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As you’ll know, if you follow our blog regularly, Logistics Bureau does a great deal of work related to supply chain strategy development and alignment. As a result, and as we’ve mentioned in several previously published articles, we’ve discovered that many companies lack a defined and documented supply chain strategy.
Have you conducted a cost-to-serve (CTS) analysis for your enterprise? And that is the sole purpose of cost-to-serve analysis. If you were going to say, “What is a cost-to-serve analysis?” When costs begin to spiral out of control, the result is usually a loss of revenue in proportion to sales.
Companies with global supply chains—a category which includes a fast-growing number of corporations, medium-sized companies, and even small businesses—can be standing on a cost base of which 90% is attributable to supply chain expenditure. . Supply Chain Strategy. Mini CaseStudy: Walmart.
The True Cost of Delays: Delays caused by fixed-rate contracts can have severe financial impacts, particularly for seasonal, perishable, and just-in-time inventory products. Production Schedules: Delays in critical components can halt production, disrupting supply chains and increasing costs.
As youll know, if you follow our blog regularly, Logistics Bureau does a great deal of work related to supply chain strategy development and alignment. As a result, weve discovered that many companies lack a defined and documented supply chain strategy. A company without a supply chain strategy is at a competitive disadvantage.
The entire supply chain can now be optimized in a model that prescribes which decisions should be taken (where to deliver the raw material, what to produce, where to stock, when and whom to sell), respecting all operational and commercial constraints as well as costs and prices, in order to maximize overall profitability.
If you’ve never done a benchmarking exercise before, read on. You will learn how you can significantly boost your supply chain performance—and in the process identify numerous cost-saving opportunities. CaseStudy: An Automotive Parts Business. The Benefits of Benchmarking. Informal Benchmarking.
More and more companies are looking to digitalization of their end-to-end logistics operations for high efficiencies at optimal costs. This exercise not only helps internal stakeholders align on project goals and business outcomes but also signals to solution providers exactly what is expected of them.
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