SUPPLY CHAIN COST TO SERVE

With increasingly varied and complex supply chains and with continuous changes in customer delivery models, it is increasingly important that companies understand their true supply chain cost to serve

SCALA’s bespoke “Cost to Serve” modelling enables our clients to evaluate, quantify and understand their true cost to serve :-

  • by individual Customer
  • by individual Product
  • by Individual Activity

This is vital and integral to understanding customer profitability and business decision making

SCALA provide a powerful model, which is easy to operate and uses real order and inventory data.

Benefits include

  • Knowing individual customer profitability including supply chain costs
  • Understanding individual product and activity costs
  • Identifying opportunities to increase profitability
  • Visibility of costs to enable clients to monitor customer order behaviour
  • Reconciliation of activities, invoices and accounts ledgers
  • Improving client budgeting and accrual processes
  • Enabling “What If?” scenarios and analysis

The model is tailored to each client and can, for instance, include a range of activities eg shipping, inbound freight, warehouse handling and storage, customer delivery, customer returns, added value activities, labelling, re-boxing, display formats and sales order processing and administration by customer

SCALA set up bespoke client models both for specific evaluations and for on-going continuous monitoring of supply chain costs

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