The authors of Value Creation Strategies for Wholesaler-Distributors implore distributors to define strategy in terms of closing gaps with the market rather than operational weaknesses. Tactically driven initiatives may meet intermediate goals, but they often produce unsatisfactory business outcomes.

This is an excerpt from Value Creation Strategies for Wholesaler-Distributors reprinted with permission from the NAW Institute for Distribution Excellence. Order the book at www.naw.org/valuecreationstrateg.

Strictly speaking, best practices are business operations that are statistically correlated with superior financial performance. The study of best practices is now widespread and has contributed to significant productivity improvements by wholesaler-distributors across all lines of trade. The most comprehensive review of distribution …