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Cost to Serve Analysis—And the Costs of Neglecting It

Logistics Bureau

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.

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No Supply Chain Strategy? Here’s How to Develop One

Logistics Bureau

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.

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Omnichannel Retail and the Cost to Serve Online Customers

Logistics Bureau

Let’s begin with a look at why, in general, retailers with multiple sales channels are more likely to experience difficulties in reducing cost-to-serve. If it were simply the fact that online sales typically involve home delivery, then omnichannel sellers would have no more cost-to-serve challenges than their pure-play online competitors.

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Inventory Management in Service Logistics Industry

Talking Logistics

For Sales it’s about product availability at all times. For Management: a balancing strategy, etc…. It is about keeping all (well most) of the stakeholders of the supply chain content and taking into consideration the supply chain strategy of the organization. Sales Strategy. After-Sale Support.

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Warehouse Product Slotting: The Ultimate Guide

Logistics Bureau

For example, slotting strategies often involve placing the fastest-moving SKUs close to the warehouse dispatch zones, minimising picking operatives’ travel distances and times. Therefore, any slotting strategy should focus on minimising such travel. However, sometimes different approaches are necessary. Slotting Benefits: Summary.

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Sales and Operations Planning: The Interpersonal Element

Logistics Bureau

Has your company ever suffered problems with, implemented, or even considered implementing a sales and operations (S&OP) planning process? Often, in our experience, the problem is a human one… It’s not the data, not the process, not the technology, or the strategy, but the people. Who’s Who in the S&OP Process?

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Cost To Serve – A Smarter Way to Improved Supply Chain Profitability

Logistics Bureau

Too much leads to resources being monopolised on gathering tons of data and a subsequent risk of “paralysis by analysis” Cost to Serve (CTS) is an approach that helps you avoid both extremes. You then set a sales price for that product. Sales organisation costs. So far, so good… but what about those further expenses?