The Use of Price Waterfall Model (PWM) in Logistics
The purpose of the work is to present the capabilities achievable by implementing the Price Waterfall model (PWm) for logistic enterprises. An Innovative Logistic Company (ILC) should, as far as possible, exploit the potential of information technologies delivering data for further processing. The data managed by a Logistic Information System may be used to streamline a pricing process in the sector of logistic services. The PWm was chosen because its linear structure coincides with the linear form of equations of logistic costs' structure. The transaction data processed by a Decision Support System (DSS) based on the PWm allows to make an optimum price decision in a negotiation process considering the parameters of the current price strategy.