WHAT DOES A DISTRIBUTION MANAGER DO?
Published: Dec 09, 2024 - The Distribution Manager ensures OTIF delivery to customers by coordinating with logistics, warehouse, sales teams, and customers while maximizing operational efficiency. Leadership is provided to direct reports and 3PLs, focusing on skill enhancement, training, and performance improvement. The role includes overseeing department costs, addressing issues through weekly reviews, maintaining ISO compliance, and managing customer relationships for seamless logistics and distribution.
A Review of Professional Skills and Functions for Distribution Manager
1. Distribution Manager Duties
- Supply Chain Management: Ensure the performance of the import operation of the main Louveira inputs, via Trade, the efficiency of the supply of inputs, avoid any risk of shutdown of the Louveira plant, due to the lack of these inputs, as well as provide visibility of the tracking tool of the processes at the correct times, for PSC, plant and other client areas of this information.
- Cost Reduction: Seek savings of USD 0.9 MM/year, in material cost reduction, through the use of the model via trade, with a 2.17% benefit rebate.
- Financial Management: Ensure cash benefits, by reducing the entry ICMS base, with the Trade model to 4%.
- Business Results: Deliver superior results to meet and exceed business needs including Net Savings, Stewardship, and Customer Relationship Management.
- Pricing Strategy: Ensure that all prices charged by Sertrading, of the cost of material placed in Louveira are correct according to the contract (price of material paid to the supplier abroad, ocean freight, logistical costs of nationalization, FX, financial charges, 2.17% rebate applied in the model, values of the first and second grades, etc.).
- Payment Management: Ensure a normal flow of payments, and reconciliation of credit and debit notes, avoiding backlog of payments with the supplier.
- Accruals Management: Visibility of accruals every quarter.
- Supplier Payment Control: Ensure that Sertrading always pays foreign suppliers, closing the exchange before receiving it from P&G.
- Tax Compliance: Ensuring the Taxes rule, about the time of permanence of the products in the Trade's DC's.
- Supplier Relationship Management: Maintain all relationships with this strategic supplier.
- Market Analysis: Provide market analysis to ensure expansion plans for other categories.
- Strategic Expansion: Execute strategies with the other categories, to expand the model, with the same benefits for Fabric (encapsulated perfume) and PHC.
2. Distribution Manager Details
- Inventory Strategy: Lead the development and delivery of an effective inventory strategy for the Power Solutions Division to improve part availability across the network and an improved working capital position.
- Stock Optimization: Lead slow-moving/non-moving, excessive stock items reduction initiatives and suggest/recommend optimization steps to key decision makers in Operations and Finance.
- Performance Analysis: Analyze and improve the $/kVA and inventory turns performance across Jebel Ali and the wider Power Solutions production sites and hubs.
- Inventory Management: Determine inventory settings within a multi-distribution environment in order to achieve maximum parts availability while maintaining targeted inventory levels as per Supply Chain KPIs.
- System Optimization: Provide guidance to the rest of the Division on how to best use systems and processes to achieve the same.
- ERP & Systems Solutions: Undertake resolution of complex supply chain-related ERP/systems challenges and issues for the supply chain department, using a holistic view or approach of the different supply chain groups.
- KPI Development: Lead the design, development, and reporting of inventory KPIs to improve overall inventory health.
- Supplier Relationship Management: Interface with global suppliers to optimize end-to-end supply chain inventory holding.
- Global Supply Chain Optimization: Lead initiative to design and implement optimal supply chain global network design for the Power Solutions Division including optimization of global distribution flows, reduction of lead-times, improved warehousing, and strategic inventory holding.
- Inventory Accuracy: Lead physical inventory accuracy across the Division, including running an effective periodic and cycle counting program.
- Process Improvement: Lead process improvements across the warehouse network to improve part-handling efficiency.
- Warehouse Layout Design: Evaluate, design, implement, and maintain an efficient physical layout in the warehouses to support these objectives.
3. Distribution Manager Responsibilities
- Shipment and Delivery Management: Ensure timely and accurate shipment and delivery of products to customers (internal and external).
- Lean Practices: Practice and promote Lean techniques consistent with company objectives and initiatives.
- Continuous Improvement: Introduce continuous improvements throughout the distribution network to improve safety, resource utilization, and on-time delivery while reducing costs.
- Waste Reduction: Identify and eliminate waste in the distribution area and related processes.
- MRP Leadership: Provide MRP leadership for the division to facilitate process improvements and enhance MRP control/accuracy.
- ERP Super User: ERP Super User role for the Supply Chain department in Central Operations.
