By far the greatest benefits of using CDC accrue to our customers: the foodservice franchisors, purchasing co-operatives, and ultimately the franchisees. Some of the primary benefits are:
Better Communications/Customer Service
With CDC as a single communication point to provide virtually any type of information to their distributors, our customers can make change requests and have them implemented throughout the supply chain as needed.
Vital Data Transparency
A key benefit of using CDC is the unusual level of transparency into virtually all aspects of the supply chain handled by CDC. Customers can view all inventory levels, open purchase orders, open sales orders, and review distributor purchase history. Customers can run customized reports of their CDCís business such as purchase history by item, shipment quantities and dates by item. This real-time access to current and historical information provides for unique supply chain management options as well as complete audit capabilities for all product movement.
Supply Chain Management and Inventory Control
By providing transparency into inventory levels throughout the system, CDC can assist customers in better managing overall inventory levels and associated working capital costs, while also reducing out-of-stocks and improving store-level service.
Significant Reduction of Costs
The obvious benefit of reducing excess inventory is cost savings, but other savings mechanisms such as freight consolidation (both inbound and outbound) and volume purchasing by CDC can reduce the landed cost of products at the store level.
Compliance and Contingency Management
Given the heightened importance of traceability and control systems, CDCís tracking systems will assure compliance with required brand and product specifications as well as providing comprehensive audit and product tracking capability to support routine distribution needs, disaster recovery and recall operations.
Promotions Management/Improved Store Product Support
CDC manages promotions, Limited Time (LTO) and Regional Menu Offerings (RMO), helping control costs and efficiencies for customers offering a larger variety of specialty items at competitive prices. New product introductions and changes to existing programs can be seamlessly accomplished throughout the supply chain in an expedited fashion by using CDC. This dramatically increases the ease of new product introduction, phase-in, phase-out, product allocation and inventory management. Our customers are constantly seeking ways to enhance store profitability by introducing new products and services. These offers, while providing upside margin opportunities, also can undermine efficiency in operations and result in increased costs. CDCís services improve on product support to enhance promotions efficiency and profitability at the store level.
Enhanced Supplier Negotiations
Utilizing CDC gives our customers the opportunity to consolidate volumes and purchasing programs. This effectively allows customers to eliminate minimum-order challenges and gain greater purchasing power with suppliers where standalone chain volume is limited. These purchasing programs allow our customers to lower their landed cost to their restaurants.
Enhanced Distributor Management
A key benefit of using CDC is better efficiencies with distributors. Together with the distributor, CDC works to lower the total landed cost of all products to the stores. Aside from the obvious economic benefits of consolidating truckloads of products to reduce costs, CDC provides the distributor with ordering efficiencies, lower administrative costs, improved inventory turns, reduced out-of-stocks, and reduced inventory investments. CDC is also able to manage inventory levels for special promotions and allocate these products to geographic regions as defined by our customers.
Business Interruption Recovery Plan
Extreme or unusual business situations, such as national or regional natural disasters, labor strikes or distributor/vendor problems, can have a severe impact on their entire supply chain system. CDC has the resources and proven ability to handle and to react immediately to such situations, so that our customers have rapid replenishment and allocation of stock needed by a new or existing distributor.