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- BMF Timber Forum highlights supply chain as key challenge for merchants
On Friday 26th February, the BMF brought together several leaders from different areas of the timber industry for the regular Timber Forum. Rather than recap everything in detail, this is a quick overview of some of the main points discussed. For more info visit the BMF website. We can probably all agree it’s been a tough year. The pressures of Covid and Brexit are being felt throughout the industry, and at every point of the supply chain, particularly in terms of product availability, but there are also issues with employment and of course, longer term NetZero targets. Roadmap to Recovery BMF CEO John Newcomb talked through the Roadmap to Recovery plan, using the framework of “Restart, Reset, Reinvent,” which will be familiar to BMF members already. Three key initiatives to note are: Workplace testing : there is a huge drive on workplace testing and any employer with more than 50 employees (across all locations, not necessarily in one place) will qualify for free lateral flow testing kits, in a scheme which has been extended to the end of June. Applications need to be in by the end of March so visit the BMF website for more information The Kickstart Scheme: This is an initiative designed to help 16-24 year olds, statistically the most likely to have been affected by Covid, to secure work placements which could lead to employment or apprenticeships. There are government grants and funds available to make this free to employers, so again, visit the BMF website to get involved. NetZero 2050 : The challenging targets set by the government for 2050 will require a co-ordinated approach across the industry and beyond. Again, members are encouraged to visit the BMF website for more information on the brand new ConstructZero plans, and how to get involved by becoming a business champion. Product Availability Unusual and unpredictable surges in demand thanks to lockdown have been compounded by transportation delays and a fundamental lack of raw materials, resulting in sharp price rises and availability issues. Coming into spring, when demand for materials usually rises anyway, we are likely to see more issues with supply, and merchants will need to manage stocks and forecasting carefully. Several speakers, including representatives from the National Timber Group Scotland, BSW Timber and Sodra, all highlighted the issues with material supply across timber, panel products, roofing materials, bathroom accessories, steel and more, demonstrating that the problems extend into all construction materials. There are also issues with container availability and pricing, shipping costs and delays, and even availability of hauliers, particularly from Europe to the UK. The speakers also highlighted potential issues with new product standard certification for the UK due to Brexit, moving away from the previously recognised CE marking, to a new UKCA standard. Although the CE standard will be permissible until at least 2022, there could be cost and timing implications, especially for smaller sawmills and suppliers. Not all ERP systems currently allow dual certification either so it’s worth checking in with suppliers. These issues are not going away and they are not limited to the UK; these issues are global and there are no straightforward solutions. Prices look set to continue rising, leadtimes to extend, and availability to become increasingly problematic. The housing sector does not appear to have been hit hard yet, but the issues are there down the line and there will be knock-on effects for everyone. Six ways to tackle 2021 and beyond Here at Ten-25 we don’t like to leave a problem unsolved. While there are no simple solutions to the challenges facing the wider construction industry at this time, here are five ways we believe merchants can prepare for the year ahead, and beyond. 1. Make use of the industry resources at your disposal. That includes the BMF advice given above, but there are other trade bodies there to support and inform, such as the TTF and TRADA. Also we always encourage a sense of community, sharing of best practice across businesses, and pulling together for a greater good – the industry, the economy, the population and the planet. Causes don’t get much bigger, and it’s going to take a lot of hard work, innovation and collaboration to make a difference. 2. Enable agility in your systems. The modern world depends on digital and if you’re not there yet, time is running out. Digital systems, eCommerce platforms, AI and machine learning can all create vast efficiencies that every business will need, facilitating faster responses, better data handling and a much more flexible business model capable of reinvention and adaptation. Advanced analytics tools can also make a huge difference for merchants, enabling better stock management, optimised stock turn and more accurate forecasting based on more regularly updated and accessible information. 3. Make more of the stock you have. Use the systems available to better optimise the stock profile, supply and turnover of your existing stock to ensure it is working as hard as possible for you. Longer term stock issues are not going away, but every merchant is capable of better understanding where opportunities and gaps are in their current stock profile, and enhancing it as much as possible. 4. Get involved with ETIM. Standardising product information will enable great advances in digital systems and will make eCommerce, digital ERP and supply chain management much simpler. Find out more from the BMF or on the ETIM website . 5. Think sustainably. Government targets may move over the coming months and years but our collective responsibility to work sustainably has never been more important. From responsible sourcing to process and system efficiencies and educating customers and staff, we all have a moral and social responsibility to drive the sustainability agenda at every opportunity. 6. Keep the lines of communication open. Talk to your suppliers, your customers and your service providers, your trade bodies, local governments and other relevant organisations. Get involved and take an active role where you can. This isn’t a challenge that can be solved by any one organisation, so it’s always worth talking to suppliers and service providers to see what efficiencies could be made, or for new ideas on how forecasting, supply chain or other logistical issues can be addressed, and timelines managed. There are global issues at play here which are outside our collective control. But where you CAN take action, or influence it, do.
