Meeting customer demands for faster delivery, managing inventory, and adapting to rapidly changing market trends and technologies are daily pressures in the wholesale distribution industry. By leveraging technology and embracing digital transformation, wholesale companies can differentiate themselves and optimize their processes for greater efficiency and profitability. As the demand for faster and more flexible delivery options increases, wholesale distributors have the opportunity to innovate their logistics and distribution processes to meet the evolving needs of their customers.
Tree of Life Canada, a leading national food and beverage distributor with a network of over 6,000 distribution points, is embracing digital transformation to support its aggressive growth. Founded over 80 years ago, the company initially catered to Canadian consumers returning from WWII and European immigrants seeking authentic foods. Over the decades, Tree of Life has expanded significantly, both organically and through acquisitions.
Recognizing the need to modernize its aging IT systems, Tree of Life adopted a cloud-first approach to streamline operations and support future growth. Their top priority is migrating to a best-of-breed system that consolidates their existing legacy tools, simplifies their processes, while providing the scalability to support an agile business need for future growth.
One challenge they were facing was spending too much time pulling and cleansing data, leaving little time for timely, data-driven decisions. With real-time data, Tree of Life can better control inventory by accurately predicting demand fluctuations, ensuring they have the right products available at the right time. Tree of Life also needed to see efficiencies in route planning, optimized delivery scheduled and reduced transportation costs, one of their highest costs in the business.
Tree of Life turned to SAP Canada and NTT DATA Business Solutions to drive their digital transformation. A critical aspect of the partnership was the focus on streamlining integration. With many disparate systems that did not communicate with each other and mature internal processes, Tree of Life needed a solution that would support and amplify their processes, provide seamless integration, and have a robust ecosystem.
SAP, a leader in enterprise applications and business AI known for its innovation, provided Tree of Life with the tools and expertise to improve their wholesale distribution business. NTT DATA, an innovator of IT and business services, played a crucial role in implementation including bolstering the Tree of Life board’s confidence and facilitating open conversations between all partners. With SAP S/4HANA Private Cloud edition, and NTT DATA’s expertise in the CPG, distribution and logistics industries, this collaboration is properly primed to navigate the complexities of implementing the digital platform and processes that will touch every aspect of Tree of Life’s business.
“We’re not just reacting to market changes – we’re anticipating them. By leveraging data and analytics, we’re building a more proactive and responsive supply chain. This means greater efficiency, improved forecasting, and a stronger ability to meet the evolving needs of our customers and suppliers.” said Christopher Parker, Senior Vice President, Information Technology and Operations, Tree of Life Canada. “Partnering with NTT DATA and SAP, our commitment to continuous improvement means more than just better numbers for our business. It translates directly to value for our customers and suppliers.
NTT DATA strongly believes that a successful digital transformation is a combination of the best technology coupled with the right people. “Transformation starts with a leading technology platform like SAP, paired with industry experts from NTT DATA, working together for a customer who is willing to change,” said Jason Mausberg, Managing Director, NTT DATA Business Solutions. “The Tree of Life team, from IT to senior leadership and Board of Directors, were ready and willing to change, and took a collaborative approach with their team and partners which will unleash new opportunities for their business and customers.”
Tree of Life is showcasing the power of technology in transforming wholesale distribution businesses. By leveraging AI and advanced ERP systems, companies like Tree of Life can optimize their operations, offer high-value services to their customers, and differentiate themselves in a competitive marketplace. With the support of innovative technology partners, wholesale distributors can navigate industry challenges and achieve profitable growth in today’s fast-paced business environment.
Investing in the right technology and collaboration, wholesale companies can optimize their operations, differentiate their brand, and remain competitive in the industry. Parker’s advice to other mid-sized businesses looking to grow their operations, he said, “Businesses need to invest in the technology that will support their future selves and not be limited to who they are today. Our approach serves as a model for other companies looking to leverage technology for transformative growth.”
