Global bearing manufacturer is expanding and accelerating its cost reduction program announced in 2010.
SKF to Cut 2,500 Positions by 2015 Read More »
Sam Duncan to be named SUPERVALU president and CEO.
SUPERVALU Agrees to Sell Five Retail Grocery Brands Read More »
IDG CEO: Networking, market planning in AD benefit distributors.
Industrial Distribution Group Joins Affiliated Distributors Read More »
Seasonally adjusted, industrial production fell 0.3 percent in both the euro area and the EU27 when compared with October 2012.
Europe Industrial Production: November 2012 Read More »
Orders were down 8.5 percent from November 2011.
November Manufacturing Technology Orders Down 11% from October Read More »
Newly-acquired Techniks merges with Tenex portfolio company NAP GLADU.
Tenex Capital Management Merges Tooling Companies Read More »
Many articles from the past month have been focused on trends distributors should track in the new year.
Recommended Reading: Articles Highlight What Distributors Can Expect in 2013 Read More »
Not raising the debt ceiling will likely dampen government payments, new awards.
Bracing for More Debt Limit Debate Read More »
The power of clusters of supply chain-related businesses for companies, governments and regional economies.
A New Book on How Logistics Clusters Drive Competitive Advantage Read More »
Today’s environment provides a much wider view of what is going on than even five years ago.
Google’s Flu Tracker a Good Example of the Changing Nature of Data Read More »
Latest data suggests we’re not going backwards on the employment front.
Good News & Bad News for the U.S. Labor Market Read More »
Bunzl acquisitions include two packaging distributors in the U.S.
Bunzl Makes 3 Acquisitions, Enters South America Read More »
The following analysis by long-time industry expert Al Bates examines key profit drivers in wholesale distribution across 40 lines of trade monitored by the Profit Planning Group. This article looks at historical data from the past five years, and particularly trends in 2011, the last year for which full data is available. The pattern that year is a marked deviation from what was seen in previous business cycles.
This article provides insight into this trend and provides recommendations to improve profitability, including the single most important issue distributors should address in 2013.
Bates is author of Triple Your Profit!, available from MDM at www.mdm.com/tripleyourprofit.
Prior to 2011, distribution firms followed a somewhat predictable pattern in relationship to the economy. As the economy entered a recession, sales and profits tumbled. Coming out of the recession, both sales and profits improved dramatically. This pattern changed in 2011 (the last year for which information is available). Sales increased sharply, but profits did not. To understand why, it is necessary to examine the key profit drivers of distribution – the factors that put profit on the bottom line the quickest.
The key profit drivers in distribution are:
Analysis: Sales Grow, But Distribution Profits Stagnate Read More »
A recent survey by MDM in partnership with NetSuite asked wholesale distribution companies about their key concerns and priorities going into 2013. This article provides a summary of the results and highlights key trends for the next year.
The latest MDM Annual Reader Survey, conducted in partnership with NetSuite, revealed a diverse set of concerns and priorities for 2013. Revenue growth remains the top priority for many distributors and manufacturers, with more than half of survey respondents (55 percent) listing it as a top priority for 2013, about the same as last year.
Selling more to existing customers
MDM Reader Survey: Top Distributor Concerns, Plans for 2013 Read More »
News briefs from Dec. 26-Jan. 10, 2013
MDM News Digest 4301 Read More »
As I begin my 21st year with Modern Distribution Management, I’m struck by the continued degree of fragmentation in wholesale distribution. That may run counter to conventional wisdom as we have entered another strong cycle of consolidation and M&A activity.
But it only takes a brief review of MDM’s Top 40 Industrial Distributors Market Leaders list to realize how diverse
Commentary: Fragmented Markets Bring Opportunity in 2013 Read More »
Economic growth in the U.S. will continue in 2013, say the nation’s purchasing and supply management executives in the December 2012 Semiannual Economic Forecast from the Institute for Supply Management. The manufacturing sector expects revenues to increase in 17 manufacturing industries in 2013, and the non-manufacturing sector predicts that 14 of its industries will see higher revenues.
Capital expenditures, a major driver in the U.S. economy, are expected to increase by 7.6 percent in the manufacturing sector and by 7 percent in the non-manufacturing sector. Manufacturing, however, expec
ISM Semiannual Forecast: Capital Spending to Grow by 7.6% in 2013 Read More »
This is the PDF of this issue of Modern Distribution Management.
Table of Contents:
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Download this Issue in PDF: Jan. 10, 2013 Read More »
Modern Distribution Management’s Industrial Inflation Index measures a cross-section of industrial supplies.
MDM Industrial Inflation Index: November 2012 Read More »
Acquisition enables industrys first cloud-based system unifying POS and e-commerce in a single application.
Netsuite Acquires Retail Anywhere, Builds on SuiteCommerce Platform Read More »
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