- Timber comes out on top for sustainability - and wellbeing
Timber comes out on top in architecture and design webinar for sustainable and effective learning environments – with some surprising additional benefits. On 10th December, we attended an interesting webinar hosted by #designpopup, sponsored by Domus Tiles , on the subject of Net Zero Carbon Design & Sustainable Architecture. The format was a panel discussion between architects, educators and policy makers – and there was a clear message to take away. The sustainability and environmental benefits of timber will not come as any surprise to many of you reading this, but it was illuminating to hear its benefits made so clear for not only construction, but also for educational environments specifically. Given the government's strategic goal of developing Net Zero Carbon buildings by 2050, urgent action is required towards decarbonising the built environment. Lee Bennett, partner at Sheppard Robson Architects LLP and one of the four panelists, made the case for timber very clearly. His firm belief is that timber is the answer to achieving the net zero targets put in place by the government, and that designers and construction companies should maximise the use of responsibly sourced timber – particularly cross laminated and glued laminated timber. Timber as sustainable, carbon negative material Timber certainly ticks a lot of boxes. It not only looks great; it has low levels of embodied carbon in its usage, and continues to sequester CO2 up to maturity. As a material it is carbon negative, and of course, forestry represents one of the most important carbon sinks in the world, with positive global impact. Naturally versatile, timber also has low wastage rates and also low disruption rates in construction, working harmoniously with so many other construction materials. So far, so good, but probably nothing new to many of you, who have been extolling the virtues of timber as a sustainable, carbon negative construction material for some time. But some of the other benefits of timber, on user health and wellbeing, may not be so well known. Timber as source of health and wellbeing Back in 2009, a year-long study was carried out at the Joanneum Research Institute in Graz to ascertain the benefits of a heavily timber-based environment on students. The results were overwhelmingly positive. It concluded that children taught in a room made of solid wood are actually healthier than children taught in a standard classroom, and that wood actively reduces stress, with heartbeats lowered by 8600 per day. Children in the study became more relaxed, with lower stress levels and higher achievement and concentration rates. And finally, student aggression fell significantly. As a natural product, timber contributes to student wellness by bringing the natural world into the classroom. It appeals to the senses, with both beauty and visual warmth, effective acoustics, a calming scent and pleasing and natural textures, creating a calmer and more effective learning environment. Is timber the future? With extremely ambitious targets set by governments for sustainability and carbon neutrality, designers and construction companies must work together to overhaul methods in sourcing and use of materials to boost efficiencies and consider whole life cycle impact; not only of the composite materials and methods used, but of the buildings created too. Of course, bodies such as the TTF , TRADA , Wood for Good and many more are wonderful sources of information about the important work happening to promote the use of timber in construction. We would encourage you to visit their websites to find out more. If you are interested in hearing the whole webinar, visit www.domusgroup.com or click here to download it.
- Maintaining System Security: Upcoming Update to Merchanter/UT400
I wanted to make you aware of a project we are having to prioritise on the Merchanter/UT400 development cycle. As we may have mentioned recently, the system is developed on a Mendix platform, which currently runs on version 7, which is due to go end of life at the end of this year. We have been testing and making arrangements to move the system up to version 9 of Mendix since summer 2023, and had scheduled in that process once we had finished Transport Scheduling, and a couple of other major projects, over the summer. However, we found out on Friday 10th May that we now only have until July to make the move. From July, the version 7 generation of the system will continue to run until the end of the year, but we cannot build any new features or fixes to it after July. For this reason we are having to urgently prioritise the project to move to version 9 over the next 6 weeks. This will have an impact on the development projects we had scheduled in for that period. We wanted to let you know of this delay, and to assure you we will be moving as fast as possible to catch up once we have made the move. It will mean that developments we were looking to deliver in May/June are likely to be pushed back to July/August. We haven’t made a platform generation change on Mendix before, so we don’t know everything we are letting ourselves in for, and whilst initial testing is looking very promising, I would rather block out a good chunk of time for the move and be able to let you know if all goes quicker than we expected, than have to keep coming back and pushing back delivery times on your new features several times. When we make the update to your system from version 7 to version 9 there will be no disruption in service, it will be the same as any other update, and in many ways the system will not look or behave differently to the current version. There is a silver lining to this disruption, that once we have the system on version 9 of Mendix you will see performance, security, integration and functionality improvements and there will be greater scope for developing mobile versions of the features you already use and better native apps for jobs like driver deliveries and mobile stock checking. Thank you for your patience, Ian Oldrey Managing Director
- How to: Import Supplier Prices from a Spreadsheet
With Merchanter you can quickly import prices from your favourite suppliers. Holding their current prices makes it quick to compare prices and simple to build purchase orders to maintain optimum stock levels. There are two ways to import spreadsheets of prices into Merchanter: 1) Supplier spreadsheet - use a spreadsheet from a supplier and map the columns and rows as part of the import process. This template for each supplier can be reused the next time they send you a spreadsheet, assuming it uses the same layout. 2) Product spreadsheet - export a spreadsheet of products from Merchanter, revise the purchase prices and import back into the system. Individual product buy prices can be logged against a product for a supplier, or set from previous purchase orders. View the full how-to guide and tutorial video on our Knowledge Base.
