8 Strategies To Run Lean As A Business Supplies Dealer

Running lean doesn’t mean cutting jobs, but instead working smarter. To run a successful business supplies dealership in a competitive market, it's crucial to optimize operations and work smarter rather than simply cutting costs. This includes smart inventory management by using data to phase out slow-moving items and speeding up warehouse operations through automation and better-organized bin locations. Additionally, businesses can empower customers to help themselves via self-service portals and online ordering, which reduces administrative tasks for sales reps and cuts down on errors. By focusing on these areas, companies can work smarter and improve their bottom line. 

Boosting efficiency allows your team to focus on what really matters: sales and customer service. By eliminating slow, manual processes, you make daily work easier and open the door for growth. Here are eight actionable strategies to help you streamline operations, reduce waste, and build a strong, more agile dealership. 

Stocking the wrong products ties up cash and clutters your warehouse. Without proper inventory management, you risk overordering, running out of stock, or missing opportunities to cut costs.  

Here’s how to do it: 

• Manage inventory with intent: Start by setting up basic inventory controls in your ERP.
  • Set min/max levels based on demand.
  • Reorder points that automate restocking.
  • Review stock levels monthly, not yearly.
• Use data to phase out slow movers:
  • Flag items sitting in inventory for 90+ days.
  • Spot high-turn products that justify stocking.
  • Cut low-margin items that rarely move.
• Maximize freight savings: Place smart bulk orders that help you qualify for free shipping thresholds without overstocking.  

Slow picking, packing, and shipping waste time and money. Eliminate repetitive tasks like order entry and invoicing to reduce errors and increase team capacity. 

Here’s how to do it: 

• Leverage bulk picking for large items: When handling bulk products (like pallets of paper or furniture), organize picking differently. Bulk orders should be labeled at the pick stage and moved directly to shipping to avoid unnecessary repacking.
• Use automated packing stations: Reduce packing time by up to 30%, improving throughput without adding headcount. Separate bulk shipments from smaller items at the packing station to improve workflow.
• Optimize warehouse bin locations: Use the picking manifest to organize bins by product type and picking priority, reducing wasted movement and speeding up fulfillment. 

Sales reps spend only 35.2% of their time actually selling—the rest is wasted on admin tasks. Giving your customers the option to self-service reduces inbound calls, freeing sales to do what they do best.  

Here’s how to do it: 

• Add a self-service customer portal: Allow buyers to track orders, view invoices, and manage accounts without calling your team. Look for ecommerce platforms or ERP-integrated solutions that offer real-time access to account details.
• Automate order and shipping notifications: Use email and text updates to proactively inform customers and reduce inbound calls.
• Use AI-powered chatbots: Handle FAQs, assist with order tracking, and qualify leads all without human intervention. 

Even with ecommerce in place, many dealers still take too many orders via phone call or email. This slows operations, increases errors, and adds unnecessary costs to your processes.  

Here’s how to do it: 

• Drive customers to shop online: Offer web-only promotions, loyalty rewards, or subscription ordering for frequently purchased items to push customers online.
• Ensure real-time pricing and inventory accuracy: Sync your ERP with your ecommerce site to prevent stockouts, pricing disputes, and order delays.
• Track offline buyers and shift them online: Use email marketing and sales reps to educate customers about the benefits of self-service ordering. 

Inefficient routes waste fuel, time, and money. Before sending out orders, your route should be efficient and optimized based on real data, not instincts. 

Here’s how to do it: 

• Use optimization tools: JumpTrack’s Route Optimization dynamically plans the most efficient delivery routes, minimizing mileage and maximizing truck capacity.
• Identify low-density delivery areas and consolidate shipments: Use smart tools, like JumpTrack’s Route Optimization, to plan routes based on delivery density and minimize unnecessary trips.
• Position inventory closer to high-demand areas: Export your top 20% most-ordered items from your ERP and analyze the shipping zip codes. If demand is high in certain regions, consider stocking inventory close to those locations to reduce delivery time.  

Reps often waste time on low-value tasks instead of closing deals. Take back time, speed up sales cycles, and reduce back-office dependencies with artificial intelligence (AI). 

Here’s how to do it: 

• Automate pricing updates: Use AI to analyze competitor rates, demand trends, and customer behavior, ensuring you stay competitive without manual adjustments.
• Streamline follow-ups: Use CRM automation to trigger personalized reminders and outreach based on customer actions, ensuring no deal slips through the cracks.
• Use AI-powered assistants: Draft follow-up emails, suggest the best time to engage leads, and create urgency with targeted messaging. 

Selling new products is difficult without expertise. Measure, monitor, and use insights to refine processes and enter new product markets. 

Here’s how to do it: 

• Join a buying group or association: Access better pricing, bulk discounts, and exclusive supplier deals, helping you expand offerings without increasing costs.
• Partner with suppliers and manufacturers: Test new product lines through drop-shipping before committing inventory pounds.
• Use private label programs: Offer exclusive, high-margin products without the cost of developing them yourself. 

If you’re not tracking key metrics, you’re making blind decisions. Reevaluate your service model to identify which services truly matter to customers.  

Here’s how to do it:  

• Track conversions: Measure the number of website visitors who place an order to identify areas where customers drop off and optimize for higher online sales.
• Review logistics and fulfillment data:
  • On-time delivery rate- Are shipments consistently late? Identify bottlenecks in your fulfillment process.
  • Freight costs per order- are shipping costs increasing? Optimize delivery routes or explore better carrier rates.
• Evaluate last-mile delivery options: For orders outside your delivery zone, consider third-party last-mile delivery services to reduce cost and improve customer satisfaction without overextending your fleet. 

• Find your biggest time wasters: Look at manual tasks in ordering, fulfillment, and customer service—what can be automated?
• Set an online sales goal: Shift more customers to ecommerce to cut phone orders and free up your team.
• Use data to buy smarter: Track what sells fast and what sits too long—adjust stock and drop-ship slow movers. 

To truly thrive in a competitive market, modern businesses must shift their focus from merely cutting costs to strategically optimizing their entire operation. The key to this lies in a combination of smart technology and data-driven decisions. By implementing better inventory management, automating warehouse and sales processes, and transitioning customers to online self-service tools, companies can eliminate waste and free up their teams. Ultimately, success comes down to continuously tracking key metrics and using these insights to streamline everything from delivery routes to new product offerings, ensuring the business is agile and prepared for sustainable growth.