®Auto-replenishment against real usage
Stock levels get monitored against actual consumption, triggering replenishment orders automatically instead of relying on a distributor's team to notice a shelf running low.
Services for the solar trade
Vendor Managed Inventory
Consigned stock that auto-replenishes against usage data, keeping shelves stocked without manual reorder cycles.
Vendor Managed Inventory
Consigned stock that auto-replenishes against usage data, keeping shelves stocked without manual reorder cycles.
How vendor-managed stock replenishes
Consigned stock, cash flow preserved
Consignment structures mean inventory sits on a distributor's shelf without tying up capital in ownership until it's actually sold or used.
Focused on fast-moving categories
VMI applies most effectively to high-turn SKUs like racking and common BOS components, where predictable usage patterns make auto-replenishment reliable.
Replenishment without manual tracking
Stop manually tracking reorder points
Auto-replenishment triggers against usage data instead of a manual shelf check.
Free up capital tied to on-hand inventory
Consignment keeps stock available without committing cash to ownership before it's needed.
Your questions, answered.
How does vendor-managed inventory differ from a standard purchase order model?
Under a standard purchase order model, you forecast demand, track reorder points, and cut a PO each time stock runs low. With vendor-managed inventory, stock is consigned and auto-replenishes against your actual usage data, so the supplier maintains agreed levels without you issuing manual reorders. That shifts the reordering work off your team and reduces stockouts on fast-moving items.
Who owns consigned stock before it's used?
With consigned VMI stock, the supplier retains ownership of the inventory sitting on your shelves until it is drawn for use, at which point it converts to a sale. That is what preserves your cash flow, since capital is not tied up in on-hand stock you have not yet consumed. Exact ownership transfer terms are set in the VMI agreement.
Does VMI work for fast-moving SKUs or the full catalog?
VMI is best suited to fast-moving, predictable SKUs, where steady usage data drives reliable auto-replenishment and the reduction in manual reordering pays off most. Slow-moving or one-off items are usually better handled through standard purchase orders, so most programs focus VMI on the high-velocity categories rather than the full catalog.