Analysis

Integrating the supply chain

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The major objectives of integrating thesupply chain within the food and beverage sectors are cost reduction and customer service(Figure 1). The theory that customer service and cost trade off each other still prevails.In fact, the opposite is true. The high levels of efficiency required for excellence incustomer service, derived from focusing on customer needs, core processes and a simplerbusiness, also drive cost down to industry-leading levels.


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