Logistics Cost and Service - Supply Chain Consulting

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75 50 25 0 -25 -50 Annual Functional Cost Change (Percent of Sales) 79 81 83 85 87 89 91 93 95 97 99 01 03 Warehousing Inventory Transportation Establish, Inc./Herbert W. Davis and Company www.establishinc.com Copyright © 2004, Herbert W. Davis and Company/Establish, Inc.
Logistics Expense Change—2004/2003 As a Percent of Sales All 100 % - 0.4% Reduced Costs 46 - 7.4 No Change ±2% 8 Increased Costs 46 + 7.0 In Dollars per Hundredweight % of % Average Companies Difference All 100 % - 4.2% Reduced Costs 77 - 9.0 No Change ±2% 0 Increased Costs 23 + 11.2 Establish, Inc./Herbert W. Davis and Company www.establishinc.com Copyright © 2004, Herbert W. Davis and Company/Establish, Inc.
Page 1 and 2: LOGISTICS COST AND SERVICE 2004 EST
Page 3 and 4: To complete the transformation requ
Page 5 and 6: Establish, Inc./Herbert W. Davis an
Page 7 and 8: Significant Participants (1970s) Co
Page 9 and 10: Globalization of sourcing and marke
Page 11 and 12: Today - 2004 North American Status
Page 17 and 18: Key Findings - 2004 For the average
Page 19 and 20: Interpretation for the Typical Comp
Page 21 and 22: Average Company—2004 Database Cos
Page 23 and 24: Administration 5% 35% Inventory Car
Page 25 and 26: Cost as a % of Sales 12 10 8 6 4 2
Page 27 and 28: 9.0 8.5 8.0 7.5 7.0 6.5 Logistics C
Page 29: Logistics Cost Change 2004 versus 2
Page 33 and 34: Average Performance Reported STANDA
Page 35 and 36: Davis Insights 1. Strongest forces
Page 37 and 38: What is the most pressing issue in
Page 39 and 40: What is your most difficult custome
Page 41 and 42: What is the most recent change in y
Page 43 and 44: Two Different Strategies for Two Di
Page 45 and 46: The Balanced Strategy Know your co
Page 49: Company Name: Sample Scope: Domesti

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