Distribution Cost Analysis

SITUATION
A large CPG company had fast increasing distribution costs and not a clear understanding of the cost drivers.

PROBLEM
The client had much higher distribution costs compared to budget and latest estimate and did not fully understand the root causes and drivers for these increases. The client also needed to identify risks of further increases for the balance of the year.

SOLUTION
Detailed analysis of the distribution costs and identifying the main root causes and cost drivers.

Provided recommendations and action plan to decrease distribution costs and outlined potential cost savings for the key measurements.

Developed key metrics reporting.

BENEFITS
The proposed recommendations offered distribution cost savings potential of more than 20%.

For more information, contact Rene Jacquat at 902-300-4988 or [email protected].