Category Archives: VMI

Customer Spotlight: Red-L Distributors

Customer Spotlight

Red-L Distributors has built its business by providing customers with quality products, great product selection, added value, and personal service. Based near Edmonton in Alberta, the company has been supplying Canada’s oilfield, agricultural, transportation, construction, mining, and forestry industries since 1961. Today the company offers a diversified range of products from hydraulic, industrial, and high pressure hoses and fittings to lubricants, bowie pumps, and diesel engine oil, all from its 12 locations in Alberta and British Columbia.

Why Latitude?

Red-L first implemented PathGuide’s Latitude WMS in 2007 for its advanced features and compatibility with their ERP system. As it rolled out Latitude WMS, the company was able to transform its warehouse into a cleaner, safer and much more efficient workplace by reorganizing its operations and taking full advantage of the enhanced layout and workflow. Following this successful deployment, in 2011 Red-L began using Latitude’s Vendor Managed Inventory (VMI) functionality to help its clients efficiently maintain stock levels and independently manage replenishment orders. Red-L had found traditional forms of vendor-managed inventory replenishment problematic because they were generally slow and prone to human error, resulting in increased travel time for Red-L’s sales team and lengthy replenishment cycles.

VMI orders are processed by Latitude and imported directly into Red-L’s ERP. The process is not only very efficient, it also saves a significant amount of time and reduces the likelihood of input errors. This has given Red-L a competitive advantage, and greatly reduced the burden on Red-L’s clients. In fact, 40 of Red-L’s clients now use VMI to handle product replenishment, averaging an 80 percent improvement in turnaround times.

More Information

To learn more about Red-L, visit their website at: http://www.redl.com/. More information about Latitude WMS can be found here: http://www.pathguide.com/Solutions.aspx.

Vendor Managed Inventory (VMI) Costs Hit Record Lows

We’ve seen a significant price reduction for supplying our vendor managed inventory (VMI) solution. With the steep price reduction for mobile devices, more distributors can extend affordable VMI services to their customers. E.B. Horsman & Son, an electrical distributor based in British Columbia, has been using Latitude VMI to allow real-time confirmation or correction on specific orders. Continue reading

Lowered Cost of Vendor Managed Inventory

Intermec CS40

The cost of implementing vendor managed inventory (VMI) in a distribution business isn’t always prohibitive. But it does require businesses to trust their customers to use hi-tech equipment (like handheld scanners) that they provide as a part of the VMI service.

Vendor managed inventory allows clients (like yours!) to place replenishment orders with your warehouse using nothing more than a handheld scanner. Your customer can simply walk around their storeroom and scan the items that they need to order from you. The order is then wirelessly delivered to your ERP.

While many businesses are comfortable providing handheld scanners to customers for this purpose, the upfront cost of purchasing the scanners is a major factor in deciding whether or not to offer VMI services.

However, as hardware costs drop, so does the cost of implementing VMI in your distribution business. And the cost of VMI-compatible hardware IS dropping! We’ve  performed competitive analyses on available hardware, and we’ve got great news: VMI is more affordable than ever.

So, how much does VMI cost? Total costs will vary widely, but the cost of new handheld computers is rapidly dropping, which means that VMI is now a more affordable option for small and medium-sized distribution businesses who want to offer VMI capabilities to their customers. Previous estimated costs for handheld scanning computers were upwards of $3K per unit, but PathGuide now offers the Intermec CS40starting as low as $1,250!

That’s right – $1,250.

The Intermec CS40 is designed for mobile field workers who need robust equipment that can stand up to a warehouse environment (better than, say, a smartphone). The CS40 helps deliver Latitude’s VMI functionality at a reduced cost, so smaller business can still take advantage of enterprise-level services for their clients and partners.

PathGuide is excited to offer this robust equipment as a part of our VMI module – contact us today to find out how vendor managed inventory can give your distribution business an edge over the competition.

Call us today at 1.888.627.9797 and we’ll determine if Latitude WMS is right for you.

Call us today at and we’ll determine if Latitude WMS is right for you. – See more at: http://www.pathguide.com/Solutions/LatitudeWMS/BestWarehouseManagementSystem.aspx#sthash.l1IJoPIr.dpuf

What is Vendor Managed Inventory (VMI) and how does it work?

VMI stands for Vendor Managed Inventory. VMI systems are a hot topic in the supply distribution world right now. But what is VMI, and how does VMI work?

Quick Answer – What is VMI?

VMI stands for “vendor managed inventory” (also known as “customer managed inventory”). VMI is system that allows customers to quickly place a replenishment order for goods. Rather than making phone calls or ordering using a web form, the customer can use a barcode scanner to scan the items, enter a quantity, and then send the order (via Wifi or cll network) through the barcode scanner to their vendor.

Easy, right? Read on to find out more about how VMI works. Continue reading