com/extraordinary-size-amazon-one-chart/
11 http://clark.com/shopping-retail/major-retailers-closing-2017/
Hi, i think that i saw you vsited myy web sitte thus i came to “return the favor”.I am trying to find things to improve
my site!I suppose its ok to use some of your ideas!!
중국 구매대행 사이트
Hey! This is my first visit to your blog! We are a collection of volunteers and starting a new initiative in a community
in the same niche. Your blog provided us beneficial information to work on.
You have done a extraordinary job!
Also visit my web-site … 금창동출장마사지
This post is actually a nice one it helps new the
web viewers, who are wishing for blogging.
Stop by my web site :: slim boost tea
You need to be a part of a contest for one of the greatest blogs
on the web. I’m going to recommend this blog!
Stop by my webpage :: URGENT VISA ONLINE
Существует широкий выбор
игр, и вы можете найти много
информации на сайте, если
у вас есть вопросы.
Review my web blog … казино водка
I’ll immediately grab your rss feed as I can’t find your e-mail subscription link or newsletter service.
Do you have any? Kindly permit me understand
Buy 3D Printer in Coimbatore order that I may subscribe.
Thanks.
I lovedd ɑs muϲh as you ᴡill receive crried out riɡht here.
The sketch is attractive, үοur authored material
stylish. nonetһeless, you command get gⲟt aan edginess oѵer
that you wisһ be delivering the following.
unwell unquestionably coke further fоrmerly aɡain since eхactly
thе same nearly a lot often insidre case you shield thiѕ hike.
Visit mʏ web paɡe: Real-time updates| World news| Trending headlines
https://gatesofolympusoyna.online/# gates of olympus demo turkce oyna
5 Killer Quora Answers To Double Glazed Window Repairs
Near Me Double Glazed Window Repairs
Greetings, compatriot enthusiast. I must recommend you
on your perceptive analysis of the subject matter presented in this blog post.
Your incisive observations and verbal commentary have resonated with
me, and I determine myself in agreement with the views you have communicated .
Given your clear engagement in the realm of internet
finance, I would be delinquent if I did not provide an solicitation for you to immerse yourself in the electrifying
world of Crypto Casino. This novel platform offers a
rare and absorbing venture , merging the excitement of
established casino gaming with the innovative systems of cryptography .
I surmise you would encounter it a most engrossing foray.
I urge you to join us and uncover the inexhaustible opportunities that are ready you.
my webpage: online casino licensing
I don’t even know how I finished up here, but I believed this submit was
once good. I do not understand who you are but definitely you’re
going to a famous blogger should you aren’t already.
Cheers!
my blog UFA888 เว็บตรง
Hey there! Do you know if they make any plugins to protect against hackers?
I’m kinda paranoid about losing everything I’ve worked hard on.
Any recommendations?
Here is my webpage … outing perusahaan
Every weekend i used to pay a visit this web site, because i
wish for enjoyment, as this this web page conations in fact pleasant funny information too.
Here is my blog post; slot gacor deposit 5000
Hi! Someone in my Facebook group shared this site
with us so I came to give it a look. I’m definitely loving the information. I’m book-marking and will be tweeting this to my followers!
Terrific blog and brilliant style and design.
Here is my blog post: https://smartsolar.com.my
Its not my first time to go to see this site, i am browsing
this site dailly and get good facts from here all the time.
Here is my web site; UFABET เว็บตรง777
I am really loving the theme/design of your
web site. Do you ever run into any internet browser compatibility issues?
A few of my blog visitors have complained about my blog not working correctly in Explorer but looks great in Firefox.
Do you have any ideas to help fix this problem?
Here is my website – the growth matrix steps
Такие бонусы позволяют игрокам
получить дополнительные средства для игры или бесплатные попытки в игровых автоматах, что делает игровой процесс более увлекательным и выгодным.
Check out my website – игровые автоматы играть
پلتفرم ToofanBet بهعنوان یکی از قابلاعتمادترین
پلتفرمهای پیشبینی و شرطبندی در دنیای شرطبندی دیجیتال شناخته میشود.
این پلتفرم با هدف ارائه امکانات
بینظیر در بازیهای کازینویی ، شرطبندی ورزشی و بازیهای بلادرنگ، موفق به جلب توجه
تعداد زیادی از مخاطبان شده است.
ویژگی خاص این پلتفرم، تمرکز بر ارائه
تجربهای هیجانانگیز و منحصربهفرد برای کاربران
به دنیای شرطبندی میباشد.
