title = "Cost Optimization Strategies"

content = """
Cost optimization balances operational efficiency with service quality in
wholesale distribution. Systematic approaches identify and eliminate waste
while maintaining customer satisfaction and competitive positioning.

**Activity-Based Costing:** Allocate overhead costs to specific activities
like receiving, putaway, picking, and shipping. Identify cost drivers and
measure activity efficiency. Cost-to-serve analysis by customer segment or
product category.

**Process Optimization:** Value stream mapping identifies non-value-added
activities. Lean principles eliminate waste in transportation, waiting, and
over-processing. Six Sigma methodologies reduce process variation and defects.

**Inventory Optimization:** ABC analysis focuses optimization efforts on
high-value items. Economic order quantity calculations balance ordering and
carrying costs. Just-in-time inventory reduces carrying costs for high-turnover
items.

**Labor Productivity:** Cross-training reduces bottlenecks during peak periods.
Performance incentives encourage productivity improvements. Technology adoption
like automation and voice-directed picking increases throughput.

**Transportation Efficiency:** Route optimization and load consolidation
reduce miles per delivery. Carrier contract negotiations secure volume discounts.
Fuel surcharge management and alternative fuel vehicles control transportation
costs.

**Facility Utilization:** Space planning maximizes cubic utilization.
Vertical storage systems increase capacity without expanding footprint.
Energy-efficient lighting and climate control reduce utility costs.

**Supplier Cost Management:** Volume consolidation and long-term contracts
secure favorable pricing. Value analysis identifies cost reduction opportunities
without compromising quality. Total cost of ownership evaluation considers
all acquisition, possession, and disposal costs.
"""

version = "0.0.1"