- ERP Data Management: Manage MRP functionality at Jebel Ali, monitoring and validating ERP-related data to ensure effective MRP activity.
- Data Accuracy: Ensure Item Master and ERP Supply Chain data are accurate, eliminate parts duplication and manage the supersession process in Infor M3.
- BOM Management: Maintain and update mobilization BOMs (safety spares, service items, mobilization) liaising with production sites, Engineering, and Projects.
- Master Data Improvement: Lead activities to provide a step-change improvement to supply chain master data accuracy across the Division.
- Compliance and SOP Adherence: Ensure compliance with Company SOPs, protocols, and specifications.
- Non-Compliance Investigation: Participate in the investigation of non-compliance issues.
4. Distribution Manager Job Summary
- Strategic Alignment: Alignment with distribution partners on mutual local strategic priorities.
- Go-to-Market Strategy: Execute strategic go-to-market distribution plan with emphasis on managed brokers covering core top and bottom line goals and appropriate strategic initiatives and milestones to support.
- Broker Strategy Communication: Understand Managed Brokers strategy in-country and across the region and communicate internally with appropriate stakeholders.
- Campaign Execution: Implement local and regional distribution campaigns (where applicable).
- Engagement Model: Define appropriate engagement model with local broker counterparts (e.g., quarterly meetings to review priorities, risk appetite, business production, and communicate successes).
- Deal Pipeline Management: Build and manage deal pipeline with distribution partners ensuring alignment with underwriting teams.
- OBR Portfolio Execution: Work with underwriting to execute OBR portfolio priorities with managed brokers in the respective markets.
- Broker Performance Analysis: Interpret data on broker performance (e.g., share of wallet, acquisition costs, etc.) and extract insights for the business.
- Thought Leadership: Leverage Swiss Re's thought leadership and innovation to deliver on agreed strategic priorities with distribution partners.
- Market Intelligence: Collate market intel from distribution partners and feed back to business (announcements on personnel changes).
- Issue Resolution: Act as point of contact for the broker to raise and resolve ad hoc issues that require escalation to management and regional distribution manager.
- Internal Deal Escalation: Assist with internal deal escalation for complex transactions.
5. Distribution Manager Accountabilities
- Warehouse Leadership: Hands-on on the warehouse floor leading the team by best practices and developing ways of working and staff.
- System Development: Developing and implementing new warehousing systems.
- Operational Efficiency: Ensuring that the warehouse as a whole runs as efficiently and effectively as possible.
- Goods In Process Management: Oversee the goods in process, and ensure that all goods are checked in accurately, with discrepancies reported, and located correctly within the store.
- Warehouse Management: Responsible for warehouse management, ensuring the most efficient bin locations for products, and changing locations to fit with changing volumes.
- Goods Out Process Management: Manage the accuracy and efficiency of the goods out process, from picking to checking and loading.
- Route Planning and Management: Drive efficiencies in route planning and route management, whilst maximizing customer satisfaction in hitting time calls and avoiding busy periods.
- Warehouse Maintenance: Maintaining the condition of the warehouse and arranging for necessary repairs.
- Performance Analysis: Analyze data to monitor performance and plan improvements.
- Order Cycle Coordination: Coordinating and controlling the order cycle and associated information systems.
- Stock Management: Maintaining effective stock management.
- Product Delivery: Ensuring that products are dealt with efficiently in the warehouse and successfully get delivered to customers.
- Warehouse Display & Guidelines: Ensure the warehouse is well displayed and within guidelines.
6. Distribution Manager Functions
- Health and Safety Compliance: Ensure that stock is stored within health and safety guidelines.
- Stock Management: Responsible for monthly stock takes within the warehouse.
- Policy Enforcement: Enforcing health and safety policies and procedures.
- Vehicle Maintenance: Responsible for monitoring tachograph records and maintaining records on vehicle service/repairs.
- Cost Management: Manage warehouse costs including staffing to keep within the agreed budget, and keep overtime within agreed parameters.
- Accident Investigation: Responsible for investigating accidents and near misses, keeping records and chairing disciplinaries for distribution staff.
- Recruitment and Training: Overseeing the recruitment of new staff, including interviews, training, and inductions.
- Staffing and Resource Planning: Ensuring adequate staff levels to cover for absences and peaks in workload.
- Workload Management: Delegating work to staff and managing workload and output.
- Staff Development: Promoting staff development, training, and disciplinary matters.
- HR Administration: Administration of holiday requests and absence monitoring, and other associated HR for distribution staff.
7. Distribution Manager Job Description
- Inbound Logistics Management: Oversee all inbound logistics, coordinating ex-factory dates with the production team and freight forwarders.
