安德森物流管理課件

物流管理ArthurAndersen物流管理Arthur3 物流管理3 WhatisAADoingintheMarketplace?3 Trends/HotButtonsinWholesaleDistribution

3 ServiceLineExamples

CustomerSatisfaction ChannelMarketing3 WholesaleDistributionIndustryProgram

目錄3 物流管理目錄TheWholesaleDistributionIndustryTheTheClassicChannelProductServiceInformationInformation$ManufacturerWholesaler-

DistributorCustomerTheClassicChannelProductServManyForcesAreChangingtheChannelManufacturerWholesaler-

DistributorCustomerAlternateChannelFormatsBusinessClimateBusinessClimateManyForcesAreChangingtheCChannelFormatsManufacturerServiceProviders“DoortoDoor”ThirdPartyInfluencersCatalog&Technology-

Aided

RetailerBasedBuyerInitiatedPointofConsumption

MerchandisingManufacturer

BasedWholesaler-DistributorCustomerChannelFormatsManufacturerSerCustomerMarketSegmentsContinuetoFragmentRequiringDifferentSuppliersHighLowLowHighValue-AddedServiceNeedsoftheCustomer/SupplierNeed:-Customerquality&unique

product/serviceconcernsExample:-Specialtydistribution-Focusononeofproduct,

service,customer,locationNeed:-Smallorders-LowcostExample:-Directmail-catalog-WarehouseclubNeed:-LargeOEMcontractsExample:-Manufacturer-directNeed:-Outsourcing-IntegratedSupplyExample:-Large-distributorconverterTraditionalWholesaler-Distributor’sCustomersCustomerMarketSegmentsContiIndustry/ProductLifeCycleConceptINTRODUCTIONGROWTHMATURITYDECLINEWholesaler-

DistributorOther

ChannelsManufacturer

SupportIndustry/ProductLifeCycleCoExtensionoftheLifeCycleConcept:ReformationandTransformationINTRODUCTIONGROWTHMATURITYDECLINEINTRODUCTIONGROWTHMATURITYDECLINETransformationReformationExtensionoftheLifeCycleCoReformation-OptimizingCoreCompetenciesFocusonreducingcostsFocusonprovidingbasicservicesRetentionandpenetrationofcustomersIncreasedoutsourcing(delivery;drop-shipmentsdirectfromsuppliers)ShifttoinsidesalesforceReformation-OptimizingCoreTransformation-ReinventingtheBusinessFocusonrevenuegrowthIncreasedimportanceofinnovativevalue-addedservicesStrategicalliancesforintegratedsupplyEmphasisonreinventingthebusinessandredeployingtheworkforceReengineerthesalesforceTransformation-ReinventingtTrendsContinuingFrom1992StudyW/DsdonotagreewiththeirsuppliersonkeyissuesMarginsandprofitabilitycontinuetobepressuredAlternatechannelformatsareheretostayMergersandacquisitionscontinueatarapidrateW/DsareimprovingproductivityAttractingandretainingstrongmanagement

talentremainsachallengeTrendsContinuingFrom1992StEmergingIssuesLargecompaniesstillgrowing;small/mediumcompaniesturntobuyinggroupsMarketingalliancesemergeIntegratedsupplyprogramsflourishSomesegmentsshiftfromsupply“push”todemand“pull”inAlternatechannelsshakeoutEmergingIssuesLargecompaniesWhatisAADoingintheMarketplace?WhatisQuestionstoAnswerHowareyouusingtheFTFOCstudy?Hotissues/activitiesforclientsandtargetsWhatdoestheIndustryProgramprovidethatisvalue-added/non-valueadded?WhatfurthersupportdoyouneedfromtheIndustryProgram?QuestionstoAnswerHowareyouFACINGtheFORCESofCHANGENAWDREFTransformingYourBusinessWithBestPracticesFACINGNAWDREFTransObjectivesoftheStudyToprovideacompilationofcriticaltrendsformanagementtouseinstrategicplanningeffortsToprovideinsightsintohowleading-edgecompaniesarepreparingtofacethesecriticaltrendsObjectivesoftheStudyToprovTheShiftFromDepartmentaltoProcessMindsetUnderstandMarkets&CustomersDevelopVision&StrategySelling&CustomerServiceObtainMaterials&SuppliesMng.Inventories&DeliveriesDevelopHumanResourcesSales&MarketingPurchasingWarehousingDeliveryAdministrationSales&MarketingPurchasingWarehousingDeliveryAdministrationPastPresentFuture?TheShiftFromDepartmentaltoBestPracticesMatrixQuadrantIV“Expected”QuadrantIII“Proven”QuadrantI“Innovative”QuadrantII“Differentiated”HighLowHighLowGAPUSAGEDegreetowhichthepracticeisemployedDegreetowhichthepracticeprovidesdifferentiatedprofitabilityor“gap”overnon-usersBestPracticesMatrixQuadrantUnderstanding

