How the JanSan Industry is Using AI to Optimize Purchasing, Inventory, and Sales

It has been a time of great global change and the JanSan industry has certainly felt the impacts, from the effects of the pandemic to the supply chain difficulties and related inflationary pressures of the past few years, to the steady march of technology delivering ever greater efficiencies, and the ever-accelerating trend of industry consolidation. Proactive distributors are quickly creating new business models that enable them to broaden their offerings and improve their capacity to offer end users solutions that go beyond products. The objective remains the same whether extended services or add-on services are used: to restore and reestablish the distributor's importance to facility managers and building service contractors.

Visiting a nearby Jansan supply distributorship was once the only way to purchase commercial vacuum cleaners, cleaning solutions, and other tools and equipment. However, there are now a plethora of options available for choosing these products both online and in physical stores. In just the last 10 years, the prevalence of eCommerce has exploded and the JanSan industry has expanded beyond traditional janitorial and sanitation to include food, hygiene, and security.    

According to Grand View Research, The U.S. janitorial services market size was estimated at USD 78.17 billion in 2023 and is expected to grow at a CAGR of 2.8% from 2024 to 2030. The market's expansion may be due to growing awareness of the value of preventative healthy behaviors and the cleanliness and hygiene of workstations and is expected to expand steadily due to the profitable prospects in commercial applications.

The Industrial Sanitary Supply Association (ISSA) ISSA is helping to lead the way as the global industry trade association for the cleaning, hygiene, and facility management industry. The organization covers the entire industry – from the manufacturers and associate manufacturers, through the distribution and wholesale chains, to the professionals who clean our buildings, homes, public spaces, and transportation systems every day.

As a leading ERP software developer with an industry-specific JanSan ERP solution, VAI will be attending the ISSA’s North America 2024, an annual event produced in partnership by Informa Markets and the ISSA. During the event, I will present a session titled, Using AI to Optimize Purchasing, Inventory, and Sales for Distributors. The session will look at how Artificial Intelligence (AI) tools can be used to process, learn from, and produce useful results and review how AI drives success within ERP applications enabling companies to better conduct sales forecasting to plan inventory and improve purchasing decisions, using historical data over several years. 

In this session, I’ll be looking at how AI can support sales in the following ways:

Helping salespeople perform more effective sales follow ups through an AI-generated customer relationship management (CRM) system which eliminates manual data and automates tedious tasks, freeing up time and increasing output. Plus, a CRM provides a real-time pipeline analysis to enhance predictive forecasting.

Improving inventory by tracking sales trends and ensuring that the correct stock is always in the right warehouse. AI can recommend optimal purchase suggestions to buyers to ensure delivery on time and fulfill customer demand. AI optimizes inventory management by tracking sales patterns, predicting future demand, and identifying slow-moving products. Inventory management leveraging AI improves order fulfillment rates, reduces carrying costs, and minimizes the risk of stockouts or overstocking for wholesale distributors.

Optimizing purchasing and sales efforts with AI becoming more powerful in corporate processes and management tools. Businesses can ultimately increase sales by examining vendor, item, and sales team performance in addition to analyzing customer trends.

This session will explore how AI can assist Supply and Demand Planning in the following ways:

• Cost reduction by consolidating purchase orders and smart buys - how much to buy if a price increase is coming, how much to buy if lead times are expected to change.
• Improved customer service and service standards by reducing out of stock items.
• Merged vendors and categories to meet freight - AI can recommend the additional purchase of items from vendors to meet minimum fright requirements - reducing overall product cost.
• Item suggestion detail giving with profile exploration and thorough data review.
• Ability to manage multiple warehouses.
• Optimization of nonstock, special-order item.

VAI has a number of customers in the cleaning industry, including Imperial Dade, and since ISSA is a leader in that field, it's critical that we communicate the value of AI in helping JanSan, paper, and packaging distributors better optimize their purchasing, inventory, and sales requirements. AI-driven insights can be the difference for businesses striving to boost revenue, elevate customer service, and achieve a competitive edge in the market.

If you would like to learn more about VAI’s industry-leading JanSan solution, join our complimentary webinar on Dec. 3, 2024 and discover how VAI ERP software can:

• Use Advanced Analytics to Manage Inventory Levels
• Expedite Route Management and Warehouse Picking
• Use Mobile POD to Confirm Deliveries and Track Cash Receipts
• Grow Sales with Integrated CRM and Email Marketing

As the JanSan industry continues to evolve, leveraging AI and ERP can translate to better financial control, optimized inventory management, and improved order fulfillment – all leading to enhanced profitability and a competitive edge in the market. With the help of janitorial ERP software, companies can improve their relationships with suppliers and provide outstanding customer service, which can ultimately lead to sustaining growth.

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