Print
Solutions December 2005
president’s
message
By
TIMOTHY J. MEHL, CDC
Creating
Value Through Transparency
Opportunities
usually do not happen by chance
or good luck. An opportunity is
a function of innovation and hard
work. Innovation identifies the
opportunity. Hard work takes advantage,
or implements the opportunity.
Many
interesting opportunities created
for us at Dispatch by distributor
partners involve serving end users
with programs that involve only
traditional forms products. We
know at the beginning of these
opportunities that we cannot differentiate
by product. We need to differentiate
by process. There are numerous
ways distributors can differentiate
themselves from the competition
when making a proposal for traditional
products. Some of these differentiators
could be:
Business process improvement solutions
offered through needs assessment
analysis and forms design
An e-commerce platform allowing
integrated electronic ordering
A sophisticated fulfillment solution
Partnering with a manufacturer
from the very beginning of the
RFP (Request For Proposal) process
to add value
It’s
this last point I want to discuss.
How do we implement such an opportunity
as a supply chain team? The answer
is to bring value to the end user
by going to market collectively
and adding value through transparency.
Our
experience on most large print
programs is that the distributor
gets the RFP and asks for quotes
from numerous print providers.
The distributor then uses the
best pricing to develop a proposal.
This process often leads to the
utilization of multiple manufacturers
who usually have little input
in developing the proposal.
Creating
value through transparency suggests
that the distributor identify
a manufacturing partner as its
primary print partner from the
outset based upon how their capabilities
match up with the RFP. This partnership
should be communicated to the
end user at the very beginning
of the process. By doing this,
the supply chain partners, including
suppliers to the manufacturer,
can focus together on developing
the best solution.
Once
the distributor gets the RFP,
it should be shared with the selected
manufacturing partner. Don’t
waste energy on shopping for price.
Work with the customer, manufacturer
and supplier to identify and provide
the best value for the customer.
Include
the manufacturer and supplier
in pricing and program development.
All supply chain partners should
be intimately involved with:
Needs assessment
Pricing, including sharing information
about profit margins
Developing the proposal, which
would identify the value, each
supply chain partner brings to
the process
Printing the proposal
Presenting the proposal
Program
implementation should include
efficient workflows that allow
direct access between the end
user and manufacturer. This might
include direct communication on
composition changes, order status,
production problems and other
production specific issues. The
manufacturer and supplier should
be involved in regularly scheduled
program review meetings, and communications
regarding program changes should
include all partners.
We
all can do a better job of leveraging
our collective resources to create
opportunities. Distributors can
leverage manufacturer and supplier
know-how to be more effective
in their sales efforts. Manufacturers
and suppliers can be more proactive
in developing tools for distributor
marketing efforts.
Starting
next month I will be introducing
some of our industry’s elite
in sharing how they have effectively
created opportunities within their
own organizations.
Timothy
J. Mehl, CDC, is CEO of Dispatch,
a manufacturer in Erie, Pa., and
DMIA’s president.