Parts Managers are busy enough already. So, when someone suggests creating more sources inside the DMS, the natural response might be:
Why would I want MORE to manage?
Here's the interesting part: more sources don't necessarily mean more manual work.
During our latest PartsEdge webinar, we walked through a sample source structure containing 21 sources for different inventory categories, including captive and competitive parts, accessories, non-stock parts, special orders, forced stock, tires, obsolete parts, never-stock parts, and bulk oil.
But the Parts Manager wouldn't actually be actively managing all 21.
Of those 21 sources, only about eight would require active management.
The DMS can be structured to dynamically move inventory based on day supply and other established criteria. The point isn't to create more work. It's to create enough separation that the system can do more of the work for you.
The webinar identified several benefits of a dynamic source structure: reducing excess inventory value, building inventory breadth, identifying forced stock sooner, controlling special orders, calculating a better stock-order mix, establishing more accurate pricing, improving management reports, and ultimately creating a better return on inventory investment.
It's not about having more sources simply for the sake of having them.
It's about giving different types of inventory the rules they actually need.
Watch the replay of our latest PartsEdge webinar for a deeper look at source structure, including the sample source guides discussed during the presentation.
Then register for our next webinar and join us live as we continue exploring the numbers, strategies, and opportunities hiding inside dealership parts inventory.