VCF, in association with Trade Promotion Management Associates (TPMA), offers deep experience in retailer-supplier execution and performance optimization strategies. Our experienced advisors have the practical knowledge to analyze and implement solutions to the myriad complexities surrounding trading relationships and product movement between partners.

We understand the pain points of both retailers and suppliers. Through a proprietary four-phase process, we will deliver actionable information and knowledge to resolve your most pressing partnership issues. Generally, a project will entail four phases: Overview, Analysis, Implementation and Knowledge Transfer.

• The Overview phase involves becoming familiar with your operation and understanding the entire workflow by activity and function.
• The Analysis phase provides a detailed study of work process, management and tools in use as well as industry best practices that will become the basis upon which to build and improve. This phase includes Gap Analysis and Benchmarking in order to qualify and quantify in dollars and cents the potential for improvement.
• The Implementation phase focuses on changing limiting conditions, determining resource requirements and presenting tangible results. We present a detailed written report, including key findings, specific recommendations, and next steps.
• The Knowledge Transfer phase is an investment in the future. The tools, concepts, and recommendations that are implemented during the project will be passed on to your management team for long-term continuity.

SUPPLIERS

Have you calculated the bottom-line impact of shortening the Order-to-cash cycle and improving receivables turnover?

Can best practices in revenue and receivables management increase your profitability and working capital?

VCF advisors will evaluate your order-to-cash cycle to implement practical solutions to increase your productivity, profits and compliance with customer requirements. Target areas include:

• Deduction Control and Reduction
• EDI/ASN Accuracy
• Root Cause Analysis of Exceptions
• Customer Process Requirements
• Vendor Compliance Audits
• Billing Error Analysis
• Trade Spend Effectiveness
• Promotion and Pricing Optimization

We will analyze your entire revenue cycle from beginning to end. In addition to applying best practices and resolving root causes, we can implement metrics and coordinate efficiencies across departments to integrate improved quality and service as well as optimal overall performance.

Our advisors are professionals with management backgrounds, and you will receive practical advice and achievable "best practices" recommendations. VCF not only understands the theory, but also has deep hands-on practical experience in the field.

Here are some red flags to consider in your business:

• Your DSO is below the top quartile in your industry
• Your 90+ aging is chronic, or growing
• You control deductions by charging other departments (sales)
• Your revenue "dilution" exceeds 3%
• Your customers give you a poor compliance scorecard
• You do not have a vendor compliance function in place

We will assess your situation and give you a specific proposal to cut costs, speed up results, eliminate roadblocks, adapt state-of-the-art procedures, develop the analysis you need to make lasting changes – and improve your bottom line.

RETAILERS

Do you manage your supplier base by reactive vendor relations practices?

Are you looking to develop a scorecard and how best to align it to your compliance policies and key corporate initiatives?

VCF has worked closely with top retail organizations to promote Strategic Supplier Management as a proactive program for managing your suppliers like a strategic asset. Target areas include developing an integrated approach to:

• Deduction policy
• Supplier scorecards
• Comprehensive contact management
• Supplier training and on-boarding
• Full communications program for strategic supply chain initiatives
• Perfect Order Index
• Trade Promotion Management
• Collaborative planning and forecasting
• And more!

VCF advisors will detail a step-by-step, tried and true guide to making supplier management a key priority and boardroom topic to secure appropriate program funding. Key pain points you may be facing include:

• Supplier relations existing in disparate departments, including EDI, IT, Merchandising, sourcing/logistics and finance
• Under-funded vendor relations programs that are tactical at best
• Dispute resolution wasting valuable time and resources
• Revenue diluting out-of-stocks and excess inventory
• Lack of product visibility
• Unmanageable supplier contact information to communicate new strategic initiatives
• Limited contact with tier-2 and -3 suppliers

To learn more about our advisory and research services, contact Kim Zablocky or Diane Berry.