November 25, 2009

Vendor Managed Inventory Grows

Features, Strategy, Subscriber Only / Jenel Stelton-Holtmeier

Vendor Managed Inventory services are gaining ground. This article considers the challenges to implementing managed inventory programs, whether a manufacturer or a distributor is providing VMI to customer. MDM spoke to Fastenal and Updike Supply, as well as inventory expert Jon Schreibfeder and two vendors to gain perspective on current trends in VMI.

With uncertainty dominating the economic landscape, companies are continuing to look for ways to cut costs. Many have already cut staff and production to levels not experienced in decades. They have outsourced tasks that could be done for less outside of the firm. But what about inventory management?

More customers are showing interest in using inventory management services from their suppliers, according to those who supply those services. Many larger public distributors …

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Commentary: Two Questions to Ask As You Plan for 2010

Free, Perspective, Subscriber Only / Tom Gale

In MDM’s 2010 Economic Forecast for Wholesale Distribution Webcast, Adam Fein painted a not-so-rosy picture of what this recovery is likely to look like. For a number of reasons, not many distributors will feel much of a bounce. It will be more like a grind to find growth in new areas as we emerge from the worst recession since World War II. While he agrees with many other economists that technically the third quarter will probably be the official end of the recession, 2010 is still going to be a slow-growth year for many distributors.

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Grainger Looks Forward

Companies, Features, Management, Strategy, Subscriber Only / Lindsay Konzak

Facilities maintenance distributor W.W. Grainger, with more than $6.5 billion in annual sales. recently held its annual analyst meeting. This article provides an overview of its key talking points in the meeting, including Grainger’s market forecasts, acquisition plans, MRO customer mindset and global plans.

Details in this article were taken from Grainger’s annual analyst meeting Webcast at grainger.com.

Grainger CEO Jim Ryan said it right this month at the distributor’s annual analyst meeting: “I’m getting tired of looking at negative numbers, and I know you are, too.” The company presented some much more optimistic numbers for 2010, and said its approach to the past year of down has helped prop it up for good growth going forward.

Ryan said the downturn “has had a profound impact on not only our business but on our industry.”

Grainger has outperformed the industry as …

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Economic Update: A Mixed Bag

Economic Trends, Features, Research & Analytics, Subscriber Only / MDM Staff

Mixed messages abound on the economy in the last month. While many analysts are cautiously optimistic that recovery has begun – Ken Goldstein of The Conference Board said “economic recovery is finally settling in” – other reports continue to paint a more dismal picture of where the U.S. economy stands today.

Privately-owned housing starts in October were …

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Monthly Wholesale Trade: Sales and Inventories for September 2009

Subscriber Only / MDM Staff

Wholesale revenues in September 2009 were up 0.7 percent to $320.2 billion from August, but down 15.2 percent from September 2008, according to the U.S. Census Bureau.

September sales of durable goods were up 0.7 percent from last month, but were down 16.2 percent from a year ago. Sales of nondurable goods were up 0.6 percent from last month, but were down 14.3 percent from last year.

Inventories. Inventories of wholesalers were …

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MDM News Digest 3922

Free, Subscriber Only / MDM Staff

News briefs from Nov. 10 – 25, 2009

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MDM November 25, 2009

Subscriber Only / MDM Staff

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