UNFI proves a valuable partner for startup CPG brands | Stellantis aims to cut costs for EV production | Port union to refrain from strikes during contract talks
Many smaller consumer packaged goods companies and startups say that United Natural Foods' deals with Whole Foods and other leading natural foods retailers have made it an essential partner. "A distributor actually helps streamline your orders, which can get complicated as you scale," said Ali Cayne, founder of sauce and marinades maker Haven's Kitchen.
Arnaud Deboeuf, the chief manufacturing officer for Stellantis, said the automaker aims to reduce production costs for electric vehicles 40% by the end of the decade. Deboeuf said "the market will collapse" if EVs don't become less expensive to produce.
Officials with the Pacific Maritime Association and the International Longshore and Warehouse Union say no strikes are planned at 29 West Coast ports after the union's contract expired on Friday and the two sides work to finalize a new one. Meanwhile, more than 150 organizations representing agriculture, trucking and other US industries asked the Biden administration to help negotiations along without spurring additional port disruptions.
Distributors can respond to price increases from manufacturers and charge customers the right amount by using data analytics and pricing optimization software to evaluate sales data, writes Brian Friedle, vice president of business development at White Cup. "Involve your sales staff in this process so they are active participants in the game plan and empowered to execute on these opportunities," Friedle advises.
Distributors can find out what customers want by conducting surveys, holding focus groups and interviews, and creating customer profiles and personas based on buying behavior, writes Dean Mueller of Distribution Strategy Group. Mueller also recommends that distributors define the unique value they provide, along with discerning what is important to customers and which needs aren't being met by competitors.
The US Supreme Court's refusal to hear an appeal of California's AB5 law, which requires many truck drivers to be classified as employees rather than independent contractors, could lead to fewer truckers, motor carriers and smaller contractors operating in the state, according to Greg Feary of transportation law firm Scopelitis, Garvin, Light, Hanson and Feary. However, Teamsters General President Sean O'Brien says the law will result in better wages and protections for truckers.
To retain workers, companies should focus on their managers by helping them learn emotional intelligence as well as how to create a sense of community, give constructive feedback and provide motivational work, writes Britt Andreatta, CEO of 7th Mind. "Training can turn poor managers into great ones -- managers who not only keep your best people but also draw in the next generation of top performers," Andreatta says.
Inflationary pressures are forcing companies to consider issues ranging from salaries to supplier relationships, but CEOs also need to remember the basics, writes Katy Davies, the managing director of manufacturing company Camden Boss. "Great gains can be made by looking at all your costs and ensuring that services and products contracted are being received to your required spec and that there are no cash leaks or sloppy cost management," Davies writes.
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