【文章內容簡介】 ution business? How do you measure cost amp。 profit? ? The cost of distribution is a rather plex as it contain many variable and ponents ? Every w/s has different weight on individual element ? Today, few w/s actually work towards an industry benchmark ? Efficient and eliminating fats in a cost structure is the first step to better profitability. ? To understand which element is within control and which is not. Are you really in the distribution business? Do you have the right type of partners? ? How do you know you if you can resolve an internal price issue or be profitable? – Understand who are their 2ndtie by types – take of lasttie vs 2ndties/subdistribution – if vol of lasttie vs 2ndtie/subd over the last 3months is less than 50% of your total business, them bother, you maybe in trouble ? Go for the lasttie ? Move out from subdistribution Are you really in the distribution business? Are you a distribution or corporate logistic pany? ? How much of your business is aligned to petition in the distribution area? – Understand who are their 2ndtie by types and the volume. – Take of resellers that your do bit deal fulfillment vs those you sell to who sell to SME customers. – Measure Vol of fulfillment vs own distribution . – If Vol of fulfillment over the last 3 months is more than 50% of your total business, them bother, you maybe in trouble. – On these volume that you fulfill, what value do you add? Do you do simple hardware solution configurations? Do you do software optimization? Do you offer attractive bundles? If you do not, you are indeed in trouble. Are you really in the distribution business? ? Where are you selling in? – understand who are their 2ndtie by types and the volume and where they are in. – take of resellers that you have. – How many are repeat customers? – Take the volume of number of repeat customers. – Distribute them into number of cities. – If more than 50% or more are in only 3 major cities, are these cities your homeground? – If not, you do not have enough geographic coverage. – How many cities do you cover consistently every month. – Do you have the right resources and systems to maintain these geo business? ? Geographic coverage is vital in any battle Are you really in the distribution business? ? Do you do deals or do you put in programs? – Understand who are their 2ndtie by types, the volume, where they are in and the business relationship you have with them. – Take of resellers that you have. – How many are repeat customer? – How many of them have a business agreement/program with you? – How many are on a dealbydeal basis? – If more than 50% of your business are on a deal by deal basis, you maybe not profitable. – You need be petitive but working on a deal by deal basis do not make good business sense. ? Structure your relationship ? Reward them because they make you profitable and you provide them good support and reasonable pricing by NOT because they “buy” from you. Are you really in the distribution business? Understanding supply amp。 demand ? HP manages supply and demand at a country level – overall market share goals based on profitability, petitive terms – general seasonality – predictable disruptions – sellthru / inventory level – very soon. . . We will get in down to geo regions and weekswindow. ? Supply and demand are bare basic, bare essential in the management of product pricing. ? You need to factor in probably a similar set of factors toset the framework for pricing and break it down by geography. ? You need to understand you capacity vs capability. Planning for growth, where do you look? ? SME segment and business opportunity. – For many w/s , you need to move out from the dependencies of the corporate big deal from CARs. – Creative ways to tap into SME business. ? Expand geography – We have planning to find a way to support sales into 3050 cities by mid1999, how many cities can you participate in? how do you support these? ? Competitor’s channel is exp