Markets&CustomersUnderstanding

Markets&CustoKeyMessagesWholesaler-distributorsmustcreateanduseformalmethodstogaincustomerfeedbackandimprovecommunication.Formallyandcontinuouslymeasurecustomersatisfaction.Segmentmarketsandcustomers,anddesignoradjustbusinessprocesses,basedonabalanceofpriceandvalue.Takeadvantageofinherentstrengthstodeliverthebestvaluefortheprice.KeyMessagesWholesaler-distribW/Dsgaugecustomer’ssatisfactionAgree/StronglyAgree50%45%27%17%21%18%W/DsDoNotCommunicateWellWithTheirCustomersW/DSCommunicationisgoodW/Dsunderstandcustomer’sexpectationsW/Dsgaugecustomer’ssatisfacCustomersFocusonBestValueandLowestCost–Complete&ReliableDeliveriesareAssumedW/DHighROTAS

Today 2000 Today 2000 Today 2000Completeness&reliabilityofdeliveries

1 1 2 2 1 1Competentoutsidesalesperson

2 6 5 8 5 7Bestvaluefortheprice

3 2 1 1 2 2Competentinsidesalesperson

4 3 6 6 7 6Qualityofproduct

5 5 3 3 3 3Lowesttotaldeliveredcost

6 4 7 5 12 10Frequency&speedofdelivery

7 7 4 4 4 4CustomersFocusonBestValueW/Dsneedtounderstand

theircostSophisticatedmanagementinformation,anditsuse,willbekeytosuccessinfutureW/Dshaveinformationtodecideaboutprofitablecustomers,products,andservicesAgree/StronglyAgree96%96%98%97%BetterInformationisNeededtoMakeBetterBusinessDecisions66%54%W/DSW/Dsneedtounderstand

theirQuadrantIV“Expected”QuadrantIII“Proven”QuadrantI“Innovative”HighLowHighUSAGEDegreetowhichthepracticeisemployedTracksatisfactionusinginformalfeedbackQuadrantII“Differentiated”Includecustomersatisfaction-relatedmeasuresinemployeereviewsTrackcustomersatisfactionwithinternaloperatingstatisticsQuadrantIV“Expected”QuadrantQuadrantIV“Expected”QuadrantIII“Proven”HighLowLowUSAGEDegreetowhichthepracticeisemployedTracksatisfactionusinginformalfeedbackTrackcustomersatisfactionwithformalmarketresearch--annualsatisfactionsurveys,performancerelativetocompetitors,etc.TrackcustomersatisfactionusingexternalsourcesotherthancustomersQuadrantI“Innovative”QuadrantIV“Expected”QuadrantEnhancingCompanyValue--AAServicesMarketNeedsAssessmentCompetitiveProfiling/BenchmarkingMarketEntryStrategiesChannelEffectivenessPricingStructuresMarketandSalesOrganizationalStructureAdvertisingEffectivenessUnderstandingMarkets&CustomersEnhancingCompanyValue--AADeveloping

Vision&StrategyDeveloping

Vision&StrategyKeyMessagesWholesaler-distributorsmustuseformallygatheredcustomerfeedbackandotherexternalinformationtodriveaformalstrategicplanningprocess.Useformalstrategicplanningtoensureconsistentandreliablecustomerservice.MakevisionandstrategytheCEO’sprimaryjob.Reengineerbusinessprocessestomeetcustomerneeds.Improvefinancialperformancebysimultaneouslyincreasingrevenueandcontrollingcost.KeyMessagesWholesaler-distribWholesaler-distributorsaredoingstrategicplanningtoenhanceperformanceAgree/StronglyAgree40%16%SW/DW/DsandSuppliersDisagreeOnDegreeofPlanningDoneWholesaler-distributorsaredoROIStrategiesReflectBothReformation

