Wolf

Battle of the Supply Chains

Tom Wolf published this article on November 28, 2011 in Build your Business. Total Comments: 3 | Comment

In the building materials industry, there are essentially three different supply chain models battling for supremacy: 1) the traditional two-step distribution model; 2) the big box retailer/distributor model; and 3) the manufacturer direct to the dealer model.  Each has its merits and place so that – at least at this time – all three compete with some measure of success.

At Wolf, we have developed a fourth supply chain model which we think is better than any of these three models.  It combines the professional market sensitivity of the traditional two-step distribution model, the price competitiveness of the manufacturer direct model, and the scale efficiencies of the big box model to create a dynamic driver of independent dealer success.

Wolf’s supply chain model grows out of its long history as a traditional two-step building products distributor.  As a traditional distributor, Wolf has been close to the market, especially the independent dealer market.  This proximity has given it a valuable perspective on the unique needs and strengths of the professional building materials customer.  Wolf’s logistics expertise has also allowed it to build strong connections with the manufacturers who make the products the independent channel customers want.  This, in turn has given it unique insights on the challenges, needs and strengths of the manufacturing community.  Finally, Wolf’s size has given it the ability to buy right which has translated into consistently better programs for the independent dealers and their customers.

Wolf has taken these three sets of skills and strengths – its sensitivity to independent building materials dealers; its manufacturing relationships; its scale – and built an entirely new supply chain that will do two things for the traditional independent building materials dealers: it will differentiate them within the industry and make them more competitive.

With this new supply chain model, Wolf continues to represent some of the best manufacturers in the world.  In addition, Wolf is using its unique size and position in the market to introduce its own private label brand of building products.  These products are high quality, high value, and competitively priced.  And, they are only available to the independent dealer.

Wolf’s new supply chain is designed to make independent dealers even better at what they do.  They already provide unparalleled expertise, knowledge and service to the professional contractor and the serious remodeler.  They can now add to this impressive list of strengths, the high quality and competitively priced products created by Wolf’s efficient supply chain.  It’s a new combination that will make the traditional independent building materials dealer stronger, more competitive and more relevant to the industry than ever before.