80 / 20 Strategy
EFC’s 80/20 Strategy – How It Benefits our Partners/Suppliers
EFC partners with industry-leading ENGINEERED fastener manufacturer suppliers to build mutually beneficial businesses that truly complement and support one another.
This is achieved through the implementation of customized “Master Distributor” 80/20 programs with key partner suppliers, thereby providing a Supplier Value Proposition (SVP).
The many benefits to our suppliers included in our SUPPLIER VALUE PROPOSITION are:
- STREAMLINED OPERATIONS
- ACCELERATED GROWTH & INCREASED PROFITABILITY – Enables the Supplier to Focus on the 20% of Their Business Yielding 80% of Their Profits, Resulting in Accelerated Growth & Increased Profitability
- INVENTORY & SCHEDULING EFFICIENCIES – Transfer of Carrying Costs (Inventory) & Better Visibility to Production Scheduling
- REDUCED NUMBER OF TRANSACTIONS – Significantly Less Transactions to Process (fewer purchase orders, shipments, invoices, notifications, inquiries and quotes)
- REDUCED CREDIT RISK – Fewer Invoices to Collect; and Receive On-time Payments from a Financially Sound Company
- JOINT SALES STRATEGIES – Joint Initiatives on Taking New Innovative Products to Market; New Business Development
- GREATER MARKET COVERAGE – EFC Becomes Extension of Their Sales Force with Connections to New & Existing Customers, Territories & Markets
- CREATE NEW INCREMENTAL GROWTH – Through Generating New Business Opportunities for Their Products in New Applications at New Customers
- IMPROVED SERVICE – Improves the Service Levels, Coverage & Responsiveness to the Customers
- ELIMINATE IMPORT/EXPORT and INTERCOMPANY – Utilize EFC’s Global Locations as a Preferred Channel
- ENABLES FOCUS ON THEIR BUSINESS – Enables Investment (Time, Money, Resources) to be Allocated Towards Core Business & Strategic Areas of Growth