Getting the Most out of the Supply Network

• Revenue is up, but is the value of the total product mix down?

• What is the minimum inventory necessary to deliver 100% customer satisfaction?

• What is the root cause of overstocking or low turn rate?

• What is the optimal service frequency?

• How much does it really cost to serve each customer?

• What is the “dead net” cost of each SKU, customer, or supplier?

• How does a change in policy affect the return per unit of capacity, headcount, payroll, delivery point, etc.?

Manufacturers and wholesale distributors invest large amounts of money in technology that collects and organizes data. They know that optimizing profits requires eliminating waste of every kind. Optimization requires knowledge of the value contribution of every person, place, and thing in the supply network. Salient measures precisely how much customer value is being created by the actions of individual persons, products, and assets; and makes it easy for non-technical managers to locate and eliminate waste. Information coherency, radical speed, simplicity, and precise value-scoring change the way business is done.

Salient Enables:

• Activity-based and value-driven planning, execution, and review

• Aligned mission: All ranks and roles, bottom up

• Contribution-based compensation

• Comprehensive scoring of every person, product, place, asset, and trade relationship (e.g., P&L, EVA, net change in efficiency, quality of service)

Expect a 10% or more change in gross margin improvement from increased margin per customer, mix improvement, better cash management, cost containment and other efficiency gains.