- Are you jumping into the Merchant Marketplace explosion?
The marketplace business model may not be new – after all, eBay and Amazon have been around for a while now – but it is reported to be the fastest growing model in eCommerce. In the merchanting sector it's a slightly newer phemomenon than in other areas of retail, but there is an accelerating trend for marketplace-style selling platforms, and more and more merchants are getting involved. What's new in the market for merchants? This month saw the launch of the B&Q marketplace, in partnership with Mirakl, with a view to expanding its current 40,000 strong product range to more than 100k, allowing brands like Black & Decker and Breville access to sell directly to customers via its diy.com website and app. The full expanded range is not available as at launch (March 2022), but will be added to over the coming months. (See this article at InsightDIY for more info) However, other platforms are taking the marketplace model to the next level, enabling merchants to list products themselves to access new audiences and connect with customers in different ways. While trade-focused platforms like Woodscanner are already doing excellent work in connecting buyers with available stock at the right price, many merchants are also looking to take more advantage of the thriving DIY market, currently worth over £14bn* a year to the UK economy. Trade will always remain important of course, but trends for home improvement, driven by the pandemic and the rising costs of living, as well as increasingly sophisticated DIY guides and self-help resources available online, continue to rise. One notable example of this, as reported in Builders Merchant News is the recently launched DIY marketplace Plane and Simple. This platform, part of the Donaldson Group, aims to connect DIYers to local merchants, allowing greater exposure for local sellers. While currently focused in three areas of the UK (Central Scotland, Devon & Cornwall, and Sussex & Kent), the longer term aim is to cover more of the UK. Why are marketplaces a big opportunity for merchants? With more merchants turning to eCommerce as part of the broadening digital transformation of the sector, it’s unsurprising that marketplace models are becoming more widely adopted. The rise of online purchasing has already created greater pricing transparency, while supply chain and availability issues have been widely reported, forcing many tradespeople to search online for available stock. The majority of product research is already done online, and this trend is only set to intensify with an increasingly digital-savvy customer base. Ecommerce is becoming more broadly adopted by merchants, and competition is fierce, so it makes sense to connect with as wide an audience as possible. Increasingly simple eCommerce solutions, whether industry-specific of “off-the-shelf” solutions like Magento or Shopify, are helping a greater number of merchants to compete in this flourishing market, and modern technology’s enhanced interoperability (integration capacity) makes it easier for more merchants to list products on marketplace sites like eBay or even Amazon. One of the big challenges for local or independent merchants is awareness, so marketplaces can be an excellent tool for helping to connect them with local audiences. The emergence of platforms like NearSt underline the importance of this, again helping to raise the profile of local availability for DIY and trade customers alike. So how can merchants make the most of the opportunity? Firstly it’s important to decide whether this is a market you want to compete in. At first glance it may seem that marketplace selling is going to have a greater focus on price, though in line with online trading trends, we predict the availability, reliability and range will continue to be greater drivers of trade. If you do decide to go down this route, your stock control capability needs to be top notch. You’ll need really responsive, up-to-the-minute stock management software to ensure you’re completely on top of your stock availability, and your product information and logistics functions will need to be similarly capable of dealing with demand. Using an order management system that will easily integrate with third party platforms is always going to make life easier if you’re entering the merchant marketplace, and you’ll need to dedicate internal resource to managing your service well – online, reputations can be won and lost very quickly through reviews and testimonials so don’t promise what you can’t deliver. It’s also important to select the marketplaces that you’ll be able to service excellently. If you can’t offer national delivery, don’t go for a national marketplace – look for the local options and stick to your established boundaries. It’s also worth establishing whether you want to focus on DIY or trade markets, or both, as different platforms offer different marketing and reach, so make sure the ones you’re signing up for fit the audience profile you know you work best with and which add the best value for your business. Services like VirtualStock are aiming to help merchants extend their ranges too through dropship, so if you’re looking to extend your range, it’s worth taking a look there too, which could offer another way to expand your offering. You may initially reject the principle of marketplace selling but do bear in mind that this is a growing trend. If your customers are heading that way – and statistics suggest that they are – then you don’t want to be left behind. Yes, customers often have a great deal of loyalty to a particular merchant, but it’s not infallible, so it’s really important to keep track of what your customers want, and be where they are. *figures from the Internet Retail Group study
- Could you achieve big growth – by thinking small?
