The distribution professionals verify their operations on a daily basis. The modern logistic leader, use the tips like competitive pressures, mergers, acquisitions, new product lines and greater customer expectations, and so forth. This change is a cost of doing business in the latest “new economy”. This research investigates the auction properties that influence efficiency (ability to maximize price and profit) as the distribution link of the supply chain. Also focuses on different key areas that are the roadmap to an effective, flexible and proactively responsive distribution operation. Also investigates the feasibility of using DEA to measure efficiency and rationalize a distribution network as an alternate approach to the conventional method of optimizing  delivery routes and schedules for given supply chain management