Cost to Serve

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 calculate some form of Cost to Serve and to calculate it with accuracy and recurring consistency.

Gartner Cost to Serve Table

source: Gartner     











accuracy

While traditional accounting methods use some form of standard cost (procurement/purchasing cost), Net Landed Cost to Serve (NLCTS) uses transactional data created across the end-to-end supply chain for an accurate cost to serve measurement.

Supply Chain Network









Profitability as the Common Thread




precision

Competitive Insights is able to provide this precision down to the SKU-level and the highest level of specificity for cost performance from procurement to the customer’s delivery location.

Beyond Activity Based Accounting (ABC) or traditional Cost to Serve calculations, Net Landed Cost to Serve (NLCTS) has multi-dimensional insights that is necessary for impact on the bottom line.








foundation

provides the cost foundation for calculating the Net Landed Profit for products and customers




Profitability as the Common Thread