The distribution industry remains an important sector in the U.S. economy, with a vast majority of the nation’s distributors being family-run businesses with fewer than 500 employees. The dynamics of the industry are changing rapidly due to many factors including: reduced fill rate times, warehouse technology, “build where you sell” mandates, outsourcing and globalization. With so much change, you need a dedicated advisory team to provide you with sound professional “value added” advice. Our team is focused on financial, operational, and supply chain issues facing the industry. We are confident that our professionals will exceed your expectations. Our firm represents more than 200 distribution-related suppliers nationally.
Some of the industry sub-segments we serve include:
Challenges facing the industry:
Strategies for success:
Financial strength–Focus on liquidity and strengthening of the balance sheet. Implementation of flexible budget reporting.
According to a new Standard & Poor’s report, there are two key indicators that will tell you what kind of shape the manufacturing industry is in. The first is the Institute for Supply Management’s Purchasing Manager’s Index and the second is the Federal Reserve’s Capacity Utilization Index for motor vehicles and parts.
What comes to mind when you think of companies like Apple, Patagonia, and Ferrari? Success. Vision. Passion. Purpose. Most likely, it’s a combination of all these answers. These companies have a reputation for not only being highly successful, they are also known for their strategic forward-looking vision, passion for what they do, and clear purpose. These companies transcend manufacturing; they have nurtured cultures that focus both on business and the additional impact they can have on the world. How do they accomplish this, and what does this have to do with manufacturing?
To enhance transparency and comparability of financial statements and minimize off-balance sheet items, the Financial Accounting Standards Board (FASB) issued its long-awaited new accounting requirements for leases (“ASC 842”) in early 2016. There are elements of the new accounting requirements for leases that could impact almost all entities to some extent, although lessees will likely see the most significant changes.
Trump has not been happy with NAFTA since taking office, at times calling it the "worst trade deal ever signed by any country". After working for more than a year to finalize a deal, Trump called the new agreement "truly historic". The US, Canada and Mexico have reached a deal to update and rename NAFTA.