“Grow your business” is a common call to action, but it’s irritatingly unspecific. It’s a vague, end-of-the-rainbow goal that lacks accountability – grow it how? When? Using what? If you want big growth, there’s a lot of evidence to suggest you need to start by thinking small. Concentrating on focused operational business systems (or FOBS, as we like to call them) is often key to solving much bigger picture problems and it’s often in addressing these details that big leaps forward can happen. Sometimes it’s about automating a repetitive or time-consuming task to free up time to focus on more important matters; sometimes it’s about making a cumbersome process more efficient or accurate. But by delving into the systems’ details, you can take control of your business from the ground up, building strong, effective foundations to support genuine business growth. Take cycling, for example. What does cycling have to do with your business? More than you might think. It’s all to do with making little changes at a granular level. Speaking about his famous approach of “marginal gains,” Sir Dave Brailsford from Team Sky said: “If you broke down everything that could impact on a cycling performance — absolutely everything you could think of — and then you improved everything little thing by 1%, when you clump it all together, you’re going to get quite a significant increase in performance.” Back in 2004, Sainsburys used a similar approach from a different angle. In a bid to achieve an extremely ambitious sales target of £2.5 billion, they started from the bottom up and worked out that if every shopper spent a small amount more each time they shopped – £1.14, to be specific – they would reach their target. They devised a clever way to encourage shoppers to try new recipes to increase basket spend a little bit each time, and sure enough, the sales curve started to rise. Rather than letting shoppers continue to shop the way they always had, they offered new ingredients and disrupted the usual autopilot shopping habits to encourage incremental spending. It has been reported that every year, Google apparently carries out 12,000 data tests to spot weaknesses; and this sort of micro-focus can be seen across many other sectors as well. In each example, the principle is the same – when you make small changes at ground level, the knock-on effects can be enormous. Enhancing the way specific business processes and systems function day-to-day will have a big impact in the longer term. So what do we mean when we talk about focused operational business systems? We mean drilling down into the day to day processes you and your employees use to go about getting stuff done, and improving them from the ground up. Take a look at this: A lot of those systems will be fairly common across many merchant businesses. And within each one, a number of things need to happen to get to a satisfactory result. Some are more obvious than others perhaps, but there will be areas which could be improved in every business. (Even ours. Shhhh.) For example, finding automated ways to match purchase invoices to purchase orders speeds up the buying process, removes much margin for error and ensures that materials and services are always being ordered at the agreed prices. It means there’s a record of every purchase which can easily be cross-referenced next time round, without having to waste precious staff hours on an arduous but essentially straightforward task. Within selling, it might mean measuring quote conversion rates and reasons, improving the speed of putting quotes in front of customers, looking at techniques to get better acceptance rates and using quotes to up- and cross-sell additional products. Little changes add up to big differences and often equate to meaningful savings across a business, in terms of time, resource and money. Stock management is heavily reliant on efficient processes. When it comes to stocktaking, measuring the time taken to do a stocktake and the period the business/branch has to close to do it often shows opportunities for improvements. Finding methods to speed up counting or move to perpetual counting will increase efficiency, plus reduce errors and the need for recounts. Ensuring that the integration of this information with the rest of the business is instant and accurate reduces down time, improves customer service quality and increases trading opportunities. How do you know which of your systems could be improved? Take some time to think through the steps needed for each transaction, and work through them systematically. Use these three steps as a guide: Document and measure the current process Look for better processes and agree where changes should be made Systemise and automate that process Importantly, this should be an ongoing process, so once these steps are carried out, their success or impact should be analysed; can lessons be learned? Can further improvements be made? It’s a fluid evolution and one that applies to every aspect of your business. And if you need a hand – well, you know where we are. From deliveries to finance reporting, there are always business processes that will benefit from a little focus and streamlining, whether it’s automating invoice reminders or switching to hand-held scanners in the yard to reduce data entry time. There are ways every business can make small adjustment to its processes. You might be surprised at how quickly the little things add up to very significant changes.
- Case Study - Henlow Building Supplies
"We have been delighted with it so far. It makes it easy for every member of the team to handle any customer enquiry, with no need to dig through lots of records.” With over 35 year’s trading experience, Henlow Building Supplies is no stranger to listening to its customers. With an increasing number requesting some sort of loyalty discount as repeat customers over the last year, the directors began a manual system of loyalty card. Without any promotion or advertising, over 100 customers have signed up for the scheme. However, it relied on each member of the sales team having a very good memory, and made for a cumbersome process, manually inputting each agreed discount. It also made human error a very real possibility. As existing clients of ours, the directors gave us a call to talk it through. The UniTrade system was instantly able to accommodate their requests, and Henlow has now been able to issue cards and key fobs to its regular customers to grant them automatic – and fully tailored – discounts. Every customer is different, and buys different quantities of different materials. Therefore Henlow is now able to offer a range of discounts to each customers based on their purchasing habits: a carpenter, for example, might qualify for a certain discount on general building supplies, but a higher discount for timber and tools. A painter and decorator will have different needs to a bathroom fitter, and so on. Each card is linked to the system, so with a simple scan or swipe, the full buying history is available to any member of the sales team, and the bespoke discount will be applied. No hassle, no manual input – and no human error. Director Chris Curson is very pleased with the time-saving system so far. He says, “We are hoping to roll it out officially in February, but have been delighted with it so far. It makes it easy for every member of the team to handle any customer enquiry, with no need to dig through lots of records.” The loyalty card is not the only new measure that Henlow has implemented recently. Within the last couple of months it has also started using the market-leading Paxar handheld scanning and printing device. Stock-taking and repricing shop-floor or warehouse products is always time consuming, as we all know. The new handheld device links to the UniTrade system, so it automatically updates the whole system with whatever has been scanned from the shop floor, warehouse or stock yard. Labels for repricing can be printed off on the spot, saving a lot of time and duplication of effort. Thanks to its integration with the main system, it enables a real-time, accurate overview of all stock to be instantly accessible. Chris says, “We are moving towards a rolling stock-take system which will save us all a huge amount of time. It’s early days but so far we are very hopeful it is going to be a fantastic tool which will save time and effort, and avoid errors in copying the information across.” The device also has a purchasing function, enabling the user to instantly create purchase orders for scanned products, which again can save a lot of time and hassle. Chris has also been very complimentary about our input throughout these projects. He says, “We started working with Ten-25 because we thought they offered excellent value for money, and have been really pleased with the service. The system is very flexible and has grown with us, and we have a good relationship with the people there. They are always responsive and we know they really listen to what we have to say. So, thank you Chris! We are delighted to be able to help our clients to provide a superior service to their own customers, and to make their lives that little bit easier.
