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2003
— The Business of Distribution
Course
Block Description:
Each of the three related course segments in this course deals
with the business of distribution. The first discusses our role
in the channel and how we add value for both of our channel
partners. The second deals with basic financial facts in distribution,
why it is important for the company to make an appropriate gross
profit, and why it is a part of each person’s job to protect
it. The final segment deals with changes in our role, relationships
and responsibilities caused by changes in the distribution marketplace.
The content
for this course is provided by Chuck Holmes, president of Corporate
Strategies, Inc.
Competencies:
On completion
of the course block the student will be able to:
- Discuss
how distribution has become a valuable part of the channel
- Understand
how we have traditionally added value, and why we should be
paid for that value.
- Understand
the function of the distributor from both the point of view
of the customer and the point of view of the distributor employee.
- Recognize
the importance of his or her role in fulfilling the core contract
with the customer.
- Be able
to calculate gross profit, gross margin, and markup.
- Understand
the personal benefits to the employee created by getting an
appropriate gross profit and protecting it from waste.
- Recognize
and work with internal customers to better serve the external
customer.
- Be aware
of changes in distribution that impact the manner in which
distribution employees do their jobs.
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