Study discovers supply chain inefficiencies

Technomic Inc and Willard Bishop Consulting (WBC) have completed a landmark study on item level profitability in the foodservice distribution channel. One of the most significant findings of the study was that more than 50% of items carried by broadline distributors are unprofitable for them.

“Our research clearly demonstrates that the industry is in critical need of more efficient assortment,” says Bob Goldin, executive vice-president of Technomic and a study co-director. Paul Weitzel, vice-president of WBC, says, “This finding should be a rallying cry for manufacturers and distributors to work together on more effectively managing product mix and inventory levels.”

This study provides detailed empirical information on what contributes to individual item, category, and supplier profitability. To learn more, phone Goldin at 312-876-0004 or Weitzel at 847-381-4443.

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