&TransformationW/DS

Today 2000 Today 2000Growsales 30 30 26 24Increasegrossmargin 21 20 15 14Decreaseoperatingcosts 18 18 20 22Improvepurchasingpractices 17 16 16 18Improveassetturnover 11 12 15 15Changecapitalstructure 3 4 8 7ROIStrategiesReflectBothReQuadrantIV“Expected”HighLowHighLowUSAGEDegreetowhichthepracticeisemployedQuadrantIII“Proven”BenchmarkagainstcompetitorsQuadrantIV“Expected”HighLowHiQuadrantIV“Expected”QuadrantIII“Proven”HighLowUSAGEDegreetowhichthepracticeisemployedQuadrantII“Differentiated”CreateasmallfamilyofmeasuresaddressingCost,QualityandTimeacrossorganization,processes&peopleUseactivity-basedbudgetingandcostingtolinkcoststokeydrivesHavelong-rangestrategicplanBenchmarkagainstcompetitorsQuadrantIV“Expected”QuadrantEnhancingCompanyValue--AAServicesStrategicBusinessPlanningStrategicScreenShareholderValueAnalysisPerformanceManagementDecisionSupportActivityBasedManagementPortfolioAnalysisAcquisition/DivestititureSupportDevelopingVision&StrategyEnhancingCompanyValue--AAEnhancingCompanyValue--AAServicesCapitalSourcingValuationServicesBalanceSheetRestructuringDebtRefinancingFinancial&BusinessAuditsContractAuditServicesBusinessRiskControlServicesLitigationConsultingDevelopingVision&StrategyEnhancingCompanyValue--AASellingandCustomerServiceSellingandCustomerServiceKeyMessagesWholesaler-distributorsmustredesigntheirsaleseffortsandotherprocessestoachieveseamlesscustomerservice.Redesigntheroleofthesalesforce.Placecustomerserviceatcenterstage.Considerintegratedsupplyarrangementsasawayto“l(fā)ockin”thecustomer.Makepricingstructurelesscomplexandmoreeffective.KeyMessagesWholesaler-distribTheCustomerServiceFramework“Consistent&ReliableService”“ManagementofProblems&Exceptions”“MarketDifferentiation”ReliabilityResilienceValue-AddedGoal:ToenhancetheroleofoutsidesalesTheCustomerServiceFrameworkSalesforceContinuestoShifttoInsideSalesThisStudyLastStudy60%40%20%0%Today 2000 Today 200046%54%57%43%39%61%51%49%InsideSales OutsideSalesSalesforceContinuestoShiftInsideSalesIsBecomingMoreProactive

andLessAdministrative

Today 2000 Today 2000Ordertaking&processing 62 48 15 10Solicitingordersfromexisting 12 18 35 30

customersSolicitingordersfromnew 5 11 12 19

customersPromotingneworotherproducts 5 8 10 15Administrative 11 7 7 5Training 5 7 5 8Travelandwaiting N/A N/A 16 13InsideSalesOutsideSalesInsideSalesIsBecomingMoreQuadrantIV“Expected”HighLowHighLowUSAGEDegreetowhichthepracticeisemployedProvideoneprimarycontactpointforeachtypeofcustomerQuadrantIII“Proven”RespondingtoInquiries&ProcessingtheOrderQuadrantIV“Expected”HighLowHiQuadrantIV“Expected”QuadrantIII“Proven”HighLowHighLowUSAGEDegreetowhichthepracticeisemployedQuadrantII“Differentiated”ProvideoneprimarycontactpointforeachtypeofcustomerMeasureaveragewaittime“onhold”forcustomers(e.g.,inminutes)IntegratetelephoneresponsetechnologyandinformationsystemsRespondingtoInquiries&ProcessingtheOrderQuadrantIV“Expected”QuadrantQuadrantIV“Expected”HighLowHighLowUSAGEDegreetowhichthepracticeisemployedQuadrantIII“Proven”O(jiān)ffercustomerseasily-understood,

