How to Understand Your Cost to Serve in Logistics

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  • Опубликовано: 4 фев 2025

Комментарии • 40

  • @supplychainsecrets
    @supplychainsecrets  2 года назад

    This video is brought to you by Logistics Bureau - Management Consultants, who reduce costs and improve service for organisations Worldwide.
    If you need any assistance on any of the topics on this channel, just visit us at: www.logisticsbureau.com/

  • @kenyonwoodley2366
    @kenyonwoodley2366 7 месяцев назад +1

    Thanks for the great video! I'm beginning my first internship as a supply chain intern tomorrow, and this video has given me some knowledge to be armed with my first day. I will surely refer back to this along with your other videos during my internship.

  • @comenzando_dzero2487
    @comenzando_dzero2487 3 года назад +2

    💯 agreed I worked for a company and it was difficult to convince the plant manager to increase inventory , I presented the idea as stock order and based on information on the production schedule. It became a total hit , we reduced costs eliminated down time , and improved customer satisfaction. Every location has different needs , the services need to be tailored made and designed according to the customer.

  • @mirshadozuturk6107
    @mirshadozuturk6107 2 года назад

    Woah! Looks like I found a golden nuggets of information.
    I was told that in business, Financial Operations thinking comes first and before Operational thinking.
    Absolutely critical missing part of the costing and calculating profit!
    Please share more such videos, especially if any frameworks/models exist for Calculating costs for 3PL, Rail, Air freight, Multi-modal or Project Cargo, other services.
    Thank you 🙏

    • @supplychainsecrets
      @supplychainsecrets  2 года назад +1

      Lots of videos on the channel about this topic. Just search for "cost to serve". Once you understand the principles you can apply it to anything.

    • @mirshadozuturk6107
      @mirshadozuturk6107 2 года назад

      Awesome 😎
      Will do!
      God bless

  • @sumantjain6047
    @sumantjain6047 4 года назад +1

    Really eye opening. Thank you so much for sharing your knowledge.

  • @umartariq0092
    @umartariq0092 5 лет назад +2

    That's a super informative video. Thanks for making it simple and easy to understand.

    • @supplychainsecrets
      @supplychainsecrets  5 лет назад

      Glad it helped. I have a detailed video coming this week showing how to do he actual analysis.

    • @rolandoriley
      @rolandoriley 5 лет назад +1

      @@supplychainsecrets This video is top quality. Hope you can talk more in depth about cost of serve

    • @supplychainsecrets
      @supplychainsecrets  5 лет назад

      @@rolandoriley There is a more detailed example here: ruclips.net/video/UN_-UxovGwo/видео.html

  • @debarshimazumder717
    @debarshimazumder717 4 года назад +1

    Excellent... explanation. Will like to see a live spread sheet with example if you can next time... I personally like to here all yours knowledge sharing videos... It gives different perspective and add value in terms of alternative thinking to handle a problem with simple solution...

    • @supplychainsecrets
      @supplychainsecrets  4 года назад

      Check out this video, it a very detailed step by step version. ruclips.net/video/UN_-UxovGwo/видео.html

  • @trytobesmart
    @trytobesmart 5 лет назад +1

    Thanks for explaning in simple video

  • @mada881010789
    @mada881010789 2 года назад +1

    Thanks for sharing the knowledge . What method would you recommend on allocating the last mile delivery cost to individual product sku level ? I was told by transportation team it’s the count of stops driving the cost and the products inside the totes are irrelevant. But the finance department needs to report AOP at product level .

    • @supplychainsecrets
      @supplychainsecrets  2 года назад

      I do it at a SKU level, and base it on the cube occupied in the truck. You also need to take account of stopping times, order sizes, driving distance and many other factors. I have a video on it here: ruclips.net/video/QtrMBRTy0eM/видео.html

  • @juanpablodillonespinoza6809
    @juanpablodillonespinoza6809 3 года назад +1

    Do you have an audio book or a book?

    • @supplychainsecrets
      @supplychainsecrets  3 года назад +1

      I do. I have 5 books actually. If you reach out tome on linkedin I can probably organise a free sample for you. Just mention SCS Book offer.

    • @juanpablodillonespinoza6809
      @juanpablodillonespinoza6809 3 года назад

      @@supplychainsecrets thank you

  • @mohamedelsamahy3624
    @mohamedelsamahy3624 4 года назад +1

    Thank you and wish me more video

  • @tonnyvallaeys6217
    @tonnyvallaeys6217 4 года назад +1

    very interesting video; benefit is based on gross margin. How do you deal with high capital investment costs (CAPEX); do you use depreciation cost or do you use TCO-cost to measure benefits?

    • @supplychainsecrets
      @supplychainsecrets  4 года назад

      Depends on the equipment / facility in question really. There is no single way of doing this. I often use depreciation cost.

  • @tidishsaccoh3423
    @tidishsaccoh3423 4 года назад +1

    What are the factors that affect customer service in LSC ?

    • @supplychainsecrets
      @supplychainsecrets  4 года назад

      Have you watched this video? This will help. ruclips.net/video/witWunLCEdI/видео.html

  • @ismailnassar4103
    @ismailnassar4103 5 лет назад +1

    Excellent... i have one very direct question, is procurement ( buying material & services ) consider part of logistics? Also, what is the global benchmark for logistics cost from product cost ?

    • @supplychainsecrets
      @supplychainsecrets  5 лет назад +1

      Hi. Don't get too concerned about definitions. A view Procurement as a key part of Supply Chain Management. But many government organisations (and others with a very large spend) for example, see it as separate. Kogistcs tends to be viwed as a subset of Supply Chain, dealing with the outbound, warehousing and transport, part.

    • @supplychainsecrets
      @supplychainsecrets  5 лет назад +1

      As regards a Benchmark, that is too hard to say, as it's dependant on the industry, product value and business. But a very rough figure might be 5-10% of Sales.

  • @isaacbonsu7192
    @isaacbonsu7192 4 года назад +1

    Robo I want you and Trent to help me choose my career program, procurement and logistics which one is good because I have procurement background already.

    • @supplychainsecrets
      @supplychainsecrets  4 года назад

      This is the most common question I get. This playlist should be useful. ruclips.net/p/PLAI2rbd3NwK5tgIQeNNkNAe47GDOqyqpb

  • @khaliq7094
    @khaliq7094 5 лет назад +1

    Do you think logistics is good practice to become an actuary

    • @supplychainsecrets
      @supplychainsecrets  5 лет назад

      Statistical analysis is certainly important in analysing logistics performance, so why not?

  • @sreram1362
    @sreram1362 3 года назад +1

    I am an undergraduate, interested in supply chain industry, is it possible for me to enter supply chain industry,, especially in ports, with a masters in industrial engineering. Please guide me through this sir, if not what should I do, pursue a supply chain management degree without work experience?

    • @supplychainsecrets
      @supplychainsecrets  3 года назад

      You asked the same question on another video. Answer is the same 🙂