By Dave Lindeen, senior vice president of sales, Corcentric
With the increased focus on uptime, having the right part at the right place at the right time has become even more critical. One of the challenges is getting parts from suppliers to distributors and into the hands of fleets and owner-operators in a seamless process. To be successful in the truck parts aftermarket, distributors and suppliers must become true business partners.
However, there are impediments to this smooth flow of parts from one to the other. Distributors need reliability and the assurance that they are getting consistent pricing. On the other hand, suppliers need assurances they will be paid on time. The situation is complicated by the number of parts on the market, the range of pricing for a part, variable specifications and regulatory issues. This complex landscape presents challenges when it comes to making informed decisions in a timely manner, while satisfying the required days payable outstanding in the billing cycle.
One solution is a cloud-based private commerce platform integrated with a financial, technology solution, also known as fintech. Fintech is composed of companies that combine new technology and innovation with available resources to deliver streamlined financial services. Today’s fintech companies compete in the marketplace of traditional financial institutions and intermediaries.
The benefits of such a platform include:
A SaaS (Software as a Service) solution represents scalability that will support a business as it grows. According to Charles Weaver, co-founder and president of MSPAlliance, speaking to CIOs, there are three things to consider when looking for a cloud-based service provider: trust, technical expertise and understanding and a third-party compliance audit.
Some features to look for include:
