大锦囊001think.com(品牌营销第一资料库)海量精品策划资料!QQ:1242116556AndersenConsulting-StrategicServicesOfficeSuppliesDistributorCaseSituation:SuppliesMate(SM),adistributorofofficesuppliesinCentralLondon,hasexperienceddecliningprofitabilityoverthepastfiveyears.Question:Howcanthedistributoraddressthisprofitabilitytrend?SuggestedFrameworks:Profitabilitymodelwithemphasisonunderstandingfixedvs.variableoperatingcosts.KeyFacts(tobesharedasthecaseprogresses):CompanyProfitabilityhasslippedfrom12%to8%overthepastfiveyearsRevenueshavegrownby15%overthepastfiveyearsSMdistributesfromonecentralwarehouseindowntownLondonthatithasownedfor20yearsSMhasbuiltareputationforcustomerservice,“Personalon-timedeliveryandsupporteverytime.”CustomersLargebusinesses(60%),medium-sizedbusiness(20%),smallbusinesses(20%)Manyofthemedium-sizedandmostofthesmallbusinessaccountswereacquiredrecentlyandarelocatedontheperimeterofthecity(nottobegivenunlessaskedforspecifically).CompetitorsFragmentedindustryClientisoneofthelargestandmostsuccessfuldistributorsCategorykillerOfficeMaxhasjustenteredthemarket,buttheclient’srevenueshavegrownduetoitsfocusoncustomerserviceProductsSellsafull-lineofofficesupplies(e.g.,paper,pens,toner),“Allyourofficesupplyneeds.“大锦囊001think.com(品牌营销第一资料库)海量精品策划资料!QQ:1242116556OrderFulfillmentMostorderstakeoverthephoneandprocessedbydataentryspecialists,somelargecustomerstransmitorderelectronicallyOrdersappearonterminalsasindividuallineitems,severallineitemsmaycompriseanorderStockpickerstakeanorder,pickalltheitemsandsendthecompletedordertopackaging,staginganddistributionTrucksarestockedeachmorningwithdeliveriesforthatdayCompany-employeddriversdelivertoclientsCostsIndustrystandardcostsasofficesuppliesarecommoditiesTypicalfixcostsareproperty,plantandequipment,technologyinfrastructureandsomeportionoflaborareutilitiesTypicalvariablecostsaresupplies,labor,fuel,etc.Costarecomparabletocompetitorsusingthesamedataentryandorderpick...