- Ask ChatGPT: the benefits of cloud ERP for merchants
As may be self-evident, here at Ten-25 we’re pretty keen on technology. We’ve been watching (and using) the rapid advances of AI in both personal and professional contexts for some time. So we had to give ChatGPT a whirl (along with the rest of the world, it seems). We typed in a simple question: What are the benefits of cloud ERP systems for builders’ merchants? And this is what it came back with: “Cloud ERP (Enterprise Resource Planning) can provide several benefits for builders merchants, including: Scalability: Cloud ERP can be easily scaled up or down to meet changing business needs, allowing builders merchants to add or remove users and functionality as needed. Accessibility: Cloud ERP can be accessed from anywhere with an internet connection, enabling remote work and collaboration among employees, suppliers, and customers. Cost-effective: Cloud ERP eliminates the need for expensive hardware and IT infrastructure, and can be paid for on a subscription basis, which can be more cost-effective than traditional on-premises ERP systems. Automatic updates: Cloud ERP systems are updated automatically, ensuring that builders merchants always have the latest features and security patches. Data security: Cloud ERP providers typically have stringent security measures in place to protect data, which can provide peace of mind for builders merchants. Integration: Cloud ERP systems can easily integrate with other business applications, such as e-commerce platforms, accounting software, and CRM systems, which can improve efficiency and provide better visibility across the entire business. Business Continuity: Cloud-based ERP systems offer a high level of availability and accessibility, which can help minimize business disruptions and ensure continuity of operations in case of an emergency. "Overall, Cloud ERP can provide builders merchants with a cost-effective, scalable, and accessible solution that can improve efficiency, security, and collaboration across the entire business.” (ChatGPT) Our verdict? It does the job, and is good for a concise and accurate summary. We feel it lacks a bit of character - a bit like synthetic foods, it gets the job done but it doesn't have a lot of flavour. We only asked it a very simple, one step question and we are well aware that it is capable of muc more complex answers and multi-step reasoning. So much so in fact, that it has already been banned from multiple educational institutions as it would be too easy for essays and assignments to just be handed over to the AI. There are also AI-detection platforms springing up to catch people trying to pass off AI-generated copy as their own, so watch out for that - we suspect search algorithms will be evolving to do exactly that too, to detect the inevitable slew of AI-generated websites and content. But the real question is, where is the potential for merchants? How could AI help merchants? While it’s quite fun to play with AI and generate instant content (the quality of which is still being assessed – but there’s no denying, there’s some use there) we think there is far more potential value that merchants will be able to get from AI-powered technology in the future. The important thing to remember is that AI should really be used as a tool to help people - not as a replacement for them. AI could definitely play a role in providing information and assistance to customers, such as when calculating the amount of a given material needed for certain jobs. For example, if you’re planning to tile your bathroom, you could simply ask it how many tiles you’d need for a certain area; or you could ask it what accessories and products you’d need, and so on. Admittedly there are already tools for that but this could be a quicker, simpler way to do it, and it could provide additional details as well to help. Online this could be a really easy way to provide help for customers needing more information before purchasing, but even in-branch it could be used via an app, digital kiosks or handheld devices to provide enhanced information. Potentially, it could prove very useful for intelligent, automated training materials and tutorials, or could help smaller businesses to create content for websites and blogs etc. Then there are things like driverless vehicles or drones for deliveries (less helpful when delivering a few tonnes of aggregates mind you!) and much, much more. We are only scratching the surface of the possibilities - you only have to read a handful of ChatGPT related posts on LinkedIn to realise what these platforms are capable of already. But it’s worth noting that: Anyone else typing in the same prompts could get identical content, so you can’t rely on it for originality (presumably this is accounted for, for the most part, but who knows) It still needs fact-checking and verifying before you post it It’s only as good as the questions you ask it, so you would still need the creativity and imagination of real people to use the tools in the best ways It’s still early days for