- Delay Communication: Communicate any potential delays to internal teams.
- 3PL Coordination: Liaise with the 3PL and upload ASN into the WMS.
- Tracking and Reporting: Maintain tracking sheets for all inbound POs, matched back freight, and drayage invoices for the accounting team.
- SKU Management: Enter and maintain SKUs in the accounting system.
- PO Management: Enter and receive POs in the Accounting Software, track PO variances.
- Cycle Counting and Audits: Oversee the cycle counts program and review auditing reports.
- Fulfillment and Returns Management: Supervise the day-to-day operations of B2B and B2C fulfillment and returns.
- Shipping Issue Resolution: Respond to shipping complaints, lost items, and damages.
- Customer Service Collaboration: Work with customer service to track re-ship, damages, and replacement orders.
8. Distribution Manager Overview
- Order Management: Hand-key orders and upload RMAs.
- Order Allocation: Ensure the 3PL is meeting order allocation times.
- Communication & Issue Resolution: Communicate any shortships or product delays to Sales Managers.
- EDI Implementation: Coordinate and test EDI implementation with new EDI partners.
- Customer Routing: Maintain Customer Routing Guides.
- Operational Support: Work with EDI Trading Partners to resolve operational issues.
- Reporting & Reconciliation: Month-end reporting and inventory reconciliations.
- Account Discrepancy Resolution: Collaborate with the Accounts Receivable team to resolve account discrepancies, submission of documents to vendor web portals (gather BOLs, PODs, Packing lists, etc.).
- SOP Development: Maintain and develop SOPs for outbound orders and Fair Harbor products.
- 3PL Invoicing Audit: Audit 3PL invoicing and ensure SLAs are being met.
- Freight Documentation: Supervise checking of outgoing and incoming freight for proper counts and documentation.
- Inventory Management: Conduct physical inventories and cycle counts.
- Shipping Supervision: Supervise the shipping department and ensure all product and customer orders ship out accurately and on a timely basis.
9. Distribution Manager Details and Accountabilities
- Cross-Functional Collaboration: Work closely with the logistics team, the warehouse team, the sales team, and customers to execute OTIF (on-time in full) delivery to customers safely, while maximizing efficiency of operations productivity, transportation, and delivery.
- Sea Freight Operations: Drive overall activities of Sea freight operations to East Malaysia and ensure customer orders are scheduled and delivered based on standards.
- Shipment Error Reduction: Reduce shipment defect errors by leading the weekly review meeting and working with relevant stakeholders to address issues.
- Financial Accountability: Operational and financial accountability for departmental Labour and OPEX costs.
- Team Leadership: Provide direct reports with leadership, direction, training, and coaching to achieve work objectives and improve performance and skills.
- Staff Development: Enhance the capability of direct reports including 3PL by providing strategic direction, transferring skills, and establishing training programs.
- Employee Relations: Coordinate with the HR department to resolve and avoid employee grievances.
- Process Compliance: Ensure all processes are in place according to ISO standards.
- Contingency Planning: Ensure contingency policies/programs are in place to ensure business continuity to address unexpected volume surges, festive planning, and threats to logistics fulfillment.
- Customer Relationship Management: Forge strong professional customer relationships in areas of customer service, planning, and logistics distribution as well as with customers.
- Receiving Supervision: Supervise the receiving department and ensure the product is received and put away in the correct location and on a timely basis.
- Issue Resolution: Manage to receive issues including non-conformities.
- Motivational Leadership: Apply sound communication and motivational techniques in use.
10. Distribution Manager Tasks
- Customer and Stakeholder Communication: Communicates and cooperates with customers, District Sales Manager(s), other Distribution Center Managers, Corporate Customer Service, Product Management, and Executive management.
- Operational Efficiency: Provides an efficient operation of the distribution center and good service to the customers and other districts.
- Inventory Management: Maintains specific inventory requirements, and ensures Product Managers are informed of inventory requirements.
- Scrap and Remnant Control: Control of scrap and remnant inventory, keeping product loss within corporate standards.
- Personnel Management: Supervision, selection, utilization, and training of distribution center personnel results in the smooth operation of the distribution center.
- Staff Development: Utilizes, trains, develops, evaluates, and motivates personnel supervised in an effective manner.
- Facility and Equipment Management: Building and Equipment Management.
- Safety and Compliance: Maintains the conditions of the distribution center to ensure a safe environment. Promotes safety by conducting regularly scheduled safety training meetings.
- Quality Control: Actively supports the Quality Improvement Process through visible proactive and positive actions.
- Reporting and Performance Management: Utilizes and monitors reporting tools to operate within corporate standards for on-time delivery, response time, and expense management.