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Cost to Serve in Logistics: The Key to Cutting Labor Costs and Boosting Profitability

Globalization and the digital era have radically shifted customer expectations. They expect: fast delivery of products and services that vary in type and volume, customization suited to their needs, and competitive pricing. Globally, warehouse operations spend $350B, and that amount is growing as complexity and demand grows. Operations leaders are faced with pressure to optimize […]


Globalization and the digital era have radically shifted customer expectations. They expect: fast delivery of products and services that vary in type and volume, customization suited to their needs, and competitive pricing. Globally, warehouse operations spend $350B, and that amount is growing as complexity and demand grows.

Operations leaders are faced with pressure to optimize and lower costs, while complexity drives costs higher. Although operations teams would like to lower costs, most do not know what their true costs should be, and fewer still understand their cost to serve for individual product types or customers. The keys to understanding those costs are in an operation’s data. But the data is locked in multiple, unrelated systems. 

Download the whitepaper to learn how to leverage your cost to serve data to improve processes based on labor costs, reinvest cost savings into facility innovations, and identifying and repricing unprofitable customers and product types.

 


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