AI, relatively speaking, so its full capability isn’t yet known Currently a lot of AI platforms are still in testing phases so can’t be relied upon at industrial scales It can lack personality and customised perspective Many people are still very skeptical about artificial intelligence so gauge the response of customers before jumping in with both feet! Like any other information source, it is potentially open to being manipulated or influenced by hefty marketing budgets, political affiliations or other aspects which could compromise its impartiality. In infancy it seems very interesting... time will tell. People still like the human touch, and good service is critical. AI shouldn’t replace people – but it can help them While the copy produced by AI platforms like ChatGPT is, on the face of it, impressive, we don’t believe it is yet at a point where it can replace humans. But it could help smaller teams to speed up content production or provide customers with quick information out of hours or online. In fact, the potential of AI for scaling up processes and access to information is enormous - and it will be a really interesting thing to watch as it develops. Content creation is just the tip of the iceberg. There are probably thousands of possible applications for AI that we haven't covered yet and it's certainly in a period of rapid development. Especially when taken into consideration alongside other technologies like augmented and virutal reality (AR and VR), machine learning and the ongoing trend of the internet of things (IoT) there's a huge amount of creative potential there to be explored. It’s always worth asking whether, just because we can do something, we should – and we don't plan on replacing anyone with a robot any time soon. But we will definitely be investigating the possibilities, and seeing where AI can help us boost efficiency and productivity in every area of the business.
- Case Study - Robbins Timber
"We’ve never had any issues with the software from Ten-25. It’s great that it has continued to evolve over the years to meet our needs, and the time is right for the next natural progression" Robbins Timber is known as a specialist in marine timber, with the company’s roots in Bristol Docks going back to 1750. It has developed its own range of Robbins Elite Marine Plywood, and offers the widest range of timber and sheet material in the country. It also operates in general timber, and has full milling and planning facilities for a comprehensive, and often fully bespoke, service. However, being so adaptable creates a lot more back-office work, so one particularly appealing aspect of the upgraded system is the new CRM functionality. With comprehensive customer notes seamlessly stored alongside trading history, accounts and ad hoc certification and attachments, the new CRM module will make it easy for any member of staff to deal instantly with a customer query, no matter how complex or unusual their previous ordering. As a trusted supplier, Robbins depends on its existing customers for repeat business, and the CRM system should make that relationship stronger. As Richard Bagnall says, “Anything we can do to make it easier for people to work both with us and for us is a plus. We want to be the very best for our customers; so being able to see what they need on a repeat basis will help that, and give them faster and even more intuitive service.” Another element which will make a big difference is the Trading Analysis feature. Giving faster, easier and more flexible insight into the data already held within the system should prove a major benefit, providing user-friendly access to the information from whichever perspective is required. “The new Trading Analysis software is streamlined and simple to use, and will be familiar to new users. It is designed intuitively, so you can cut the data any way you want,” says Richard. “You can also look at several sets of data simultaneously – in previous systems you’d have to exit one thing before opening another. This way it’s all visible immediately, which makes it very slick and easy to use.” Stock management is always critical for any timber merchant, and again, the upgraded functionality of UniTrade360 will help Robbins to manage its supplies even more efficiently. We are also looking at developing a range of enhanced stock management features to help our customers still further, ranging from mobile apps to handheld devices. Every aspect of the system is always fully integrated, meaning all trading information is held centrally on either Cloud or system-based servers, regularly backed-up, and supported with an unbeatable promise of helpdesk service. Every business has unique demands, and with as many specialist, niche market customers as Robbins, it’s vital to have the right system in place to not only meet customer requirements, but to surpass them, and plan more accurately for the future. UniTrade360 helps the day to day running of operations, with the sophistication and strategic insight to also expedite the year on year growth of the business.
