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How you reduce cost of distribution without affecting g sales?

Distribution Management
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Question added by MOHAMMAD AYNUL HOSSAIN , In Charge , Distribution Department , SOMATEC PHARMACEUTICALS LIMITED
Date Posted: 2013/10/07
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zohair Siddiqui
by zohair Siddiqui , Warehouse Associate , Numerous Warehouses

  • Use distributor for channel that are having low contribution margin and leverage on sales.
  • Do break even analysis and acquire that would it make sense to use3rd party manufacturer for non seasonal demand patterns
  • Lower distribution cost by using3rd party logistics provider on costs such as logistics and transportation rather than using private fleet
  • Out-source functions such as packaging, labelling, and material handling based on network analysis
  • Try to reduce the size of the company's operation by using bottleneck scheduling on product mix

 

 

   

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