Pocket Margin Visibility

Profitability Model

Project Scope

Development and implementation of a new profitability model for a Mexican company with businesses across North, Central, South America, the Caribbean, and Europe.

Deliverables

A financial model covering revenue and costs at a product, customer order, sales channel and regional level. Working off of one set of calculations and one database across the company´s value chain, the client elminated confusión over inter-departamental assessments of the current situation. With the new visibility the client has been able to develop profitability improvement programs, including: a revision of their customer segmentation, sales incentives, and minimum order quantities.

As well, together with the client we designed and developed dashboards, reports and key performance indicators for the monitoring of the company´s profitability growth.

Key Performance Indicators
Profit (pocket margin) by:

  • Product and product families
  • Customer order, customer, and customer segment
  • Sales channels and regions

Service per Sales Unit Broken Down by:

  • Sales cost
  • Production cost
  • Distribution cost

 

For more information about our services, contact our specialized team