- Bouncing back when things go wrong: 5 ways to handle mistakes
Prevention may be better than cure – but what should you do when mistakes happen in your merchant business? “Take chances, make mistakes. That’s how you grow.” Mary Tyler Moore The news is full of examples of things going wrong, on many different scales. Whether you’re a politician, a weather reporter or a business leader though, how you handle things when mistakes come to light really matters. It’s important to recognise at this point that we are not comparing business with the behaviour of anyone who may have been in the headlines recently. We are talking about genuine mistakes and mishaps that can happen to anyone, in any business; how to prevent them, ideally, but also how to manage them when they happen. First up, it’s vital to be able to establish facts so you can understand how a mistake happened in the first place.. Just the facts, ma’am If something goes wrong in an order, delivery or other process at work, it’s important to find out what happened and why so that the relevant action can be taken to rectify it. That’s not about assigning blame or getting opinions, mitigating circumstances or different defensive versions of the event. It’s about establishing facts – and your ERP software / order and stock management system should be a really valuable tool for that. If every interaction with customers and suppliers is recorded in the system, it’s really easy to identify where things went wrong. A typo on a price here, a missing decimal point there, an incorrect email address or a confirmation button not pressed can all escalate into big issues with customers. Your system should be keeping track of things like different versions of quotes, final agreed pricing, negotiation discussions, product specifications, milling and processing instructions, delivery notes, product certification, invoicing and much, much more. There should therefore always be a simple audit trail available to establish what was agreed at what point, by whom. That makes getting to the bottom of an error much easier and much quicker. The best solution is always prevention There are plenty of safety nets your order and stock management system can have in place to help avoid mistakes in the first place. Credit control limits, margin protection, perpetual stock-take capability and many more can be put in place, with alerts set up to flag the issues and ensure nothing is missed. Having clear and up to date visibility on all the key metrics for your area of the business is critical, so you can nip issues in the bud and see where the problems are before they escalate. But with the best will in the world, mistakes can still happen. So here are 5 steps for handling errors – and perhaps motivating your workforce and customers at the same time. 5 ways to handle mistakes in your merchant business Don’t evade. If a mistake was made, be honest about it, apologise, and take steps to make things better. Identify how the mistake happened. You can’t prevent a situation from happening again without understanding how it happened in the first place. The critical part here is to avoid blame – this is information finding, not judgement day. Take action to prevent similar mistakes happening in future. Human error? Find a way to put checks in place to minimise that risk in future. Process error? How can that process be changed to flag issues or to include an additional step to double check it? Software error? Work with your supplier to address the issue and find a fix or safety net for the future. Communicate what you have done. This one’s really important, especially when a third party (customer, supplier etc) is involved, as they will want to know what action has happened. Reassure those involved. When a mistake has happened, there is little point in blaming and shaming anyone. Owning up honestly to failure or error is not easy for anyone, and it’s important that every member of the workforce feels safe to say what happened, honestly and without undue fear or anxiety. While that responsibility will often sit with the people in charge, it’s just as important for colleagues and peers to recognise that mistakes do happen – it’s how you handle them that makes the difference. None of us is immune to making mistakes, and working in an environment where honesty and courage to speak up are celebrated is enormously motivating. "We learn from failure, not from success." Bram Stoker No-one is infallible, and no system is perfect. Equipping your business with the right tools to help stay on track, see what’s happening and be alerted to risk is vital – alongside an understanding culture which celebrates honesty and intention, and accepts that error is an inescapable part of growth.
- How human is your technology?
We all know modern technology is incredibly clever. It’s powerful and complex and capable of pretty much anything. But is it useful? With so many examples of overly “smart” devices and things being too clever for their own good (like only being able to turn your car fan down by going through an electronic screen, or requiring an app for your toaster), there’s no doubt that sometimes the human element of tech development gets lost. While the potential output of complex systems can be impressive, the impact is lost if you need an engineering degree just to use it correctly. If something is a headache to use, chances are you just won’t use it that often. But what if that “something” is the business system you have to use for every process in your business? What do you think the overall impact on productivity, efficiency and staff wellbeing will be? Our aim is to make the best ERP system for timber merchants, builders merchants, plumbing suppliers, steel stockholders - you get the picture. And in order to make the best business systems for merchants, we need to understand the people behind the business, and the processes that those businesses use every day. And we need to make it as easy as possible to use. Tech should make things better As a team of developers and product managers, whenever we’re considering a change to the system we ask ourselves several questions. These include: What does it do? Does it make the job easier and / or faster? Does it add value in some way? Is it better than a human could do it? How is it an improvement on the way it was done before? Is it the easiest it could be? And unless we’re satisfied with the answers, we won’t make the change. If you’re thinking about taking on a new piece of technology at work, it’s worth asking yourself the same questions, and make sure you try different solutions out there in the market too – because not all systems are created equal, and not all have the user front of mind when they’re being developed. Putting people before technology When technology is created with real human input and the users of it front of mind, it can be immensely useful. AI, machine learning, big data … the list goes on, and you’ll doubtless have seen plenty of mention of it all online. And it’s clever stuff, with enormous potential to help every individual in every business, as well as the business itself. But if it’s so complex to use that no-one wants to – or is able to – use it, what’s the point? It’s not a new concept. In fact, the simplification of tech is a huge movement across the whole SaaS sector, from drag and drop website creation platforms to simplified graphic design, “no code” development sites and financials for beginners, it’s a veritable goldmine of user-friendly technology out there for the taking. But when you start looking at industry-specific technology, it’s not so simple and there are fewer straightforward solutions out there. Yes, that’s partly because you’re dealing with complex business structures and advanced functionality, but it’s also because complexity is an ingrained habit – and it’s lazy. Industry technology providers should be going further and doing more to simplify everything about their systems, from the language they use to talk about them in to the useability of the systems themselves. We believe passionately in the need for simpler, user-friendly technology that does not compromise functionality or power. Our systems are always evolving and improving, so we’ll never claim to be perfect. But we are so sure that our system is easy to use, we’ll give you a 30 day chance to test drive it yourself, with no salesperson loitering and no tech expert needed to show you around. Try before you buy If you’re out there looking for tech solutions for your business, make sure you get a chance to actually use it before you decide to buy it. Because all the cleverness in the world will be no good to you whatsoever if no-one knows how to use it properly.
