At Kreischer Miller, we acknowledge the differences between distribution and manufacturing. Simply put, all manufacturers distribute but distributors do not manufacture. Additionally, we recognize that there are unique subsets of the distribution industry such as food, chemicals, construction materials, office supplies, home goods, and many more.
Despite their unique differences, there are common challenges that all distributors seem to face. Our team has designed several new tools to help distributors overcome these challenges.
Key Performance Indicators and Financial Scorecards
Key performance indicators provide a general overview of a company’s financial health. Comparing your company’s performance against industry benchmarks and historical trends can offer insight into what is working well and where you should focus more of your time and efforts.
Financial scorecards provide a solid framework to monitor your key performance indicators and keep everyone in the organization informed of progress. They are a performance management tool designed to identify opportunities for improvement, track the execution of activities, and monitor the consequences arising from specific actions. Translating high-level strategic goals into discrete objectives creates a clear line of vision—from top down and bottom up—so each individual understands how their day-to-day actions contribute to the company’s success.
Kreischer Miller’s financial scorecards provide real-time financial metrics, non-financial measurements, and trends from comparable privately held companies based on your six digit North American Industry Classification System (NAICS) code.
Product Benefit Analysis Diagnostic
Product diversity and quality are normally at the forefront of a company’s strategic initiatives. Do you offer your customers the appropriate product mix? What should be your next product or solution? In our experience, successful businesses are at least adequate in product excellence, customer intimacy, and operational excellence — and excel in at least one of those areas.
Kreischer Miller’s Product Benefit Analysis Diagnostic is a useful tool to help fine-tune your product strategy in order to achieve product excellence.
Waste Reduction – Issue Ranking Diagnostic
Many organizations suffer from excessive planning that ultimately fails to achieve the desired results. Too often in today’s fast-paced business environment, the obstacles and challenges that are apparent to many are shuffled to the side, causing change to be effective only 30 percent of the time.
Kreischer Miller’s Waste Reduction — Issue Ranking Diagnostic is a defined process that fosters the identification of key issues and formulation of strategies designed to render the most significant economic impact. Upon isolating the significant few from the trivial many, this process addresses the now, where, and how.
As we reach the mid-year point – a time when many companies assess year-to-date performance – we wanted to share a few resources that have provided tangible results for our relationships in the distribution and wholesale industries. Although these companies’ products may be diverse, the process toward continuous improvement is consistent. Take an opportunity to review the tools discussed above and feel free to contact a member of Kreischer Miller’s Distribution Industry Group to discuss options and alternatives to meet your needs.
Robert S. Olszewski can be reached at Email or 215.441.4600.
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