Consumer Goods

CPG companies face an ever-changing supply chain environment where unpredictable sourcing, manufacturing and logistics costs are paired with fickle consumer demand and evolving multi-channel sales strategies. Whether you produce household goods, personal care products, food or beverages, having the ability to accurately measure and simulate product and customer cost at each node in the supply chain is critical to avoiding profit and loss statement surprises.

ImpactECS connects existing data and systems to calculate detailed product costs and variances, determine profits by product or customer, run simulations for planning, value inventories, or other important analytics activities.

With ImpactECS, Consumer Goods companies can:

  • Calculate the actual cost to manufacture each product by manufacturing site to provide insight and drive strategies that reduce variances created by current standard costing practices
  • Simulate the cost of new product introductions (NPIs) by starting with the historical bill of materials, manufacturing, and delivery costs of similar products in the current portfolio
  • Measure the costs associated with product storage, handling, and transportation to improve negotiating power with third party logistics providers (3PLs)
  • Drive logistics efficiency by benchmarking activity level logistics cost across distribution centers to identify and replicate best practices
  • Use historical operational costs and transaction volumes and to calculate operational budgets and plans based on forecasted product demand
  • Measure the profitability of products based on the cost of the channel or route to market selected to ensure pricing accurately reflects the channel costs incurred
  • Use customer level profitability insights to drive pricing decisions and terms of sale
  • Measure the profit impact of incentive programs at the product level to ensure that promotional spend, slotting fees, volume rebates, consumer discounts and other incentives grow the top AND bottom-line