easy-to-use,flexibleyetstandardizedwaystosubmitclaimsProvidecustomerswithasingle

contactempoweredtoresolvethe

claimAfter-SalesServiceQuadrantIV“Expected”HighLowHiQuadrantIV“Expected”QuadrantIII“Proven”HighLowUSAGEDegreetowhichthepracticeisemployedOffercustomerseasily-understood,

easy-to-use,flexibleyetstandardized

waystosubmitclaimsProvidecustomerswithasingle

contactempoweredtoresolvetheclaimQuadrantII“Differentiated”Implementcomplaintsatisfactionsurveystoassessthecustomer’slevelofsatisfactionwiththecomplaintresolutionprocessAfter-SalesServiceQuadrantIV“Expected”QuadrantObtainingMaterials&SuppliesObtainingKeyMessagesWholesaler-distributorsmustidentifytheir“strategicsuppliers”andtreatthemascustomers.Understandsupplierneedsandwantsarefragmenting.Developformalmethodsfordeterminingsupplierexpectations.Quantitativelyprovetosuppliersthevalueaddedbywholesaler-distributorsFormallyevaluatevendorstodeterminethemosteffectiveandproductivepartners.KeyMessagesWholesaler-distribPromotionalSpendingWillShiftto

PerformanceCriteriaProgramsW/DS

Today 2000 Today 2000Incentivesbasedondollarsspent 55 45 49 36

onpurchaseIncentivesbasedonvolume(units) 22 19 27 21

ofpurchase Performancecriteriaprograms

20 32 19 37Other 3 4 5 6PromotionalSpendingWillShifBetterCommunicationIsNeededtoStrengthenRelationshipsBetweenW/DsandSuppliers95%88%23%54%60%41%62%60%21%31%RelationshipbetweenmanufacturersandW/DsneedtobestrengthenedMostmanufacturershaveastrongsenseofloyaltytoW/DsthatrepresentthemManufacturersviewW/Dsparticipationinthemarketingchannelasa“necessaryevil”Partnershipswithsuppliersdon’texisttodayCommunicationbetweenW/DsandsuppliersisquitegoodW/DSAgree/StronglyAgreeBetterCommunicationIsNeededWholesaler-Distributors’Value-addedisBeingQuestionedMostmanufacturersfeeltheyneeddistributors’assistanceandvalue-addedservicestoperformmarketingfunctionsnecessarytoselltheirproductsDistributorsaredoingagoodjobperformingmarketingfunctionsformanufacturersManufacturershavebeenrelyinglessonW/Dstoperformmarketingfunctionsoverthepast5yearsAgree/StronglyAgree73%80%SW/D45%7%47%68%Wholesaler-Distributors’ValueThecostandvalueofthemarketingfunctionsW/DsperformarenotclearlyunderstoodbymanufacturersManufacturersgenerallyfeeldistributors’grossmarginsontheirproductsaremorethanadequateByyear2000,W/DswillplayalargerrolethantodayperformingmarketingfunctionsformanufacturersAgree/StronglyAgree91%71%SW/D92%75%79%58%SuppliersDon’tUnderstandChannelCostStructureThecostandvalueofthemarkQuadrantIV“Expected”QuadrantIII“Proven”HighLowUSAGE%ofCompaniesintheindustrythatusethepracticeIntegratepurchasing,A/P,&

receivingsystemsQuadrantII“Differentiated”HaveaformalsysteminplacetoanalyzemanufacturerperformanceQuantifypurchasetransactioncostsQuadrantIV“Expected”QuadrantManagingInventories

&MakingDeliveriesManagingInventories

&MakingKeyMessagesWholesaler-distributorsmustmakelogisticsacorecompetencyoroutsourceit.Movefrominventorycontrol(“HowmanydoIhave?”)toinventorymanagement(“HowmanyshouldIhave?”).Usetechnologyandothermethodstoimproveprocesseswithinthewarehouse.Eithermakelogisticsacorecompetencyorconsideroutsourcingit.Matchcustomerfeedbackwithinternalservicelevelinformationcollectedinthisprocess.KeyMessagesWholesaler-distribQuadrantIV“Expected”QuadrantIII“Proven”HighLowLowUSAGE%ofCompaniesintheindustrythatusethepracticeQuadrantI“Innovative”MeasureGMROI/Turn&EarnonindividualSKU’sQuadrantIV“Expected”QuadrantEnhancingCompanyValue--AAServicesSalesForceEffectivenessCustomerSatisfactionBusinessProcessRe-engineeringPerformanceManagementChannelStrategiesInformationSystemPlanningPackageSoftwareSelectionProfitabilityAnalysisInventoryManagementOutsourcingSelling&CustomerServiceObtainingMaterials&SuppliesManagingInventories/MakingDeliveriesEnhancingCompanyValue--AAManagingHuman

