Cost to Serve Optimization

Identify areas where costs are out-of-line and rectify those issues using advanced cost to serve analytics solutions

Determine the true cost of servicing individual customers using cost-to-serve analysis

Cost to serve analysis adopts a comprehensive approach that revolves around the analysis and quantification of all the activities and costs incurred to fulfill customer demand for products throughout the end-to-end supply chain. Driven by advanced technologies and data mining techniques our cost to serve optimization models can help you gain an in-depth understanding of the actual cost of supplying a specific product to the customer by modeling all logistics activities in the network.

Quantzig’s cost to serve optimization solutions helps businesses to quantify the value of negotiated service levels, shipment exceptions, and other overhead costs. With a robust cost-to-serve analytics process, you can not only gauge the profitability of products, customers, and routes to market but adopt a data-driven approach to decision-making on product mix, service mix and operational changes for each customer. Adopting such an approach to quantify service levels enables businesses to leverage the newly gained margin insights to re-segment their customer base into different groups based on profitability and not just tenure or revenue.

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Cost to Serve
Analysis Model

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Cost to Serve
Reporting Capability

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SKU
Rationalization

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Proactive
Decision Making

Quantify a customer’s actual value to your business and drive margins by servicing the customer more efficiently

Most top-level data optimization techniques used today fail to identify the real factors driving costs and service levels. We understand that this is crucial from a business perspective and hence have developed a comprehensive portfolio of cost to serve optimization solutions that are backed by powerful optimization algorithms and advanced technology to help you serve your customers better.

Our cost to serve optimization solutions adopt a pragmatic approach which focuses on striking the perfect balance between providing actionable insights and containing resources and efforts for data collection, helping you streamline your production processes, improve supply chain efficiency, and increase customer service levels.

Quantzig’s Cost to Serve Optimization Capabilities

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    Order Fill Analysis

    Our order fill analysis solutions focus on analyzing shipment data and stochastic lead times for improving customer service levels and component replenishment rates.

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    Logistics Analysis

    The ability to route and load efficiently is primarily important for businesses that must ensure the transport of goods from one place to another. Depending on the environment and customer needs, logistics routing and loading can be challenging on many fronts. But if done right, it can help businesses save millions through OTIF deliveries.

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    Activity-based Costing

    Activity-based costing adopts a modern approach to track and monitor all costing activities including resource consumption tracking and final output costing.

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