LinkedIn®

Member employees are encouraged to join our group: .

Supply Chain Database

Member companies can now access the Tompkins Supply Chain Consortium Benchmarks & Best Practices Database. More ...

Home > Peer Groups > SCM > Topic Directory > Managing Total Supply Chain Cost

Managing Total Supply Chain Cost

Today more than ever, competitive pressures and the drive to increase profitability are driving firms to manage and reduce total supply chain cost. Although measuring and monitoring the comprehensive set of components that make up total cost (materials acquisition, order management, distribution, carrying costs and others) can present a daunting challenge, holistic cost management presents a significant opportunity for nearly any company. According to the Supply Chain Council, a 1% reduction in supply chain cost impacts financials as much as a 4%-12% increase in revenue. At this meeting, member companies shared and discussed their approaches to measuring and managing total supply chain cost, and strategies for reducing cost that have proved effective in the current environment.