- Do you have to close to do stocktakes?
If so, you’re not alone. Many merchants still need to close their doors to conduct a full stock take, losing out on trade and often having to spend very long days (and evenings) tallying up the count. But do you have to? Why do merchants close for stocktakes? There are two key elements making it necessary for some merchants to shut down to conduct a stocktake. Firstly, merchants carry a lot of stock. In some cases, we’re talking tens or even hundreds of thousands of product lines, so the time taken is significant. Without all hands on deck, the job simply wouldn’t get done if there still had to be capacity to serve customers and get everything else done. But perhaps the biggest reason is actually one of time – and how stock moves around and through the business even in relatively short periods. While a branch is closed, time (and stock) effectively stands still, enabling an accurate check of all stock held in each location at that point in time. A stocktake, then, is a snapshot, an accurately captured account at a given moment in time of all the stock currently in the business. Therefore, if you are mid-stocktake and a customer buys a load of timber straight after you’ve counted it, your figures won’t account for it. If a delivery arrives straight afterwards, your figures won’t account for it. And if there’s a lorryful of materials in the yard waiting for a delayed collection? Well – there’s a chance your figures will account for it, when perhaps they shouldn’t! So what’s the solution? In an ideal world, every merchant would have such accurate control over your stock day-to-day that they wouldn’t need to close at all. The figures shown on the system would accurately reflect exactly what’s on the ground, taking into account what’s on order, in transit and reserved. This level of perpetual inventory is not easily achieved, but you can get closer to it. And when you do, your business will benefit. Currently, closing your business causes disruption and could mean you’re missing out on valuable custom. It’s also very short-lived – no sooner are branches open again, the stock is on the move and the numbers start to become less accurate. Merchanter, our cloud ERP software for merchants, is packed with features that help merchants to monitor and analyse both stock holding and stock movement more transparently and easily. Over time, you can build up the level of accuracy and trust in the system so that you can be totally confident in the figures it’s reporting, and the information across the whole business will be correct. Here are just a few of the key highlights: Comprehensive information throughout the business Merchanter offers such great accessibility that all members of your workforce can use it, meaning that all information from delivery lorry to yard to sales office to boardroom can be recording accurately and currently, keeping all the information in the business up to date. As it’s a cloud system, users can log-in from the yard or warehouse, and products can be scanned or manually entered onto the system directly. (You can of course also import stock figures from a spreadsheet as well if you need to) The system will also take into account online orders, if you’re using an eCommerce system, and logistics and processing will also be recorded. Commonly, we hear merchants saying that if products or materials are being milled or converted, they can’t be counted as part of the stock control process. However, while it may take a little more effort than recording materials readily available in the yard, it is entirely possible to incorporate these products, thereby giving a far more accurate picture of your entirely stockholding at any given time. Timing is everything The crucial point about using Merchanter live for stock counting is that it records down to the second what is happening where, so it keeps a really good, accurate record of stock movement through the business – not just sales. When every part of the business is integrated, from milling and processing to logistics to sales, it’s much easier to keep track of everything. Because it’s up-to-the-minute accurate, it allows you to keep trading even while stocktakes are happening, because the figures are “live” at all times. Stock confidence Merchanter has a metric called Stock Confidence, which was developed specifically and uniquely for this system. Expressed as a percentage, it is used as a gauge to determine the accuracy of the stock figures your system holds, allowing you to build up your own trust in its accuracy over time. For example, straight after a stock check the figure would be 100% but over time, it takes into account natural erosion, error and other factors which lead to stock figure discrepancies. The bottom line is, this figure helps flag up which items of stock need checking, so you’re not always having to manually check every line of stock – so it makes the job much more manageable as it signposts the areas where focus is needed. A complete, integrated view of the business When you have accurate, detailed information at your fingertips about the movement of products throughout your business (including length reporting, pack reporting, milling and processing and much more) it’s much easier to make smarter decisions around stock replenishment, stock profile and much more. Alerting flags the gaps and issues fast, letting you take evasive measures sooner, or at least keep communicating well with customers and suppliers, and price tracking, margin protection and credit controls keep you trading profitably as well as accurately. So on the one hand you have your Stock Confidence score prompting you on what needs checking, hand in hand with the direct information entry process which takes away the time delay, which was what made you need to close branches in the first place. It won’t happen overnight. The more people you have using the system, the better the information in that system will be, and the more you will be able to trust what it tells you. The value is something you will see in action, in how it can intelligently optimise your stock and trading processes to help you streamline for ultimate efficiency while safeguarding margins and making your business more productive, and more profitable.