$\backslash \backslash \backslash \backslash \backslash \backslash$Zand logistics volume $($orders$,$ packages$)$ by account.

The COO emphasizes the company's commitment to providing excellent customer

service, particularly in maintaining a $4-$day fulfillment cycle. However, the board of

directors is beginning to question whether this strategy is generating enough value to

justify its cost.

Management has tasked you, as a supply chain expert, with the following

questions:

$1.$ Analyze the current cost allocation methods used by EE$.$ What potential

changes can you recommend to make the system more efficient and

accurate?

$2.$ Determine the profitability level and return on investment for each

distribution channel under the current cost allocations and the

recommended changes.

$3.$ Provide recommendations regarding the company's policy of offering all

customers the same service level $(4-$day fulfillment cycle$).$

Table $1$ Activity Summary by Distribution Channel

Channel Name Sales Orders Packages

Online Retail $$80,000,0001,1002,000$

Third$-$Party Retail $$45,000,0002,1002,500$

International Distributors $$25,000,000300700$

Table $2$ Activity Summary by Third$-$Party Retail

Retailer Name Sales Orders Packages

Gadgets and I $$3,000,0002530$

All Things Tech $$6,000,0006090$

Tech at Home $$2,500,0005080$

El