Logistics and SCM Cost and Agility Assessment Tool and Case Study

Background

In 2005-2006, Industry Canada partnered with the Supply Chain and Logistics Association of Canada (SCL) Research Committee to launch a national logistics and supply chain management (SCM) performance indicators initiative. Six Logistics and SCM Key Performance Indicator (KPI) Analysis reports were released, covering 250 manufacturing, 30 wholesale and 70 retail sectors. These reports can be used as a benchmarking tool for firms and policy makers.

The following document is an extension of the Logistics and SCM KPI Analysis reports. In the course of three steps, this document will guide supply chain managers to determine and evaluate their total logistics and SCM cost and agility.

The first part of this guide provides an assessment toolkit for logistics and SCM cost and agility. This Toolkit defines the three components of logistics and SCM cost; classifies logistics and SCM cost activities categories and their respective components; and presents relative data which allows users to benchmark their logistics and SCM cost and agility against industry averages and other key player (s). The second part of this guide demonstrates a fictive case study for a specific firm in a manufacturing sub-sector, completed with an Excel template to assist Canadian manufactures, wholesalers and retailers in calculating and benchmarking their total logistics and SCM cost and agility.