Quantum Profit Management
Quantum Profit Management
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Randy MacLean, President — WayPoint Analytics •WayPoint Analytics •profit strategy •delivery costing •delivery profits •distribution strategy •time-based delivery costing Thursday, February 16, 2023—Transform Your Delivery Operations into a Profit Center In today's competitive market, distributors face mounting challenges, from rising labor costs to resource constraints, threatening profit margins. However, with the right strategies and tools, these challenges can become opportunities for unprecedented growth and efficiency. In this executive briefing from WayPoint Analytics, Randy MacLean dives into the critical role delivery operations play in profitability. He offers actionable insights to transform delivery systems into powerful profit centers. Key Takeaways 1. The Manpower Crisis Shrinking labor pools and escalating wages have created a new normal for distributors. Traditional logistics models reliant on low-cost labor are no longer sustainable. Companies must adapt by leveraging automation and focusing on high-value activities to maximize productivity. 2. Delivery Metrics Matter Advanced analytics reveal that every dollar saved in delivery costs is equivalent to $25 in new sales. Measuring costs based on time, rather than outdated metrics like mileage, provides a more accurate picture of delivery efficiency. 3. Delivery as a Product Leading distributors treat delivery as a sellable product, offering pricing tiers for urgency and convenience. Charging for delivery not only offsets costs but can become a significant revenue stream. 4. Technology as an Enabler Smartphones, GPS, and time-based tracking empower companies to gain granular insights into delivery operations. With tools like WayPoint Analytics, even small to mid-sized distributors can achieve Amazon-level efficiency. 5. Strategic Actions to Take Now • Review delivery policies and pricing models. • Segment customers based on delivery costs and prioritize profitable accounts. • Use analytics to identify inefficiencies and implement targeted improvements. • Leverage new technologies for real-time tracking and dynamic adjustments. Why It Matters With the insights shared in this video, distributors can tackle rising costs, optimize operations, and unlock hidden profit opportunities. As Randy MacLean points out, focusing on efficiency in delivery operations can have a more immediate and profound impact than simply chasing new sales. Watch the full briefing here: https://media.waypointanalytics.com/mediaVID.asp?vidToken={D858D396-8CAE-46B1-BCDE-B7FBE274BC0F} Join the Movement Toward Greater Profitability Adopting these strategies can help your company not just survive but thrive in the current landscape. Take the first step today by exploring the tools and insights WayPoint Analytics offers to distributors worldwide. Hashtags: Efficiency ExecutiveBriefing Strategy Webinar ManagementStrategies OptimizingOperations ProfitStrategy RandyMacLean StrategyForCEO Downloads: ManagingDeiveryCosts.pdf For more information about Randy MacLean, visit: www.waypointanalytics.net |
An Analytical Boost to Service ExcellenceBruce Merrifield and Randy MacLean discuss the handful of key customers in your business, and how to keep them happy and loyal. Beyond Business IntelligenceRandy MacLean explains the differences in business intelligence systems, and how to know what you're getting with each kind. Why In-House Analytics FailsIn-house analytics initiatives are prone to delivering ineffective information or to outright failure. Here's why. 2020 Q4 Brief - Exploiting / Optimizing the Recovery2020 Q4 is the time companies can take great leaps in market position, actively shaping their competitive landscape for years to come. Staying Effective in the Changing World of SalesThe top business know not only how to innovate, but where to spot opportunities where innovation will bring the greatest results. LIPA: Prophet of Customer NeedsSee how implementing LIPA can give you the bandwidth to be more accommodating to your customers with analytics-based service excellence Getting a Deeper Understanding of CostsRandy MacLean and Bruce Merrifield of WayPoint Analytics discuss different levels of cost analysis, and why deeper analytics can bring much greater benefits. Optimizing Salesforce Pay Through Deep Data AnalysisCompanies are developing more and more sophisticated approaches to sales compensation and here Bruce Merrifield and Randy MacLean examine the trends. Using Profit Analytics to Manage Your Sales ForceUse profit analytics to help drive radical profit gains by balancing volume, margin and service costs for every account, doubling and tripling territory profits Managing Product Line ProfitabilityManaging Product Line Profits shows how operations can have a significant impact on net profit and examines Peak Internal Profit, accumulated profit and more 9 Steps to More Profitable RelationshipsDiscussion about a 9-step process aimed at transforming a transactional relationship with an account into a partnership. Profit Value-Based Customer SegmentationRandy MacLean and Bruce Merrifield of WayPoint Analytics discuss profit value-based customer segmentation. The Advantages of SegmentationA discussion of the benefits of segmentation and how this approach can help distributors achieve far greater levels of profitability. Gross Margin Percent: A Poor Indicator of ProfitabilityMost distributors have naturally occurring, high gross margin percentage accounts and high gross margin percentage (small dollar pick) SKUs. Triage Customers & Set Priorities to Increase PerformanceRandy MacLean and Bruce Merrifield sit down for a talk about the issues and opportunities, tactics and strategies for increasing profit performance. Cost-to-Serve Math: Why Gross Margin May Fool You Every TimeThis video by Bruce Merrifield and Randy MacLean describes why you can't rely solely on gross margin to determine profitability. Working on Your Best AccountsWhat to do with your top accounts. Gross Margin FixationA fixation on gross margin – without looking at cost-to-serve (CTS) – has blinded countless distributors and limited their ability to achieve profitability. A WayPoint Client and Whale Curve Success StoryLearn how this distributor was able to massively ramp up its profitability even as it lost many of its customers. Cost Structures: What Makes for a Good Sale?Learn why distributors can't simply rely on gross margin when determining whether a sale will add to the bottom line. Why You Should Sweat the Small DeliveriesA discussion on how little extras can sometimes add up to a lot of infrastructure cost in wholesale distribution companies. Why You Should Be Optimizing InventoryRandy and Bruce explain why it's important to optimize inventory in the same way you optimize personnel and other resources toward the best profit opportunities Using WayPoint's High Volume Account Report to Increase ProfitRandy discusses the benefits of the extraordinarily valuable High Volume Account Report. Prioritizing Your CustomersA discussion of the perils of a cookie cutter approach when it comes to sales and service in the wholesale distribution industry. How Customer Segmentation Unlocks Hidden ProfitsBruce Merrifield of WayPoint Analytics teaches the importance of customer segmentation and the insights it can offer your distribution company. Quantum Profit ManagementRandy MacLean introduces the core principles of QPM and illustrates how it's the most effective way to run a business. Getting Results with a Customer AuditGetting Results with a Customer Audit Making Money by Giving Away ProductBruce Merrifield and Randy MacLean discuss profit strategies for wholesale distributors that will raise their cost-to-serve and profits. Webinar: How to Create a Sales Compensation Plan (pt 2)Webinar: Quantum Sales Compensation Plan Part 2 Webinar: How to Create a Sales Compensation Plan (pt 3)Webinar: Quantum Sales Compensation: Designing Your Plan |