Aberdeen: Companies need to maximize flexibility advantage over larger competitors while increasing fulfillment productivity, cost efficiency
Boston January 27, 2005 Midsize manufacturers and distributors (companies with $50 million to $999 million in revenue) have intrinsic advantages that can help them outmaneuver their larger competitors, finds a new report by Aberdeen Group.
While their larger competitors are focused on corporate-wide fulfillment standardization and simplification, midsize companies can use their agility to delight customers, according to the Aberdeen report, "Top Fulfillment Strategies for Midsize Enterprises."
"Midsize leaders have turned the art of personalized fulfillment services into a science, enabling them to flex their distribution models to meet individual customer requirements while still maintaining high productivity and cost efficiency," said Beth Enslow, Aberdeen vice president and author of the report. "Best-in-class companies show a clear path to warehousing and transportation excellence, beginning with their use of technology that is more flexible and more fully functional."
But overall, only a few midsize companies have made this technology and cultural transition. In fact, over 60 percent of midsize respondents to Aberdeen's benchmark study said they did not even know what the best practices were for extending their warehouse processes to increase productivity and flexibility. By comparison, best-in-class companies already have adopted these best practices and are enjoying increased revenue opportunity as a result.
Companies that followed best-in-class fulfillment practices showed superior performance across all key customer service, cost, and productivity metrics measured in the study.
Visit Aberdeen's Web site to obtain a copy of the report.
For more information on solutions for mid-market enterprises, see "Stuck in the Middle" in the April/May 2004 issue of Supply & Demand Chain Executive.
Boston January 27, 2005 Midsize manufacturers and distributors (companies with $50 million to $999 million in revenue) have intrinsic advantages that can help them outmaneuver their larger competitors, finds a new report by Aberdeen Group.
While their larger competitors are focused on corporate-wide fulfillment standardization and simplification, midsize companies can use their agility to delight customers, according to the Aberdeen report, "Top Fulfillment Strategies for Midsize Enterprises."
"Midsize leaders have turned the art of personalized fulfillment services into a science, enabling them to flex their distribution models to meet individual customer requirements while still maintaining high productivity and cost efficiency," said Beth Enslow, Aberdeen vice president and author of the report. "Best-in-class companies show a clear path to warehousing and transportation excellence, beginning with their use of technology that is more flexible and more fully functional."
But overall, only a few midsize companies have made this technology and cultural transition. In fact, over 60 percent of midsize respondents to Aberdeen's benchmark study said they did not even know what the best practices were for extending their warehouse processes to increase productivity and flexibility. By comparison, best-in-class companies already have adopted these best practices and are enjoying increased revenue opportunity as a result.
Companies that followed best-in-class fulfillment practices showed superior performance across all key customer service, cost, and productivity metrics measured in the study.
Visit Aberdeen's Web site to obtain a copy of the report.
For more information on solutions for mid-market enterprises, see "Stuck in the Middle" in the April/May 2004 issue of Supply & Demand Chain Executive.
