Physical Distribution Cost Control

Abstract
The growing relative significance of the costs of physical distribution is making it increasingly necessary to structure the control of physical distribution costs within the company. It is sometimes thought that the costs of physical distribution amount to only two or three per cent of turnover. It is not to be denied that this percentage will apply in some cases, but often it is an imprecise definition of the physical distribution function in the company, together with a somewhat imprecise cost allocation, which leads to percentages of this kind.

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