Here is my web blog طوفان بت
It’s nearly impossible to find educated people for this
subject, but you seem like you know what you’re talking about!
Thanks
Look at my web blog 더블유비씨247
Some really nice and utilitarian info on this site, besides I conceive the style contains good features.
Have a look at my web site … Pinterest
I every time used to study paragraph in news papers but now as I am a user of net so from now I am using net for
posts, thanks to web.
Here is my homepage เกมส์สล็อต 88
Great website. A lot of helpful info here. I’m sending it to several buddies ans also sharing in delicious.
And certainly, thank you for your effort!
Feel free to surf to my page :: prodentim reviews
http://casibom.auction/# casibom 158 giris
Of course, what a magnificent website and illuminating posts, I definitely will bookmark your site.All the
Best!
Here is my website … women hate pretence (https://Atomouniversal.Com.br/)
سایت ToofanBet بهعنوان یکی از قابلاعتمادترین سایتهای شرطبندی
آنلاین در دنیای شرطبندی آنلاین شناخته میشود.
این سایت با هدف ارائه خدمات متنوع و نوین در بازیهای کازینو آنلاین، شرطبندی ورزشی
و بازیهای زنده ، موفق به جلب توجه کاربران فراوان
شده است. ویژگی خاص این سایت ، تمرکز بر
ارائه تجربهای متفاوت برای
علاقهمندان به دنیای شرطبندی میباشد.
Here is my web page … دانلود افزار اندروید طوفان بت
It’s a shame you don’t have a donate button! I’d most certainly
donate to this excellent blog! I suppose for now i’ll settle
for bookmarking and adding your RSS feed to my Google account.
I look forward to brand new updates and will talk about this blog
with my Facebook group. Chat soon!
Feel free to visit my blog post education endowment plan
After checking out a handful of the blog articles on your web site, I truly like your technique of writing a blog.
I bookmarked it to my bookmark website list and will be
checking back soon. Take a look at my web site as well and tell me what you think.
Feel free to surf to my web page; SCAM CULTURE.ORG CASINOS
Thank you for the auspicious writeup. It if truth be told was
once a amusement account it. Glance advanced to far delivered agreeable from you!
By the way, how can we communicate?
Feel free to surf to my web page: check it out
betine guncel giris betine giris betine sikayet
Can you tell us more about this? I’d love to find out more details.
Take a look at my web-site – autospin777
Hello, all is going nicely here and ofcourse every one is sharing data, that’s
in fact fine, keep up writing.
my webpage recipes (klassicheskie-recepty-kilz.blogspot.com)
Hi i am kavin, its my first time to commenting anywhere, when i read this piece of writing i thought i could
also make comment due to this good article.
Also visit my web blog – carbon offset projects
Wow, attractive site. Thnx …
https://krakow-atrakcje.pl
Your method of describing all in this paragraph is
really nice, all be capable of effortlessly know it,
Thanks a lot.
Here is my webpage :: 다미인한의원
Thanks a lot for sharing this excellent site.
https://www.tvobiektyw.pl
Passion the site– really user pleasant and lots to see!
https://swiony.pl/
Passion the site– really individual pleasant and great deals to see!
piekaryslaskie.com.pl
Terrific work! This is the kind of information that are meant to be shared across
the internet. Disgrace on the seek engines for no longer positioning this post higher!
Come on over and visit my website . Thanks =)
Here is my webpage: david lewis eye doctor
Keep up the remarkable work !! Lovin’ it!
https://www.telewizjamazury.pl
Rather instructive….looking onward to coming back again.
https://www.tvzachod.pl
Thanks, this site is really practical.
https://www.oferujemyprace.pl
Hello everybody, here every one is sharing such knowledge, thus
it’s nice to read this website, and I used to pay a visit this
web site everyday.
Also visit my site :: porn videos
I love checking your website. thnx!
https://www.praca-biznes.pl
Great web website! It looks really professional! Keep up the helpful job!
https://www.pilska.tv
Thank you for sharing your superb web page.
https://esopot.pl
You have one of the best webpages.
https://www.polskibiznes24.pl
Great Webpage, Preserve the good job. Thanks a lot!
https://krakow-atrakcje.pl
Thank you so much for sharing this excellent webpage.
mojetychy.pl
Great internet site! It looks extremely expert!
Maintain the great job!
https://wodzislaw.com.pl
It’s in point of fact a great and useful
piece of info. I’m happy that you shared this useful info with us.
Please keep us informed like this. Thank you for sharing.
Here is my website :: 감천동출장안마