No upfront on-site stocking costs and only materials used from the consigned stock are invoiced at the end of each month
CMYUK is to make consignment stock holding a standard offering to all its UK customers.* Palletised consignment shipments are available to those organisations that have large internal repositories, while those lacking space will be given a free bespoke shelf racked container for the external storage of roll materials. These are condensation-proof, secure, and can hold material rolls up to 5m wide.
CMYUK has long been supplying roll material consignment stocks to its largest customers. It has decided to offer this service to its wider Print Service Provider base recognising that they have the same supply chain issues and on-demand requirements as their larger counterparts.
Robin East, Group Commercial Director, CMYUK said, “There are many advantages to consignment stock procurement and customers have told us that the main reason they haven’t purchased roll materials in this way previously due to a lack of space. However, everyone tends to have available back yard space.”
The benefits of consignment purchasing have long been recognised. However, the recent effects of COVID to the supply chain, high transportation costs, and logistical issues makes bulk consignment stockholding even more of an attractive proposition.
With consignment purchases there are no upfront costs, and only used stock is invoiced at the end of each month. This can assist with cash flow as CMYUK customers’ can invoice their clients for work produced before paying for the materials themselves.
Bulk consignment stock also safeguards against depleted inventories. Stock levels can be replenished automatically or topped up at any time. This ensures a higher degree of flexibility, enabling businesses to cope with non-forecasted peak business periods.
Road transportation is one of the main sources of air pollution with diesel vehicles particularly to blame. Consignment stock means significantly fewer customer truck deliveries, reducing costs, and lessening customers’ carbon footprint.
“Our larger customers may have two/three consignment deliveries a month compared to say ten or so standard deliveries. However, for a smaller customer, a single consignment delivery per month would be more than adequate. Customers are happy with the logistics and convenience offered by this procurement service. Consignment order fulfilment means having the reliable assurance of stock on the shelf. This feeds into the whole customer experience that reduces job lead times and provides a tighter, more efficient service. It’s these details that makes a good business better,” said Damien Clarke, Sales Director (Materials) CMYUK.
*Subject to status
Consignment Stock | Materials | News