ResourcesManagingHuman

ResourcesKeyMessagesWholesaler-distributorsmustactivelymanagethehumanresourceprocessratherthanmerelylettingithappen.Empowerandtrainemployees.Planformanagementsuccession.Reviewandrewardemployeesbasedoncustomersatisfaction.KeyMessagesWholesaler-distribEmployeeTrainingandEmpowermentareCriticaltoImprovingProductivity;ReorganizationisalsoRequiredMethodsSalesMktg.Whsg.&Del.Inv.MgmtHumanResourcesExec.Mgmt.Employeetraining&empowerment113212Reorganization/redefinitionoffunctionsandtasks3221New/improvedsystems3113Improvedworkflows233Compensationtiedtoproductivity2EmployeeTrainingandEmpowerIncreasesinTrainingExpendituresExpectedW/D

Today 2000 Today 2000Totaltrainingcosts 1.4% 2.5% 2.3% 3.5%HIGH

ROTAIncreasesinTrainingExpenditHighROTAFirmsBenefitfromTrainingW/DHIGH

ROTA$37.8GrossMargin$/FTECompensation$/FTE$38.4$62.8$72.0ContributionMargin$/FTE$25.0$33.6HighROTAFirmsBenefitfromTQuadrantIV“Expected”QuadrantIII“Proven”QuadrantI“Innovative”HighLowHighLowGAPUSAGEQuadrantII“Differentiated”%ofCompaniesintheindustrythatusethepracticeIncorporatecustomersatisfactioncomponentintheperformancereviewandincentivesystemFormallymeasurecompany’sannualemployeeturnoverrateDevelopandmaintainstrong,strategicrelationshipswithexternaland

internalrecruitmentsourcesQuadrantIV“Expected”QuadrantEnhancingCompanyValue--AAServicesOrganizationalLearningHumanResourceConsultingWorkgroup/WorkflowAutomationOrganizationalReview/RedesignOutsourcingManagingHumanResourcesEnhancingCompanyValue--AATrends/HotButtonsofWholesaleDistributionTrends/HotButtonsFinancialTrendsinWholesaleDistributionSalesgrowthneardouble-digitsin‘94;lowerin‘95,flat/lowerin‘96Grossmarginpercentagecontinuestobeflat/decliningOperatingexpensecontrolstagnant/slightlyimprovingPersonnelproductivityincreasingCashtocashcyclestable/improvingslightlyCharacteristicsofbetterperformingfirms:Significantdifferenceinoperatingexpensetogrossmarginpercentage--lowerpeopleandnon-peopleexpenseHigherpersonnelproductivityBetterassetmanagement(lessdebt,betterinventorytechniques)DonothavesignificantlyhighersalesgrowthorgrossmarginpercentageFinancialTrendsinWholesaleHotButtonsinWholesaleDistribution/OpportunitiesforAACustomerSatisfactionCustomer/Product/VendorProfitabilityReportingStrategicPlanningBenchmarkingPerformanceManagementSalesForceEffectivenessManufacturer/Wholesaler-DistributorRelationsABCInventoryAnalysisSharedServicesHotButtonsinWholesaleDistrWholesaleDistributionIndustryProgramSupportMaterialsWholesaleDistributionWholesaleDistributionSupportActivitiesCLIENTSERVICEANDSUPPORTTRAININGINFORMATION4500ClientsLEADINGEDGERESEARCHDelphiStudiesSurveysSt.CharlesSpeechesSeminarsPARReportsManagementForesightBestPracticesKnowledgeBaseLIAISONWITHTRADEASSOCIATIONSWORLDWIDEINDUSTRYDIRECTORWholesaleDistributionSupportWholesaleDistributionFees

FY96

FY95

GrowthABA 96,090 93,290 3.0%Tax 42,138 41,839 0.7%BC 17,078 12,631 35.2%EFC 6,906

