Frequently Asked Questions
What is supply chain management (SCM) and what are its benefits?
What is redistribution and its benefits?
What is promotions management?
What are Logistics Service Providers (3PL, 4PL, 5PL)?
Whom does CDC service?
What services are provided by CDC?
What is the role of CDC in the foodservice marketplace?
How does CDC reduce supply chain management costs?
How does CDC manage title of supply chain inventory?
Who owns the supply chain data?
What is the CDC Advantage?
How do we learn more about CDC?
What is supply chain management (SCM) and its benefits?
A supply chain is a network of facilities that procures raw materials, transforms them into final goods, and delivers the products to customers through a distribution system. SCM’s core focus is enterprise integration – the integration of purchasing, manufacturing, transportation and warehousing activities across vendors, facilities and markets. SCM is the strategic, tactical and operational planning of the foodservice supply chain network focusing on gaining efficiencies, improving communication, and reducing operating, inventory and carrier costs.
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What is redistribution and what are its benefits?
 Without redistribution, manufacturers would produce certain products in their plants and then move them to forward warehouses or companydistribution mixing centers, and then on to food distributors (large and small). These distributors then deliver the products in smaller quantities to the restaurants. Many distributors cannot cost-effectivelyutilize inbound truckload (TL) velocities, and therefore the system uses a more costly less-than-truckload (LTL) transportation on certain slower moving items. In contrast, with redistribution in place, manufacturers can efficiently ship truckload quantities to the redistributor, CDC, who then can ship full (mixed) truckloads of products to the distributors. Most or all higher cost LTLs are removed or reduced. This increases the distributors’ inventory turns and dramatically increases the efficiency of the entire foodservice supply chain, thereby reducing costs.
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What is promotions management?
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. CDC’s services improve on product support to enhance the ease and profitability at the store level. 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 and quickly accomplished throughout the supply chain by using CDC. This dramatically increases the ease of new product introduction, phase-in, phase-out, product allocation and inventory management.
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What are Logistics Service Providers (3PL, 4PL, 5PL)?
Third-party logistics specialize in integrated outsourced transportation services that can be scaled and customized to customers’ needs based on market conditions and the demands and delivery service requirements for their products and materials. 3PL providers handle most of a company’s freight solutions, including the management of information on shipments. On-demand transportation services have become a mandatory capability for today's successful 3PL providers in offering client-specific solutions to supply chain needs. A 4PL is an integrator that assembles the resources, capabilities and technology of its own organization and other organizations to design supply chain solutions. A 5PL, a relatively new concept, seeks to combine a number of core elements all functioning as a single entity via a web-enabled system.
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Whom does CDC service?
CDC serves multi-unit foodservice and retail operators, including but not limited to, the following areas: quick-service restaurants (QSR), casual dining, fast-casual, full-service, convenience store, and related concepts. We manage dry and frozen food products, equipment, safety/pharmaceutical items, janitorial and sanitation goods, and more.
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What services are provided by CDC?
Consolidated Distribution Corporation, LLC (CDC) offers world class integrated solutions that today’s franchisors, franchisees and co-operatives require. Our expertise encompasses foodservice redistribution, dry and frozen inventory warehousing and storage, logistics and transportation services, specialized and bulk event fulfillment, and limited time promotions management. CDC analyzes and realigns exiting networks to optimize product velocities and freight costs, and to maximize overall efficiencies that result in reduced costs throughout the foodservice supply chain.
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What is the role of CDC in the foodservice and retail marketplace?
In today’s competitive market, just about every distributor and manufacturer in the foodservice and janitorial-sanitary supply markets is looking for ways to maximize product velocity efficiencies and reduce supply chain costs. Our role is to assist you in getting products at the lowest landed cost to your stores, with minimal incident—and on time.
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How does CDC reduce supply chain management costs?
CDC works with franchisors and co-ops to increase their service and reduce costs as logistical costs rise. CDC acts as an extension of the manufacturers’ distribution network. They take advantage of our expertise and experience in moving less than truckload size orders through the supply chain in full truckload quantities, allowing for a better service model for the distribution centers (DCs), and ultimately the store locations. For DCs, CDC reduces costs by making available products from multiple vendors through a single source. Here we offer multiple items on one truck with one invoice with minimal hassle.
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How does CDC manage title of supply chain inventory?
Almost all products—whether redistribution SKUs, promotional and fulfillment items, or long-term storage goods—are purchased by CDC, with CDC possessing title until they are sold to foodservice distributors.
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Who owns the supply chain data?
Product data relative to each of our customers is owned solely by that customer. CDC does not share customer supply chain data with anyone unless authorized by the customer.
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What is the CDC Advantage?
By providing outstanding levels of service and high transparency, CDC provides critical efficiency in operations for our customers, while also significantly enhancing efficiencies for manufacturers and foodservice and retail distributors. By solving challenges for our customers we have become long-term partners with some of the largest restaurant and retail chains in America, and we believe we can apply our experience, relationships, and expertise to allow your chain to achieve its financial goals and company objectives.
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How do we learn more about CDC?
To inquire directly with us, please contact us, or call our Business Development Manager at (630) 633-6321.
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