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Supplier Stratification

Overview

Proper supplier cultivation and management is the key to successful inventory utilization, and is important for any distributor. However, balancing the desire for supplier loyalty with the pressures of the supplier market, all within the context of optimal channel investment and compensation, will prove challenging for unprepared distributors. Best practice implementation will result in greater focus, alignment and profitability in your company’s relationship with suppliers.

The information is organized very well, supported by robust research specifically on the distribution industry, presented in an easily digestible manner, and linked to real-world examples to help convert concepts into actionable items.”

-David A. Larson, Vice President – Operations, DW Distribution Inc

Linking customer stratification to our supplier and inventory systems empowers our team to quickly distill the variables affecting risk and reward so they can make better and more profitable business decisions.”

-Frank Flynn, President – Sager Electronics

Challenges

  • Sub-optimal channel investment
  • Misaligned channel compensation
  • Subjective performance analysis
  • Lack of channel loyalty

Solutions

  • Multi-criteria stratification
    • Supply chain performance
    • Financial performance
    • Strategic alignment
  • Combination supplier stratification

Benefits

  • Analytics-driven process
  • Aligned channel profitability
  • Improved customer service
  • Focused channel investment
  • Optimal channel proposition
Supplier Stratification
Supplier Stratification

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