Cost to Serve Visibility

ongoing visibility to detailed costs across the end-to-end supply chain, referred to as Net Landed Cost to Serve

calculating cost to serve

Companies struggle to gather and transform their data into a useful, trusted calculation of Cost-to-Serve. Competitive Insights uses End-To-End transactional data from multiple, disparate sources to capture the specific cost elements you need.

This data goes through a 3 Stage data validation process, using Machine Learning (ML), and is then transformed to provide the most accurate and specific cost insights. These insights support multiple initiatives or discover opportunities for significant cost reduction not visible through standard cost accounting or allocation methods.


+ Customer service overhead

+ Customer value learn costs

+ Order management overhead


+ Business unit and factory planning overhead

+ Materials and capital acquisition planning overhead


+ COGS materials

+ Materials purchase price variance

+ Factory capital acquisition and indirect materials

+ Sourcing, procurement and accounts payable overhead

+ Raw materials carrying and obsolescence costs


+ COGS internal conversion costs or outsourced manufacturing costs

+ Standard cost variances

+ Finished goods and WIP inventory carrying and obsolescence costs


+ Internal warehouse costs (space, equipment, people)

+ 3PL/4PL costs

+ Tax, licensing and customs

+ Inbound and outbound carrier costs

+ Logistics security costs

+ Special services (boxing, labeling, etc.)


+ Product returns costs

+ Repair costs


+ Supply chain management overhead (admin and center of excellence)

+ Supply chain IT overhead

+ Supply chain Finance overhead

+ Supply chain HR overhead

+ Costs of continuous improvement and poor quality mitigation

source: Gartner


Competitive Insights’ Net Landed Cost to Serve uses transactional data captured across the end-to-end supply chain for an actionable cost to serve measurement for every SKU sold to every end delivery location.

Competitive Insights incorporates data from procurement to delivery. It can even include post-sale service. End-to-end, top to bottom, Net Landed Cost to Serve is the most accurate measure.

Supply Chain Network

unlike traditional cost accounting methods

After 20 years working with clients in all industries, Competitive Insights is able to take your data in any format from any system and transform it into a complete Cost to Serve measurement.

Performance Measurement

Sourcing cost

Gross Sales
- Discounts
- Promotions

Gross Sales
- Discounts
- Promotions
- Sourcing Cost

Sourcing Cost
+ Transportation cost
+ Warehousing cost
+ Inventory Carrying Cost
+ Distribution fees

Gross Sales
- Discounts
- Promotions
- Sourcing Cost
- Transportation cost
- Warehousing cost
- Inventory Carrying Cost
- Distribution fees

Performance Measurement


Cost to serve calculations do not work when using a one-size-fits-all approach. Competitive Insights uses a proven methodology by creating Functional Analytics™, which serves to facilitate cross-functional agreements on the scope, clarifications on your unique operational processes as well as defining the data needed.

Profitability as the Common Thread


blog: Knowing Your Actual Cost To Serve For Each Customer


blog: The Ultimate Value from Supply Chain Visibility