4,929

40.1%Total 162,211 147,760 9.8%Cons. 761,733 675,982 21.3% 21.9%WholesaleDistributionFees FYWholesaleDistributionFees

FY96

FY95

GrowthUS 63,262 57,835 9.4%Americas(non-US) 8,434 9,110 (7.4%)Europe/Asia 72,835 63,248 15.2%Pac/Aus 17,680

17,567

0.6%Total 162,211 147,760 WholesaleDistributionFees FYSupportMaterialsResearchMaterialsandMarketingSupportFTFOC:TransformingYourBusinessWithBestPracticesPowerpointPresentationGenericArticlesforLocalorTradePressIndustryInformationCredentialsBinder(updatecoming1/97)QuarterlyNewsletter(“Channels”)WholesaleDistributionIndustryTeamMonthlyReportBackIssuesofDistributionNewsletterBrochures(ManagementForesight/Logistics2020)AAOn-LineWebsiteSupportMaterialsResearchMateSupportMaterials(Cont’d)ProposalSupportClientListsSampleProposals(ChicagoandNational)PresentationstoWholesaler-DistributorsCustomerProfitabilityBenchmarkingSalesForceEffectivenessCustomerSatisfactionChannelStrategiesSupportMaterials(Cont’d)PropWholesaleDistributionIndustryProgramFutureInitiativesWholesaleDistributionFutureInitiativesNAWCompetencyCenterActivity-BasedManagementPerformanceManagementSalesForceEffectivenessNextFTFOCStudyEnhancedWebSiteProcessBenchmarkingProjectsConfidenceIndex/ChannelsNewsletterFutureInitiativesNAWCompetenWholesaleDistributionIndustryProgramRecentStudiesWholesaleDistributionFacingtheForcesofChange:TransformingYourBusinessWithBestPractices(1995)Updatesthepreviousstudythroughtheyear2000Expandedtoover750industryexpertsConductedinassociationwiththeNAWandDREFDescribesthecurrentandpendingenvironmentDistributionIndustryDelphiStudiesFacingtheForcesofChange2000:NewRealitiesinWholesaleDistribution(1993)Over1,000industryexpertsUpdateof1993studyBestPracticesFacingtheForcesofChange:TFacingtheForcesofChange:BeyondFutureTrendsinWholesaleDistribution(1987)Addressesfourareas:MarketForces,TechnologyForces,FinancialForces,andOrganizationForcesGatheredtheexpectationsofover650industryexpertsCorrectlyconcludedthatthroughthemid-1990stheindustrywouldundergoaggressiverestructuringTheTechnologyMaze(1991)AssessestechnologyapplicationsandspendingaswellasbarrierstosuccessConcentratesontheeffectiveuseofthecurrenttechnologyDistributionIndustryDelphiStudies(Cont’d)FacingtheForcesofChange:OtherIndustryStudiesDistribution2000:TheChangingLandscapeofWineandSpiritsWholesaleDistribution(1994)--DoneinconjunctionwiththeWineandSpiritsWholesalersofAmerica(WSWA),thisstudyhighlightsthetopissuesfacingwineandspiritswholesalerstodayandinthefuture.Distribution2000:TrendsinCandy&TobaccoWholesaleDistribution(1993)--DoneinconjunctionwiththeAmericanWholesaleMarketersAssociation(AWMA),thisstudyhighlightsthetrendsfacingthecandyandtobaccowholesaledistributionsegmenttotheyear2000.WholesaleFoodDistribution:TodayandTomorrow(1993)--DoneinconjunctionwiththeNationalWholesalerGrocersAssociation(NAWGA)andAndersenConsulting,thisstudyfocusesonthebackgroundandcurrentroleofthegrocerywholesaler,keyissuesfacingthechannelandpotentialresponsesandrolesforfoodwholesalersinthefuture.OtherIndustryStudiesDistribuOtherIndustryStudies(Cont’d)TheSteelServiceCenterIndustryin1995:TurningTrendsIntoResults(1991)--DoneinconjunctionwiththeSteelServiceCenterInstitute(SSCI),thisstudyidentifiestrendsandissuesfacingsteelservicecentersthrough1995.StocklessMaterialsManagement:HowitFitsIntotheHealthcareCostPuzzle(1990)--DoneinconjunctionwiththeHealthIndustryDistributorsAssociation(HIDA),thisstudyfocusesonimprovingmaterialsmanagementpracticesthroughstocklessprogramsintheHealthcareindustry.OtherIndustryStudies(Cont’dWholesaleDistributionIndustryProgramManagementForesightWholesaleDistributionManagementForesightOurMission...Toperformleading-edgeresearchinthewholesaledistributionindustrytofurtherourimageasthepremierproviderofprofessionalservicestothewholesaledistributionindustry.Tosupporttheeffortsofthefirm’sWholesaleDistributionIndustryProgrambyassistinginwholesaledistribution-relatedpracticedevelopmentinitiatives,proposals,andengagementsforotherofficeswithinthefirm.Tosupportthefirminsurvey-basedengagementsoutsidethewholesaledistributionindustry.TosupporttheChicagoofficeBusinessConsultingengagementswithinthewholesaledistributionindustry.ManagementForesightOurMissioAsanintegralpartofArthurAndersen’sWholesaleDistributionProgram,ManagementForesighthasbuiltanadmirablefollowingoverthepast20yearsamongmorethan3,000firmsandtradeassociations.AunitofArthurAndersensince1991,itsfinancialandindustrysurveyshaveenabledbusinessownerstoevaluatetheirownperformancerelativetotheindustry.ManagementForesightgainsfromArthurAndersen’sbreadthofexperience,itsleading-edgeresearch,anditsrelentlessattentiontoclientneeds.Someoftheproducts/servicesManagementForesightprovidestoitsclientsinclude: ManagementForesightFinancialsurveys(PAR)foralmost30wholesaledistributiontradeassociationsMonthlyStatisticalReportsDelphiStudies CompensationStudiesBestPracticesforWholesaleDistributionAsanintegralpartofArthurLiaisonsWithTradeAssociationsFollowingisapartiallistofthetradeassociationsforwhichArthurAndersen/ManagementForesightroutinelyperformsspeeches,seminarsorsurveys:AmericanMachineToolDistributorsAssociationAmericanVeterinaryDistributorsAssociationAmericanWholesaleMarketersAssociationBarberandBeautySupplyInstituteConcreteReinforcingSteelInstituteIndustrialDistributionAssociationNationalAssociationofAluminumDistributorsNationalAssociationofElectricalDistributorsNationalAssociationofWholesaler- DistributorsNationalBusinessFormsAssociationNationalElectronicsDistributorsAssociationNationalLocksmithSuppliersAssociationNationalPaperTradeAssociationNationalSchoolSupplyandEquipment AssociationNationalWeldingSupplyAssociationNationalWholesaleDruggists’AssociationNorthamericanHeating,RefrigerationandAir ConditioningWholesalersOutdoorPowerEquipmentDistributors AssociationPowerTransmissionDistributorsAssociationSteelServiceCenterInstituteWallcoveringsAssociationWine&SpiritsWholesalersofAmericaLiaisonsWithTradeAssociatioPracticeSupportActivitiesProposal/EngagementSupport--Centralizedsourceforwholesaledistributionindustryinformation:IndustryTrendsPerformanceStatisticsBestPracticesOfficeSeminarSupport--Presentationsonindustryprogramresearch.Specificexpertiseinstrategicplanningorquantitatively-basedconsultingengagements.PracticeSupportActivitiesProCurrent/RecentIndustryProjectsNAWBenchmarkingProjectCurrent/RecentProcesstoBenchmarkPurchasing/InventoryManagementChosenforthefollowingreasons:Importancetoadistributors’businessDatashouldberelativelyeasilyaccessibleProcesstoBenchmarkPurchasingWHOLESALEDISTRIBUTIONProcessClassificationScheme:W/DOperatingProcess5A.1Planforandacquirenecessaryresourcesorinputs *5A.1.1Acquirecapitalgoods *5A.1.2Hireemployees *5A.1.3Obtainmaterialsandsupplies *5A.1.4Obtainappropriatetechnology5A.2Convertresourcesorinputsintoproducts *5A.2.1Developandadjustproductionprocess(forexistingprocess) *5A.2.2Scheduleproduction *5A.2.3Movematerialsandresources *5A.2.4Makeproduct *5A.2